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COUNTY OF SAN MATEO
Inter-Departmental Correspondence
Health System
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DATE:
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March 15, 2010
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BOARD MEETING DATE:
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April 27, 2010
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SPECIAL NOTICE/HEARING:
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None
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VOTE REQUIRED:
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Majority
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TO:
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Honorable Board of Supervisors
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FROM:
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Jean S. Fraser, Chief, Health System
Susan Ehrlich, MD, MPP, Chief Executive Officer
San Mateo Medical Center
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SUBJECT:
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Agreement with Catholic Healthcare West doing business as Sequoia Hospital
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RECOMMENDATION:
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Adopt a Resolution:
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1.
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Authorizing the President of the Board to execute an Agreement with Catholic Healthcare West doing business as (dba) Sequoia Hospital to provide diagnostic and therapeutic services not available at San Mateo Medical Center for the term October 1, 2009 through September 30, 2011, in an amount not to exceed $500,000; and
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2.
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Authorizing the Chief of the Health System or 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.
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BACKGROUND:
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San Mateo County is responsible for providing medical care to its medically indigent adult (MIA) population. San Mateo Medical Center (SMMC) is a general acute care hospital and does not provide certain highly specialized services. A contract with Catholic Healthcare West dba Sequoia Hospital (Sequoia) ensures that specialty services are readily available. Services provided under this Agreement are required medical services that are not presently provided at SMMC.
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DISCUSSION:
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All patients referred to Sequoia undergo utilization review to minimize hospital stays and maintain control over costs. Health Plan of San Mateo (HPSM) rates (for all services) have been negotiated in order to maintain or reduce costs of services for tertiary care contracts.
The Health System Redesign Initiative Team, County Counsel, and Risk Management have reviewed and approved this Agreement. 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.
The contract was delayed due to the Contractor not returning the signed Contract in a timely manner.
Approval of this Agreement contributes to the Shared Vision 2025 outcome of a Healthy Community by providing patients with access to necessary specialty services not offered at SMMC at a rate favorable to the County. It is expected that most services to patients are provided in-house, and about 3.5% of patients will receive some specialty care from other community providers.
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Performance Measure:
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Measure
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FY 2008-09
Actual
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FY 2009-10
Projected
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Percentage of patient referrals
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3.5%
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3.5%
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FISCAL IMPACT:
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The term of this Agreement is October 1, 2009 through September 30, 2011. The maximum amount the County shall be obligated to pay Contractor is $500,000. Funds in the amount of $187,500 are included in the SMMC Adopted FY 2009-10 budget and $250,000 will be included in the SMMC FY 2010-11 Recommended Budget. Expenses at SMMC are covered by fees for services or third-party payors whenever possible. The portion of expenses for services provided to the medically indigent or to those covered by programs that do not meet the full costs of care is covered by the County’s General Fund contribution to SMMC.
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