Agenda

Return

C. 56

To:	Board of Supervisors
From:	Anna Roth, Health Services Director
Date:	October 4, 2022

Contra

Costa

County

Subject:

Purchase Order with Benco Dental Supply Co.

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 10/04/2022

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Ronny Leffel, 925-550-2299

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: October 4, 2022
Monica Nino, County Administrator

BY:	, Deputy

RECOMMENDATION(S):

APPROVE and AUTHORIZE the Purchasing Agent or designee to execute, on behalf of the Health Services Director, a Purchase Order with Benco Dental Supply Co. in an amount not to exceed $700,000 to purchase dental supplies, devices, instruments, and repairs on equipment as required by Contra Costa Regional Medical Center (CCRMC) and Contra Costa Health Centers for the period from October 1, 2022, through September 30, 2025.

FISCAL IMPACT:

Approval of this action will result in expenditures of up to $700,000 over the three-year period between October 1, 2022 through September 30, 2025 and will be funded 100% by Hospital Enterprise Fund I revenues.

BACKGROUND:

Contra Costa Regional Medical Center (CCRMC) has been utilizing Benco Dental as their primary dental supply distribution since March 2019. Prior to Benco, the dental clinics had been purchasing supplies and equipment from Henry Schein Dental since January 2016; and Patterson Dental since December 2016. In 2019 the dental clinics transitioned most of their dental supply and repair spending to Benco Dental Supply Co. based on discounted prices offered to CCRMC.

This past year, the dental clinics were requested to conduct an informal bid process to select their primary dental distributor. Bid requests were sent to Benco Dental Supply, Henry Schein Dental, Patterson Dental, and a new Vizient Group Purchasing Organization (GPO) supplier, Burkhart Dental. Bid responses were received from Benco Dental, Henry Schein Dental, and Patterson Dental. Burkhart Dental elected not to participate due to other priorities.

At the completion of our analysis, Benco Dental Supply Co. was selected as the prime distributor for dental supplies as their supply portfolio covers 91% of the current supplies utilized by the dental clinics. Based on a projected 6% CPI-U inflation rate for 2023, we would experience a cost avoidance of 1.1% by continuing to procure dental products from Benco Dental Supply Co. as their prices increased by 4.9% from 2021/2022. Henry Schein Dental’s bid proposal offered coverage of only 25% of the products currently being used by the dental clinics. Their proposed pricing would be an increase of 18.3% to our current dental expenses, making them the least favorable solution. Patterson offered the best pricing for dental supplies with a 1% increase in pricing for their exact match; however, they are only able to cover 37% of the current supply portfolio. Based on their prices, Patterson could serve as a secondary distributor for the products not available under the Benco supply portfolio or products on manufacture back order.

CONSEQUENCE OF NEGATIVE ACTION:

The CCRMC dental clinics are dependent on supplies to treat patients. Without the availability of necessary supplies, dental devices, instruments, etc. it would be necessary to close the dental clinics.