REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
September 22, 2026
FROM
ANDREW GOLDFRACH, ARMC Chief Executive Officer, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to Hospital Per Diem Agreement with Inland Empire Health Plan for Compensation and Reimbursement Rates
End
RECOMMENDATION(S)
Recommendation
1. Approve Amendment No. 21 to Hospital Per Diem Agreement No. 20-887 with Inland Empire Health Plan, to update compensation and reimbursement rates for services provided to Inland Empire Health Plan members, with no change to the agreement term of October 1, 2020 through December 31, 2026.
2. Direct the Clerk of the Board of Supervisors to maintain confidentiality of the Amendment 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
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). Costs associated with providing eligible services to Inland Empire Health Plan (IEHP) members will be funded through reimbursement from IEHP, pursuant to Agreement No. 20-887. Adequate appropriation and revenue have been included in the Arrowhead Regional Medical Center (ARMC) 2026-27 budget.
BACKGROUND INFORMATION
On September 15, 2020 (Item No. 15), the Board of Supervisors (Board) approved Agreement No. 20-887 (Agreement) with IEHP to provide reimbursement for medical services rendered by ARMC to IEHP members for the period of October 1, 2020 through September 30, 2023. Twenty amendments have since been entered into relating to the Agreement to allow ARMC to receive supplemental payments for Medi-Cal managed care capitation rate range increases, update program eligibility, amend compensation and reimbursement rates, enable participation in various incentive programs, and extend the term of the Agreement through December 31, 2026.
On September 1, 2026 (Item No. 13), the Board approved Amendment No. 20 to the Agreement No. 20-887 with IEHP to add reimbursement provisions for Community Health Worker services, effective September 1, 2026, with no change to the contract term of October 1, 2020 through December 31, 2026.
Approval of Amendment No. 21 (Amendment) effective September 1, 2026, will update compensation and reimbursement provisions for services provided by ARMC to IEHP members. The Amendment updates reimbursement rates and terms for Medi-Cal, Medicare DualChoice, behavioral health, and Community Health Worker services; updates billing and reimbursement requirements for certain Medi-Cal drugs; and adds a separate compensation schedule for Covered California services.
The updated compensation schedules provide reimbursement for inpatient and outpatient hospital services, including emergency room, outpatient surgical, laboratory and pathology, diagnostic imaging, pharmaceutical, behavioral health, and other covered services. The new Covered California compensation schedule includes inpatient, outpatient, behavioral health, and substance use services provided to IEHP Covered California members.
Pursuant to Health and Safety Code section 1457(c)(1), records that reflect specific terms related to the rates of payment for health care services are not immediately subject to laws related to public records; therefore, the Clerk of the Board is directed to maintain confidentiality of the Amendment.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Charles Phan, Supervising Deputy County Counsel, 387-5455) on August 26, 2026; ARMC Finance (Chen Wu, Finance and Budget Officer, 580-3165) on August 31, 2026; and County Finance and Administration (Jenny Yang, Administrative Analyst, 387-4884) on August 31, 2026.