COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health System

DATE:

November 2, 2010

BOARD MEETING DATE:

December 14, 2010

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Jean S. Fraser, Chief, Health System
Susan Ehrlich, MD, MPP, Chief Executive Officer
San Mateo Medical Center

SUBJECT:

Agreement with Scott Oesterling, MD

RECOMMENDATION:

Adopt a Resolution authorizing the:

A)

President of the Board to execute an Agreement with Scott Oesterling, MD to provide obstetrics and gynecology services for the term January 1, 2011 through December 31, 2012, for a maximum obligation of $4,112,904; and

B)

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

BACKGROUND:

The group represented by Scott Oesterling, MD has a long history of providing obstetrics and gynecology services to San Mateo Medical Center (SMMC). In particular, these disciplines serve as the basis for routine evaluation and treatment of pre, intra, and post-partum care (obstetrics) and the evaluation, diagnosis, treatment, and monitoring of uterine, ovarian, endometrial, and vaginal disease (gynecology).

DISCUSSION:

SMMC has a continuous need for obstetrics and gynecology services, and Dr. Oesterling’s group offers the hospital the benefits of experienced practitioners familiar with the complex nature of the County’s patient base. The group of physicians providing services under this Agreement is composed of twelve primary providers and the number of relative value units (RVU) is projected to be over 30,000 for 2011.

The Health System Redesign Initiative Team has reviewed and approved this Agreement. The Contractor’s insurance has been reviewed and approved by Risk Management. County Counsel has reviewed and approved the Resolution and Agreement as to form.

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 contributes to the Shared Vision 2025 outcome of a Healthy Community by providing patients with access to obstetrics and gynecology services. It is anticipated that less than 15% of all deliveries will be pre-term and less than 25% will be cesarean which is an indication of high quality patient care.

Performance Measures:

Measure

FY 2009-10
Actual

FY 2010-11
Projected

Percentage of pre-term deliveries

< 15%

<15%

Percentage of cesarean deliveries

<24.3%

<25%

FISCAL IMPACT:

The term of this Agreement is January 1, 2011 through December 31, 2012. The maximum fiscal obligation is $4,112,904. Funds in the amount of $1,003,226 are included in the SMMC FY 2010-11 Adopted Budget. Funds in the amount of $2,006,452 will be included in the SMMC FY 2011-12 Recommended Budget. Similar arrangements will be made for future years.

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 are covered by the County’s General Fund contribution to SMMC.