To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Purchase Order with Meridian Leasing Corporation
☒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, 1) a purchase order with Meridian Leasing Corporation ("Meridian") in an amount not to exceed $107,940 to lease an Omnicell automated dispensing cabinet for the West County Detention Facility and reimburse Meridian for personal property taxes, 2) a Pricing Supplement with Omnicell, Inc. ("Omnicell") for Omnicell to provide support services for the automated dispensing cabinet, and 3) a Supplement to the Master Lease Agreement with Meridian to lease the automated dispensing cabinet for the period of November 1, 2025 through October 31, 2030.
FISCAL IMPACT:
Approval of this action will result in expenditures of up to $107,940 over a five-year period and will be funded by General Fund revenues.
BACKGROUND:
Contra Costa Regional Medical Center (CCRMC) has used Omnicell since 2005 at CCRMC and selected clinics and detention facilities. These automated dispensing cabinets (ADC) interface with the pharmacy information system. CCRMC will be leasing the Omnicell equipment through Meridian Leasing Corporation. The pharmacies have been satisfied with Meridian Leasing Corporation and wish to continue the working relationship with this company.
On May 12, 2020, the Board of Supervisors approved item C.64 to execute a master lease agreement and lease supplement with Meridian Leasing Corporation, in an amount not to exceed $3,382,011, for the lease of the Omnicell automated dispensing cabinets at CCRMC and Health Centers for the period from September 1, 2020 through August 31, 2027.
On March 25, 2025 the Board of Supervisors approved item C.68 to execute a purchase order with Meridian Leasing Corporation in an amount of $99,985 to lease an Omnicell automated dispensing cabinet for the Medical Surgery Unit at CCRMC and reimburse Meridian for personal property taxes, and a Supplemental to the Master Lease Agreement with Meridian to provide an ADC for the period of April 1, 2025 through March 31, 2030.
The Master Lease Agreement includes agreeing to limitations of liability and to indemnify, defend, and hold harmless Meridian Leasing Corporation. Additionally the Supplement to the Master Lease Agreement includes agreeing that the County will remove all passwords and patient information in compliance with the Health Insurance Portability and Accountability Act before any Equipment is removed. Meridian Leasing Corporation shall not be responsible for, and shall be held harmless from any proprietary information left on the Equipment’s hard drive by the County.
The Support Services to be provided as part of the Omnicell Pricing Supplement include the support services described in Schedule D (Support Services Schedule) of the Master Agreement ID 20857-02 between Omnicell, Inc. and Contra Costa County, dated May 23, 2024.
Approval of this request will allow Meridian Leasing Corporation to provide an ADC to the West County Detention Facility. This vendor has been approved by the Public Works Department’s Purchasing Division in accordance with Administrative Bulletin 600.3.
CONSEQUENCE OF NEGATIVE ACTION:
If this action is not approved, there will be a lack of a safe and effective medication storage and distribution system which could result in unsafe medication practices, potential costly regulatory citations or patient harm.