Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Colleen Chawla, Chief, San Mateo County Health
Chester J. Kunnappilly, MD, Chief Executive Officer, San Mateo Medical Center
Subject: Agreement with UltraEx, LLC to Provide Courier and Delivery Services
RECOMMENDATION:
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Adopt a resolution authorizing an agreement with UltraEx, LLC to provide courier and delivery services, for the term of July 1, 2025 through June 30, 2030, in an amount not to exceed $2,900,000.
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BACKGROUND:
San Mateo Medical Center (SMMC) has a continuing need for courier and delivery services to move supplies, lab specimens, and deposits to and from its offsite clinics. In addition to SMMC, two more County Health divisions, Aging & Disability Services (ADS) and Public Health Policy & Planning (PHPP), also have a need for courier and delivery services to support their operations throughout the County.
DISCUSSION:
In February 2025, SMMC completed a Request for Proposals for courier and delivery services. UltraEx, LLC was chosen based on their efficient routing solutions as well as being the most cost-effective. UltraEx, LLC will provide the County with daily prescheduled courier and delivery services of medical supplies between SMMC and its clinics in order to support uninterrupted operations as well as on-demand services not prescheduled and will invoice the County as services are rendered.
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 SMMC’s delivery needs will be met 98% of the time.
The County Attorney has reviewed and approved the resolution and agreement as to form.
PERFORMANCE MEASURE:
|
Measure |
FY 2024-25 Estimated |
FY 2025-26 Projected |
|
Percentage of time that SMMC’s delivery needs will be met |
98% |
98% |
COMMUNITY IMPACT:
This contract supports equitable public health and safety by ensuring medical supplies are delivered timely to SMMC’s offsite clinics and residents have secure delivery of laboratory tests, authorized certified and informational copies of birth and death certificates, burial permits, and medical marijuana identification cards.
FISCAL IMPACT:
The term of the agreement is July 1, 2025 through June 30, 2030. The amount of the agreement is not to exceed $2,900,000 for the five-year term. Funds in the amount of $580,000 are included in the SMMC FY 2025-26 Adopted Budget. Similar arrangements will be made for future years.
The payment provisions and levels of services in this contract differ from those of the previous contracts, due to services for two additional County Health divisions (PHPP and ADS), delivery services to enable an additional day of patient care services in Coastside Clinic, and an increase in fuel surcharge. As a result, the total value of the new contract represents a 19% increase compared to that of the previous contract.
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.
Attachment:
RFP Matrix