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 Agreement with Moss Adams LLP to Provide Reimbursement Related Services
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with Moss Adams LLP to provide third-party reimbursement services, extending the term through October 31, 2023, and increasing the amount by $600,000 to an amount not to exceed $1,525,000.
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BACKGROUND:
On November 6, 2018, this Board approved an agreement with Moss Adams LLP (Moss Adams) to provide reimbursement related services. Moss Adams was chosen for their in-depth expertise in hospital reimbursement regulations as a result of a Request for Proposals in July of 2018.
DISCUSSION:
San Mateo Medical Center (SMMC) has a continuing need for reimbursement services, specific to California. With federal and state experience, Moss Adams shall complete reports for federal and state filings, as well as those needed by other associations that SMMC works with. The reimbursements based on these reports account for approximately 50% of SMMC’s annual net revenue.
County Counsel has reviewed and approved the resolution and amendment 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).
The County’s Contract Compliance Committee has approved a waiver request for a five-year term for this agreement.
It is anticipated that 100% of SMMC’s required reports will be completed and filed to meet federal and state deadlines.
PERFORMANCE MEASURE:
|
Measure |
FY 2020-21 Actual |
FY 2021-22 Estimated |
|
Percentage of SMMC’s required reports that are completed and filed to meet federal and state deadlines |
100% |
100% |
FISCAL IMPACT:
The term of the amended agreement is November 1, 2018 through October 31, 2023. The amount of the agreement is not to exceed $1,525,000 for the five-year term. The amendment increases the amount payable by $600,000. Funds in the amount of $231,000 are included in the SMMC FY 2021-22 Adopted Budget. Funds in the amount of $277,000 are included in the SMMC FY 2022-23 Recommended Budget. Similar arrangements will be made for future years.
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.