To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Contract Amendment #26-779-11 with Aquity Solutions, LLC
☒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 #26-779-11 with Aquity Solutions, LLC, a limited liability company, effective May 1, 2025, to amend Contract #26-779-9 (as amended by Contract Amendment #26-779-10), to increase the payment limit by $48,090 to an amount not to exceed $1,423,090, to provide additional medical coding education services for Contra Costa Regional Medical Center (CCRMC) and Contra Costa Health Centers with no change in the term ending September 30, 2027.
FISCAL IMPACT:
Approval of this Contract Amendment will result in additional expenditures of up to $48,090 as budgeted by the department and funded 100% by Hospital Enterprise Fund I.
BACKGROUND:
This Contract meets the social needs of County’s population by providing medical coding services, including coding inpatient and outpatient records, current and future revenue cycle outcomes, scanning and quality assurance for CCRMC and Contra Costa Health Centers, in accordance with the American Hospital Associate Coding Clinic and the American Medical Association standards. This Contractor has been providing coding services to the County since October 1, 2014. This Contract is mandatory for our health care facilities to stay within the federal and state guidelines for compliance and reimbursement for reporting services rendered and assists in the revenue cycle.
This Contract is entered into under and subject to the following legal authorities: California Government Code §§ 26227 and 31000; and Health and Safety Code § 1451. 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. Health Services Personnel approved this Contract to ensure no conflicts with labor relations. This Contractor was approved by the Public Works Department’s Purchasing Division on June 4, 2024.
On September 10, 2024, the Board of Supervisors approved Contract #26-779-9 with Aquity Solutions, LLC, in an amount not to exceed $1,000,000, for the provision of medical coding education services for the period from October 1, 2024 through September 30, 2027.
On March 31, 2026, the Board of Supervisors approved Contract Amendment #26-779-10 with Aquity Solutions, LLC, effective March 1, 2026, to increase the payment limit by $375,000 to an amount not to exceed $1,375,000, to provide additional medical coding education services with no change in the term.
Approval of Contract Amendment #26-779-11 will allow the Contractor to provide additional medical coding education services for CCRMC and Contra Costa Health Centers’ physicians through September 30, 2027. The Department is requesting a retroactive effective date due to lack of real time knowledge of expenditures.
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract Amendment is not approved, CCRMC and Contra Costa Health Centers’ physicians will not receive medical coding education, which could result in potential revenue loss due to noncompliance with federal and state guidelines, as well as the forfeiture of reimbursements for reporting services rendered.