SUBJECT:
Title
Request Approval of Contract Amendment: 21C-156, Employee Medical Center Services - Heart of Florida Health Center, Inc., Ocala, FL (Budget Impact - Neutral; total estimated savings of $246,000)
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INITIATOR: |
DEPARTMENT: |
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Susan Olsen, Director |
Procurement Services |
DESCRIPTION/BACKGROUND:
On August 18, 2020, the Board approved an agreement with Heart of Florida (HOF) to provide an Employee Medical Center. HOF services include medical, x-rays/labs, prescriptions (tier 1, generic/brands), behavior health, and emergency dental. Through negotiations, HOF agreed to the three (3) year agreement with the annual cost starting in year one (1) at $510,000, increasing to $648,000 in year two (2) and then to $756,000 in year three (3). At this time, HOF has agreed to hold the cost of $510,000 through year two (2) and increase to $648,000 in year three (3) due to the COVID 19 pandemic and individual’s not seeking care; this will generate a savings of $138,000 in the health insurance budget for FY 21/22 and $108,000 in FY 22/23.
Attached for review is a copy of the First Contract Amendment, which has been approved by Legal. Upon approval at today’s meeting, a vendor signed original, approved by Legal, will be presented for the Clerk’s and Chairman’s signature.
BUDGET/IMPACT:
Neutral; reduction in costs will generate a total savings of $246,000 through the term of the agreement.
RECOMMENDED ACTION:
Recommended action
Motion to approve and authorize Chairman to execute the First Contract Amendment with Heart of Florida under 21C-156.
end