25B - AMBULANCE & PARAMEDIC COLLECTIONS SERVICES

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Award Agreement to Wittman Enterprises, LLC for Ambulance and Paramedic Billing & Collection Services December 17, 2019 Page 4 of revenues collected. Wittman's proposed fee rate over a term of three (3) contract years, including two optional (1) one-year extensions is 3.99% (a 57.89% reduction): • Agreement Year 1 (Basic Term) — equal to 3.99% of net collections obtained by Consultant (with and without Treat -No -Transport Call Fees). • Agreement Year 2 (Basic Term) — equal to 3.99% of net collections obtained by Consultant (with and without Treat -No -Transport Call Fees). • Agreement Year 3 (Basic Term) — equal to 3.99% of net collections obtained by Consultant (with and without Treat -No -Transport Call Fees). • Agreement Year 1 (Optional Term) — equal to 3.99% of net collections obtained by Consultant (with and without Treat -No -Transport Call Fees). • Agreement Year 2 (Optional Term) — equal to 3.99% of net collections obtained by Consultant (with and without Treat -No -Transport Call Fees). During the most recently completed fiscal year (FY 2018-19), the City received approximately $5.1 million in Paramedic Service charges. Due to the proposed reduction in the cost recovery by Wittman, Staff anticipates an increase in Paramedic Services during the contract period. In addition to administering the City's paramedic/medical billing and collection services agreement, the Treasury & Customer Service Division is responsible for managing the City's Paramedic Subscription Program. Approximately 2,900 Santa Ana households have participated (paid) in the program at an annual membership fee of $60.08, generating approximately $173,000 in revenue for FY 2018-19. As an optional add -on, the agreement proposes that Wittman promote, administer, and collect the City's Paramedic Subscription Program. Optional services to be performed by Wittman and related costs are as follows: • An initial mass mailing to promote participation in the City's Paramedic Subscription Program. The initial mass mailing list will total approximately 36,000 accounts. • An annual renewal mailer to all registered Paramedic Subscription Program members. • Generate and send a Paramedic Subscription Program membership mailer to all non - subscription paramedic/medical service recipients on an ongoing basis. • Collect all Paramedic Subscription Program applications and membership fees. o The proposed cost for Wittman's Paramedic Subscription Program service will be applied as follows: • Agreement Year 1 through 3 (Basic Term) — fixed rate of $12.50 per membership. • Agreement Year 1 (Optional Term) — fixed rate of $12.75 per membership. • Agreement Year 2 (Optional Term) — fixed rate of $13.00 per membership. 25B-4