TO: Mayor and Commissioners
FROM: Theresa Webb, Chief Purchasing Officer
THROUGH: Donald B. Cooper, City Manager
DATE: August 16, 2016
Title
APPROVAL OF RANKING OF FIRMS FOR EMPLOYEE HEALTH AND WELLNESS CLINIC PROVIDER AND AUTHORIZATION TO NEGOTIATE WITH THE HIGHEST RANKED FIRM
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Recommended Action:
Recommendation
Motion to Approve the ranking for Employee Health and Wellness Clinic Provider and authorization to enter into negotiations with the highest ranked firm, Concentra Health Services.
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Background:
On March 7, 2016, a Request for Proposals RFP No. 2016-077 was issued for Employee Health and Wellness Clinic Provider. The Scope of Services detailed two options; provision of services at the City's wellness facility or provision of services at the Proposer's facility in the area. The City received five responses from Concentra Health Services, Inc.; CIGNA Health and life Insurance Company; Care ACT, Inc.; Care Here, LLC; and Healthstat, Inc. for Medical Services Provider. No alternate medical office spaces in the area were proposed. Subsequently, administration has gathered information related to facility cost for on-site clinics at other municipalities in the area and the City’s monthly lease cost is comparable.
The selection committee conducted an in-depth evaluation of the five proposals and met with the two top ranked firms, Concentra and Healthstat for presentations and interviews. Proposals were evaluated based on the criteria below :
|
Criteria |
Weight |
|
1. Experience and qualification of the project team. |
35% |
|
2. Realistic schedule that meets the needs of the RFP. |
15% |
|
3. The quality and approach of the RFP presentation. |
10% |
|
4. The quality and extensiveness of the plan. |
15% |
|
5. Extent of the firm’s local knowledge of the City. |
5% |
|
6. The cost of services. |
20% |
|
Total |
100% |
The selection committee’s final ranking is as follows:
Rank Firm Score
1 Concentra Health Services, Inc. 91.6
2 Healthstat, Inc. 72.8
The final Agreement to be negotiated will not exceed $910,000 per year for the three year term. Of this cost, forty-five percent, approximately $404,000, is attributable directly to occupational health services, which include pre-employment physicals, required regulatory examinations, police and fire annual physicals and employee drug screenings. The not-to-exceed amount is based on thirty-two clinic services hours per week that the Wellness Center currently provides. Should the Wellness Center need to expand clinic service hours to forty hours per week to operate efficiently due to potential employee growth, higher utilization and a shortage in available appointment slots, the revised annual amount would increase by about $267,000 per year.
This motion is in accordance with the City Code of Ordinances, Chapter 36, Section 36.02(A)(1), "Requests for Proposals, Requests for Qualifications and Requests for Letters of Interest".
City Attorney Review:
Approved as to form and legal sufficiency.
Finance Department Review:
Finance recommends approval.
Funding Source:
Funding is provided through the medical plan through employer and employee contributions.
551-1577-591-34.90 Other Contractual Services $841,242
551-1577-591-41.10 Telephone Charges $850
551-1577-591-43.10 Utility Services $5,200
551-1577-591-44.20 Facility lease $51,000
551-1577-591-46.10 Maintenance upkeep $1,100
551-1577-591-51.20 Office Supplies - Copier $4,000
551-1577-591-51.90 Office Supplies - Paper, etc. $2,000
551-1577-591-52.20 General Operating Supplies - $1,370
Stericycle Medical Waste
Timing of Request:
The new Agreement needs to be implemented by October 1, 2016, to maintain the current facility lease for the Employee Health and Wellness Center and for continuity of services.