REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
June 25, 2024
FROM
ANDREW GOLDFRACH, ARMC Chief Executive Officer, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to Contract with Agiliti Imaging, Inc. for Preventative Maintenance and Service of Medical Imaging Equipment
End
RECOMMENDATION(S)
Recommendation
Approve Amendment No. 6 to Contract No. 20-99 with Agiliti Imaging, Inc. for the preventative maintenance and service of medical imaging equipment, to update Agiliti Imaging, Inc.’s legal name to Agiliti Health, Inc., with no change to the total contract amount of $3,267,216 or the contract term of May 1, 2020 through April 30, 2025.
(Presenter: Andrew Goldfrach, ARMC Chief Executive Officer, 580-6150)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The cost of $3,267,216 is funded by the State Medi-Cal, Federal Medicare, private insurances, and other departmental revenue. Funding sources may change in the future pending any legislative activity related to the repeal and/or replacement of the Affordable Care Act. Adequate appropriation and revenue have been included in the Arrowhead Regional Medical Center (ARMC) 2023-24 budget and is included in 2024-25 budget.
BACKGROUND INFORMATION
On April 1, 2024, Agiliti Imaging, Inc. merged with Agiliti Health, Inc. Agiliti Health, Inc. is the surviving company of the merger. As a result of the merger, the amendment will update the contractor’s name from Agiliti Imaging, Inc. (Agiliti Imaging) to Agiliti Health, Inc. (Agiliti Health) and allow ARMC to continue receiving preventative maintenance and service of medical imaging equipment to ensure the equipment remains functional and has minimal downtime due to equipment failure to avoid delays in critical patient care. The medical imaging equipment is used to help diagnose diseases and guide physicians during certain treatment procedures.
On March 10, 2020 (Item No. 9), the Board of Supervisors (Board) approved Service Agreement No. 20-99 with Agiliti Imaging, Inc. for maintenance of medical imaging equipment in the amount of $3,338,250 for the five-year period of May 1, 2020 through April 30, 2025.
On June 2, 2020 (Item No. 7), the Board approved Amendment No. 1 to Contract No. 20-99 with Agiliti Imaging to add additional equipment for service and to increase the contract amount by $189,000, from $3,338,250 to $3,527,250, with no change to the contract term of May 1, 2020 through April 30, 2025.
On August 25, 2020 (Item No. 12), the Board approved Amendment No. 2 to Contract No. 20-99 with Agiliti Imaging to remove preventive maintenance service of certain equipment and decrease the contract amount by $241,775, from $3,527,250 to $3,285,475, with no change to the contract term.
On April 25, 2023 (Item No. 14), the Board approved Amendment No. 3 to Contract No. 20-99 with Agiliti Imaging to update the equipment list and increase the contract amount by $77,000, from $3,285,475 to $3,362,475, with no change to the contract term.
On July 11, 2023 (Item No. 9), the Board approved Amendment No. 4 to Contract No. 20-99 with Agiliti Imaging for preventative maintenance and service of medical imaging equipment, updating the equipment list and decreasing the not-to-exceed amount by $81,900, from $3,362,475 to $3,280,575, with no change to the contract term.
On December 5, 2023 (Item No. 10), the Board approved Amendment No. 5 to Contract No. 20-99 with Agiliti Imaging to update the equipment list for maintenance and service of medical imaging equipment, resulting in a decrease of $13,359, from $3,280,575 to a total contract amount of $3,267,216, with no change to the contract term.
This amendment is based on a non-competitive procurement approved by the Purchasing Department as Agiliti Health has specialized expertise/training. Agiliti Health is the only local vendor that can respond within two hours of equipment breaking down in order to provide maintenance and parts for each of the units specified in the contract. Agiliti Health also has the training and experience in servicing a variety of manufacturers and equipment models utilized by the ARMC Medical Imaging department.
The medical imaging equipment that will be serviced under this contract range in age from two to 24 years and all require regular maintenance to ensure continuous operation. The medical imaging equipment units covered under the contract are no longer supported by the manufacturer so third-party vendors must be utilized for parts and service.
ARMC recommends the approval of Amendment No. 6 to Contract No. 20-99 with Agiliti Health to provide for the safety, health and social service needs of County residents by ensuring that all medical imaging equipment remains functional and has minimal downtime due to equipment failure to avoid delays in critical patient care.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Charles Phan, Supervising Deputy County Counsel, 387-5455) on May 3, 2024; ARMC Finance (Chen Wu, Finance and Budget Officer, 580-3165) on May 31, 2024; Finance (Jenny Yang, Administrative Analyst, 387-4884) on June 4, 2024; and County Finance and Administration (Valerie Clay, Deputy Executive Officer, 387- 5423) on June 5, 2024.