CITY COUNCIL AWARDS
ACTION REQUESTED:
title
Approve an extension to Contract 17-039, EMS and Non-EMS Billing Services, to Andres Medical Billing & Fire Recovery USA LLC, for a six-month period and total dollars collected for EMS and Non-EMS billing services
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DEPARTMENT: Fire Department
SUBMITTED BY: Mark Puknaitis, Fire Chief
BACKGROUND:
The City Council awarded Contract 17-039 for a three-year term from July 1, 2017 to June 30, 2020, with two, one-year options to extend. An RFP was issued in May 2022 at the end of the option year agreement and the contract was awarded to Credit Bureau Systems Inc. DBA Ambulance Medical Billing (AMB) effective July 1, 2022.
Due to outstanding revenues not being collected, and the full transfer of services to AMB, staff requested an extension of the contracts to Andres Medical Billing and Fire Recovery USA LLC until December 31, 2022.
DISCUSSION:
Currently, there are open receivables of EMS billing prior to July 1, 2022 of $353,433.56 with Andres Medical Billing and $40,517.60 with Fire Recovery USA, LLC of which the City pays a collection fee of 3.1% and 20% respectively.
Ambulance Medical Billing has begun the collection process of new receivables and is working with Andres to ensure all open receivables are accounted for.
Staff recommends a six-month extension to allow for receipts and subsequent payment of the EMS and non-EMS billing services prior to July 1, 2022. An extension will ensure a smooth transition of collections of funds between the two vendors.
FISCAL IMPACT:
Ambulance billing fees are expensed to the account number below and are offset by revenues collected under the City’s ambulance user fees. The outstanding account receivables are estimated at $19,059.96 in fees payable at the end of the contract. The city has collected revenues of $5.57m year-to-date under the agreement.
|
Account Number |
Fund Description |
Total Budget |
|
22101100-532316 |
General Fund |
$206,000 |