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File #: 21-348    Version: 1 Name:
Type: Resolution Status: Passed
File created: 4/7/2021 Departments: HEALTH
On agenda: 5/4/2021 Final action: 5/4/2021
Title: Adopt a resolution authorizing an amendment to the Operations Management Agreement II with Brius, LLC relating to the operation of Burlingame Skilled Nursing for the term of October 1, 2020 through September 30, 2025.
Attachments: 1. 20210504_r_Brius, LLC, 2. 20210504_a_Brius, LLC
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: Amendment to the Operations Management Agreement II with Brius, LLC

RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the Operations Management Agreement II with Brius, LLC relating to the operation of Burlingame Skilled Nursing for the term of October 1, 2020 through September 30, 2025.

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BACKGROUND:
In July 2012, San Mateo County Health entered into an Operations Management Agreement (Original Agreement) with Brius, LLC (Brius) to manage the Burlingame Long Term Care facility, a skilled nursing facility now known as Burlingame Skilled Nursing (Facility), on behalf of San Mateo Medical Center (SMMC). The County had previously entered into a lease agreement for the Facility and had been operating the Facility at a loss of revenue. The Original Agreement with Brius allowed for the operation of the Facility under SMMC's license, preserving 281 skilled nursing beds devoted to Medi-Cal beneficiaries in the County, as well as many union jobs. Brius has performed well under the Original Agreement: the quality of patient care as rated by external auditors has improved and patients move smoothly from SMMC to the Facility.

The Original Agreement expired on September 30, 2020 and the parties entered into the Operations Management Agreement II (New Agreement) for the term of October 1, 2020 through September 30, 2025 to ensure the highest level of patient care.

DISCUSSION:
Under the terms of the New Agreement, Brius agreed it owed certain amounts under the Original Agreement, referred to as "Rent Refund," "Old Accounts Receivable," and "Additional Accounts Receivable," but did not agree with the amount specified by SMMC. The parties agreed to meet and confer in good faith to come to agreemen...

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