Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Louise F. Rogers, Chief, Health System
Chester J. Kunnappilly, MD, Chief Executive Officer, San Mateo Medical Center
Subject: Amendment to the Agreement with Sentry Data Systems, Inc. to Process 340B Pharmacy Claims
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with Sentry Data Systems, Inc. to continue processing 340B claims, extending the term through October 31, 2019 and increasing the amount by $400,000, in an amount not to exceed $2,460,000.
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BACKGROUND:
In May 2012, San Mateo Medical Center (SMMC) completed a Request for Proposals (RFP) and Sentry Data Systems, Inc. (Sentry) Sentrex software was chosen to process 340B claims for prescriptions filled at third-party pharmacies. In May 2013, SMMC requested a waiver of the RFP process to use Sentry's Sentinel RCM software application. Your Board approved an agreement with Sentry to assist SMMC's pharmacy in complying with the Federal regulations for 340B prescriptions dispensed by the hospital.
DISCUSSION:
SMMC is requesting your Board approve an extension of the agreement through October 31, 2019, with an associated increase in funding for the same level of service. The extension will allow SMMC time to schedule an information technology review, complete an RFP, and execute a new agreement. In the interim, it is imperative that SMMC continues to use Sentry's services to process its 340B claims in order to remain compliant with Federal regulations and allow SMMC's continued participation in the 340B drug program. In addition, this amendment terminates the use of vendor's Sentinel RCM module for an annual cost savings of $18,000.
The agreement and resolution have been reviewed and approved by County Counsel as to form.
The Information Services Department has reviewed and approved this agreement.
The County's Contract Compliance Committee ha...
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