This resolution extends a contract with Priority Healthcare Distribution for specialty drug procurement by four years and increases the total contract amount by $89.48 million, bringing it to $98.48 million. It also allows the Department of Public Health to make minor amendments to the agreement as needed.
Resolution approving Amendment No. 1 to the agreement between the City and County of San Francisco, acting by and through the Department of Public Health (DPH), and Priority Healthcare Distribution, Inc. d/b/a CuraScript Specialty Distribution, for the procurement of specialty drugs, to extend the term by four years from November 30, 2026, for a total term of December 1, 2023, through November 30, 2030, and to increase the amount by $89,480,168 for a total not to exceed amount of $98,480,168; and to authorize DPH to enter into amendments or modifications to the agreement that do not materially increase the obligations or liabilities to the City and are necessary to effectuate the purposes of the agreement or this Resolution.
How it got here
The legislation originated from the Department of Public Health's need to procure specialty drugs exclusively from Priority Healthcare Distribution, Inc.
DPH submitted a request to waive competitive solicitation requirements for the procurement of specialty drugs from Priority Healthcare Distribution, Inc.
OCA approved the waiver request because the specialty drugs are proprietary articles available only from one source.
DPH entered into an agreement with Priority Healthcare Distribution, Inc. for the procurement of specialty drugs with a term ending November 30, 2026.
DPH submitted a request to modify the original waiver to increase the contract amount significantly due to increased utilization of specialty drugs.
OCA approved the modification to the original waiver, allowing for an increase in the contract amount to $98,480,168.
The Budget and Finance Committee recommended the resolution for approval to amend the contract with Priority Healthcare Distribution, Inc.
The Board of Supervisors adopted the resolution approving the amendment to the agreement with Priority Healthcare Distribution, Inc.
Reconstructed from attached documents & the official record
