COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

 

DATE:

November 22, 2002

BOARD MEETING DATE:

December 17, 2002

 

TO:

Honorable Board of Supervisors

FROM:

Nancy J. Steiger, Chief Executive Officer

 

SUBJECT:

Agreement with The Electric Company

 

Recommendation

Adopt a resolution authorizing the President of the Board to waive the Request for Proposals (RFP) Process and execute an agreement with The Electric Company to provide medical transcription.

 

Background

Transcription of interpretation of all diagnostic procedures is required by the State Department of Health Services Title XXII and the Joint Commission on the Accreditation of Healthcare Organizations and is mandated by the medical staff of the hospital. Also, reimbursement to the hospital can be delayed if transcribed reports are not provided in the medical record on a timely basis. Patient care is also adversely affected if procedure reports are not charted rapidly and made available for primary physicians.

An agreement with The Electric Company has been in effect since 1999 with three previous amendments to provide transcription services for the Radiology Department. The Board waived the RFP process at that time due to the limitations in the SMS radiology information system software and the need for continued timely report generation. A funding grant from the Komen Foundation allowed the hospital to purchase an upgraded software version which is now being built with implementation expected in April, 2003. Until this implementation upgrade is complete, the requirements needed for a RFP on transcription services are unknown.

 

Discussion

In order to continue providing timely medical procedure reports, it is necessary to continue to contract with The Electric Company until an analysis by the Information Services Department of the new Radiology Information System functions and limitations can be completed at which time a RFP will be issued. A waiver of the RFP process for this service is being requested at this time.

County Counsel and Risk Management have reviewed and approved this agreement.

 

Vision Alignment

This Contract keeps the commitment to Responsive, effective and collaborative government and goal number 20: government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain. The agreement contributes to this commitment by providing mandated transcription services and timely transcribed reports thereby making available accurate procedure reports for primary physicians.

 

Fiscal Impact

The term of the agreement is December 1, 2002 to November 30, 2003. The maximum amount of the agreement is $173,880. Based on the current average usage of 63,000 lines per month at $0.23 per line, the monthly average cost is $14,490 or $173,880 annually. Funds to cover this cost have been included in the Hospital's FY2002-03 approved budget and will be requested in FY2003-04 recommended budget.