July 31, 2012

The Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
Los Angeles, California 90012
Dear Supervisors:
APPROVE AMENDMENT NUMBER FIVE TO AGREEMENT
NUMBER 76038 WITH QUEST DIAGNOSTICS, INCORPORATED
FOR MEDICAL LABORATORY SERVICES
(ALL DISTRICTS) (3 VOTES)

SUBJECT
The Los Angeles County Sheriff’s Department (Department) is seeking your Board’s approval and
execution of Amendment Number Five (Amendment) to Agreement Number 76038 (Agreement) with
Quest Diagnostics, Incorporated (Quest), that will extend the term of the current Agreement for
medical laboratory services (Services) for up to 18 months. This extension period is required to
allow for the completion of the Jail Health Information System (JHIS) transition to the remote hosting
environment and to complete the Request for Proposal (RFP) process for a new Agreement for
Services.
IT IS RECOMMENDED THAT YOUR BOARD:
1. Approve and instruct the Chairman of the Board to sign the attached Amendment to the
Agreement with Quest to continue providing Services. The Amendment will extend the term of the
Agreement for up to 18 months, from August 20, 2012, through February 19, 2014.
2. Delegate authority to the Sheriff or his designee to terminate the Agreement earlier, in whole or in
part, with 30 days advance written notice, once the transition to the remote hosting environment has
been completed and the Department has completed the solicitation process for a new Agreement.

The Honorable Board of Supervisors
7/31/2012
Page 2
PURPOSE/JUSTIFICATION OF RECOMMENDED ACTION
Approval of this action will allow the Department to complete the solicitation process for a new
Agreement, enable the Department to provide continued medical treatment to inmate patients, and
allow Quest to provide the required Services while the Department completes the transition to the
JHIS remote environment.
The Department is currently engaged in the solicitation process for a new Agreement. The selected
vendor for the new Agreement will be required to interface their laboratory information system with
JHIS. As the transition to the remote environment has not yet been completed, and because the
required specifications for the new environment have not yet been established, it has caused a delay
to the RFP process for the new Agreement.
Implementation of Strategic Plan Goals
The Services provided under this Amendment support the Los Angeles County’s (County) Strategic
Plan, Goal 1, Operational Effectiveness; and Goal 5, Public Safety. This Amendment Number Five
will enable the Department to provide a quality level of inmate Services.
FISCAL IMPACT/FINANCING
The annual expenditures for this Service is estimated to be approximately $4.5 million. Over the term
of the extension to this Agreement, appropriate allocations will be established in the Department’s
annual budget to meet the anticipated need for the fiscal year. Actual expenditures will only be
incurred on an as-needed basis.
FACTS AND PROVISIONS/LEGAL REQUIREMENTS
Under both Federal and State law, the Department has the legal obligation to provide medical
treatment to its inmate population. Since September 1, 2000, the Department has contracted with
Quest for Services which include, but are not limited, to diagnostic analyses of specimens for the
purpose of assisting County physician(s) in determining the appropriate medical treatment for inmate
patients being held by the Department. Proper treatment is dependent on laboratory test results.
Quest’s laboratory information system currently interfaces with the internally hosted JHIS application
providing complete medical and mental health records of inmates in custody. Once the transition to
the remote hosting environment and the solicitation process is complete, the Department will return
to your Board to award a new Agreement. The current Agreement expires on August 19, 2012.
The Amendment extends the term of the Agreement for a period not to exceed 18 months.
Quest is in compliance with all Board and Chief Executive Office requirements.
County Counsel has reviewed and approved the Amendment as to form.
Except as expressly provided in the Amendment, all other provisions and conditions of the
Agreement will remain the same and in full force and effect.

The Honorable Board of Supervisors
7/31/2012
Page 3
IMPACT ON CURRENT SERVICES (OR PROJECTS)
Approval of these actions will ensure uninterrupted Services for inmates.
CONCLUSION
Upon approval by your Board, please return three adopted copies of this Board letter and three
original executed copies of the Amendment to the Department’s Contracts Unit.
Sincerely,

LEROY D. BACA
Sheriff
LDB:GI:gi
Enclosures

AMENDMENT NUMBER FIVE TO AGREEMENT NO.76038
BY AND BETWEEN
COUNTY OF LOS ANGELES
AND
QUEST DIAGNOSTICS, INCORPORATED
FOR MEDICAL LABORATORY SERVICES

This Amendment Number Five ("Amendment") is entered into by and between County
of Los Angeles (hereinafter "County") and Quest Diagnostics, Incorporated (hereinafter
"Contractor"), effective upon execution by all parties.
A.

WHEREAS, on February 20, 2007, County and Contractor entered into County
Agreement Number 76038 (hereinafter "Agreement") to provide Medical
Laboratory Services for diagnostic analysis; and

B.

WHEREAS, pursuant to Subparagraph 4.2 of the Agreement, the Sheriff has the
option to extend the Initial Term of the Agreement for up to two (2) additional
one-year periods and thereafter, for six (6) months in any increment (each an
"Option Term"), and the Sheriff has the authority to exercise and execute the
extension options; and

C.

WHEREAS, the Agreement is currently in its final option period of six (6) months
and expires on August 19, 2012; and

D.

WHEREAS, County and Contractor desire to extend the term of the Agreement
for an additional eighteen (18) months, to avoid an interruption of services during
which the necessary transition to the remote hosting environment will be
determined and the Sheriff's Department has completed the solicitation process
for a new agreement.

E.

WHEREAS, County and Contractor agree that the Agreement may terminate
prior to its expiration upon thirty (30) days advance written notice by County to
Contractor.

NOW THEREFORE, in consideration of the mutual covenants contained herein, and for
good and valuable consideration, County and Contractor hereby agree as follows:
1.

The Term of the Agreement shall be extended for up to eighteen (18) months,
from August 20, 2012, through and including February 19, 2014.
Notwithstanding, the Sheriff, or his designee, may terminate this Agreement
earlier, in whole or in part, with thirty (30) days advance written notice of such
termination.

2.

Except as expressly provided in this Amendment Number Five, all other
provisions, and conditions of the Agreement will remain the same and in full
force and effect.

Page 1 of 3

AMENDMENT NUMBER FIVE TO AGREEMENT NO.76038
BY AND BETWEEN
COUNTY OF LOS ANGELES
AND
QUEST DIAGNOSTICS, INCORPORATED
FOR MEDICAL LABORATORY SERVICES

3.

Contractor represents and warrants that the person executing Amendment
Number Five for Contractor is an authorized agent who has actual authority to
bind Contractor to each and every item, condition, and obligation of the
Amendment and that all requirements of Contractor have been fulfilled to provide
such actual authority.

Page 2 of 3

AMENDMENT NUMBER FIVE TO AGREEMENT NO.76038
BY AND BETWEEN
COUNTY OF LOS ANGELES
AND
QUEST DIAGNOSTICS, INCORPORATED
FOR MEDICAL LABORATORY SERVICES

IN WITNESS WHEREOF, the County of Los Angeles, by order of its Board of
SupeNisors has caused this Amendment Number Five to be executed on its behalf by
the Chairman of said Board and attested by the Executive Officer-Clerk of the Board of
SupeNisors thereof, and Contractor has executed this Amendment Number Five, or
caused it to be duly executed by its duly authorized officer.

COUNTY OF LOS ANGELES

By:

--~------~-------------

Chairman, Board of Supervisors

ATTEST:
SACHI A. HAMAl
Executive Officer
Los Angeles County
Board of SupeNisors
By: _______________________
Deputy
QUEST DIAGNOSTICS,
INCORPORATED

~~
Printed: -]20\0 )J\Ov'cv!-t"--.r

I
Title: ~C\V\LA1\0VJ M1Y'(C-luy
APPROVED AS TO FORM:
JOHN F. KRATTLI

Miche
Oepu y

ackson
ounty Counsel
Page 3 of 3