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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />MAY 16, 2017 <br />TITLE: <br />FIRST AMENDED AGREEMENT FOR <br />PARAMEDIC /MEDICAL BILLING AND <br />COLLECTION SERVICES WITH WITTMAN <br />ENTERPRISES, LLC <br />(STRATEGIC PLAN NO. 7,5F) <br />diTY-MANAG-ER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 18' Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Authorize the City Manager and Clerk of the Council to execute a two -year amended agreement <br />with Wittman Enterprises, LLC, ( "Wittman ") effective July 1, 2017 through June 30, 2019, to <br />extend the current three -year agreement expiring June 30, 2017, including an option at the <br />election of the City to transfer administration, promotion, billing, and collection of the City's <br />Paramedic Subscription Program, subject to non - substantive changes approved by the City <br />Manager and City Attorney. <br />DISCUSSION <br />The Treasury & Customer Service Division of the Finance and Management Services Agency <br />( "Treasury Division ") is responsible for administering the City's paramedic /medical billing and <br />collection services agreement. This task is accomplished through the use of a third party <br />agent/provider. The primary tasks of the paramedic /medical billing and collection services <br />agent/provider are to seek reimbursement of emergency medical services and transport that the <br />City provides, comply with Medicare, Medi -Cal and private insurance requirements and work with <br />patients to arrange alternate methods of repayment. In April 2014, the City released a Request <br />for Proposals (RFP) for paramedic /medical billing and collection services. Wittman was the sole <br />qualifying responding agent/provider and was awarded a three -year contract from July 1, 2014 <br />through June 30, 2017. Wittman's fees are contingent upon successful billing and collection <br />of paramedic /medical services provided through the City's contracts with the Orange County <br />Fire Authority (OCFA) and CARE Ambulance. Wittman's current fee rate is 6.3 %, under the <br />terms of the recommended two -year extension Wittman's fee rate will as follows: <br />(Year 1) — 6.15% of net collections obtained by Wittman <br />(Year 2) — 6.30% of net collections obtained by Wittman <br />2513-1 <br />