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TO: BOARD OF SUPERVISORS Contra
FROM: William Walker,M.D.,Health Services Director l s Costa
A n s
By: Jacqueline Pigg, Contracts Administrator '
DATE: June 13,2006 County
SUBJECT: Approval of Contract Amendment Agreement #27-633-1 with AmeriHealth HMO, Inc. (dba
AmeriHealth Mercy Health Plan)
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND JUSTIFICATION
RECOMMENDATION(S):
Approve and authorize the Health Services Director, or his designee (Richard Harrison) to
execute on behalf of the County, Contract Amendment Agreement #27-633-1 with Amen'Health
Mercy Health Plan (dba AmeriHealth Mercy Contractor), a general partnership, effective May 20,
2006, to modify the Payment Provisions to reflect the intent of the parties with no change in the
original payment limit and with no change in the term of May 1, 2006 through April 30, 2009.
FISCAL IMPACT:
This Amendment is funded 100%by Health Plan Member Premiums.
BACKGROUND/REASON(S)FOR RECOMMENDATION(S):
On May 9, 2006, the Board of Supervisors approved Contract #27-633 with AmeriHealth Mercy
Health Plan, (dba AmeriHealth Mercy Contractor), to provide pharmacy administration services for
Contra Costa Health Plan members including, but not limited to, providing drug utilization review
and management, prior authorization procedures, account management, member pharmacy call
center, analysis and reporting services and developing partnerships with prescribers and pharmacies,
for the period from May 1, 2006 through April 30, 2009.
Upon execution of the Contract, it was the intent of the parties to include language in the Payment
Provisions to allow the County to pay a third party provider for the provision of pharmacy (drug)
cost and administrative pharmacy fees on behalf of the Contractor. Approval of this Contract
Amendment#27-633-1 will amend the Contract to modify the Payment Provisions,therefore making
the formal contract consistent with the intent of the parties and allow the Contractor to continue to
provide services through April 30,2009.
CONTINUED ON ATTACHMENT: YES SIGNATURE:4p,"t-c.
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RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE THER
t
SIGNATURE (S):`
ACTION OF BOARD N APPROVED AS RECOMMENDED OTHER
VOTKDF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE
AND CORRECT COPY OF AN ACTION TAKEN
UNANIMOUS (ABSENT AND ENTERED ON THE MINUTES OF THE BOARD
AYES: NOES: OF SUPERVISORS ON THE DATE SHOWN.
ABSENT: ABSTAIN:
ATTESTED
JOHN CULLEN, CLERK F THE BOARD OF
Contact Person: Richard Harrison(313-6008) SUPERVISORS AND COUNTY ADMINISTRATOR
CC: Health Services Department (Contracts)
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