UNIVERSAL HOSPITAL SUPPLY ASSET MANAGEMENT PROGRAM Retrospective Review 1
Program Overview AHS has a contract with UHS for asset management staff and servicing contract for a fleet of medical equipment for Highland campus and a rental agreement for Fairmont, San Leandro, Alameda and John George. Medical Equipment includes, but not limited to, ventilators, oxygen monitors, therapy beds etc. Terms: Asset Management Contract Terms Base Contract (Highland, Onsite Asset Management & Rental): 02/2007 to 09/2009 – Amendment 1 (Highland, Onsite Asset Management & Rental): 09/2009 to 9/2014 – Amendment 2 (Highland, Onsite Asset Management & Rental): 06/2012 to 09/2016 – Amendment 3 (Highland, Onsite Asset Management & Rental; Alameda, San Leandro, Fairmont, John – George Rental): 07/01/2017 to 04/30/2020 The contract is estimated to cost $3.89M over this contract period. Fee Structure and Contract Deliverables – Staffing and asset management for $3.89M applies to Highland Campus only. Highland Campus can rent equipment beyond the base contract – All other campuses rent equipment on an as needed basis. San John Highland Fairmont leandro Alameda George Base Contract & Fees Staffing */ Asset Management- Processing, delivering, pick up $720k/ year Service contract- inspection / repair- Infusion Pumps $51K 1st Year; $80K following years Rental agreement Rental agreement x x x x x Additional Contract Components Software Technology- tracking- per patient x Software Technology- tracking- per equipment x x x x 2 Performance Metrics x x x x x * Staffing includes 1 manager 8 staff for 24/7 coverage
Spend to Date: UHS Contract AHS is using the contracted and “as needed” rental equipment to meet its needs. AHS spend to date will not exceed the anticipated contracted amount. Amendment 3 extends from July 2017 to April 30 th , 2020 and has Board approval for $3.89M By the end of this contract period, AHS is estimated to spend $3.83M for medical • equipment at Highland during the contract period UHS Total $632,813 $1,344,923 $1,387102 $464,386 $3,829,225 3
Summary & Recommendations • UHS has been compliant with the contract as stated for onsite asset management, service, repairs, and rentals – The recommendation is to continue with the contract to the end of the term • AHS will pursue a RFP given the current partnership will have been in place for 10+ years • AHS will – Review all medical equipment rental contracts and evaluate whether there is an opportunity for consolidation – Conduct a rent vs. buy analysis for equipment currently rented – Review rental history for possibilities to include pre-negotiated fees for commonly rented items currently not include in contract 4
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