Agenda

Return

C. 59

To:	Board of Supervisors
From:	Anna Roth, Health Services Director
Date:	July 28, 2020

Contra

Costa

County

Subject:

Purchase Order with Cardinal Health Pharmacy Services, LLC.

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 07/28/2020

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:	Jaspreet Benepal, 925-370-5100
cc:	Irene Segovia Marcy WIlhelm

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: July 28, 2020
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

APPROVE and AUTHORIZE the Purchasing Agent on behalf of the Health Services Department, to execute a Purchase Order with Cardinal Health Pharmacy Services, LLC., in the amount not to exceed $30,000,000 to purchase pharmaceuticals and related supplies at Contra Costa Regional Medical Center (CCRMC), Contra Costa Health Centers, Martinez Detention Facility and Contra Costa Health Plan for the period September 1, 2020 through August 31, 2021.

FISCAL IMPACT:

100% funding is included in the Hospital Enterprise Fund I Budget.

BACKGROUND:

CCRMC is satisfied with Cardinal Health Pharmacy Services, LLC as a vendor and wish to continue our working relationship with this company. Cardinal Health Pharmacy Services, LLC, provides three different purchasing contracts: WAC (Wholesaler Acquisition Cost) accounts (Inpatient 34-18446;), Vizient for the hospital (110459), as well as the Public Health System contract for 340B (federal-ceiling pricing for disproportionate share facilities) for ambulatory care. Cardinal Health contract renewal allows CCRMC to purchase medications and related supplies at the best price through Vizient.

BACKGROUND: (CONT'D)

Furthermore, Contra Costa Health Plan uses Cardinal Health as their source to provide medications for their patients through 340B plan via contract pharmacies (i.e., Walgreens). Having Cardinal as our wholesaler maximizes the cost savings for CCRMC and Clinics. There is about 40-50% increase in drug cost, annually.

CONSEQUENCE OF NEGATIVE ACTION:

If this Purchase Order is not approved, CCRMC Pharmacy, as well as all Ambulatory Care Pharmacies within CCRMC will not be able to receive drugs from our wholesaler and the result would be a much higher cost of pharmaceuticals.