Title
a. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Master Agreements with AMN Healthcare Inc., Cirrus Holdings Inc., and Cross Country Staffing Inc. to provide Ancillary Registry Services as per RFP #9600-22, with an increase of $400,000 to the aggregate spending limit for all Ancillary Agreements through June 30, 2015;
b. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Amendment No. 1 to all of the Master Agreements for Ancillary Registry Services at NMC pursuant to RFP #9600-22 with C & A Industries Inc., Per Diem Staffing Systems Inc., Sonotemps Inc., SHC Services Inc., AMN Healthcare Inc., Cirrus Holdings Inc., Cross Country Staffing Inc., and Maxim Staffing Solutions Inc., to extend the term for one additional year, increasing the aggregate spending limit by an additional $2,300,000 for the period July 1, 2015 through June 30, 2016, for a total aggregate amount not to exceed $6,300,000 for all Ancillary Master Agreements; and
c. Authorize the Deputy Purchasing Agent for NMC to execute future Amendments to the Agreement which do not significantly alter the scope of work and do not cause an increase to the total Agreement amount.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors:
a. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Master Agreements with AMN Healthcare Inc., Cirrus Holdings Inc., and Cross Country Staffing Inc. to provide Ancillary Registry Services as per RFP #9600-22, with an increase of $400,000 to the aggregate spending limit for all Ancillary Agreements through June 30, 2015; and
b. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Amendment No. 1 to all of the Master Agreements for Ancillary Registry Services at NMC pursuant to RFP #9600-22 with C & A Industries Inc., Per Diem Staffing Systems Inc., Sonotemps Inc., SHC Services Inc., AMN Healthcare Inc., Cirrus Holdings Inc., Cross Country Staffing Inc., and Maxim Staffing Solutions Inc., to extend the term for one additional year, increasing the aggregate spending limit by an additional $2,300,000 for the period July 1, 2015 through June 30, 2016, for a total aggregate amount not to exceed $6,300,000 for all Ancillary Master Agreements.
c. Authorize the Deputy Purchasing Agent for NMC to execute future Amendments to the Agreement which do not significantly alter the scope of work and do not cause an increase to the total Agreement amount.
SUMMARY/DISCUSSION:
On Feb. 7, 2012, NMC issued a Request for Proposals (RFP #9600-22) to initiate a fair and competitive process for establishing agreements for Ancillary Registry services at NMC. On July 24, 2012 the Board of Supervisors approved Master Agreements (A-12281) which included an aggregate spending limit not to exceed $3,600,000 (or $1,200,000 per fiscal year) to be distributed across all agreements as needed over a three year period ending June 30, 2015 with an option to extend for two additional one-year periods.
These temporary ancillary positions are essential in order for NMC to meet clinical service needs, and comply with regulations established by The Joint Commission; a regulatory agency that sets standards of care for hospitals and ancillary clinical services for the entire U.S.
Three additional companies asked to be added to NMC’s Master Agreement list for ancillary services in 2014. NMC re-issued RFP #9600-22 and received responses from AMN Healthcare, Cirrus Holdings and Cross Country Staffing. The same selection process as per the original RFP was followed and all three vendors were deemed responsive and are now being offered agreements. NMC is now requesting approval to establish Master Agreements with the three new vendors for Ancillary Registry services. As per board approval of the original Master Agreements, the three new vendor agreements have modified automobile insurance requirements due to no risk or exposure regarding vehicles. The cost to add these three additional contractors is projected at $400,000 and is based on additional expenses associated with difficulty in recruiting various Operating Room staff (nurses, surgical technicians, etc.) as well as to provide staff to perform services due to a rapid increase in Radiology and Physical Therapy services that were unanticipated as a result of the implementation of the Level Two Trauma Center in January 2015.
NMC would also like to advise the board of additional services being added to one of the current existing vendor agreements with Maxim Staffing Solutions. Maxim Staffing Solutions provides medical coding services specifically and there is an upgrade in progress to the coding used so transition services from ICD9 coding to ICD10 coding is necessary.
At this time NMC is also requesting that the Board approve Amendments to extend all Ancillary Master Agreements for an additional one year period to allow NMC time to develop and issue an RFP for a Vendor Management Solution which will absorb the Ancillary Services as well as the Nurse Registry Services into one system.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved these three new Master Agreements and the nine Amendments to all Master Agreements as to legal form and risk provisions. The Auditor-Controller has reviewed and approved these three new Master Agreements and the nine Amendments to all Master Agreements as to payment provisions. The three new Master Agreements and the nine Amendments to all Master Agreements have also been reviewed and approved by NMC’s Finance Committee on March 26, 2015 and by its Board of Trustees on April 3, 2015.
FINANCING:
The cost for the three new Agreements is $400,000 through June 30, 2015. The Board previously authorized an annual spending limit of $1,200,000 for all Ancillary Agreements therefore the revised annual aggregate spending limit requested for Fiscal Year 2014-15 is $1,600,000, all of which is included in the FY14-15 Adopted Budget. The cost for all Ancillary Agreements to be extended one additional year via Amendments to each of the Agreements totals $2,300,000, all of which was included in the Recommended Budget for FY15-16. There is no impact to the General Fund.
Prepared by: Janine Bouyea, NMC Human Resources Administrator, 783-2701
Approved by: Gary Gray, DO, Interim Chief Executive Officer, 783-2704
Attachments:
New Agreement with AMN Healthcare, Inc.
New Agreement with Cirrus Holdings Inc.
New Agreement with Cross Country Staffing, Inc.
Original Agreement with C & A Industries Inc.
Original Agreement with Per Diem Staffing Systems Inc.
Original Agreement with Sonotemps, Inc.
Original Agreement with SHC Services Inc.
Original Agreement with Maxim Staffing Solutions, Inc.
Amendment No. 1 to Agreement with AMN Healthcare, Inc.
Amendment No. 1 to Agreement with Cirrus Medical Staffing, Inc.
Amendment No. 1 to Agreement with Cross Country Staffing, Inc.
Amendment No. 1 to Agreement with C&A Industries, Inc.
Amendment No. 1 to Agreement with Per Diem Staffing, Inc.
Amendment No. 1 to Agreement with SonoTemps, Inc.
Amendment No. 1 to Agreement with SHC Services, Inc.
Amendment No. 1 to Agreement with Maxim Staffing Solutions, Inc.
Ancillary Services Spend History
Attachments on file with the Clerk of the Board