COUNTY OF SAN MATEO

Inter-Departmental Correspondence

San Mateo Medical Center

DATE:

September 5, 2007

BOARD MEETING DATE:

October 16, 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 David Jegge, M.D.

RECOMMENDATION:

Adopt a resolution:

1. Authorizing the President of the Board to execute an Agreement with David Jegge, M.D. to provide general surgery services for the period July 1, 2007 through June 30, 2009 for an amount not to exceed $495,000.

2. Authorizing the Chief Executive Officer of San Mateo Medical Center or the Chief Executive Officer’s 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: To 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 basic general surgery services.

Performance Measure:

Measure

FY 2006-07
Actual

FY 2007-08

Projected

Number of relative value units (RVU) units in General, Vascular, and Thoracic procedures

5113

5113

BACKGROUND:

David Jegge, M.D. has provided general surgery and clinic services to the San Mateo Medical Center for the last two years under the Agreement with David Jegge, M.D., which included Peninsula Surgical Specialists Medical Group, Inc. This Agreement is with Dr. Jegge, as an individual. In particular, Dr. Jegge will provide general surgical services. SMMC has a continuous need for general surgical services and Dr. David Jegge offers the hospital the benefits of an experienced practitioner familiar with the complex nature of the County patient base.

DISCUSSION:

Contractor productivity is being measured by the Relative Value Work Units (RVUs), an industry-wide measurement of medical care that indicates the level of quality standards being met by an individual practitioner.

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.

This Agreement is based on actual work performed with no guaranteed base payment, unlike the previous contract. Current HIPAA language has also been incorporated. Risk Management and County Counsel have approved the Agreement.

TERM AND FISCAL IMPACT:

The term of the Agreement is July 1, 2007 through June 30, 2009. The maximum amount the County shall be obligated to pay Contractor is $495,000, which represents a ten percent (10%) increase over the prior contract in the amount of FORTY THREE THOUSAND NINE HUNDRED AND FIFTY SIX DOLLARS ($43,956). The increase will bring the County reimbursement into market value for these surgical services. Payments to the Contractor will be based solely on productivity. Funds are included in the San Mateo Medical Center’s FY2007-08 Adopted Budget and will be included in the FY2008-09 Recommended Budget.