To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Rescind Prior Board Action Pertaining to Contracted Services with Agfa Healthcare Corporation
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
RESCIND Board action of October 12, 2021 (C.35), which pertained to a contract with Agfa Healthcare Corporation; and APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #23-704 with Agfa Healthcare Corporatoin, a corporation, in an amount not to exceed $4,282,363, to provide imaging technology services to Contra Costa Health (CCH), for the period June 1, 2023 through May 31, 2028.
FISCAL IMPACT:
Approval of this contract will result in expenditures of up to $4,282,363 over a five-year period and is funded by 100% Hospital Enterprise Fund I.
BACKGROUND:
This Contract meets the needs of the County's patient population by providing a radiology imaging system. CCH Radiology Department provides, reads, interprets, and maintains radiology exams for its patients. To deliver this care, CCH's Radiology Department has been using the Agfa IMPAX radiology imaging system since 2006 and upgraded the system in 2012. The system reached its end of useful life in December 2016 and required replacement. In 2017, and 2018 CCH conducted a search and evaluation of potential replacements for the outdated system. In addition to considering upgrading Agfa's IMPAX radiology imaging system to the latest version, CCH evaluated Fujifilm and Philips, and Picture Archiving and Communications Systems (PACS). Of these solutions, considered top tier, CCH Radiologists chose Agfa's Enterprise Imaging Software system to replace the existing radiology imaging system. Agfa Healthcare Corporation's Enterprise Imaging Software services, including Agfa Patching and Endpoint Managed Services, are used to assist CCH in delivering services such as radiology exams and breast imaging exams. Agfa's Radiology PACS benefits physicians, radiologists, and CCH clinics in the course of patient care. Under this Contract, the Radiology PACS replacement system will be implemented and includes Enterprise Imaging production software, test licenses, third-party software, data migration, and hardware.
Under this new Contract #23-704, contractor will provide radiology imaging technology services for the period June 1, 2023 through May 31, 2028.
The terms of the agreement obligate the County to indemnify AGFA for: (1) claims arising as a result of County’s modification of the equipment or software; (2) taxes that are payable by County; and (3) County’s use of the software in a manner not authorized by the agreement. AGFA’s liability to County for damages is limited to the amount paid by County in the 12-month period preceding the claim, excluding claims for personal injury, property damage and death.
County may terminate the agreement before its expiration for an uncured breach by AGFA, and in the event County does not appropriate funds for the payment of a computerized radiology imaging system in any fiscal year.
On October 12, 2021 (C.35) the Board of Supervisors approved Contract #23-704 with Agfa Healthcare Corporation's, in an amount not to exceed $4,282,363 for imaging technology services for CCH, for the period October 5, 2021, through October 4, 2026, however, the dates on the staff report misaligned with the final execution of agreement. Per the agreement, the term of this Contract begins on the Effective Date, November 30, 2021, and shall continue for a five (5) year period from the Commencement Date, June 1, 2023, unless earlier terminated per the terms of the agreement.
This Staff Report will rescind the prior Board action and allow the Department to clarify the Contract Effective Date of November 30, 2021, with term beginning June 1, 2023, through May 31, 2028.
CONSEQUENCE OF NEGATIVE ACTION:
If the recommendation is not approved, the prior incorrect Board action will stand and the Contract term will not match the contract terms or reflect the intent of the parties, and the County will be unable to process the remainder of invoices due under the contract.