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 Sonrisas Dental Health, Inc. to Provide Dental Health Services
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with Sonrisas Dental Health, Inc. to provide dental health services, increasing the amount by $800,000 to a new maximum amount not to exceed $1,800,000 with no change to the agreement term.
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BACKGROUND:
San Mateo Medical Center (SMMC) provides dental services to the County’s safety net population, some of whom have insurance coverage, such as Medicare and Medi-Cal, and some of whom are uninsured. SMMC’s clinics provide approximately 20,000 dental visits annually. However, there are approximately 3,000 individuals currently waiting for a dental appointment and an undetermined number of individuals seeking dental care who are not yet on the waitlist.
On August 22, 2022, this Board approved an agreement with Sonrisas Dental Health, Inc. (Sonrisas) to provide dental health services for the term of September 1, 2022, through August 31, 2025, in an amount not to exceed $1,000,000.
DISCUSSION:
The current contract includes a provision for both parties to review reimbursement rates on an annual basis and adjust the rates based on updated inflationary factors or other rate adjustment factors. This amendment reflects adjustments based on new information. An analysis of Fair Market Value data was considered in the determination of the rate of compensation for the contracted dental services.
Additionally, Sonrisas is serving more SMMC patients than originally projected and this amendment provides additional funding to reimburse Sonrisas for their services.
County Attorney 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).
It is anticipated that SMMC’s waitlist for dental services will be reduced by 10%.
PERFORMANCE MEASURE:
|
Measure |
FY 2023-24 Estimated |
FY 2023-24 Projected |
|
Percent reduction in SMMC’s dental waitlist |
10% |
10% |
FISCAL IMPACT:
The term of the amended agreement is September 1, 2022, through August 31, 2025. The amendment increases the amount payable under the agreement by $800,000 to and amount not to exceed $1,800,000 for the three-year term. Funds in the amount of $114,000 are included in the SMMC FY 2023-24 Adopted Budget. Funds in the amount of $343,000 are included in the SMMC FY 2024-25 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.