HomeMy WebLinkAboutMINUTES - 10122010 - C.40RECOMMENDATION(S):
Approve and authorize the Purchasing Agent, on behalf of the Health Services Department,
to:
1. Execute a Change Order to Purchase Order #17779 with Professional Hospital Supply
covering the period 8/01/07 through 7/31/10 to extend the term through 9/30/10 and add
$5,100,000 for a new total of $20,100,000; and
2. Execute a new Purchase Order with Professional Hospital Supply covering the period
10/01/10 through 9/30/13 in the amount of $19,500,000.
FISCAL IMPACT:
Total 2010/11 cost of $6,500,000 is budgeted in Enterprise Fund I.
BACKGROUND:
Professional Hospital
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 10/12/2010 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I
Supervisor
Gayle B. Uilkema, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Susan A. Bonilla, District IV
Supervisor
Federal D. Glover, District V
Supervisor
Contact: Anna Roth, 370-5101
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: October 12, 2010
David J. Twa, County Administrator and Clerk of the Board of Supervisors
By: KATHERINE SINCLAIR, Deputy
cc: Tasha Scott, Barbara Borbon, Margaret Harris
C.40
To:Board of Supervisors
From:William Walker, M.D., Health Services Director
Date:October 12, 2010
Contra
Costa
County
Subject:Execute change and new PO with Professional Hospital Supply
BACKGROUND: (CONT'D)
Supply Corporation (PHS) has been the hospital’s primary supplier of disposable medical
supplies (e.g., sutures, dressings, custom sterile surgical packs, IV fluids, gloves, Foley
catheters, etc.) since it opened in 1997. PHS is the only hospital supply company in
California that offers a full exchange cart delivery methodology to its customers. CCRMC,
because of its lack of storage space within the hospital and its sustained high patient
volume, must employ such a delivery construct.
The full exchange cart program operates as follows:
On each service line unit in the hospital (e.g., ICU, Surgery, ER, Nursing Floors, Lab,
Radiology, etc.) there exists a supply cart. There are currently 79 carts in all. Each one of
these carts contains enough inventories of supplies to meet the supply requirements of that
unit for two days. In addition to the carts, PHS replenishes 10 supply drawers in the
hospital’s Emergency Room and 162 additional supply trays located at various Ambulatory
Care Clinics throughout the County.
Operating under the full exchange cart system construct, the supplies stored on each of the
carts are depleted throughout the day. Each night, the partially depleted carts are removed
from the hospital by PHS employees and replaced with full carts. The partially empty carts
are loaded onto PHS trucks. The trucks then return to the PHS warehouse where a dedicated
full exchange cart crew restocks them to their full capacity and returns them the next night.
This replacement cycle continues, 7 days a week, 52 weeks a year.
In addition to the hospital, PHS replicates this service for several of our clinics throughout
the County. These locations include Martinez Health Center, Pittsburg Health Center,
Richmond Health Center, and the Concord and Brentwood clinics.
PHS is also a member of Novation, the group purchasing organization (GPO) to which the
hospital belongs. Group purchasing organizations combine the volumes of multiple member
healthcare organizations and use that volume to leverage the highest possible discounts from
suppliers. By purchasing from suppliers who belong to Novation, the hospital is assured of
receiving the best pricing available.
CONSEQUENCE OF NEGATIVE ACTION:
If this contract is not approved, necessary medical supplies including sutures, dresssings,
sterile surgcal paacks, IV fluuids, gove, catherters, etc would not be available for patients
requiring medical services at Contra Costa Regional Medical and Contra Costa Health
Centers.
CHILDREN'S IMPACT STATEMENT:
Not applicable.