COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Hospital and Clinics

DATE:

August 9, 2002

BOARD MEETING DATE:

August 20, 2002

TO:

Honorable Board of Supervisors

FROM:

Nancy J. Steiger, Chief Executive Officer

SUBJECT:

Amendment to the Agreement with Mills-Peninsula Hospitals

Recommendation

Adopt a resolution authorizing the President of the Board to execute an amendment to an agreement with Mills-Peninsula Hospitals.

Background

San Mateo County is responsible for providing medical care to its medically indigent adult population. San Mateo County General Hospital (SMCGH) is a general acute care hospital and does not provide certain highly specialized services. SMCGH contracts with three local hospitals: Mills-Peninsula Hospitals, Sequoia Hospital District, and Seton Medical Center to ensure that these specialty services are readily available as well as to maintain adequate coverage. Mills-Peninsula Hospitals has been providing tertiary care, acute medical surgical and outpatient services, to SMCGH's indigent patients since 1983. The majority of referrals to Mills-Peninsula are for outpatient services, including magnetic resonance imaging (MRI) and lithotripsy treatment.

Discussion

The services provided under this agreement are inpatient acute care, intensive care, coronary care, outpatient dialysis, magnetic resonance imaging (MRI) and lithotripsy services. Patients are referred to the Mills-Peninsula by the SMCGH physicians using an "Outside Referral Form." This form is reviewed and approved in advance by SMCGH's Case Management Department for appropriateness of care, length of stay, etc.

The previous agreement with Mills-Peninsula was for $800,000 for the term July 1, 2000 through June 30, 2002. Due to patient need with high patient volume and high cost procedures, Mill-Peninsula exceeded the contract amount by $350,000.

Risk Management and County Counsel have approved this agreement.

Vision Alignment

This amendment keeps the commitment to Ensure Basic Health and Safety for All and goal number 5: Provide residents access to healthcare and preventive care. The agreement contributes to this commitment and goal by providing specialty services to county patients.

Term and Fiscal Impact

This amendment extends the term of the agreement by one year, making the new term of the agreement July 1, 2002 to June 30, 2003 and increases the amount by $800,000, from $800,000 to $1,600,000 and includes the $350,000 overage from the prior year and $450,000 for the extended term.

Funds are included in the FY2002-03 Hospital and Clinics Adopted Budget.