REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF THE COUNTY OF SAN BERNARDINO
AND RECORD OF ACTION
July 28, 2020
FROM
WILLIAM L. GILBERT, Director, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to Physician Service Agreement with Arrowhead Family Medical Group, Inc.End
RECOMMENDATION(S)
Recommendation
Approve Amendment No. 2 to Physicians Service Agreement No. 17-881 with Arrowhead Family Medical Group, Inc., adding an additional four Primary Care Physicians, increasing the annual base amount by $1,060,000 from $4,912,980 to $5,972,980 plus variable costs, with no change to the current expiration of December 31, 2020.
(Presenter: William L. Gilbert, Director, 580-6150)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of the recommended amendment will not result in the use of Discretionary General Funding (Net County Cost). The additional cost is funded by State Medi-Cal, Federal Medicare, private insurances, and 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. Sufficient appropriation and revenue are included in the Arrowhead Regional Medical Center (ARMC) 2020-21 budget.
BACKGROUND INFORMATION
ARMC provides medical care and education programs for the hospital and the Family Health Clinics (FHCs) through physician service agreements with various medical corporations. These medical corporations provide highly and technically skilled, licensed physicians, nurse practitioners and allied health staff to provide health care services to ARMC patients, including county inmates and juveniles. The physician service agreements provide for the safety, health and social service needs of County residents by ensuring the continued availability of appropriate and necessary health care for County residents.
On December 5, 2017 (Item No. 13), the Board of Supervisors (Board) approved Physician Service Agreement No. 17-881 (Agreement) with Arrowhead Family Medical Group, Inc. (AFMG) to provide education and medical services at ARMC. On September 10, 2019 (Item No. 20), the Board approved Amendment No. 1 with AFMG to change the compensation table to account for payment relating for the instruction of medical students.
This recommended amendment expands the number of Family Medicine Practitioners to a minimum of 34 physicians, 4 nurse practitioners, and a clinical social worker in the Family Health Centers (FHC). As each new physician is obtained, it is expected that available visits will increase by approximately 100 visits per month to the community, and each physician will assist in preparing for the expansion of the Fontana Family Health Center.
PROCUREMENT
Although the Government Code (GC) does not make exception to competitive bidding for professional physician services, GC section 31000 provides the Board of Supervisor’s with the authority to contract with and employ any persons for the furnishing of “special services.” Section 31000 authorizes a county to contract for medical services without the necessity of advertising for bids.
County Purchasing recognizes the specialized credentials and supports the non-competitive procurement for these services.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Charles Phan, Deputy County Counsel, 387-5455) on July 2, 2020; Purchasing Department (Jackie Ambrose, Lead Buyer, 387-2060) on July 2, 2020; Finance (Yael Verduzco, Administrative Analyst, 387-5285) on July 10, 2020; and County Finance and Administration (Matthew Erickson, County Chief Financial Officer, 387-5423) on July 13, 2020.