Title
Human Resources Department, Risk Management Division, recommending the Board approve and authorize the Chair to sign Amendment I to Agreement 048-S1711 (FENIX 101), with the Permanente Medical Group, Inc. to provide occupational health services for pre-employment exams, extending the term by six (6) months to December 31, 2018 and increasing the total not to exceed amount of the Agreement by $60,000 for a new total not to exceed amount of $235,000.
FUNDING: Risk Management Internal Services Fund.
Body
DEPARTMENT RECOMMENDATION
Human Resources Department, Risk Management Division, recommending the Board approve and authorize the Chair to sign Amendment I to Agreement No. 048-S1711 (FENIX No. 101), with the Permanente Medical Group, Inc. to provide occupational health services for pre-employment exams, extending the term by six (6) months to December 31, 2018 and increasing the total not to exceed amount of the Agreement by $60,000 for a new total not to exceed amount of $235,000.
DISCUSSION / BACKGROUND
On June 24, 2014, the Board awarded Request for Proposal (RFP) No. 14-961-054 for the provision of occupational health services, specifically in the areas of pre-employment (post offer) physical examinations, non-DOT reasonable suspicion testing, and fitness-for-duty evaluations and examinations upon request, to the successful proposer, The Permanente Medical Group, Inc. of Oakland, CA.
The initial Agreement approved by the Board (085-S1511) was a two-year term which expired on June 30, 2016. Since the RFP process is in effect for three years, a new Agreement was approved by the Board (048-S1711) for a one-year term with the not to exceed amount of $175,000. The current Agreement is set to expire June 30, 2018.
Human Resources is requesting to extend the current Agreement beyond the three-year period (for an additional six months - with an expiration date of December 31, 2018) to allow time to initiate a new RFQ process. In extending the current agreement, Human Resources is requesting an additional $60,000 be added to the amended Agreement.
ALTERNATIVES
The Board could choose to not approve the amendment, and the current agreement would expire on June 20, 2018. However, this may lead to a gap in the availability of occupational health services which could impact the hiring process or other Human Resources functions.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION
It is recommended that the Board approve this item.
FINANCIAL IMPACT
Costs are budgeted and paid through the Risk Management Internal Services Fund and the remainder is absorbed by departments as part of their pre-employment costs for the period of the contract.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Following Board approval, the Board Clerk will forward one fully executed original of the Agreement to Procurement and Contracts for distribution and administration.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Tameka Usher, Director of Human Resources
Robert Schroeder, Risk Manager