COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

March 11, 2005

BOARD MEETING DATE:

March 29, 2005

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director, Health Department

Brian Zamora, Director, Public Health & Environmental Protection

SUBJECT:

Agreements with Roche Diagnostic Services

RECOMMENDATION:

Adopt a resolution:

1.

Waiving the Invitation for Bid (IFB) Process; and

2.

Authorizing the Purchasing Agent to execute a Vendor Agreement for laboratory supplies with Roche Diagnostic Services; and

3.

Authorizing the Purchasing Agent to issue a Purchase Order for laboratory equipment with Roche Diagnostic Services.

VISION ALIGNMENT:

Commitment: Ensuring basic health and safety for all.

Goals 5: Residents have access to healthcare and preventative care.

This agreement contributes to this goal by allowing the Public Health Laboratory to continue to provide essential HIV viral load testing for people with HIV/AIDS, testing for people with Hepatitis C, and by allowing the purchase of a “real-time” Lightcycler machine to confirm the presence of a broad array of pathogenic bacteria and viruses that threaten the health of the public.

Performance Measure(s):

Measure

FY 2004-05
Actual

FY 2005-06
Projected

Percent of multi-drug resistant TB cases processed within 2 days

100%

100%

BACKGROUND:

Public Health has been purchasing reagents for HIV viral load testing and Hepatitis C from Roche Diagnostics under an “emergency purchasing order”, but it has been determined that there is an ongoing need to purchase these supplies. In addition, Roche manufactures a LightCycler Nucleic Acid Purification and Sequence Analysis system (LCS) that will provide much faster testing than traditional culture methods and allow for “same-day” results for many pathogens.

DISCUSSION:

Roche has been the State’s provider of choice for reagents on the HIV viral load and Hepatitis C testing for several years. HIV viral loads are used to determine the success or failure of anti-retroviral treatment regimens, and changes in test methodology or manufacturers will disrupt this function and interfere with patient care.

The LCS is widely used in public health laboratories throughout California and has the broadest range of reagents available for the diagnosis of infectious agents. It will allow Public Health to rapidly test for a wider variety of pathogens than is currently possible. These pathogens include norovirus (the most common cause of food-borne outbreaks in nursing homes); pertussis (the bacteria that causes whooping cough); and influenza. The LCS can also be used for rapid (1-2 day) assessment of drug-resistant Tuberculosis (TB) (current testing takes 2-4 weeks). It can also test for HIV and Hepatitis C genetic subtypes: information that informs clinicians and allows for targeted treatment with more effective medication.

The LCS is used by the California Department of Health’s Virus and Rickettsial Diseases Laboratory (VRDL) to develop reagents for new and emerging pathogens such as SARS, Avian Influenza, and West Nile Virus. Protocols developed by the State can be used by other labs if they use the same technology and procedures, which is advantageous because many pathogens are newly emerging and there is no readily available commercial testing. Because San Francisco International Airport is in San Mateo County, there is risk of importation of new and emerging viruses. The ability for rapid detection is critical. No other system has these advantages, and a request is made to waive the invitation for bid process.

This was delayed for presentation to your Board because of misunderstandings of the contract requirements. Subsequent negotiations resulted in a satisfactory outcome.

County Counsel and Employee and Public Services have reviewed and approved the memorandum and resolution.

FISCAL IMPACT:

The term of the agreement is July 1, 2004 to June 30, 2006. The amount for FY 2004-05 is $243,000 for supplies and equipment and has been included in the FY 2004-05 Adopted Budget. The amount for FY 2005-06 is $120,000 and will be included in the FY 2005-06 recommended budget.