REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
December 16, 2025
FROM
ANDREW GOLDFRACH, ARMC Chief Executive Officer, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to Professional Service Agreement with CEP America - California for Family Medicine Services
End
RECOMMENDATION(S)
Recommendation
1. Approve Amendment No. 2 to Agreement No. 24-305 with CEP America - California, for family medicine services at Arrowhead Regional Medical Center and affiliated Family Health Centers, to increase clinical care coverage with no changes to total contract amount of $52,294,256 plus variable amounts, and with no changes to the contract term of May 1, 2024 through June 30, 2027.
2. Direct the Clerk of the Board of Supervisors to maintain the confidentiality of Amendment No. 2 to Agreement No. 24-305, pursuant to Health and Safety Code Section 1457(c)(1).
(Presenter: Andrew Goldfrach, ARMC Chief Executive Officer, 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 this item will not result in the use of Discretionary General Funding (Net County Cost). The cost of $52,294,256, plus variable costs, 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) 2025-26 recommended budget and will be included in the 2026-27 recommended budget.
BACKGROUND INFORMATION
Amendment No. 2 (Amendment) gives ARMC the ability to increase clinical coverage of family medicine physician and advanced practice professional services in the event of unexpected demand or surge of patients, upon the approval of the ARMC Chief Executive Officer.
On April 9, 2024 (Item No. 13), the Board of Supervisors (Board) approved Agreement No. 24-305 with CEP America - California (Vituity) to provide comprehensive family medicine services at ARMC in the amount of $50,974,700 plus variable costs, for the period of May 1, 2024 through June 30, 2027. These services support inpatient care, outpatient clinics, residency education and clinical oversight throughout ARMC’s family medicine program.
On September 24, 2024 (Item No.15), the Board approved Amendment No. 1 to Agreement No. 24-305, which increased the total contract amount to $52,294,256 plus variable costs and expanded program capacity by adding administrative support staff and one additional Advanced Practice Provider to strengthen daily operations and enhance patient care.
ARMC recommends approval of this Amendment to ensure effective program operations while maintaining the continued provision of high-quality care for patients throughout the County.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Charles Phan, Supervising Deputy County Counsel, 387-5455) on November 14, 2025; ARMC Finance (Chen Wu, Finance and Budget Officer, 580-3165) on November 20, 2025; and County Finance and Administration (Jenny Yang, Administrative Analyst, 387-4884) on November 25, 2025.