Loading...
HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #2044 Date: 04/19/2017 Commission Meeting Date: 05/11/2017 Requesting Department: Department of Risk Management Sponsored By: District Impacted: All Type: Resolution Subject: Accept Proposals - Third Party Claims & Managed Care Srvs. Purpose of Item: The nature of this item is to authorize a resolution of the Miami City Commission, with attachment(s), accepting the proposals received November 30, 2016, pursuant to Request for Proposals ("RFP") No. 605386, from USIS, Inc., to provide Third Party Claims Administration and Managed Care Services for the Risk Management Department ("Risk"); for an initial contract period of three (3) years, with the option to renew for two (2) additional one (1) year periods; allocating funds from the various sources of funds from the user department; subject to availability of funds and budgetary approval at time of need; authorizing the City Manager to execute the negotiated contracts with USIS, Inc., in substantially the attached form, further authorizing the City Manager to negotiate and execute all other documents, including any amendments, renewals, extensions, and modifications to said contracts, in a form acceptable to the City Attorney, as may be necessary for said purpose. Background of Item: The City of Miami ("City") has a need for Third Party Claims Administration and Managed Care Services. The Third Party Administrator will serve as a neutral party to prepare, manage, investigate, and maintain claims on behalf of Risk. On October 17, 2016, Procurement on behalf of Risk, issued RFP No. 605386 under full and open competition, to obtain proposals from experienced and qualified Proposers for the purpose of providing Third Party Claims Administration and Managed Care Services. The RFP was divided into two (2) categories: Part I -Third Party Claims Administration; and Part II -Managed Care Services. Proposers could propose on one or both categories. The RFP required that Proposers submit separate proposals if proposing on Part I and Part II. Proposers were also required to meet all of the minimum qualification requirements established in the RFP in order to be deemed qualified to provide the services. On November 30, 2016, five (5) proposals were received in response to the RFP. One (1) proposal was deemed non -responsive as the firm submitted a combined proposal for both categories, when the solicitation required separate submittals for each category. The Evaluation Committee (Committee) met on February 22, 2017, to evaluate and score the proposals following the guidelines published in the RFP. The Committee decided not to hold oral presentations, as the proposals did not required further clarification. Following evaluations, the Committee recommended USIS, the highest ranked responsive and responsible Proposer for both categories, for negotiations. Accordingly, the Negotiations Team met on March 16, 2017 to negotiate the contracts. The term of the contract for the Third Party Claims Administration Services and Managed Care Services is three (3) years, with two (2) additional one (1) year option to renew periods. The fiscal impact for the negotiated initial term of the contract for Third Party Claims Administration Services is $5,154,575. If the two (2) additional one (1) option to renew year periods are exercised the fiscal impact will be $3,623,159, for an aggregate amount of $8,777,734 over the five (5) year term of the contract. As a result of successful negotiations, the City realized savings on the proposed price of approximately $684,841 ($364,243 for the initial term and $320,598 for the option to renew periods). The fiscal impact for the negotiated initial three (3) year term of the contract for Managed Care Services, is a floating number based on the medical savings over the period. However, the reduction in the negotiated fees is approximately six percent (6%). The City, also realized savings on the proposed cost of Compliance Services of approximately forty percent (40%). The impact of this item is Citywide in nature. Budget Impact Analysis Item is an Expenditure Item is NOT Related to Revenue Item is NOT funded by Bonds Total Fiscal Impact: $8,777,734.00 the five (5) year term of the contract for Third Party Claims Administration. General Account No: As required by the department. Department of Risk Management Office of Management and Budget Office of Management and Budget Department of Procurement City Manager's Office Office of the City Attorney City Manager's Office Office of the City Attorney Office of the City Attorney City Commission Office of the Mayor Office of the City Clerk Reviewed B Ann -Marie Sharpe Fred Pericles Christopher M Rose Annie Perez Fernando Casamayor Valentin J Alvarez Daniel J. Alfonso Barnaby L. Min Victoria Mendez Nicole Ewan Mayor's Office City Clerk's Office Department Head Review Budget Analyst Review Budget Review Procurement Review Assistant City Manager Review Initial Attorney Review City Manager Review Deputy City Attorney Review Approved Form and Correctness Meeting Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Signed by the Mayor Completed Signed and Attested by the City Clerk Completed 04/20/2017 2:32 PM 04/21/2017 9:52 AM 04/26/2017 4:14 PM 04/27/2017 12:26 PM 04/28/2017 1:43 PM 04/28/2017 1:53 PM 04/28/2017 10:48 PM 04/30/2017 7:42 PM 05/01/2017 5:07 PM 05/11/2017 9:00 AM 05/19/2017 4:37 PM 05/19/2017 4:50 PM City of Miami Legislation Resolution Enactment Number: R-17-0224 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 2044 Final Action Date:5/11/2017 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), ACCEPTING THE PROPOSALS RECEIVED NOVEMBER 30, 2016 PURSUANT TO REQUEST FOR PROPOSALS ("RFP") NO. 605386 FROM USIS, INC. TO PROVIDE THIRD PARTY CLAIMS ADMINISTRATION AND MANAGED CARE SERVICES, RESPECTIVELY, FOR THE RISK MANAGEMENT DEPARTMENT, FOR AN INITIAL CONTRACT PERIOD OF THREE (3) YEARS, WITH THE OPTION TO RENEW FOR TWO (2) ADDITIONAL ONE (1) YEAR PERIODS; ALLOCATING FUNDS FROM THE VARIOUS SOURCES OF FUNDS FROM THE USER DEPARTMENT, SUBJECT TO THE AVAILABILITY OF FUNDS AND BUDGETARY APPROVAL AT THE TIME OF NEED; AUTHORIZING THE CITY MANAGER TO EXECUTE THE TWO (2) NEGOTIATED PROFESSIONAL SERVICE AGREEMENTS ("PSA") WITH USIS, INC., IN SUBSTANTIALLY THE ATTACHED FORM; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ALL OTHER DOCUMENTS, INCLUDING ANY AMENDMENTS, RENEWALS, EXTENSIONS, AND MODIFICATIONS TO THE TWO (2) PSAS, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, AS MAY BE NECESSARY FOR SAID PURPOSE. WHEREAS, the City of Miami ("City") needs Third Party Claims Administration and Managed Care Services in order to have a neutral party that will prepare, manage, investigate, and maintain claims on behalf of the Risk Management Department ("Risk"); and WHEREAS, pursuant to Section 18-86(c)(6) of the Code of the City of Miami, Florida, as amended ("City Code"), the City issued Request for Proposals ("RFP") No. 605386, including all Addenda thereto, seeking proposals from qualified and experienced firms to provide Third Party Claims Administration and Managed Care Services; and WHEREAS, the Evaluation Committee appointed by the City Manager completed the review and evaluation of the proposals received and recommended that the Procurement Department negotiate two (2) Professional Services Agreements ("PSA") with USIS, Inc., for the provision of Third Party Claims Administration and Managed Care Services, respectively; and WHEREAS, the City Manager concurred with the recommendation of the Evaluation Committee; and WHEREAS, funds are to be allocated from the various sources of funds from the user department, subject to the availability of funds and budgetary approval at the time of need; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The proposals received November 30, 2016, pursuant to RFP No. 605386, from USIS, Inc., to provide Third Party Claims Administration and Managed Care Services for Risk, both for an initial contract period of three (3) years, with the option to renew for two (2) additional one (1) year periods, are accepted. Section 3. The City Manager is authorized' to execute the two (2) negotiated PSAs with USIS, Inc., allocating funds from the various sources of funds from the user department, subject to the availability of funds and budgetary approval at the time of need. Section 4. The City Manager is further authorized' to negotiate and execute all other documents, including any amendments, renewals, extensions, and modifications to the two (2) PSAs, in a form acceptable to the City Attorney, as may be necessary for said purpose. Section 5. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: ndez, ity Attor ey 5/1/2017 1 The herein authorization is further subject to compliance with all requirements that may be imposed by the City Attorney including but not limited to those prescribed by applicable City Charter and City Code provisions. 2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission.