CITY MANAGER AGENDA ITEM
ACTION REQUESTED:
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Approve the award of an extension to Contract 17-039, EMS and Non-EMS Billing Services, to Andres Medical Billing for an amount not to exceed 3.1% of total dollars collected for EMS billing services and to Fire Recovery USA LLC for an amount not to exceed 20% of total dollars collected for non-EMS billing services and for a 6-month term.
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DEPARTMENT: Fire Department
SUBMITTED BY: Mark Puknaitis, Fire Chief
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The City Council awarded Contract 17-039 to Andres Medical Billing on June 20, 2017 for a three-year term from July 1, 2017 to June 30, 2020, with two, one-year options to extend. Andres Medical Billing and Fire Recovery USA LLC submitted bids to RPF 22-071 for the renewal however the bid was awarded to Credit Bureau Systems Inc DBA Ambulance Medical Billing.
On May 17, 2022 City Council approved the new contract with Credit Bureau Systems Inc DBA Ambulance Medical Billing with an effective date of July 1, 2022.
DISCUSSION:
The purpose of this extension to the contract with Andres Medical Billing and Fire Recovery USA LLC is to allow for payment of the EMS and Non-EMS Billing Services prior to July 1, 2022 and to ensure a smooth transition of collections of funds between the two vendors. Currently there is an open receivable of EMS billing prior to July 1, 2022 of $2,300,000 with Andres Medical Billing and $89,626 with Fire Recovery USA LLC.
Ambulance Medical Billing has begun the collection process of new receivables and is working with Andres to ensure all open receivables are accounted for.
FISCAL IMPACT:
Ambulance billing fees are offset by revenues collected under the City's ambulance user fees for which $4.9M has been received year-to-date. The outstanding open receivables will result in an estimated $89,225 in fees due at the end of the contract. Staff concurs with the request to extend the contract, to complete the transition process between t...
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