APPROVED AS TO FORM AND LEGALITY
___________________________
CITY ATTORNEYS OFFICE
OAKLAND CITY COUNCIL
RESOLUTION NO. ______________ C.M.S.
INTRODUCED BY COUNCILMEMBER [IF APPLICABLE]
RESOLUTION AUTHORIZING THE CITY ADMINISTRATOR TO AWARD A PROFESSIONAL SERVICES AGREEMENT WITH JT2 INTEGRATED RESOURCES, INC. TO PROVIDE WORKERS COMPENSATION ADMINISTRATION SERVICES FOR THE PERIOD OF JULY 1, 2025 THROUGH JUNE 30, 2029, IN AN AMOUNT OF
THREE MILLION, FORTY FOUR THOUSAND, SEVEN HUNDRED FOUR DOLLARS ($3,044,704) FOR CONTRACT YEAR 2025-2026, AND AN AMOUNT OF THREE
MILLION, ONE HUNDRED SIXTY SIX THOUSAND, FOUR HUNDRED NINETY THREE DOLLARS ($3,166,493) FOR CONTRACT YEAR 2026-2027, AND AN
AMOUNT OF THREE MILLION, TWO HUNDRED NINETY THREE THOUSAND, ONE HUNDRED FIFTY THREE DOLLARS ($3,293,153) FOR CONTRACT YEAR 2027- 2028, AND AN AMOUNT OF THREE MILLION, FOUR HUNDRED TWENTY FOUR THOUSAND, EIGHT HUNDRED EIGHTY DOLLARS ($3,424,880) FOR CONTRACT YEAR 2028-2029, WITH AN OPTION TO EXTEND THE AGREEMENT IN ONE TWO-
YEAR INCREMENT WITH AN AMOUNT OF THREE MILLION, FIVE HUNDRED SIXTY ONE THOUSAND, EIGHT HUNDRED SEVENTY SIX DOLLARS ($3,561,876) FOR CONTRACT YEAR 2029-2030, AND AN AMOUNT OF THREE MILLION, SEVEN
HUNDRED FOUR THOUSAND, THREE HUNDRED FIFTY TWO DOLLARS
($3,704,352) FOR CONTRACT YEAR 2030-2031, FOR A TOTAL AMOUNT OVER THE
SIX -YEAR TERM OF THE CONTRACT OF TWENTY MILLION, ONE HUNDRED
NINETY FIVE THOUSAND, FOUR HUNDRED FIFTY EIGHT DOLLARS
($20,195,458).
WHEREAS, the City Council desires workers compensation third party claims administration services; and
WHEREAS, after engaging in an RFP process, the City determined that JT2 Integrated Resources, Inc. (JT2) provided the most efficient and effective option for the provision of workers compensation third party claims administration services; and WHEREAS, the agreement provides that for the performance of the services JT2 Integrated Resources will be paid a contract fee and contract renewal is based on acceptable performance as determined by an independent audit; and
WHEREAS, pursuant to the City Councils moti on authorizing the agreement with JT2 Integrated Resources, the agreement provides that the term thereof shall be for four (4) years; and 2 WHEREAS, most services will be charged under the claims administration fees, but the contract amount also includes other specialized professional services provided on an as-needed basis; and
WHEREAS, these specialized professional services include, but are not limited to, Bill Review Services, FEHA/Disability Management Services, and Loss Control Services; and WHEREAS, the City Council finds that this contract is for services of a professional and temporary nature, and shall not result in the loss of employment or salary by any person having permanent status in the competitive service; now, therefore, and WHEREAS: That funding for these contract services is contained in the budget respectively in the Workers Compensation Insurance Claims Fund (1150); be it RESOLVED: That the City Administrator is authorized to award a professional services agreement with JT2 Integrated Resources, Inc. to provide Workers Compensation Administration Services for the period of July 1, 2025 through June 30, 2029, in an amount of three million, forty four thousand, seven hundred four dollars ($3,044,704) for contract year 2025-2026 and an amount of three million, one hundred sixty six thousand, four hundred ninety three dollars ($3,166,493) for contract year 2026-2027, and an amount of three million, two hundred ninety three, one hundred fifty three dollars($3,293,153) for contract year 2027-2028, and an amount of three million, four hundred twenty four thousand, eight hundred eighty dollars($3,424,880) for contract year 2028-2029, with an option to extend the agreement in one two-year increment with an amount of three million, five hundred sixty one, eight hundred seventy six dollars ($3,561,876) for contract year 2029-2030, and an amount of three million, five hundred sixty one, eight hundred seventy six dollars ($3,704,352) for contract year 2030-2031, for a total amount over the six year term of the contract of twenty million, one hundred ninety five thousand, four hundred fifty eight dollars ($20,195,458); and be it FURTHER RESOLVED: That during the term of this agreement, Fiscal Year-end performance audits will be performed by an independent auditor; and be it FURTHER RESOLVED: That during the term of this agreement, comprehensive case reviews of all open claims will be conducted by representatives of CSAC-EIA, City, and JT2 no less than twice per year; and be it
FURTHER RESOLVED: That during the term of this agreement, legal, fiscal, and fraud reviews will be performed on a quarterly basis by City and JT2 representatives; and be it 3 FURTHE
R RESOLVED: That the City Administrator is authorized to complete all negotiations and execute all contracts, amendments, modifications, and extensions consistent with this resolution and its basic purposes.
IN COUNCIL, OAKLAND, CALIFORNIA,
PASSED BY THE FOLLOWING VOTE:
AYES - BROWN, FIFE, GALLO, HOUSTON, RAMACHANDRAN, UNGER, WANG AND
PRESIDENT JENKINS
NOES –
ABSENT –
ABSTENTION –
ATTEST:
ASHA REED
City Clerk and Clerk of the Council of the
City of Oakland, California
OCA DOCUMENT NUMBER / ATTORNEY INITIALS – Updated 1/6/2025