To: Board of Supervisors
From: Dr. Ori Tzvieli, Interim Health Services Director
Report Title: Contract #77-331-2 with Sequoia Surgical Center, L.P. (dba Sequoia Surgical Pavillion)
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Interim Health Services Director, or designee, to execute on behalf of the County Contract #77-331-2 with Sequoia Surgical Center, L.P. (dba Sequoia Surgical Pavillion), a limited partnership, in an amount not to exceed $21,000,000, to provide ambulatory surgery center (ASC) services to Contra Costa Health Plan (CCHP) members and County recipients for the period June 1, 2025 through May 31, 2028.
FISCAL IMPACT:
Approval of this Contract will result in contractual service expenditures of up to $21,000,000 over a three-year period and will be funded 100% by CCHP Enterprise Fund II revenues.
BACKGROUND:
CCHP has an obligation to provide certain specialized ASC services for its members under the terms of their Individual and Group Health Plan membership contracts with the County. This ASC offers minimally invasive surgical and diagnostic procedures that do not require an overnight stay in a hospital. This Contractor has been a part of the CCHP Provider Network providing ASC services fostering a deep understanding of the County’s mission, values and long-term objectives since June 1, 2021.
This Contract is entered into under and subject to the following legal authorities: California Government Code §§ 26227 and 31000. Health Services Personnel approved this Contractor to ensure there are n conflicts with labor relations. This Contractor has and will continue to cooperate with and participate in CCHP’s Quality Improvement activities to improve the quality of care and services and Member experience. Cooperation includes collection and evaluation of performance measurement data and participation in the organization’s clinical and service measure Quality Improvement programs. Per Administrative Bulletin 600.3 CCHP Physician services are exempt from solicitation requirements.
On May 9, 2023, the Board of Supervisors approved Contract #77-331-1 with Sequoia Surgical Center, L.P. (dba Sequoia Surgery Pavillion, LLC), in an amount not to exceed $10,000,000, for the provision of ASC services for CCHP members and County recipients for the period June 1, 2023 through May 31, 2025.
Approval of Contract #77-331-2 will allow the Contractor to continue providing ASC services to CCHP members and county recipients through May 31, 2028.
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract is not approved, certain specialized ASC services for CCHP members under the terms of their Individual and Group Health Plan membership contract with the county will not be provided.