South Coast Air Quality Management District

Execute Contract for Medical Services Provider

SYNOPSIS:

On February 16, 2001, the Board approved the release of an RFP for a medical services provider. These services include medical evaluations and treatment of AQMD employees for pre-employment examinations, first aid for minor injuries, and workers' compensation injury treatment. This action is to execute a contract with Kaiser Permanente in an amount not to exceed $25,000 per year, for the three-year period of July 1, 2001, through June 30, 2004. Funding for this contract has been included in the FY 2001-02 Budget, and funding will be requested for subsequent years in the budget process.

COMMITTEE:

Administrative, June 8, 2001, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Chairman of the Board to execute a contract for the period July 1, 2001, through June 30, 2004, with Kaiser Permanente to perform medical evaluations and examinations of AQMD employees, in an amount not to exceed $25,000 per year. Funding will be requested in the subsequent fiscal years of this contract during the budget process.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

AQMD currently contracts with Kaiser Permanente to provide medical services in connection with pre-employment medical examinations, evaluation and treatment of certain workers' compensation injuries and illnesses, return-to-work and fitness-for-duty examinations, and other medical evaluations deemed necessary by AQMD. The current contract expires on June 30, 2001.

RFP #2001-28 was released on February 16, 2001, to seek proposals from interested medical services providers. A total of 18 RFPs were mailed to medical services providers.

Outreach

In accordance with AQMD's consulting and contracting policies, a public notice advertising the RFP and inviting proposals were published in the following publications:
 

1.	Antelope Valley Press	10.	La Opinion	19.	Precinct Reporter
2.	Black Voice News	11.	La Voz	20.	Rafu Shimpo
3.	Chinese Daily News	12.	Los Angeles Daily News	21.	Riverside Press Enterprise
4.	Eastern Group Publications	13.	Los Angeles Sentinel	22.	San Bernardino Sun
5.	El Chicano	14.	Los Angeles Times	23.	Santa Clarita Signal
6.	The Excelsior	15.	M/W/DVBE Source	24.	State of California
7.	Inland Empire Hispanic News	16.	Orange County Register		Contracts Register
8.	Inland Valley Daily Bulletin	17.	Palm Springs Desert Sun
9.	Korea Central Daily	18.	Philippine News

Additionally, potential bidders were identified using Los Angeles County MTA Directory of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Empire Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. RFP notices were mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce, and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities" icon]; and on AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Bid Evaluation

A panel of three AQMD employees, including a Human Resources Secretary and two Workers’ Compensation and Safety Analysts, reviewed the proposals. The panel consisted of one female and two males; one African-American, one Caucasian, and one Hispanic.

Seven proposals were received in response to the RFP by the submittal deadline of 5:00 p.m. on March 30, 2001. The panel scored the proposals based on criteria set forth in the RFP. Firms' responsiveness to the RFP, their demonstrated experience as a medical services provider, and their public-sector experience were the major evaluation factors.

The panel believes the proposed contractor is significantly more qualified in occupational medicine, has a substantially greater depth of available medical services, and has many more geographically diverse facilities than the lower-cost firms, ultimately resulting in better value to AQMD, cost savings with respect to employee travel time, and more comprehensive medical evaluations. Four of the lower-cost proposers are single-site, unaffiliated medical facilities with generally only one identified physician providing regular medical services. For these reasons, the panel has recommended the proposed contractor, even though its costs are higher than the other contractors.

Attachment A reflects the listing of all seven proposals received and their final ratings.

Proposal

This action is to authorize the Chairman to execute a contract with Kaiser Permanente for the period July 1, 2001, through June 30, 2004, to perform medical services for AQMD employees, in an amount not to exceed $25,000 per year. These medical services may include pre-employment medical examinations, evaluation and treatment of certain workers' compensation injuries and illnesses, return-to-work and fitness-for-duty examinations, and other medical evaluations deemed necessary by AQMD.

Resource Impacts

An amount not to exceed $25,000 for the period July 1, 2001, through June 30, 2002, has been included in the FY 2001-02 Budget. Board approval for funding in subsequent years of the contract, not to exceed $25,000 per year, will be requested in the budget process.

Attachments

Attachment A - Evaluation of Proposals for RFP #2001-28

ATTACHMENT A

EVALUATION OF PROPOSALS FOR RFP #2001-28

MEDICAL SERVICES PROVIDER

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