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: Amendment to the Agreement with CareFusion Solutions, LLC to Provide Automated Medication Dispensing Equipment and a Pharmacy Inventory Control System Services
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with CareFusion Solutions, LLC to provide automated medication dispensing equipment and pharmacy inventory control system services, increasing the amount of the agreement by $80,000 to an amount not to exceed $2,080,000 with no change to the agreement term.
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BACKGROUND:
In June 2019, San Mateo Medical Center (SMMC) and Health IT completed a Request for Proposals to replace the current automated medication dispensing equipment and adding an inventory storage and control system. CareFusion Solutions, LLC (CareFusion) was chosen to upgrade and fulfill the pharmacy modernization requirements because of their familiarity with SMMC’s current automated dispensing equipment, as well as over 30 years of experience working with government entities and partnerships across hospital systems.
This Board approved an agreement with CareFusion on September 15, 2020, for the term of September 15, 2020, through October 31, 2026, in an amount not to exceed $2,000,000.
DISCUSSION:
This amendment is needed in order to ensure there are funds available to pay for the integration between the CareFusion products and SMMC’s new electronic medical record (Epic). SMMC currently has three separate CareFusion products that need to be interfaced with Epic for a successful Epic go-live, one for Pyxis Medstations, one for Diversion prevention software, and one for Inventory Logistics. The current amendment addresses all three interfaces.
County Attorney has reviewed and approved the resolution and amendment as to form.
The resolution contains the County’s standard provisions allowing amendment of the County fiscal obligations by a maximum of $25,000 (in aggregate).
It is anticipated that the percentage of record keeping accuracy for controlled substances will be 100%.
PERFORMANCE MEASURE:
|
Measure |
FY 2023-24 Estimated |
FY 2024-25 Projected |
|
Percentage of record keeping accuracy for controlled substances |
100% |
100% |
FISCAL IMPACT:
The term of the amended agreement is September 15, 2020, through October 31, 2026. The amendment increases the amount payable under the agreement by $80,000 to an amount not to exceed $2,080,000 for the six-year term. Funds in the amount of $20,000 are included in the SMMC FY 2023-24 Adopted Budget. Funds in the amount of $20,000 are included in the SMMC FY 2024-25 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 is covered by the County’s General Fund contribution to SMMC and is within the existing annual appropriation.