Special Notice / Hearing: None
Vote Required: Majority
To: Honorable Board of Supervisors
From: Louise F. Rogers, Chief, San Mateo County Health
David McGrew, Interim Chief Information Officer, San Mateo County Health
Subject: Amendment to the Agreement with NextGen Healthcare Inc. to Extend the Health Information Exchange Software as a Services Subscription.
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with NextGen Healthcare Inc. to extend the Health Information Exchange Software as a Service Subscription, by increasing the amount of the agreement by $854,428 to an amount not to exceed $5,121,710.
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BACKGROUND:
Since 2014, San Mateo County Health (SMCH) has been working to address client safety issues related to the accessibility of patient information at the point of service. SMCH outlined a path to improve the exchange of health information beyond the primary Electronic Health Record (EHR) that County Health providers utilize. The Health Information Technology division issued a Request for Proposals (RFP) for Health Information Exchange (HIE) services in October 2015 and selected Quality Systems, Inc. to provide the services.
In March 2017, this Board approved an agreement with Quality Systems, Inc. to provide HIE services to SMCH for the term of March 28, 2017, through March 27, 2022, in an amount not to exceed $3,070,644.
In February 2019, the Chief Information Officer of SMCH approved an amendment to change Contractor’s name from Quality Systems, Inc. to NextGen Healthcare Inc. (NextGen) effective September 6, 2018, and acquire perpetual licenses and support for NextGen’s Mirth Connect applications. The agreement was subsequently amended to update payment terms, add Disentanglement terms, and extend the term through June 30, 2023, to an amount not to exceed $3,565,829. On June 13, 2023, the agreement was amended to extend the term through June 30, 2025, at an increase of $701,435.
In February 2024, Health IT released an RFP to replace the existing HIE solution.
DISCUSSION:
SMCH is now requesting this Board’s approval to increase the amount of the agreement by $854,428 for a one-year extension of NextGen’s HIE Software as a Services Subscription. This extension would allow time for SMCH to review the HIE RFP proposals, select a vendor, negotiate a contract, and implement the solution aligned with the implementation of Epic Systems across County Health’s clinical service divisions. The one-year extension will allow SMCH to remain compliant with data sharing regulations without interruption.
County Health requests this Board to waive the RFP process to allow NextGen to continue to provide its proprietary services during this 12-month extension.
The amendment and resolution have been reviewed and approved by County Attorney as to form.
The County’s Contract Compliance Committee has approved a waiver request for a nine-year term for this agreement.
The Information Services Department has reviewed and approved the IT component of this agreement.
The resolution contains the County’s standard provisions allowing amendment of the County’s fiscal obligations by a maximum of $25,000 (in aggregate).
It is anticipated that by continuing to contract with NextGen, EHR records will be available to all members of a patient/client’s care team via the HIE 100% of the time.
PERFORMANCE MEASURE:
Measure |
FY 2023-24 Estimated |
FY 2024-25 Projected |
Percentage of time EHR records are available to all members of a patient/client care team via the HIE. |
95% |
98% |
FISCAL IMPACT:
The term of this amended agreement is from March 28, 2017, through June 30, 2025. This amendment increases the amount of the agreement by $854,428 to an amount not to exceed $5,121,710 for the 99-month term.
Funds in the amount of $854,428 are included in County Health’s FY2024-2025 Recommended Budget and funds. Future costs will be covered by proportional contributions from all County Health divisions, which may include some Net County Cost, depending on the composition of each division’s contribution.