File #: 20-0917   
Type: Contract Status: Agenda Ready
In control: City Council
On agenda: 9/21/2020
Title: Dollar-Limit Increase for Year 3 and One-Year Renewal for Year 4 to the Term Contract for Medical Billing Services for the Mesa Fire and Medical Department (MFMD) (Citywide) MFMD started the Medic Unit pilot program and has been using Daisy Mountain for its billing services since November 2017. MFMD expects approximately $80,000 in additional costs prior to Year 3’s term expiring on 10/31/2020. The dollar-limit increase is needed because the fees charged by Daisy Mountain are based on transport program revenue, which has been higher than projected. In addition, MFMD planned to reduce payments to Daisy Mountain by hiring/training a Mesa employee medical biller. The position with the City has now been filled, but there was a significant delay in the process that resulted in higher payments for longer than anticipated. Renewing this contract continues to be advantageous to the City and it is in the City’s best interest to continue partnering with Daisy Mountain. The Mesa Fire and M...
Attachments: 1. Council Report
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Title

Dollar-Limit Increase for Year 3 and One-Year Renewal for Year 4 to the Term Contract for Medical Billing Services for the Mesa Fire and Medical Department (MFMD) (Citywide)

MFMD started the Medic Unit pilot program and has been using Daisy Mountain for its billing services since November 2017.  MFMD expects approximately $80,000 in additional costs prior to Year 3’s term expiring on 10/31/2020.  The dollar-limit increase is needed because the fees charged by Daisy Mountain are based on transport program revenue, which has been higher than projected.  In addition, MFMD planned to reduce payments to Daisy Mountain by hiring/training a Mesa employee medical biller.  The position with the City has now been filled, but there was a significant delay in the process that resulted in higher payments for longer than anticipated.  Renewing this contract continues to be advantageous to the City and it is in the City’s best interest to continue partnering with Daisy Mountain.

The Mesa Fire and Medical Department and Purchasing recommend increasing the dollar-limit, Year 3, by $55,000, from $162,700 to $217,700; and authorizing the renewal with Daisy Mountain Fire District, at $340,000 annually, based on estimated usage. This purchase is funded through Medic Unit pilot program revenue.