DEPARTMENT: Human Resources
DEPARTMENT HEAD: Lori Steward
COUNCIL DISTRICTS IMPACTED: City-Wide
SUBJECT:
Occupational Health Services for City Employees and Pre-employment Testing
SUMMARY:
This Ordinance authorizes the City Manager or his designee to execute a contract with Southwest PA, LLC dba Concentra Medical Centers (Concentra) to provide occupational health services to include pre-employment physicals and drug testing, random drug testing in compliance with the Department of Transportation, immunizations for specified City departments, promotional physical examinations for uniformed Police and Fire employees, and fitness for duty evaluations. The term of this contract is three (3) years, beginning March 1, 2021, and ending February 28, 2024, with the option to renew for two additional one-year periods. Funding is available in the FY 2021 Employee Benefits and Workers Compensation Self-Insurance funds with future years subject to and contingent upon appropriation by City Council.
BACKGROUND INFORMATION:
The City provides occupational health services that include, but are not limited to, pre-employment physicals, fitness-for-duty evaluations, promotion evaluations, as well as random and reasonable suspicion drug and alcohol testing (which includes post-accident drug testing), and job-specific immunizations. Several City departments utilize occupational health services for hiring and promotion purposes as well as for compliance with Department of Transportation requirements during and after standard business hours. The City wishes to coordinate all occupational health services at a centralized location, to be utilized by multiple departments within the City, under the management of the Human Resources Department.
PROCUREMENT REVIEW:
The Finance Department, Purchasing Division on behalf of the Human Resources Department released a Request for Proposal (RFP) on August 24, 2020 seeking proposals for a qualified Respondent interested in administering the occupational health services through a central facility to be utilized by multiple departments within the City. The RFP was advertised in the San Antonio Express-News on August 24, 2020. A pre-submittal conference was held on September 3, 2020, to allow for Respondent questions and clarification to the RFP. Four (4) proposals were received by the October 8, 2020 deadline. One respondent withdrew their proposal after further clarification and confirmed their inability to meet the terms of the RFP. The Evaluation Committee included representatives from the Human Resources Department and the Office of Risk Management.
The evaluation of each proposal response was based on a total of 100 points; 25 points allotted for experience, background, qualifications; 40 points allotted for proposed plan and 20 points allotted for Respondent’s price schedule. Preference points were waived for the Small Business Economic Development Advocacy (SBEDA) Program. In addition, 10 points were allotted for the Local Preference Program and 5 points for the Veteran-Owned Small Business Preference Program.
The Evaluation Committee met on November 12, 2020 to evaluate the three (3) remaining respondents who submitted proposals. On November 24, 2020, the Evaluation Committee reconvened to conduct interviews of the respondents, to finalize discussion of the proposals, and to make a contract recommendation. The Committee recommends Occupational Health Centers of the Southwest PA, LLC dba Concentra Medical Centers for award as the firm receiving the highest collective score from the evaluation categories.
In accordance with Local Preference Program, the recommended Respondent received 5 points for having a local office in the San Antonio City limits.
The Veteran-Owned Small Business Preference Program was applied in the evaluation of responses received for this contract; however, none of the respondents were Veteran-Owned small businesses.
The recommended vendor, Concentra, will provide a convenient, centralized venue for employees to obtain pre-employment physicals, drug testing, and work-related immunizations. Concentra also offers several convenient locations throughout San Antonio making it easily accessible to employees.
A post-solicitation briefing to the Audit and Accountability Committee was held on December 15, 2020.
ISSUE:
Award of this contract will allow for continued centralized occupational health services for existing and prospective employees at a conveniently located facility and remain in compliance with drug testing requirements of the Department of Transportation.
ALTERNATIVES:
Should this contract not be approved, the City would not have access to essential occupational health services such as pre-employment physicals and drug testing, random drug testing in compliance with the Department of Transportation, immunizations for specified City departments, promotional physical examinations for uniformed Police and Fire employees, and fitness for duty evaluations when the contract with the current vendor, Concentra, expires on February 28, 2021. There are no further extensions, which would require HR to pursue another Request for Proposal process.
FISCAL IMPACT:
This is an Ordinance approving a professional services contract with Occupational Health Centers of the Southwest, PA, d/b/a Concentra Medical Centers, in an estimated annual amount of $787,000.00, to provide occupational health services to include pre-employment physicals and drug testing, random drug testing in compliance with the Department of Transportation, immunizations for specified City departments, promotional examinations for uniformed Police and Fire employees, and fitness for duty evaluations for a three year term beginning March 1, 2021 and ending February 28, 2024, with two renewal options. Funding is available in the FY 2021 Employee Benefits and Workers Compensation Self-Insurance funds. Funding for future fiscal years are contingent upon City Council appropriations as part of the annual budget process.
RECOMMENDATION:
Staff recommends approval of this ordinance to execute a contract with Southwest PA, LLC dba Concentra Medical Centers to provide occupational health to include pre-employment physicals and drug testing, random drug testing in compliance with the Department of Transportation, immunizations for specified City departments, promotional physical examinations for uniformed Police and Fire employees, and fitness for duty evaluations beginning March 1, 2021, and ending February 28, 2024, with the option to renew for two additional one-year periods, subject to and contingent upon funding by City Council.
This contract is procured by means of Request for Proposals and a Discretionary Contract Disclosure Form is attached.