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
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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:
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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
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Do nn R is, CMC, City Clerk