To: Board of Supervisors
From: Monica Nino, County Administrator
Report Title: Reissue Payment to Medline Industries, LP
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Auditor Controller, or designee, on behalf of the Health Services Department to reissue payment of $156,214.20 Medline Industries, LP.
FISCAL IMPACT:
Potential cash shortage in the amount of $156,214.20 pending investigation will be funded by 100% Hospital Enterprise Fund I.
BACKGROUND:
In January 2025, the Health Services Department and Auditor Controller’s Office discovered a supplier payment to Medline Industries, LP for contract services was fraudulently redeemed. The payment in the form of a check was fraudulently altered and cashed. A forged endorsement claim was filed with Wells Fargo, and currently under investigation.
CONSEQUENCE OF NEGATIVE ACTION:
If not approved, Medline Industries, LP will not be paid, resulting in service interruptions to the Health Services Department.