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HomeMy WebLinkAboutContract 46573-A1 CITY SECRETARY , , 46573 CSC Contract No. CONTRACT NO. °" AMENDMENT NO. 1# TO • CITY SECRETARY CONTRACT NO.46573 PROFESSIONAL SERVICES AGREEMENT VIVERAE This First Amendment("Amendment") refers to and modifies that certain Professional Services Agreement("PSA") between Viverae, Inc. ("Contractor") and the City of Fort Worth (the"City")with an Effective Date of April 3, 2015 (hereinafter referred to as the"Agreement'). WHEREAS, the Parties desire to modify certain terms and provisions of the Agreement; NOW THEREFORE, in consideration of the mutual promises and obligations set forth in this Amendment and the Agreement and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and intending to be legally bound, Contractor and the City agree as follows: 1, Eligible Member Definition. Effective May 1, 2017, the Eligible Member Definition set forth in Exhibit B of the Agreement is deleted and replaced with the following: All employees,retirees, and spouses. 2. Billing and Payment Schedule. Effective May 1, 2017,the Billing and Payment Schedule set forth in Exhibit B is amended to add the following: PRODUCTS MyViverae(spouses) -Rate per spouse Eligible Member per month $0.50 Coaching ll(spouses) -Rate per spouse Eligible Member per month $0.25 3. Current Spouse Count. The current estimated count is 3,075 spouses. 4. Except as expressly modified in this Amendment, all other terms and conditions of the Agreement shall remain in full force and effect. The City and Contractor have acknowledged their understanding of and hereby agree to the mutual promises contained herein by executing this Amendment as of the last date signed below. City of Fort Worth Viverae,Inc. rNarrn : san Alanis Name: Michael K.Lamb Title: Assistant City Manager Title: President&CEO Date: Date: / -7 OFFICIAL RECORD CITY y�S(E(C�REETAyRY 10670 N.Central Expwy.,Suite 700,Dallas TX.75231 0 214 82�4TOD q fere t?srT7 2015 Q Viveree,Inc.All Rights Reserved. Page 1 of 2 46573 CSC Contract No. Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensu rin atilt performance and reporting requirements. V; i Tieszen _ S cp'/7 ---.Wellness/EAP Prograzn_Manager CITY OF FORT WORTH: VIVERAE,INC: QBy: O-- By: - &-7 —All an Alanis Michael K. Lamb Assistant City Manager President & CEO Date: S (0 Date: 4)/>v / ? OF FO'Q ATTEST- r 13:: .. By: - ''O ary City Se tary APPROVED TO FORM AND LEGAL By: //':��4/ oslyn Y. Hood Assistant City Attorney Contract Authorization: M&C: C-27'225 FOFFICIALECORDForm 1295: Not RequiredETARYH,TX Page 2 of 2 M&C Review Page 1 of 3 Official site of the City of Fort Worth,Texas CITY COUNCIL AGENDA FoR TIVoRm COUNCIL ACTION: Approved on 3/17/2015 DATE: 3/17/2015 REFERENCE NO.: **C-27225 LOG NAME: 14VIVERAE CODE: C TYPE: CONSENT PUBLIC HEARING: NO SUBJECT: Authorize Execution of a Contract with VIVERAE, INC., for Health and Wellness Services for the Human Resources Department in the Amount Up to $292,250.00 for the First Year (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council authorize execution of a Contract with VIVERAE, INC. for health and wellness services for the Human Resources Department in the amount up to $292,250.00 for the First Year. DISCUSSION: The Human Resources Department will use this contract to purchase professional services for an expanded health and wellness program for City employees and retirees. The purpose of these services will be to lower health insurance and pharmacy spending, improve the quality of preventive care and increase engagement. These services will include Data Analytics(medical claims, pharmacy claims and biometrics) to drive the expansion of the wellness program toward targeted interventions, administration of the Tobacco Affidavit and Physician Biometric Form, Online Health Risk Questionnaire and a Tobacco Cessation Program. The Tobacco Affidavit, Tobacco Cessation Program and Physician Biometric Form are new requirements for eligibility of health insurance premium discounts in 2016. During the second year of this contract, additional services will be added to achieve a full program. In addition to the first year services($292,250.00), the additional services will include customized interventions to include targeted outreach coaching and preventive care data management ($250,000.00). This will either be in partnership with the health plan administrator or as a carve out depending on the outcome of the current Request for Proposals (RFP). The contract terms with VIVERAE provide the City the flexibility to make that decision at the appropriate juncture. The total estimated cost for 2016 will be approximately$542,250.00. The proposed contract is for a two-year period with three, one-year renewal options. During the initial term, services would be provided for a total amount of$834,500.00 for the entire two-year term. Approval of this Mayor and Council Communication includes funding for this contract through the remainder of Fiscal Year 2015. The remaining funding for the initial term will be provided through future budget processes. Should the City choose to not fund the remainder of the initial term, the City shall have the right to cancel the contract. Using VIVERAE's health management program, the City anticipates achieving a 2.5 percent to 7 percent decrease in medical and prescription claims cost over the course of the contract. Based on the City's claims spend for 2014 of$86,018,489.08, this would be a potential savings of$2.1 million to $6 million. VIVERAE will support the City's effort to employ a physician engagement model designed to assist with mitigating increasing healthcare costs and improving employee productivity and health, wellness and care management. Engagement with a primary care physician is the lowest cost point of entry into the health care system and the first and foremost method of managing chronic disease and illness. http://apps.cfwnet.org/council_packet/mc—review.asp?ID=20863&councildate=3/17/2015 2/8/2017 M&C Review Page 2 of 3 .i A RFP was issued on November 19, 2014, with detailed specifications to provide health and wellness services. The evaluation factors included responsiveness to the RFP, understanding of the scope of services, flexibility to customize services for the City, qualifications of the firm and price of services. The proposals received were reviewed by an evaluation committee consisting of staff from the Human Resources Department. The approved Fiscal Year 2015 budget includes funds for this contract through September 2015. An appropriation request for the remainder of calendar year 2015 will be included as part of the Fiscal Year 2016 budget process. The contract will include a standard fiscal funding out clause that would comply with state law requirements by allowing the City to terminate the Agreement without penalty, if in the future, the City Council elects not to appropriate funds for the contract to continue. PRICE ANALYSIS-The services provided under this contract are new to the Human Resources Department. Therefore, there is no direct relationship to allow comparison of current pricing to a previous contract. Staff reviewed the prices and determined the prices to be fair and reasonable. BID ADVERTISEMENT-This bid was advertised in the Fort Worth Star-Telegram from November 19, 2014 through December 18, 2014. Thirty-four vendors were solicited from the purchasing database; seventeen responses were received. M/WBE OFFICE-A waiver of the goal for MBE/SBE subcontracting requirements was requested by the Purchasing Division and approved by the M/WBE office. In accordance with the M/WBE or SBE Ordinance, because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. ADMINISTRATIVE CHANGE ORDER-An administrative change order or increase may be made by the City Manager in the amount of up to $50,000.00 and does not require specific City Council approval as long as sufficient funds have been appropriated. AGREEMENT TERM- Upon City Council approval, the initial two-year term of this contract shall begin on April 1, 2015 and expire on March 31, 2017. RENEWAL OPTIONS-This contract may be renewed for up to three additional one-year terms at the City's option. This action does not require specific City Council approval provided that the City Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that funds are available in the current operating budget, as appropriated, of the Group Health and Insurance Fund for the period through September 30, 2015. Upon execution of this contract, remaining funds will be $668,579.00. TO Fund/Account/Centers FROM Fund/Account/Centers FE85 534830 0148510 $185.000.00 Submitted for City Manager's Office by: Susan Alanis (8180) Originating Department Head: Brian Dickerson (7783) Vicki Tieszen (8556) Additional Information Contact: Margaret Wise(8058) http://apps.cfwnet.org/council_packet/mc review.asp?ID=20863&councildate=3/17/2015 2/8/2017