Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Louise F. Rogers, Chief, San Mateo County Health
Chester J. Kunnappilly, MD, Chief Executive Officer, San Mateo Medical Center
Subject: Agreement with Hong Zheng, MD to Provide Cardiology Services
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with Hong Zheng, D.O. Inc. extending the term of the agreement through December 31, 2022, and increasing the amount payable under the agreement by $50,000 to an amount not to exceed $600,000.
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BACKGROUND:
San Mateo County is responsible for providing necessary medical care to its medically indigent population. This includes services for cardiology disorders and the management and supervision of those services. The County’s need for these cardiology services is increasing due to the aging of its patient population.
In October 2020, the County and Dr. Zheng entered into an agreement for cardiology services for the term of October 1, 2020 through September 30, 2022, in an amount not to exceed $550,000.
In September 2022, the parties amended the agreement, extending the term by one month through October 31, 2022 with no further change to the agreement terms.
In November 2022, the parties amended the agreement, extending the term by one month through November 30, 2022 with no further change to the agreement terms.
DISCUSSION:
Under this amendment Dr. Zheng has agreed to continue to provide cardiology services for two months, to allow for additional time to finalize negotiations for a new agreement.
County Administrative Memorandum B-1 provides that contracts for physicians are exempt from the Request for Proposals process.
The agreement and resolution have been reviewed and approved by the County Attorney as to form.
The resolution contains the County’s standard provisions allowing amendment of the County fiscal obligations by a maximum of $25,000.00 (in aggregate).
It is anticipated that Dr. Zheng will complete 3,068 Relative Value Units (RVUs) per annum.
PERFORMANCE MEASURE:
|
Measure |
FY 2021-22 Actual |
FY 2022-23 Estimated |
|
Number of RVUs completed by Dr. Zheng per annum |
3,068 RVUs |
3,068 RVUs |
FISCAL IMPACT:
The term of the proposed amended agreement is October 1, 2020 through December 31, 2022. The amendment increases the contract amount by $50,000 to an amount not to exceed $600,000 for the twenty-six month term. Funds in the amount of $50,000 are included in the SMMC FY 2022-23 Adopted 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 and is within the existing annual appropriation.