To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Amendment to Purchase Order with Computacenter United States Inc.
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute on behalf of the Health Services Director, an amendment to purchase order #30495 with Computacenter United States Inc. to increase the payment limit by $2,200,000, to a new amount not to exceed $3,000,000 for the purchase of data communication equipment, and extend the term through June 30, 2029.
FISCAL IMPACT:
This action will result in an additional $2,200,000 in expenditures up to $3,000,000 over a five-year period and will be funded by Hospital Enterprise Fund I revenues.
BACKGROUND:
Contra Costa Health (CCH) maintains an essential information technology infrastructure supported by Cisco and Hewlett Packard Enterprise (HPE) systems. This infrastructure is integral to the continuity of care and essential services provided throughout the County hospital, outpatient clinics, and affiliated healthcare facilities. As the EPIC electronic medical record platform and its associated applications continue to evolve, expansion and maintenance of the supporting data center infrastructure are imperative to uphold service reliability and institutional performance.
To ensure financial stewardship and procurement efficiency, CCH intends to continue utilizing cooperative purchasing agreements that afford access to competitively negotiated pricing established by the States of California and Utah. Under these agreements, Cisco equipment will be acquired through California Participating Addendum No. 7-23-70-47-01 and Utah NASPO ValuePoint Master Agreement AR3227. HPE systems will be procured via California Participating Addendum No. 7-23-70-47-04 and NASPO Agreement AR3228.
On May 21, 2024 the Board of Supervisors approved item C.25 to execute purchase order #30495 with Computacenter United States Inc. in an amount of $800,000 for the acquisition of data communication equipment for the term from July 2024 through June 30, 2027.
Approval of the current request will extend that authority through June 30, 2029, thereby enabling the department to maintain streamlined, compliant procurement practices. Continued access to these cooperative purchasing agreements is essential to support timely infrastructure enhancements and ensure the County’s healthcare operations remain resilient, secure, and responsive to future demands.
CONSEQUENCE OF NEGATIVE ACTION:
Failure to approve this action will delay CCH’s ability to acquire critical data communication equipment, potentially disrupting clinical operations, reducing system reliability, and increasing long-term costs by forfeiting access to discounted pricing through cooperative agreements. Without streamlined procurement authority, administrative inefficiencies and added burdens on staff may further compromise the delivery of patient care across the County’s health system.