Title
Authorize the Purchasing Manager for Natividad Medical Center (NMC) to execute Amendment No. 1 to the Agreement (SC1863) with Info Image of California Inc. for Medical Bill Mailing Services at NMC, extending the Agreement to June 30. 2014 and adding $100,000 for a revised total Agreement amount not to exceed $180,000 in the aggregate.
Body
RECOMMENDATION:
It is recommended the Board of Supervisors authorize the Purchasing Manager for Natividad Medical Center (NMC) to execute Amendment No. 1 to the Agreement (SC1863) with Info Image of California Inc. for Medical Bill Mailing Services at NMC, extending the Agreement to June 30. 2014 and adding $100,000 for a revised total Agreement amount not to exceed $180,000 in the aggregate.
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. InfoImage is the company NMC uses to send out this first mailing to every patient.
Currently, NMC produces approximately twenty to thirty thousand Explanation (Statement) of Services letters per year. InfoImage 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. InfoImage completes all processing of the letters including, sorting, filing, bar-coding, delivery and special handling of foreign mail. InfoImage 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 0.390 to 0.404. In this category NMC’s volume increased by 600 more statements per month.
· Postal pricing for Full First Class went from 0.440 to 0.450. In this category NMC’s volume increased by 90 more statem...
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