Title
Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Renewal and Amendment No. 2 to the Agreement (A-12226) with Info Image of California Inc. for Medical Bill Mailing Services at NMC, extending the Agreement an additional two year period for a revised term of June 1, 2010 through June 30, 2016 and adding 144,000 for a revised total Agreement amount not to exceed $324,000.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) to execute Renewal and Amendment No. 2 to the Agreement (A-12226) with Info Image of California Inc. for Medical Bill Mailing Services at NMC, extending the Agreement an additional two year period for a revised term of June 1, 2010 through June 30, 2016 and adding 144,000 for a revised total Agreement amount not to exceed $324,000.
SUMMARY/DISCUSSION:
As part of the Fair Trade and Lending Act, Federal and States laws require NMC to send an explanation of services letter to every patient who receives services. Info Image is the company NMC uses to send out this first mailing to every patient.
Currently, NMC produces approximately twenty to thirty thousand Explanations (Statement) of Services letters per year. Info Image services allow NMC's electronic medical record program (MediTech) to interface easily into the statement of services providing 100% data-to-mail integrity and eliminating duplications or corrupt data. Info Image completes all processing of the letters including, sorting, filing, and bar-coding, delivery and special handling of foreign mail. Info Image provides integrated services with the US Postal Service and remains current with postal rules and regulations to meet compliance.
This Amendment No. 1 requires a significant increase in costs for the coming fiscal year due to the following:
* Postal pricing for Mixed Pre-Sort went up from 0.405 to 0.435. In this category NMC's volume...
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