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 MedOnc, Inc. to Provide Hematology and Oncology Services
RECOMMENDATION:
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Adopt a resolution authorizing an agreement with MedOnc, Inc. to provide hematology and oncology services for the term of October 1, 2022, through September 30, 2025, in an amount not to exceed $1,922,916.
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BACKGROUND:
San Mateo County is responsible for providing necessary medical care to its medically indigent population. Since 2019, Teja Bedi Inc. dba MedOnc, Inc. (MedOnc) has provided hematology and oncology services for San Mateo Medical Center (SMMC). This includes services for oncology disorders and the management and supervision of those services. The County’s need for these services is increasing due to the aging of its patient population.
DISCUSSION:
Dr. Bedi, through her professional corporation, MedOnc, will continue to provide inpatient hematology and oncology consults, in addition to clinical services and clinical management of the infusion center, thus improving referral pathways from primary care to specialists. Dr. Bedi will also serve as the Medical Director of Hematology and Oncology and will provide call coverage. Under this agreement, MedOnc has agreed to provide a minimum of 480 clinics per year.
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 (in aggregate).
It is anticipated that at least 70% of patients who complete the Patient Satisfaction Survey would recommend Dr. Bedi as a provider.
PERFORMANCE MEASURE:
|
Measure |
FY 2022-23 Estimated |
FY 2023-24 Projected |
|
Percentage of patients who complete the Patient Satisfaction Survey that would recommend Dr. Bedi as a provider |
>70% |
>70% |
FISCAL IMPACT:
The term of the agreement is October 1, 2022, through September 30, 2025. The amount of the agreement is not to exceed $1,922,916 for the three-year term. Funds in the amount of $480,729 are included in the SMMC FY 2022-23 Adopted Budget. Funds in the amount of $640,972 are included in the SMMC FY 2023-24 Recommended Budget.
The payment provisions and levels of services in this contract differ from that of the previous contract. Specifically, there is a 13% increase compared to that of the previous agreement due to an increase in compensation listed in the 2021 data for Oncology/Hematology from Medical Group Management Association, which SMMC uses to benchmark its contracted provider compensation and productivity.
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.