DATE: January 26, 2021
TO: Board of Supervisors
SUMITTED BY: David Pomaville, Director, Department of Public Health
Dawan Utecht, Director, Department of Behavioral Health
SUBJECT: Third Amendment to Agreement with Unilab Corporation dba Quest Diagnostics
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute a Third Amendment to Agreement No. 15-523 with Unilab Corporation dba Quest Diagnostics, to revise the rate schedule for COVID-19 testing effective February 1, 2021, with no change in term of October 15, 2015 through June 30, 2021 and increasing the maximum by $1,585,000 to a total of $4,650,000; and
2. Adopt Budget Resolution increasing FY 2020-21 appropriations and estimated revenues for the Department of Public Health Org 5620 in the amount of $1,585,000 (4/5 vote).
REPORT
Approval of the recommended actions will allow the Departments of Public Health and Behavioral Health to continue COVID-19, clinical laboratory and toxicology testing services. This action further provides for an amendment to the schedule of fees to lower the amount paid for COVID-19 testing rates due to the reduction of Quest's overhead with no change in Net County Cost. Approval of the second recommended action will increase the Department of Public Health's FY 2020-21 appropriations and revenues for testing services. This item is Countywide.
ALTERNATIVE ACTION(S):
Should your Board not approve the recommended actions, the Departments of Public Health and Behavioral Health would be unable to conduct sufficient levels of laboratory and toxicology testing, and the rate for COVID-19 testing would be unchanged. The County's Public Health Laboratory is not operational and therefore cannot perform the services required by the Departments.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The Amendment will increase the maximum annual compensation to $1,585,000 for a total six-year term maximum of $4,650,000....
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