Title
Authorize the Contracts/Purchasing Officer to sign Amendment No. 4 to the 2016 professional services agreement with Intercare Holdings Insurance Services, Inc. for general liability claims administration services, to extend the term an additional three years for a revised Agreement term of July 1, 2016, through June 30, 2026, and increasing compensation over the three-year extension in an amount not to exceed $493,304, for a total Agreement amount not to exceed $1,556,468.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors authorize the Contracts/Purchasing Officer to sign Amendment No. 4 to the 2016 professional services agreement with Intercare Holdings Insurance Services, Inc. for general liability claims administration services, to extend the term an additional three years for a revised Agreement term of July 1, 2016 through June 30, 2026, and increasing compensation over the three-year extension in an amount not to exceed $493,304, for a total Agreement amount not to exceed $1,556,468.
SUMMARY/DISCUSSION:
The County entered into an Agreement with Intercare Holdings Insurance Services, Inc. on June 17, 2016, for general liability claims administration, effective July 1, 2016, through June 30, 2018, in the amount of $328,000 with the option to extend the agreement for three, one-year periods. The County and Contractor amended the Agreement twice (Amendment 1 - $144,000 and Amendment 2 - $148,320), extending the term to June 30, 2020, and increasing the compensation to an amount not to exceed $620,320. Most recently Amendment No. 3 extended the agreement by three years through and including June 30, 2023, and increased the total compensation amount by $442,844. The total cost of the Agreement since its inception is $1,063,164.
With the Agreement set to expire on June 30, 2023, Amendment No. 4 proposes to extend the Agreement on favorable terms for three years, effective July 1, 2023, through June 30, 2026, and
will allow Intercare to work collaboratively with County Counsel-Risk Management and assist with management of general liability claims and protection of the County of Monterey’s assets.
The current “not to exceed amount” of the Agreement is $1,063,164. Amendment No. 4 will extend the term of the agreement by three (3) years, effective July 1, 2023, through June 30, 2026, and add an additional amount not to exceed $493,304.40 over the three years. The following annual renewal schedule shows the compensation breakdown:
Year Term Annual Compensation Total Not to Exceed
1 July 1, 2023 to June 30, 2024 $159,598.95 $1,222,762.95
2 July 1, 2024 to June 30, 2025 $164,386.92 $1,387,149.87
3 July 1, 2025 to June 30, 2026 $169,318.53 $1,556.468.40
OTHER AGENCY INVOLVEMENT:
The attached Amendment No. 4 has been reviewed and approved by County Counsel as to legal form. The fiscal terms, insurance, and indemnity provisions remain as set forth in the original agreement.
FINANCING:
Funding for the professional services agreement is provided from the General Liability - ISF (475-1210-COU004-8409).
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
Check the related Board of Supervisors Strategic Initiative(s):
___ Economic Development - Through collaboration, strengthen economic development to ensure a diversified and healthy economy.
_X_ Administration - Promote an organization that practices efficient and effective resource management and is recognized for responsiveness, strong customer orientation, accountability and transparency.
___ Health & Human Services - Improve health and quality of life through County supported policies, programs, and services; promoting access to equitable opportunities for health choices and healthy environments in collaboration with communities.
___ Infrastructure - Plan and develop a sustainable, physical infrastructure that improves the quality of life for County residents and supports economic development results.
___ Public Safety - Create a safe environment for people to achieve their potential, leading business and communities to thrive and grow by reducing violent crimes as well as crimes in general.
Prepared by:
___________________________________
Cecilia A. Merillana, Management Analyst
Approved by:
___________________________________
Leslie J. Girard, County Counsel
Attachments: Intercare - Original Agreement
Intercare - Amendment No. 1
Intercare - Amendment No. 2
Intercare - Amendment No. 3
Intercare - Proposed Amendment No. 4