REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
January 11, 2022
FROM
WILLIAM L. GILBERT, Director, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to Agreement with 3M Health Information Systems, Inc. to Replace a Medical Coding Software License
End
RECOMMENDATION(S)
Recommendation
1. Approve Amendment No. 3 to Software License and Services Agreement No. 17-913 with 3M Health Information Systems, Inc., to update the Statement of Work to replace a medical coding software license, with no change to the total contract amount of $3,926,129, and no change to the contract period of December 30, 2017 through December 29, 2022.
2. Direct the Clerk of the Board to maintain confidentiality of Amendment No. 3 to the Agreement referenced in Recommendation No. 1 in compliance with the confidentiality provision.
(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 this recommendation will not result in the use of Discretionary General Funding (Net County Cost) as the amendment is non-financial in nature.
BACKGROUND INFORMATION
Approval of this Amendment will revise the Statement of Work to incorporate the use of the CDI Engage One software program. The CDI Engage One software program provides doctors with computer assisted documentation functionalities. It is completely integrated into the physician’s clinical documentation process and enables doctors to receive real-time feedback based on their clinical notes. These notes are created using templates, typing or by using speech recognition. The CDI Engage One software program will integrate into the Epic Electronic Health Records system allowing Arrowhead Regional Medical Center (ARMC) to enhance and improve the coding and clinical documentation initiatives of the hospital. Currently, ARMC’s Health Information Management Department employs coders who are responsible for reviewing and coding patient medical records throughout the facility and has historically used medical/clinical coding software to assist staff with assigning the diagnosis codes. The use of CDI Engage One software will improve the Health Information Management Department’s process by increasing both coding and documentation accuracy.
On December 19, 2017 (Item No. 9), as the result of a competitive process, the Board of Supervisors (Board) approved Agreement No. 17-913 with 3M Health Information Systems, Inc., in the amount of $3,620,171, for automated medical records coding at ARMC, for the period of December 30, 2017 through December 29, 2022, with the option to extend two additional years.
On February 11, 2020 (Item No. 13), the Board approved Amendment No. 1 to Software License and Services Agreement No. 17-913 with 3M Health Information Systems, Inc., to increase the contract amount by $305,958 from $3,620,171 to $3,926,129, for use of automated medical records coding services within the new Electronic Health Records System at Arrowhead Regional Medical Center, with no change to the contract period of December 30, 2017 through December 29, 2022.
On May 4, 2021 (Item No. 10), the Board approved Amendment No. 2 to Software License and Services Agreement No. 17-913 with 3M Health Information Systems, Inc., to replace medical coding software licensing, with no change to the contract amount of $3,926,129, and contract period of December 30, 2017 through December 29, 2022.
In accordance with the original agreement, 3M has requested that Amendment No. 3 be held confidential based on Section 4 of the agreement.
ARMC recommends approval of Amendment No. 3 to the Agreement with 3M to ensure ARMC will meet regulatory requirements of a complete and accurate record for accreditation and licensing purposes. In addition, this will ensure ARMC meets the County and Chief Executive Officer goal and objective to provide for the safety, health and social service needs of County residents through accurate medical records.
PROCUREMENT
Agreement No. 17-913 with 3M Health Information Systems, Inc. was the result of a competitive procurement.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Bonnie Uphold, Deputy County Counsel, 387-5455) on October 13, 2021; ARMC Finance (Chen Wu, Finance and Budget Officer, 580-3165) on November 9, 2021; Finance (Yael Verduzco, Administrative Analyst, 387-5285) on December 15, 2021; and County Finance and Administration (Diana Atkeson, Deputy Executive Officer, 387-5423) on December 15, 2021.