COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

DATE:

September 18, 2006

BOARD MEETING DATE:

October 24, 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 the Department of Veterans Affairs Palo Alto Health Care System for Willow Clinic and the Methadone Treatment Program

RECOMMENDATION:

Adopt a resolution authorizing the President of the Board to execute an Agreement with the Department of Veterans Affairs Palo Alto Health Care System for provision of space and resources for Willow Clinic and the Methadone Treatment Program, for the term August 11, 2006 to August 10, 2011, at an amount not to exceed $3,245,842.

VISION ALIGNMENT:

Commitment: Ensure Basic Health and Safety for All

Goal 5: Provide residents access to healthcare and preventive care.

The agreement contributes to this commitment and goal by continuing to provide health services for patients at the Willow Clinic and at the Methadone Clinic.

Performance Measure(s):

Measure

FY 2005-06
Actual

FY 2006-07
Projected

Number of patients visits at the Willow Clinic

27,000 visits

28,000 visits

Number of patients that receive methadone treatment at the Methadone Clinic

275 Patients

275 Patients

BACKGROUND:

In March 1997, your Board approved a Sharing Agreement with the Department of Veterans Affairs Palo Alto Health Care System (VAPAHCS) for space in Building 334 on the Menlo Park campus to locate and operate the Willow Clinic. The clinic has been operational since that time. Your Board approved subsequent Amendments and Supplemental Agreements to add space and services such as the Methadone Treatment program.

DISCUSSION:

The Lease Agreement between the County of San Mateo and the Veterans Administration in Menlo Park expired in August 2006. Delay in processing this Agreement is due to negotiations that have just been completed for a new lease for additional space, cost and terms. The VA also provides laboratory services to clinic patients.

The contractor has assured compliance with the County's Contractor Employee Jury Service Ordinance, as well as other contract provisions that are required by County ordinance and administrative memoranda, including but not limited to insurance, hold harmless, non-discrimination and equal benefits. The County Manager has approved a waiver for extending the contract beyond three years to allow SMMC to lock in favorable rates for five years.

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

FISCAL IMPACT:

The term of the previous Agreement with the Department of Veterans Affairs Palo Alto Health Care System was August 11, 2005 to August 10, 2006, with a maximum amount of $684,528. The term of the new agreement is August 11, 2006 to August 10, 2011. The maximum amount of the agreement for the five-year term is $3,245,842 ($607,797 for August 11, 2006 to August 10, 2007; $627,486 for August 11, 2007 to August 10, 2008; $648,664 for August 11, 2008 to August 10, 2009; $670,098 for August 11, 2009 to August 10, 2010; and $691,797 for August 11, 2010 to August 10, 2011). Funds are included in SMMC’s adopted budget for FY2006-07. Funds will be included in future year budget request.