Title
Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) or his designee to execute Amendment No. 8 with Credit Consulting Services, Inc. for debt collection services at NMC to add $300,000 for a revised total Agreement amount of $3,700,000 with no change to the term of the Agreement of August 1, 2007 through September 30, 2016.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors:
a. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) or his designee to execute Amendment No. 8 with Credit Consulting Services, Inc. for debt collection services at NMC to add $300,000 for a revised total Agreement amount of $3,700,000 with no change to the term of the Agreement of August 1, 2007 through September 30, 2016.
SUMMARY/DISCUSSION:
Credit Consulting Services, Inc. is one of two agencies that NMC uses to provide collection services for NMC's self-pay patients and bad debt collections. Credit Consulting Services receives a daily data file of all self-pay patients from NMC's Meditech system and is responsible to send three (3) collection notices to the patient within a 150 day time frame. If no response is received from the patient the account is put into bad debt collections. Credit Consulting Services has been providing this service to Natividad since 2007. The payment amount to Credit Consulting Services is based on the percentage of debt collected.
NMC issued Request for Proposals (RFP) 9600-64 on January 22, 2016 to solicit for one or more new Agreements for Debt Collection Services. There were fourteen (14) proposals received for consideration. At the current time all proposals have been evaluated by NMC. It is NMC's intent to have more than one Agreement in place by October 1, 2016 for debt collection as per RFP 9600-64. Until the new agreements are executed, NMC is requesting that an additional $300,000 be added to the current Agreement with Credit Consulting Services because in recent months they h...
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