Title
Consider authorizing the Purchasing Manager for Natividad Medical Center (NMC) to approve the First Amendment to Professional Services Agreement with Jackson & Coker to provide referrals of locum tenens physicians at NMC, replacing the existing rate sheet in the current Agreement to add additional specialties and make non-substantial changes to existing specialties, for the period May 9, 2013 to March 31, 2014, without increasing the not to exceed amount of $200,000 or extending the term of the Agreement.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Authorize the Purchasing Manager for Natividad Medical Center (NMC) to approve the First Amendment to Professional Services Agreement with Jackson & Coker to provide referrals of locum tenens physicians at NMC, replacing the existing rate sheet in the current Agreement to add additional specialties and make non-substantial changes to existing specialties, for the period May 9, 2013 to March 31, 2014, without increasing the not to exceed amount of $200,000 or extending the term of the Agreement.
SUMMARY/DISCUSSION:
On April 1, 2012, NMC entered into a professional services agreement with Jackson & Coker Locum Tenens a locum tenens company for the referrals of locum tenens physicians. NMC utilizes locum tenens (temporary) physicians during periods when its employed/contracted physicians are not available (e.g., vacation; illness; continuing medical education; etc.) to provide health care services vital to NMC's continued operation.
In order to find highly qualified temporary physicians that match the position we are trying to fill/cover and are available on sometimes a very short notice, it is necessary that NMC contract with multiple locum tenens companies with a combined annual maximum liability of $1,000,000. The actual cost of each contract is contingent upon the need to cover services, which is unpredictable by nature.
NMC pays locum tenens companies for physician services based on an hourly/daily rate specific to each medical specialty. Rates are all-inclusive of travel, lodging and associated expenses and have been negotiated separately with each locum tenens company and are listed in the rate sheet as part of the Agreement. The rate sheet that was included in the Agreement that was approved by the Board of Supervisors on April 12, 2012 was for the period April 1, 2012 to March 31, 2013. The term of the original rate sheet was for twelve months for the purpose of re-evaluating the need for services at the one year anniversary of the Agreement. Language requesting the approval to change the rate sheet after one year was not included in the original Board Report; therefore NMC now wishes to amend the Agreement to replace that rate sheet in the Agreement with a new rate sheet for the period May 9, 2013 to March 31, 2014. Trauma and neurosurgery specialties were added to the new rate sheet and certain specialties were removed because NMC does not require locum tenens providers in those specialties (such as CRNA and Urgent Care). The premium rate for the Hospitalist and Pediatric Hospitalist specialties increased by almost six percent, but this increase is non-substantial due to the infrequent need for this type of service.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Agreement as to legal form and risk provisions. Auditor-Controller has reviewed and approved this Agreement as to fiscal provisions. The Agreement has also been reviewed and approved by Natividad Medical Center's Board of Trustees.
FINANCING:
The total cost of this Agreement is $200,000; $60,170 was disbursed in Fiscal Year 2013/2014 year to date. This rate sheet does not increase the total cost of this Agreement. There is no impact to the General Fund.
Prepared by: Jeanne-Ann Balza, Management Analyst, 783.2506
Approved by: Harry Weis, Chief Executive Officer, 783.2553
Attachments:
First Amendment; Agreement
Attachments on file at the Clerk of the Board