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 Gaurav Abbi, MD, A Professional Corporation, to Provide Orthopedic Services
RECOMMENDATION:
title
Adopt a resolution authorizing an agreement with Gaurav Abbi, MD, A Professional Corporation, to provide orthopedic services for the term of October 1, 2020 through September 30, 2022, for an amount not to exceed $430,000.
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BACKGROUND:
Dr. Gaurav Abbi has been providing orthopedic services to patients at San Mateo Medical Center (SMMC) since September 2016 and has expressed interest in continuing to provide those services.
DISCUSSION:
As the County’s need for orthopedic services continues to increase; SMMC plans to meet this need through contracts with Dr. Gaurav Abbi and other orthopedists. Dr. Abbi will continue to provide the same level of services as stated in his previous agreement with the County.
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 County Counsel 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 Dr. Abbi will produce a projected volume of 2,192 Relative Value Units (RVUs) per annum.
PERFORMANCE MEASURE:
Measure |
FY 2020-21 Estimated |
FY 2021-22 Projected |
Projected volume of RVUs per annum |
2,192 |
2,192 |
FISCAL IMPACT:
The term of the agreement is October 1, 2020 through September 30, 2022. The amount of the agreement is not to exceed $430,000 for the two-year term. Funds in the amount of $215,000 are included in the SMMC FY 2020-21 Recommended Budget. Funds in the amount of $215,000 are included in the SMMC FY 2021-22 Recommended Budget. Similar arrangements will be made for future years.
The payment provisions have increased from previous agreements because the Medical Group Management Association (MGMA) Provider Compensation and Production Report for orthopedic surgery increased from 2018 to 2019. MGMA is the data tool SMMC uses to benchmark its contracted provider rates. For Dr. Abbi’s contract, monthly compensation has increased by 2% and compensation for additional surgical procedures has increased by 7%, per MGMA.
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.