COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

 

DATE:

March 23, 2006

BOARD MEETING DATE:

April 18, 2006

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

Nancy J. Steiger, Chief Executive Officer, San Mateo Medical Center

SUBJECT:

Lease Agreement with Key Government Finance, Inc. for B. Braun Medical Inc. IV Pumps

RECOMMENDATION:

Adopt a Resolution authorizing the Purchasing Agent to enter into a 37-month Lease-To-Own Agreement with Key Government Finance, Inc. for B. Braun Medical Inc. equipment which includes 90 Outlook 100 Infusion Devices (pumps), 63 poles, 18 Curlin PainSmart PCA Devices (pumps), and accessories, in an amount not to exceed $347,443 including tax, freight, a one-year warranty, and a two-year extended warranty.

 

VISION ALIGNMENT:

Commitment: To ensure basic health and safety for all and Responsive, effective and collaborative government.

Goals 5 and 20: Residents have access to healthcare and preventive care; and Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

This Agreement contributes to the commitments and goals by providing San Mateo Medical Center with proven reliable state-of-the-art equipment and by keeping the Medical Center in compliance with JCAHO requirements. Additionally the medical center will manage drug administration safety by setting the upper and lower administration limits in the drug library.

     

Measure

FY 2004-05
Actual

FY 2005-06
Projected

Reduce medication errors

95%

95%

Reduce the amount spent on rentals

85%

85%

 

The new pumps include dose modules to manage medication errors and ensure patient safety. The software is designed to reduce opportunity for medication errors by using audible and visual overdose alerts (dose guard software)

The pumps have proven reliability and because all channels will have high utilization due to single channel stackable architecture they will reduce significantly or eliminate the medical center’s need to rent additional pumps to satisfy pump requirements.

BACKGROUND:

The Agreement with Baxter for IV infusion pumps expired on June 26, 2005. New Baxter infusion pumps will not be available until sometime mid to late 2006. In addition SMMC has been experiencing frequent recall issues with the Baxter Colleague Infusion Pumps. Due to continual recall and repair issues, the clinical staff have lost confidence in the Baxter Colleague pump efficacy and reliability. The recall problem has also created questions about the pumps’ reliability and safety when used on patients, and has increased the rental expenses of IV pumps.

 

DISCUSSION:

Determined to replace the pumps with a proven reliable system that met all clinical and JCAHO requirements, SMMC invited B. Braun and Hospira to participate in an IV Infusion Pump Fair on November 1 and November 2, 2005. Both companies presented their IV infusion and PCA (patient controlled administration) pumps. Each provided clinical and equipment experts to demonstrate the equipment and answer all questions presented by SMMC staff. A decision was made, based on pump technology, reliability, cost, and architecture, to purchase B. Braun pumps. The B. Braun Pumps have not been subject to a recall. The pumps utilize sets and adapters that apply simple easy-to-use products that are latex safe. B. Braun pumps can be upgraded to provide bar code technology optimizing accuracy of patient identification through patient matching with pump based bar coding.

B. Braun will provide 90 Outlook 100 Infusion Devices (pumps) for IV Therapy, 63 IV poles (at no charge), 18 Curlin PainSmart PCA Devices (pumps) including accessories for patient administration (2 pumps of which will be provided at no charge), a one-year warranty and a two-year extended warranty.

The Purchasing Department conducted a rate comparison of a number of leasing companies. In addition, the Purchasing Department reviewed a Request for Proposal (RFP) for network equipment leasing services on October 14, 2005. Key Government Finance, Inc. offered the best interest rates, terms and conditions.

Key Government Finance, Inc. and B. Braun Medical, Inc. are compliant with the County Equal Benefits Ordinance and Jury Service Ordinance. The Agreement includes all provisions that are required by county ordinance and administrative memoranda, including but not limited to insurance, hold harmless, non-discrimination, equal benefits and jury service policy.

County Counsel reviewed and approved this Board Memo and Resolution.

 

FISCAL IMPACT:

The term of the Lease-To-Own Agreement for 90 Outlook 100 Infusion Devices (pumps), 63 poles, 18 Curlin PainSmart PCA Devices (pumps), and accessories is 37 months commencing on the date SMMC acknowledges delivery of the pumps. The maximum amount of the Agreement is $347,443 which includes tax, freight, a one-year warranty, and a two-year extended warranty. Funds are included in SMMC’s FY2005-06 Adopted Budget. Funds will be included in future-year budget requests. As a result of this Lease-to-Own Agreement SMMC will save $100,000 annually in pump rental fees.