To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Cancellation Agreement #76-727-8 and Contract #76-727-9 with
Benjamin Rayikanti, MD, Inc.
☒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, as follows: (1) Cancellation Agreement #76-727-8 with Benjamin Rayikanti, MD, Inc, a corporation, effective at the end of business on April 30, 2026; and Contract #76-727-9 with Benjamin Rayikanti, MD, Inc., a corporation , in an amount not to exceed $1,440,000, to provide anesthesiology services at Contra Costa Regional Medical Center (CCRMC) and Contra Costa Health Centers, for the period May 1, 2026 through April 30, 2029.
FISCAL IMPACT:
Approval of this Contract will result in contractual service expenditures of up to $1,440,000 over a three-year period and will be funded 100% by Hospital Enterprise Fund I.
BACKGROUND:
Due to the limited number of specialty providers available within the community, CCRMC and Contra Costa Health Centers relies on Contractors to provide necessary specialty health services to its patients. The county has been contracting with Benjamin Rayikanti, MD, Inc., since April 2021 to provide anesthesiology services including, but not limited to: anesthesiology clinic services, inpatient consultation, training, medical/surgical procedures and on-call services.
This Contract is entered into under and subject to the following legal authorities: California Government Code §§ 26227 and 31000; Health and Safety Code § 1451. Health Services Personnel approved this Contract to ensure no conflicts with labor relations. CCRMC’s Quality Management, Utilization Management and Contract Monitor Staff meet on a regular basis to ensure monitoring and performance measures in the Contract are upheld. Per Administrative Bulletin 600.3, CCRMC Physician services are exempt from solicitation requirements.
On March 3, 2026, the Board of Supervisors approved Contract 76-727-7 with Benjamin Rayikanti, MD, Inc., in an amount not to exceed $480,000, for the provision of anesthesiology services at CCRMC and Contra Costa Health Centers, for the period January 1, 2026 through December 31, 2026.
In consideration of the Contractor’s agreement to continue providing anesthesiology services and the departments need to increase rates to maintain an adequate network for services at CCRMC and Contra Costa Health Centers, the department and Contractor have agreed to: (1) mutual cancellation of the current Contract in accordance with General Conditions Paragraph 5 (Termination) of the Contract and Cancellation Agreement #76-727-8 will accomplish this cancellation; and (2) establish a new Contract with the correct terms and conditions for the next three years.
Under new Contract #76-727-9, Contractor will provide anesthesiology services at CCRMC and Contra Costa Health Centers for the period May 1, 2026 through April 30, 2029.
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract is not approved, the necessary specialty anesthesiology services needed for patient care will not be available or will create increased wait times due to the limited number of specialty providers available within the community.