To:                                          Board of Supervisors
From:                                          Dr. Grant Colfax, Health Services Director
Report Title:                     Contract Amendment #26-338-31 with American Red Cross
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee

 
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract Amendment (Addendum #2) #26-338-31 with American Red Cross, a non-profit corporation, to amend Contract #26-338-29 (as amended by Contract Amendment Addendum #1, #26-338-30), effective July 1, 2025, to provide additional total blood and blood component products and associated services for patients at the Contra Costa Regional Medical Center (CCRMC) and Contra Costa Health Centers with no change in the payment limit of $2,000,000 or term ending June 30, 2027.
 
FISCAL IMPACT:
This Contract Amendment will result in no change in the original budgeted expenditure of up to $2,000,000 and is funded 100% by Hospital Enterprise Fund I revenues. (Additional rates)
 
BACKGROUND:
CCRMC has been contracting with the American Red Cross since 1998 for their expertise in providing total blood and blood component products and associated services as needed for patients at CCRMC and Contra Costa Health Centers. These contracted services were determined to be exempt from Administrative Bulletin 600.3 solicitation requirements by the Public Works Department’s Purchasing Division.
 
On June 25, 2024, the Board of Supervisors approved Contract #26-338-29 with American Red Cross, in an amount not to exceed $2,000,000 for the provision of total blood and blood component products and services associated as needed for CCRMC and Contra Costa Heath Center patients for the period July 1, 2024 through June 30, 2027. This Agreement includes a mutual indemnification provision that requires each Party to defend, hold harmless and indemnify the other party against any legal liability (including reasonable attorneys' fees) with respect to bodily injury, death, and property damage arising from the negligent acts or omissions of the indemnifying party. This Agreement also requires that the County indemnify the Contractor for any loss arising from the County’s use of inappropriate tubes in collection and/or supply of blood samples. Lastly, the Agreement requires that the parties resolve disputes arising out of the Agreement through arbitration.
 
On March 25, 2025, the Board of Supervisors approved Contract Amendment #26-338-30 with American Red Cross, effective March 1, 2025, to include rates for total blood and blood component products and associated services as needed for CCRMC and Contra Costa Heath Center patients with no change in the payment limit $2,000,000 or term ending June 30, 2027. 
 
Approval of Contract Amendment #26-338-31 will allow the Contractor to provide additional blood services through June 30, 2027. The delay of this amendment was due to ongoing negotiations with the Division and Contractor.
 
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract Amendment is not approved, Contractor will not be able to provide additional blood services benefiting patients at CCRMC and Contra Costa Health Centers.