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2016-29466 Reso RESOLUTION NO. 2016-29466 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY AND ADVANCED DATA PROCESSING, INC. D/B/A INTERMEDIX; SAID AMENDMENT EXTENDING THE AGREEMENT, ON A MONTH TO MONTH BASIS, COMMENCING ON SEPTEMBER 16, 2016, FOR A TERM NOT TO EXCEED ONE YEAR OR UNTIL SUCH TIME AS A NEW AGREEMENT IS EXECUTED PURSUANT TO A NEW PROCUREMENT PROCESS, WHICHEVER OCCURS FIRST. WHEREAS, the City's Fire-Rescue Division of the Fire Department provides medical transportation for persons requiring Basic Life Support (BLS) and Advanced Life Support (ALS); and WHEREAS, as established by Resolution 2012-28023, patients transported from incident scenes to health care facilities in EMS transport vehicles are charged a BLS or ALS transport fee, a mileage fee, and other charges including, but not limited to, cardiac monitoring, intravenous/intraosseous therapy, airway intubation, and oxygen delivery; and WHEREAS, on September 16, 2010, the current Professional Services Agreement entered into between the City of Miami Beach (City) and Advanced Data Processing, Inc. d/b/a Intermedix (ADPI) for billing and collection services for emergency medical services (EMS) transport was amended to extend the term of the agreement and allow for additional services; and WHEREAS, the services provided by ADPI in this agreement include, but are not limited to, obtaining patient and insurance information for emergency medical transport services provided, verify patient insurance and patient demographic information, filing claims and sending invoices to self-pay accounts, submit claims to Medicare, Medicaid, and insurance companies, process third party reimbursements, provide specific management and financial reports on a monthly basis, and allow the City to use under license their proprietary mobile electronic patient record collection system; and WHEREAS, the fees collected by the City through ADPI are revenue generating, with the following net revenues being generated for the City: FY13/14 $1,508,586.69; FY14/15 $1,836,052.59; and WHEREAS, since the City of Miami Beach outsourced its emergency medical transport billing and collection services in 1994, a number of companies that provide revenue cycle management services and software companies that provide electronic patient care reporting software that integrates with a company that provides revenue cycle management services. WHEREAS, the Administration recommends pursuing a procurement process for the services currently being provided by ADPI, with the revenue cycle services and electronic patient care reporting as standalone services, as being in the best financial interest of the City; and WHEREAS, the current agreement with ADPI expires on September 15, 2016, and in order to continue the current services without interruption, the Administration recommends extending the current agreement on a month to month basis for a term not to exceed one (1) year or until such time as new agreement is executed pursuant to a new procurement process. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby approve and authorize the City Manager and City Clerk to execute Amendment No. 3 to the Professional Services Agreement between the City and Advanced Data Processing, Inc. d/b/a Intermedix; said amendment extending the agreement, on a month to month basis, commencing on September 16, 2016, for a term not to exceed one year or until such time as a new agreement is executed pursuant to a new procurement process, whichever occurs first. PASSED and ADOPTED this /3 day of :Tt^ l y , 2016. ATTEST: AK''7/ • L • TY CLERK - \ E. 0 MAYOR • +' INCORP ORATED' T:WGENDAI22(116'tjIy entV4. "iso.doc k. APPROVED AS TO FORM & LANGUAGE &FOR gXECUTION Lt° City Attorney c7c Dote COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE AMENDMENT NO.3 TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY AND ADVANCED DATA PROCESSING, INC. D/B/A INTERMEDIX; SAID AMENDMENT EXTENDING THE AGREEMENT,ON A MONTH TO MONTH BASIS,COMMECING ON SEPTEMBER 16,2016,FOR A TERM NOT TO EXCEED ONE YEAR OR UNTIL SUCH TIME AS A NEW AGREEMENT IS EXECUTED PURSUANT TO A NEW PROCUREMENT PROCESS,WHICHEVER OCCURS FIRST. Key Intended Outcome Supported: Streamline The Delivery of Services Through All Departments;Ensure Expenditure Trends Are Sustainable Over The Long Term Supporting Data(Surveys, Environmental Scan,etc.): N/A Item Summary/Recommendation: The Fire Department responds to all emergency medical incidents and provides pre-hospital care to the sick and injured.They transport patients in need of medical treatment to area hospitals where their care is transferred to an emergency room physician. No charges are levied unless the patient is transported by the Fire Department to a hospital for further medical treatment.When this occurs,the paramedics are responsible for obtaining and recording patient demographic information on a patient care report. Advanced Data Processing, Inc. (ADPI)originated in 1974 and is one of the largest providers of medical billing and coding services to emergency medical services agencies in the United States.Intermedix Corporation owns 100%of ADPI and they provide a fully outsourced billing solution including the provision of a proprietary mobile electronic patient record collection system for its clients to capture patient information at the scene of an incident. On September 16,2010,the current Professional Services Agreement entered into between the City of Miami Beach ("City")and Advanced Data Processing, Inc. D/B/A Intermedix—ADPI("ADPI")for Billing and Collection Services for Emergency Medical Services (EMS) Transport was amended to extend the term of the agreement and allow for additional services. Since 1994 the City of Miami Beach has been in agreement with Advanced Data Processing, Inc.for its emergency medical transport billing and collection services.The services provided by ADPI in the current agreement include,but are not limited to, obtaining patient and insurance information for emergency medical transport services provided, verify patient insurance and patient demographic information,filing claims and sending invoices to self-pay accounts, submit claims to Medicare, Medicaid, and insurance companies, process third party reimbursements, and provide specific management and financial reports on a monthly basis, as specified by the City. In the current professional services agreement the City of Miami Beach pays fees for services at a rate of six and one- half percent(6.5%)of all monies collected by ADPI, excluding Medicaid accounts that are a flat fee of$10.00 per account. Amendment No. 2 of the agreement allowed the City to utilize their proprietary mobile electronic patient record collection system to enter patient information and data into and interact with its main billing and medical records system. Intermedix made this system available to the City under license for an additional fee of five and two-tenths percent(5.2%)of net collections. Since the City of Miami Beach outsourced its emergency medical transport billing and collection services in 1994 there are now multiple companies that provide revenue cycle management services.There are multiple software companies that provide reporting software that integrates with revenue cycle management companies. The Administration believes seeking independent proposals for these services is in the best financial interest of the City. Based upon the expiration of the current contract with Advanced Data Processing,Inc.(D/B/A/ADPI—Intermedix)on September 16,2016 the Administration would like to extend the current contract on a month to month basis until such time as new contracts are awarded for emergency medical transport billing and collection services and electronic patient care reporting software. The Administration recommends approving an extension of the current contract with Advanced Data Processing,Inc.(D/B/A/ADPI—Intermedix)on a month to month basis until such time as the new RFP can be awarded. Advisory Board Recommendation: N/A Financial Information: Source of Amount Account Funds: 1 N/A Total Financial Impact Summary: This contract is funded by paying a percentage of net collections from medical transports revenue. City Clerk's Office Legislative Tracking: Virgil Fernandez, Fire Chief,ext. 7120 Sign-Offs: Departm:L a irector Assistant City Manager. City nager V -j JLM M I AM I B EAC H Agenda Item C 7 Date 7- ® MIAMIBEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139,www.miamibeachfl.gov COMMISSI w N MEMORANDUM JJI TO: Mayor Philip Levine and Members .1 the City Co Il missio. FROM: Jimmy L. Morales, City Manager DATE: July 13, 2016 SUBJECT: A RESOLUTION OF THE MAY ►R AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY AND ADVANCED DATA PROCESSING, INC. D/B/A INTERMEDIX; SAID AMENDMENT EXTENDING THE AGREEMENT, ON A MONTH TO MONTH BASIS, COMMENCING ON SEPTEMBER 16, 2016, FOR A TERM NOT TO EXCEED ONE YEAR OR UNTIL SUCH TIME AS A NEW AGREEMENT IS EXECUTED PURSUANT TO A NEW PROCUREMENT PROCESS, WHICHEVER OCCURS FIRST. ADMINISTRATION RECOMMENDATION Adopt the resolution. BACKGROUND The City's Fire-Rescue Division was established in October 1966 and responds to all emergency medical incidents and provides pre-hospital care to the sick and injured. They transport patients in need of medical treatment to area hospitals where their care is transferred to an emergency room physician. The Fire Department is frequently summoned when people are sick and injured in Miami Beach through the City's 9-1-1 system. Paramedics arrive and assess the severity of the patient's injuries. No charges are levied unless the patient requires medical transportation by the Miami Beach Fire-Rescue Department to a hospital for further medical treatment. When this occurs, one of the paramedics is responsible for collecting and recording the patient demographic information from either the patient or an accompanying person on scene. The paramedics' primary responsibility is to aid the injured and secondary is to complete the incident report and collect patient demographic information. ADPI is assigned the task of obtaining missing patient demographic information to maximize collection efforts through healthcare data exchanges with healthcare facilities and insurance providers. On September 27, 2012 the City Commission passed Resolution No. 2012-28023 authorizing the billing of $800 for Basic Life support, Advanced Life Support 1, or Advanced Life Support 2 emergent medical transports to assist in cost recovery. Transport fees are established by Miami Dade County Code Section 4-7. Additional charges in varying amounts are based on miles transported to the hospital and the need for supplemental medical services such as cardiac Commission Memorandum—Advanced Data Processing, Inc. Page 2 of 3 monitoring, intravenous/intraosseous therapy, airway intubation, and oxygen delivery. Despite these associated costs for medical transportation of a patient no individuals are deprived of fire- rescue transport services due to their inability to pay for services. Advanced Data Processing, Inc. or ADPI originated in 1974 and is one of the largest providers of medical billing and coding services to emergency medical services agencies in the United States. Intermedix Corporation owns 100% of ADPI and Advanced Data Processing, Inc. has been the legal name of the company for over the past 11 years. They also provide a fully outsourced billing solution including the provision of a proprietary mobile electronic patient record collection system for its clients to capture patient information at the scene of an incident. Intermedix is headquartered in Fort Lauderdale, Florida for more than 11 years and have 29 offices located in 14 states. Their corporate office that contracts with Miami Beach is located at 7900 NW 154 ST in Miami Lakes, FL. City Commission Memorandum No. 359-94 originally awarded ADPI a one year contract on May 18, 1994 to provide emergency medical transport billing and collection services with an option for two additional years at the City Manager's discretion. A second agreement was approved on December 15, 1999 and expired on December 15, 2004 after the City elected to renew the agreement for the two additional one year terms. This agreement was further extended on a month to month basis until June 2008 when a third consecutive agreement with ADPI was finalized. The agreement was signed by the City Clerk, City Manager, and the vendor and it piggybacked Miami Dade County Contract No. TBW7863-01/06-1 and did not require approval by the City Commission pursuant to City Code Section 2-369. On September 16, 2010 the City Commission passed Resolution 2010-27386 waiving the competitive bidding requirement and allowing the City to amend an existing contract with ADPI. The amendment allowed the City to provide for additional services to utilize their proprietary TripTix electronic patient care reporting (ePCR) system. This amendment provided an estimated five (5) year cost savings of $247,585. The amendment referred to as Amendment No. 2 extended the term of the agreement by an initial three (3) year term commencing on the last date of execution and automatically renewing for a period of one (1) additional three (3) year term at the end of the initial term. ANALYSIS On September 16, 2010, the current Professional Services Agreement entered into between the City of Miami Beach ("City") and Advanced Data Processing, Inc. D/B/A Intermedix - ADPI ("ADPI") for Billing and Collection Services for Emergency Medical Services (EMS) Transport was amended to extend the term of the agreement and allow for additional services. Since 1994 the City of Miami Beach has been in agreement with Advanced Data Processing, Inc. for its emergency medical transport billing and collection services. The services provided by ADPI in the current agreement include, but are not limited to, obtaining patient and insurance information for emergency medical transport services provided, verify patient insurance and patient demographic information, filing claims and sending invoices to self-pay accounts, submit claims to Medicare, Medicaid, and insurance companies, process third party reimbursements, and provide specific management and financial reports on a monthly basis, as specified by the City. Amendment No. 2 allowed the City to utilize their proprietary ePCR system, TripTix at an additional fee for use. In the current professional services agreement the City of Miami Beach pays fees for services at a rate of six and one-half percent (6.5%) of all monies collected by ADPI, excluding Medicaid Commission Memorandum—Advanced Data Processing, Inc. Page 3 of 3 accounts. ADPI includes in the same invoice an amount of $10.00 per Medicaid account for providing all billing services related to such accounts. Intermedix Corporation developed the TripTix system running on tablet personal computers to enter medical records and data into and interact with its main billing and medical records system and Intermedix is making this system available to the City under license for an additional fee of net collections. The fee is five and two-tenths percent (5.2%) and includes: • (13) pen-based Panasonic Toughbook tablet units, field automation software, administrative reporting system, training, and support. • Hardware replacement upon contract renewal(s). • Overnight loaner replacement tablets for units out of service for repairs. The following table lists the relevant fire-rescue data regarding medical calls and transports for Fiscal Year 2013/2014 and Fiscal Year 2014/2015 as compiled from the Fire Department's computer aided Dispatch (CAD) and report management software (RMS) databases: FY 13/14 FY 14/15 EMS Calls 17,058 18,050 EMS Transports 7,955 7,956 The City collected the following revenues less ADPI's fees during the past two (2) fiscal years: FY 13/14 FY 14/15 TOTAL Gross Collection $1,967,207.75 $2,356,029.32 $4,323,237.07 ADPI Fee (11.7%) $232,134.36 $277,721.58 $509,855.94 Net Collection $1,508,586.69 $1,836,052.59 $3,344,639.28 A staff member of the Fire Department participated in the committee for the City of Miami's RFP547382 for Emergency Medical Transportation Billing and Collection Services on June 6, 2016 to understand the process and inform the City on competing vendors providing the same services. It is the City's understanding there is a competitive environment of reputable and experienced vendors for solicitation of revenue cycle management services. Since the City of Miami Beach outsourced its emergency medical transport billing and collection services in 1994 there are now multiple companies that provide revenue cycle management services. There are also multiple software companies that provide electronic patient care reporting software that integrates with a company that provides revenue cycle management services. The Administration believes seeking proposals for these services independent of each other is in the best financial interest of the City. Based upon the expiration of the current contract with Advanced Data Processing, Inc. (D/B/A/ADPI - Intermedix) on September 16, 2016 the Administration would like to extend the current contract on a month to month basis until such time as new contracts are awarded for emergency medical transport billing and collection services and electronic patient care reporting software. CONCLUSION The Administration recommends approving an extension of the current contract with Advanced Data Processing, Inc. (D/B/A/ADPI - Intermedix) on a month to month basis until such time as the new RFP can be awarded.