COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

 

DATE:

August 1, 2007

BOARD MEETING DATE:

September 11, 2007

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

Sang-ick Chang, Interim Chief Executive Officer, San Mateo Medical Center

SUBJECT:

Agreement with HFS Consultants

 

RECOMMENDATION:

Adopt a resolution:

 

A.

Waiving the Request for Proposal (RFP) Process.

   

B.

Authorizing the execution of an Agreement with HFS Consultants to provide consulting and management services for physician and payor contracting at San Mateo Medical Center for the term August 1, 2007 to April 1, 2008 for a maximum amount payable not to exceed TWO HUNDRED THOUSAND DOLLARS ($200,000).

 

C.

Authorizing the Chief Executive Officer (CEO) of San Mateo Medical Center or his designee to execute contract amendments which modify the County's maximum fiscal obligation by no more than $25,000 (in aggregate), and/or modify the contract term and/or services so long as the modified term or services is/are within the current or revised fiscal provisions.

 

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 providing a resource for completing negotiations and contractors which in turn will allow for the payment of providers providing services to SMMC patients.

 
 

Performance Measure(s):

Measure

Current

Target

Percentage of payor and provider contracts renewed prior to expiration

65%

100%

 

BACKGROUND:

In January, 2007, the position of Director of Payor and Provider Contracting (DPP) was filled after being vacant for a prolonged length of time. However, due to the considerable backlog and complexity of the contracts the new Director has been unable to bring the situation to a current and more workable level.

HFS Consultants has proven to be successful at achieving the goals and objectives of other contracts with San Mateo Medical Center. They previously had a contract to conduct a comprehensive overview of the SMMC laboratory and perform a thorough analysis of laboratory operations. They are currently providing the Interim Laboratory Manager while recruitment is underway for a permanent manager.

 

DISCUSSION:

Contracts handled by the DPP are mainly with doctors, health plans and hospitals. It is imperative that these contracts be maintained so that those providing necessary services to SMMC will continue to do so.

It is necessary to provide coaching/mentoring for the DPP to ensure that the requirements, which include contract negotiation, are met.

A Waiver of the RFP Process is being requested at this time because HFS is a known entity and familiar with SMMC. It is expedient that SMMC have someone knowledgeable in contract negotiation and familiar with SMMC to work with the DPP to bring these highly visible contracts current. Waiver of the RFP process is necessary due to the negative effect the backlog of medical provider contracts is having on the delivery of services. The time it would take to bid the contract and train a consultant on the practices of SMMC would be detrimental to SMMC’s patients. The expectation is that HFS will provide coaching and assistance in all areas of the contract process for a ninety (90) day period. HFS staff has extensive experience in the healthcare industry, contract negotiation and management and will provide the coverage SSMC requires to bridge this difficult period.

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

The contractor has assured compliance with the County's Contractor Employee Jury Service Ordinance, as well as all 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.

 

FISCAL IMPACT:

The term of the Agreement is eight months, August 1, 2007 through April 1, 2008. The maximum amount payable under the Agreement is $200,000. Funds to pay for these services are included in San Mateo Medical Center’s FY2007-08 Tentatively Adopted Budget.