Orange County NC Website
2 <br />responding to medical issues articulated by inmates. SHP provides all medical supplies, over- <br />the-counter medications, on-site clinical lab procedures, office supplies, forms, folders, medical <br />hazardous waste disposal and all costs related to SHP staff travel/training, certifications and <br />other incidental administrative expenses. <br />SHP provides medical professional liability insurance with a minimum limit of $1 million per <br />occurrence/$5 million annual aggregate. Orange County will be named as Additional Insured <br />on such policies. SHP also indemnifies the County against any liabilities concerning medical <br />care responsibilities performed under this contract. <br />The initial proposed contract period begins September 1, 2009 and terminates on June 30, <br />2010. The contract may be renewed annually upon mutual agreement of the parties. Future <br />contract periods will begin effective July 1 and terminate as of June 30 to coincide with the end <br />of the County's fiscal year. <br />FINANCIAL IMPACT: The Sheriff estimates the Department currently spends over $360,000 <br />per year for inmate medical care. The annualized cost of this contract is $253,500. This <br />amount would cover all in house medical care as described earlier. <br />The contract amount includes a $60,000 cost pool to cover prescriptions and any off-site <br />medical care required by an inmate. Any amount over $60,000 will be billed directly to the <br />County. SHP reports even though the Jail's current medical expenses exceed $60,000, SHP's <br />ability to manage the care in-house will significantly reduce services needed from outside <br />medical facilities. The company further reports most jails are assessed little or no additional <br />funds over the $60,000 cost pool. <br />As the Board is aware, the County maintains a contract with the Federal Marshal's Office to <br />house up to 75 prisoners per day in the Orange County Jail. Treatment rendered to those <br />inmates will be paid by the Marshall's office and will not be assessed against the $60,000 cost <br />pool. <br />The proposed contract amount is based on an average daily population up to 180 inmates. The <br />County would pay a per diem amount of $1.25 per inmate for any month during which that cap is <br />exceeded. The current daily population averages around 170. <br />The first year will be a 10-month contract at a cost of $211,250. Terms of renewal for 2010 and <br />2011, should the County choose to renew, include an increase of 2.5% and 3% respectively <br />over the full year cost ($253,500). These modest increases would benefit the Sheriff in his <br />efforts to contain the rising costs of health care for the jail population. <br />RECOMMENDATION(S): The Interim Manager recommends the Board approve a contract <br />with Southern Health Partners for Jail Medical Services for the period September 1, 2009 <br />through June 30, 2010 in the amount of $211,250; and authorize the Chair to sign on behalf of <br />the Board. <br />