SUBJECT
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Consideration to renew contract FY24-029 Sensibill Services, Holy Springs, NC, for billing and provider credentialing services for the detoxification department for an annual amount of $216,000.00 for a total contract value amount of $648,000.00. This award was for a (1) one-year period and provided for the possible extension of this contract for (2) two additional, (1) one-year term periods upon mutual agreement of both parties. This is the first extension of two. Funding is available in the Detoxification budget.
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PREVIOUS COUNCIL ACTION
Council approved initial one-year contract on January 22, 2024
BACKGROUND
Detoxification center seeks to bill insurance providers when applicable for financial suitability. Approximately 30% of all admissions have some sort of insurance; most are from the insurance market place for low income individuals and those with Medicaid and Medicare.
Should the vendor desire to extend the contract for the additional one-year periods, it must so notify the City in writing no later than sixty (60) days before the expiration of the prior term. Such notification shall be effective upon actual receipt by the City. Renewals shall be in writing and signed by the City’s Purchasing Manager & City Manager or his designee, without further action by the Laredo City Council, subject to and contingent upon appropriation of funding therefore. All annual contracts shall be bound the by the terms of the bid documents. The City shall also have the right to extend this contract under the same terms and conditions beyond the original term or any renewal thereof, on a month-to-month basis, not to exceed 3 months. Said month-to-month extensions shall be in writing, signed by the City’s Purchasing Manager and City Manager or his designee, and shall not require City Council approval, subject to and contingent upon appropriation of funding therefore. The City reserves the right to renew or rebid this contract, if the appropriated funds initially approved by City Council are exhausted before the contract expiration date.
This contract will be the responsibility of and administered by the vendor and the City of Laredo Detox Center.
COMMITTEE RECOMMENDATION
N/A
STAFF RECOMMENDATION
recommendation
Staff recommends renewal.
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Fiscal Impact
Fiscal Year: 2025
Budgeted Y/N?: Y
Source of Funds: Click or tap here to enter text.
Account #: 274-7410-543-5588
Change Order: Exceeds 25% Y/N: N
FINANCIAL IMPACT:
Billing services will cost $216,000.00 for the first renewal for billing services for the detoxification department. Funding is available in the.
Account 274-7410-543-5588