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HomeMy WebLinkAboutReso 2013-054RESOLUTION NO.2013-054 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A REVISED AGREEMENT WITH AMERICAN MEDICAL RESPONSE AMBULANCE SERVICE, INC. FOR BASIC AND ADVANCED LIFE SUPPORT SERVICE WITHIN THE CHULA VISTA, IMPERIAL BEACH AND BONITA/SUNNYSIDE FIRE PROTECTION DISTRICT EXCLUSIVE OPERATING AREA; AND APPROPRIATING FUNDS FOR PROGRAM START UP COSTS WHEREAS, the City is authorized by California Government Code Section 38794 and Municipal Code Sections 5.10.310-5.10.340 to contract for ambulance services within its jurisdiction; and WHEREAS, American Medical Response Ambulance Service, Inc. ("AMR"), formerly known as Laidlaw Medical Transportation, Inc. is currently providing Emergency Medical Response Services within the City under the terms of that certain Amended and Restated Original Agreement for Basic and Advanced Life Support Ambulance Services dated December 11, 2007 (the "EOA Agreement"), whereby AMR agreed to provide ambulance services for the City, the City of Imperial Beach and the Bonita/Sunnyside Fire Protection District (collectively, the "Participating Agencies"); and WHEREAS, as it relates to all the Participating Agencies (including the City), the EOA Agreement has been extended multiple times, most recently through September 30, 2014 pursuant to the terms of that certain Revised and Restated Agreement for Basic and Advanced Life Support Ambulance Services by and between AMR and the Participating Agencies effective July 1, 2011; and WHEREAS, as it relates to the City only, the EOA Agreement has been amended multiple times, most recently pursuant to the terms of an agreement entitled Side Letter Agreement for the Provision of Emergency Medical Response Support Services (Chula Vista) ("EMR Support Services Agreement") in order to provide for compensation to the City for certain emergency medical response support services provided to AMR, and to help fund system enhancements: and WHEREAS, for the past three years, the City and AMR have been developing an Advanced Life Support program that provides for the first responder paramedic level "Assessment" Engines within the Fire Department ("FRALS"); and WHEREAS, in order to implement the FRALS program the parties have negotiated an amended and restated EMR Support Services Agreement ("Administrative Agreement"); and Resolution No.2013-054 Page No. 2 WHEREAS, as with the original EMR Support Services Agreement, the negotiation of the terms of this Administrative Agreement was based upon each party's consideration of the following facts, as more specifically described in the agreement: (a) City's lawful authority with respect to the delivery of emergency medical services within the EOA and the City; (b) City projections that its annual cost for EMR Support Services to be provided (including FRALS) exceed the Annual AMR Services Payment to be paid by AMR in consideration for such services; (c) AMR's determination that the annual EMR Support Services add value to the services that it delivers within the City under the EOA Agreement that is equal to or greater than the value of the Annual EMR Support Services Payments; (d) the parties have determined that the Annual EMR Support Payments are consistent with the types of payments approved in advisory opinions issued by the Office of the Inspector General of the Department of Health and Human Services and with the OIG's Compliance Program Guidance for Ambulance Suppliers; and (e) a report from a qualified third party consultant based on a scope of work approved by the parties that (i) reviews the City's cost methodology with respect to FRALS Services, (ii) validates the fact that the City's Annual Support Services Payment with respect to FRALS Services is equal to or less than the projected cost of such services, and (iii) determines the corresponding amount charges by AMR to customers for FRALS Services under this Agreement are consistent with "fair market rates" for similar services provided elsewhere within the EOA; and WHEREAS, City staff presented the Administrative Agreement to the City Council for consideration, along with substantial information regarding City staff estimates that the costs of the services provided by City exceed the compensation City is receiving from AMR in consideration for those services; and WHEREAS, the proposed agreement recovers only a portion of City emergency medical service expenses in order to assure that the maximum rates charged by AMR to ambulance service patients remain at reasonable rates; and WHEREAS, the Administrative Agreement also allows for a corresponding increase in maximum rates allowed to be changed by AMR in order to allow for the partial recovery of costs incurred in order to implement the FRALS program. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby: 1. Approve the Administrative Agreement between the City and AMR in substantially the form presented with such minor modifications or clazifications as may be authorized or required by the City Attorney, and authorize and direct the Mayor to execute same; and 2. Find and determine in connection with such approval that, based on the information presented by staff, that the costs of the services provided by City under the agreement exceed the compensation that City is receiving from AMR as compensation for such services; and Resolution No. 2013-054 Page No. 3 3. Approve an appropriation of $665,191 to the Fire Departrnent's Fiscal Year 2012/2013 budget for startup costs related to the implementation of the First Responder Advanced Life Support program as follows: a) $378,459 to Supplies and Services; b) $148,312 to Personnel Services; and c) $138,420 to Capital Expenses. Presented by ~~~ m~~ Dave Hanneman Fire Chief Approved as to form by len R. oogin City ttorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 26th day of March 2013 by the following vote: AYES: Councilmembers: Bensoussan, Ramirez, Salas and Cox NAYS: Councilmembers: None ABSENT: Councilmembers: Aguilar ATTEST: /~ /'o/S~4~i Donna R. Norris, CMC, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF CHULA VISTA J Cheryl Cox, Mayo I, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2013-054 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 26th day of March 2013. Executed this 26th day of Mazch 2013 ~,~~ ~~ Do nn R is, CMC, City Clerk