DATE: April 28, 2020
TO: Board of Supervisors
SUBMITTED BY: Margaret Mims, Sheriff-Coroner-Public Administrator
SUBJECT: Amendment I to Agreement with California Forensic Medical Group
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute Amendment I to Agreement No. A-18-169 with California Forensic Medical Group effective April 28, 2020 with no change in the term to June 30, 2023, to allow the Sheriff-Coroner-Public Administrator’s Office to approve pre-payments and accept 1% discount for the months of May, June, July and August of 2020.
REPORT
There is no increase in Net County Cost associated with this recommended action. California Forensic Medical Group (CFMG) is offering a 1% early payment discount to the County to mitigate potential economic hardships caused by the COVID-19 pandemic. Approval of the recommended action will allow the Sheriff’s Office to approve pre-payments and accept 1% discount for each early payment processed for the months of May, June, July, and August of 2020. This item is countywide.
ALTERNATIVE ACTION(S):
There is no viable alternative action. If the recommended action is not approved, the Sheriff’s Office will not be able to process any pre-payment and accordingly the Department will not be able to benefit from the 1% discount offered by the vendor.
FISCAL IMPACT:
There is no increase in Net County Cost associated with this recommended action. Monthly invoices for services provide by CFMG are approximately $2 million dollars. Approval of the recommended action would potentially save the County an estimated $20,000 per month. It is anticipated that the County will process pre-payments for the months of May, June, July, and August of 2020. Sufficient appropriations and estimated revenues are included within the Sheriff-Coroner-Public Administrator Org 3111 FY 2019-20 Adopted Budget for the May and June pre-payments. Sufficient appropriations and estimated revenues will be included in the FY 2020-21 Recommended Budget request for the July and August pre-payments.
DISCUSSION:
On April 3, 2018 the Board approved Agreement No. A-18-169 with CFMG to provide medical and behavioral health care services to the adult incarcerated individuals detained in the County Sheriff Adult Detention Facilities identified as North Annex, Main and South Annex Jails.
The COVID-19 pandemic has impacted both the County and CFMG, as they face challenges in continuing to provide services in County’s adult detention facilities. CFMG has indicated that during this pandemic there is the potential for significantly higher costs in many of their sites, due to increased staffing costs and potentially high rates of hospitalization of patients infected with the Coronavirus. In an effort to maintain sound financial footing and to continue to provide the same level of service it has in the past throughout this pandemic, CFMG is requesting early payment language be added to the current agreement to allow the County to process pre-payments for the months of May, June, July and August of 2020. CFMG has agreed to provide the County a 1% early payment discount for each month previously mentioned. Payments for the months of May and June must be received by CFMG by May 15, 2020 and payments for the months of July and August must be received by CFMG by August 15, 2020 to qualify for the 1% discount. Monthly invoices for services provide by CFMG are approximately $2 million dollars. Approval of the recommended action would potentially save the County an estimated $20,000 per month.
The language in the Amendment deviates from County standard because the language, if approved by your Board, would allow for pre-payment of invoices for the months of May, June, July and August of 2020.
REFERENCE MATERIAL:
BAI #8.1, April 3, 2018
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Amendment I to Agreement
CAO ANALYST:
Yussel Zalapa