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CC - Approval of a Five Year Professional Services Agreement, Ending June 30, 2021, with Wittman Enterprises, LLC. for Ambulance Billing and Collection Services, in an Amount Not-to-Exceed $100,872 for the First Year, and Authorization to the City Manager to Approve Contract Amendments in an Amount Not-to-Exceed 20% during Years Two through Five.
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Contact Person/Dept: Captain Roger Braum/Fire Department
Phone Number: (310) 253-5912
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [] Attachments: Yes [X] No []
Commission Action Required: Yes [] No [X] Date:
Commission Name:
Public Notification: (E-Mail) Meetings and Agendas - City Council (03/10/16)
Department Approval: David L. White, Fire Chief (03/02/16)
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RECOMMENDATION
Staff recommends the City Council: (1) approve a five-year professional services agreement, ending June 30, 2021, with Wittman Enterprises, LLC. for ambulance billing and collection services, in an amount not-to-exceed $100,872 during the first year, and (2) authorize the City Manager to approve contract amendments in an amount not-to-exceed 20% during years two through five.
BACKGROUND
Prior to August 1996, the Fire Department’s ambulance billing was conducted by the City’s Accounting Department. Collections were low due to the complexity of insurance codes and regulations. To address these issues, staff sought to engage the services of a professional billing company with experience in processing insurance related billings.
Wittman Enterprises, LLC (Wittman) has been providing complete ambulance billing services in compliance with current local, state, and federal laws since 1991. Wittman exceeds currently accepted standards for accurate, consistent, and best Emergency Medical Services (EMS) billing practices, while maximizing revenue and honoring the Fire Department’s philosophy of treating each patient with dignity and respect.
The City began contracting for ambulance billing services with Wittman in August of 1996. The relationship has continued due to exceptional customer service to both the Fire Department and patients. Wittman’s staff is both courteous and prompt in responding to all inquiries. Statistics and reports are provided periodically and upon request.
DISCUSSION
The proposed professional services agreement is exempt from formal bidding procedures pursuant to the Culver City Municipal Code § 3.07.045.G, based on competitive bid procedures having been utilized by another public agency and the services are being offered to the City at the same or better price, as was obtained through the competitive bid procedures of the other public entity. The City of Beverly Hills released a Notice Inviting Bids in October of 2014 for their Fire Department’s ambulance billing and collection services and is currently under contract with Wittman for its ambulance billing services. Wittman has agreed to offer ambulance billing and collection services under the same terms and conditions to the City of Culver City.
As part of the proposed agreement, in addition to billing and collection services, Wittman will include the provision of EMS “Electronic-Patient Care Reports” (ePCR), a Patient Follow-Up Satisfaction Survey Program, and distribution of Notices of Privacy Practices (NPP). ePCR is the platform mandated by the local EMS Agency to electronically record all patient contacts by the Fire Department. This ePCR platform is a proven system that will increase documentation efficiency, speed collection of ambulance transport revenues, and will greatly reduce the administrative workload on the Fire Department’s support personnel. Wittman agrees to absorb all costs and fees for any ePCR products, including yearly support and software maintenance. Wittman will also perform Patient Follow-Up Satisfaction Survey services on behalf of the City. Wittman will separately mail to all billed patients a survey with a postage paid return envelope. All survey results will be conveyed to the Department. Lastly, Wittman will distribute Notices of Privacy Practices to all patients billed. This Notice describes how medical information may be used or disclosed and how patients can get access to this information.
FISCAL ANALYSIS
Wittman currently charges the City $21.00 per EMS patient billed. In Wittman’s new proposal, the fee is $20.25 per transport for the first three years and will be adjusted for CPI in years four and five. The cost of the ePCR program will be $5.82 per billed transport, and the cost of the survey program will be $1.25 per survey mailed on behalf of the City. An additional fee of $0.70 per transport will be included to send Notice of Privacy Practices to all patients.
The cost breakdown for Wittman and related costs for the first year of the proposed professional service agreement period, based on an estimated 3,600 transports, is as follows:
Wittman ePCR Survey NPP Estimated Total
Current $21.00 $5.82 $1.25 N/A $101,052
Proposed $20.25 $5.82 $1.25 $0.70 $100,872
As the number of ambulance transports vary annually, Staff is requesting the City Council authorize the City Manager to approve contract amount increases not-to-exceed 20% of the previous year’s contract amount during years two through five of this professional service agreement period.
There is sufficient funding available in the City Council Adopted Budget for Fiscal Year 2015/2016 (Account 10145300.619800 - Other Contractual Services) for the proposed services.
ATTACHMENTS
1. Proposal from Wittman to offer the same terms and conditions provided to the City of Beverly Hills.
2. Copy of the City of Beverly Hills Notice Inviting Bids.
3. Copy of Wittman’s proposal to the City of Beverly Hills.
RECOMMENDED MOTION(S)
That the City Council:
1. Approve a five-year professional services agreement, ending June 30, 2021, with Wittman Enterprises, LLC. to provide ambulance billing and collection services, in an amount not-to-exceed $100,872 for the first; and,
2. Authorize the City Manager to approve change orders, during years two through five, not-to-exceed 20% of the previous year’s contract amount; and,
3. Authorize the City Attorney to review/prepare the necessary documents; and,
4. Authorize the City Manager to execute such documents on behalf of the City.