COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

DATE:

April 7, 2006

BOARD MEETING DATE:

May 2, 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:

Agreement with WebMedx

RECOMMENDATION:

Resolution authorizing:

1)

the execution of an Agreement with WebMedx to provide medical transcription services to San Mateo Medical Center (SMMC) and all facilities for the term May 1, 2006 to April 30, 2009, in an amount not to exceed $3,950,000

2)

the Chief Executive Officer of SMMC to A) execute subsequent amendments and minor modifications to this Agreement during the term of the Agreement not to exceed $25,000, and B) make changes that have no fiscal impact in the types of services and activities provided by WebMedx

VISION ALIGNMENT:

Commitment: 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.

The Agreement provides for transcription services that support system-wide availability of critical health information.

Performance Measure(s):

Measure

FY 2004-05
Actual

FY 2005-06
Projected

Percent of time that transcribed reports are available within agreed upon deadlines throughout SMMC

98%

98%

BACKGROUND:

Transcribed reports provide for the availability of health information throughout SMMC, including Clinics and the Emergency Room, supporting information continuity and quality of patient care. The transcribed medical record contains the most accurate record of medications a patient is receiving and is crucial for Medication Reconciliation, a National Patient Safety Goal. SMMC has encouraged increased dictation of patient encounters to increase communication across our system. This includes using dictation and transcription for all admissions and summaries of hospital inpatient stays, same day surgeries, outpatient clinic visits including the satellite clinics, emergency department visits, and ancillary tests through a contractor. Excluded from this service is pathology and radiology dictation, which are under separate contract. In most cases, the contractor provides the equipment needed for dictating and equipment maintenance services.

DISCUSSION:

The Medical Records Department is aggressively seeking options to decrease the cost of transcription and the processing of the transcribed documents. Transcription services include voice recognition, building templates specific for disciplines, and electronic signature by physicians. In anticipation of the end of our existing contract for transcription services and with an interest in testing the current marketplace for newer, higher quality, and lower cost services, in September 2005, SMMC conducted a Request for Proposal (RFP) process. Six proposals were received and evaluated. Approximately half of the vendors offered equal benefits. Two vendors were selected for further evaluation based on quality, pricing, experience, and references. Selection criteria included turnaround time, performance parameters, training, technical support and quality assurance.

Webmedx not only was the best overall fit to the technical solution to SMMC’s operating requirements, but Webmedx also complied with all county purchasing policies, has proven successful previous experience with similar projects, and is known as having general financial strength and stability in the industry. From a cost perspective, SMMC was able to negotiate a rate of $0.0027 per Black Character compared to the MedQuist rate of $0.00304. Webmedx was selected as they proposed the lowest rates, met SMMC’s requirements for quality, and provided excellent references.

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 and Risk Management have both reviewed and approved this Agreement. ISD has reviewed and supports this Agreement.

FISCAL IMPACT:

The term of the Agreement is May 1, 2006 to April 30, 2009. The maximum amount of the Agreement is $3,950,000. Funds are included in SMMC’s FY2005-06 Adopted Budget. Funds will be included in future year budget requests.

1.

General Description of RFP

Project to replace current Medical Transcription service

2.

List key evaluation criteria

(1)"Best overall fit" of vendor's proposed technical solution to SMMC’s operating requirements (2) Technical compliance with the RFP functional requirements (3) Vendor’s proven and successful previous experience with similar projects (4) Cost of the proposed solution(s) (5) Compliance with county purchasing policies (6) Vendor’s general financial strength and stability in the industry

3.

Where advertised

An RFP was sent to known providers of medical transcription services

4.

In addition to any advertisement, list others to whom RFP was sent

List of Names in #8

5.

Total number sent to prospective proposers

9

6.

Number of proposals received

6

7.

Who evaluated the proposals

Albert P. David, ISD Relationship Manager

Jenny Dutra, Lead Medical records Office Assistant

Richard Hom, Consultant O.D

Doug Humphrey, Director of Materials Management

Chester J. Kunnappilly, MD, Supervising Physician

Teresita Larcina, Contract Administratrator

Edgar Pierluissi, VP & Medical Director, Quality

Deborah Pines, Director, Medical Records

Geoff Rutledge, Chief Medical Information Officer

Linda Wallach, Quality Manager

8.

In alphabetical order, names of proposers (or finalists, if applicable) and location

CBay Systems Dictation Service

Michael Kimball, 2661 Riva Road, Bldg. #800, Annapolis, MD 21401

Chronicle Transcripts Inc. Dictation Service

Lee Gliddon, 16 Technology Drive Suit, Irvine, CA 92618

DiskRiter

Jon Gabster, 3257 West Liberty Avenue, Pittsburg, PA 15216

TranSolution Inc. Dictation Services

Jeff Aselin , 26214 125th Place SE, Kent, WA 98030

MedQuist Dictation Service

Kathy Mulford, Century Plaza Bldg. 1000, Ste. 300

10630 Little Patuxent Parkway, Columbia, MD 21044

MedScribe Transcription Dictation Service

Perry Wolkis, 121 Cedar Land 3rd Fl

Teneck, NJ 07666

Sten Tel Technologies Transcription Services

Matthew Patrone, 350 South Main Street, Suite 203

Doylestown, PA 18901

Vianeta Dictation Service

Maria Baricevic, 694 Tasman Drive

Milpitas, CA 95035

Webmedx

Todd Jensen, 564 Alpha Drive

Pittsburgh, PA 15238-2912