sr-120809-1dCity of
Santa Monica
City Council Report
City Council Meeting: December 8, 2009
Agenda Item: 1-D
To: Mayor and City Council
From: Donna C. Peter, Director of Human Resources
Subject: Professional Medical Services
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a professional services agreement with Westchester Medical Group Center for
Heart and Health (WMGCHH) for professional medical services in an amount not to
exceed $200,000 per year, plus a 10% contingency. The term of the agreement is
proposed for three-and-a-half years with a provision for two additional one-year renewal
options.
Executive Summary
The City requires professional medical services and consulting which includes pre-
employmeht medical exams, limited annual health and wellness exams, and drug and
alcohol testing services required under federal mandate and City policy. Following a
formal bid process, staff recommends entering into athree-and-a-half year contract with
WMGCHH in an amount not to exceed $770,000 with two additional one-year renewal
options.
Background
In 2004, the Human Resources Department conducted a request for proposals (RFP)
for professional medical services. At the time, Santa Monica Bay Physicians Medical
Group was the only viable medical facility that could provide the necessary services. For
the past five years, the City of Santa Monica has used the services of Santa Monica
Bay Physicians Medical Group for pre-employment and employee medical examinations
and drug and alcohol testing services. To ensure that the City receives the best possible
services available at a competitive price, staff issued a new RFP in May 2009.
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Discussion
The RFP for professional medical services was published in May 2009 via the City's
Planet Bids system. Additionally, six medical facilities were notified that the -RFP was
issued. Three written proposals were received, reviewed and scored by a selection
committee team comprised of staff from the Human Resources Department, the
Finance Department's Risk Management Division, and the Big Blue Bus. The selection
committee interviewed key staff members from each company and conducted site visits
to all three medical facilities. The selection criteria included the firm's qualifications,
experience, fees, services provided, ability to meet the City's needs with regard to
appointment availability and hours of operation, references, and overall quality of their
medical facility.
Based upon this review, the selection committee unanimously recommended WMGCHH
as the primary provider for professional medical services including pre-employment and
employee medical examinations and drug and alcohol testing services. This
recommendation is based on the professional quality of the facility itself, the overall
commitment to customer service exhibited by the staff and physician owners of the
company, the willingness to customize specific services required of the City of Santa
Monica, and the lowest competitive pricing for the majority of services used.
Westchester Medical Group Center for Heart and Health provides a wide array of
preventive and corporate health services, including: occupational medicine; pre-
employment and annual physicals; comprehensive executive health exams; drug
screening; vaccinations; return-to-work exams; fitness for duty exams, commercial
driver medical certification and other services related to City of Santa Monica's
employment related medical examinations. The estimated annual expenditure for
services provided by WMGCHH is not expected to exceed $220,000 per year. The
projection is based on past expenditures including a 10% contingency.
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Financial Impacts & Budget Actions
To align with the fiscal year calendar, the term of the agreement will include the
remaining months of FY2009-10 and will be effective January 1, 2010 through June 30,
2013 with two additional one year renewal options. Expenditures for medical care
services are not expected to exceed $220,000 per fiscal year or $770,000 total during
the three-and-a-half year term of the professional services agreement. These
expenditures are charged to various departmental budgets as services are rendered.
Sufficient funds are included in the current 2009-2010 fiscal year budget for this
expenditure. Budget authority for subsequent years will be included in each
department's annual proposed City budget.
Prepared by: Grace Quitzon, Administrative Analyst -Human Resources
Approved:
c ~.~ll~^
Donna C. Peter
Director, Human Resources
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Forwarded to Council:
Reference Contract No.
9155 (CCS).