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 Philips Healthcare to Provide Support and Maintenance Services
RECOMMENDATION:
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Adopt a resolution authorizing an agreement with Philips Healthcare to provide support and maintenance services for the term of April 30, 2022, through April 29, 2026, in an amount not to exceed $208,512.
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BACKGROUND:
County Procurement originally entered into an agreement on behalf of San Mateo Medical Center (SMMC) with Philips Healthcare (Philips) on December 24, 2018, to provide support and maintenance services of its ProxiDiagnost N90 for the term of April 30, 2022, through April 29, 2026, in an amount not to exceed $208,512.
DISCUSSION:
Through recent inquiries from our Controller’s Office, SMMC has learned that it must now enter into a County service agreement for software subscriptions or licenses.
The Philips ProxiDiagnost N90 (ProxiDiagnost N90) is a multifunctional fluoroscopy system used in medical imaging. The ProxiDiagnost N90 provides high-quality, real-time X-ray imaging to assist in diagnosing and guiding minimally invasive procedures. The ProxiDiagnost N90 combines fluoroscopy and radiography capabilities, enabling a wide range of exams such as gastrointestinal studies, interventional procedures, and orthopedic assessments. With its advanced imaging technology and user-friendly design, the ProxiDiagnost N90 enhances diagnostic accuracy and workflow efficiency in clinical settings.
The proposed agreement was sourced through the County’s group purchasing organization, Vizient, to obtain favorable pricing terms. SMMC is requesting this Board waive competitive procurement requirements under County Administrative Memorandum B-1 exemption stated in Section IV.,B.,6., “Maintenance agreements for $200,000 or less per year, provided by the original seller, for equipment under documented warranty”. The County will also continue to benefit from favorable pricing terms through Vizient.
The agreement is going to this Board late due to the transition of these types of purchases sourced through the County’s group purchasing organization, Vizient, to a service agreement.
County Attorney has reviewed and approved the resolution and agreement 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).
The County’s Contract Compliance Committee has approved a waiver request for a four-year term for this agreement.
It is anticipated that Philips Healthcare will provide support and maintenance to its ProxiDiagnost N90 100% of the time.
PERFORMANCE MEASURE:
|
Measure |
FY 2023-24 Actual |
FY 2024-25 Estimated |
|
Percentage of time Philips Healthcare will provide support and maintenance to its ProxiDiagnost N90 |
100% |
100% |
EQUITY IMPACT:
The utilization of ProxiDiagnost N90 ensures continued equitable health outcomes for the SMMC patients by providing a multifunctional fluoroscopy system to SMMC medical staff. The access to this a multifunctional fluoroscopy system is utilized by the patient care teams to provide the necessary care for all of SMMC’s patient population. This continued service will positively impact equitable health outcomes because delivery of healthcare at SMMC, a public safety net hospital, addresses community need. Specifically, in the past 12 months, 68.3% of SMMC’s patients were enrolled in Medi-Cal with an additional 6.1% of SMMC’s patients enrolled in the Access to Care for Everyone (ACE) program. SMMC’s patients span a wide spectrum of races, ethnicities, gender, and gender-identities.
FISCAL IMPACT:
The term of the agreement is April 30, 2022, through April 29, 2026. The amount of the agreement is not to exceed $208,512 for the four-year term. Funds in the amount of $52,128 are included in the SMMC FY 2024-25 Recommended Budget. Funds in the amount of $43,440 will be included in the SMMC FY 2025-26 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 and is within the existing annual appropriation.