Cities Index.
Draft Reinstatement and Fourth Amendment

Sunnyvale City Council
January 23, 2024

Document
Draft Reinstatement and Fourth Amendment
Meeting
January 23, 2024
Body
Sunnyvale City Council
Pages
4
Original file
839 KB
Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

DRAFT REINSTATEMENT AND FOURTH AMENDMENT TO CONSULTANT SERVICES

AGREEMENT BETWEEN THE CITY OF SUNNYVALE AND KEENAN & ASSOCIATES FOR WORKER’S COMPENSATION CLAIMS ADMINISTRATION SERVICES
This Reinstatement and FOURTH Amendment to Consultant Services Agreement, dated _______________, and retroactively effective to January 1st, 2024, is by and between the CITY OF SUN NYVALE, a municipal corporation ("CITY"), and KEENAN & ASSOCIATES ("CONSULTANT"), referred to collectively as “the Parties”.

WHEREAS, the Parties entered into a Consultant Services Agreement effective on January 1, 2019 (“AGREEMENT”), whereby CONSULTANT provides specialized services for workers’ compensation services, and
WHEREAS, on September 5, 2019, the Parties entered into a First Amendment to this Agreement (“AGREEMENT”), whereby the Section V of the Exhibit A was being replaced in its entirety and to incorporate Exhibit B-1; and
WHEREAS, on October 7, 2020, the Parties entered into a Second Amendment to this Agreement (“AGREEMENT”), whereby the total compensation was increased to $1,330,023; and WHEREAS, on October 7, 2020, the Parties entered i nto a Third Amendment to this Agreement (“AGREEMENT”), whereby the Time for Performance was extended through 12/31/23 and total compensation was increased to $2,228,606; and WHEREAS, the AGREEMENT allows for additional ancillary services through future amendments; and
WHEREAS, the Parties desire to amend this AGREEMENT to add ancillary services, reflect certain revised fees for the remainder of the term of the AGREEMENT and clarify the Scope of Services;

NOW, THEREFORE, THE PARTIES ENTER INTO THIS REINSTATEMENT AND FOURTH AMENDMENT TO THE CONSULTANT SERVICES AGREEMENT.

1. The Agreement is hereby reinstated in its entirety and retroactively applied as of January 1st, 2024, except as amended herein below.

2. Section 2 entitled “Time for Performance” is hereby amended, in part, to read as follows

2. Time for Performance
[Replace the first sentence of this section with the following:] The term of this Agreement shall be six (6) years from the effective date (January 1, 2019), unless otherwise terminated.

2. Section 4 entitled “Compensation” is hereby amended, in part, to read as follows

4. Compensation
[Replace this section in its entirety with the following:] Attachment 1

Page 1 of 4 ends

A. CITY agrees to pay CONSULTANT at the rates shown in Exhibit B of the AGREEMENT. It is understood that these rates take into consideration the added Utilization Review and Nurse Case Management Service Fees.

B. Option Year 4 is amended to reflect the bundled pricing that was offered in the RFP, Exhibit B, Item B, Year 4. Therefore, Page 2, the Blanket Purchase Order No.

BL009548 the item “Compensation f or the period 1/1/22 – 12/31/22 $458,890” is amended to read: “Compensation for the period of January 1, 2022 – December 31, 2022 shall be four hundred forty -one thousand, one hundred seventy -four dollars ($441,174).”
C. Option Year 5 is amended to reflect t he bundled pricing that was offered in the RFP, Exhibit B, Item B, Year 5. Therefore, Page 2, the Blanket Purchase Order No.

BL009548 the item “Compensation for the period 1/1/23 – 12/31/23 $472,657” is amended to read: “Compensation for the period of Jan uary 1, 2023 – December 31, 2023 shall be four hundred fifty-four thousand, four hundred nine dollars ($454,409).

D. City has exercised its option to extend this contract for an additional year. Therefore,

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for the of January 1, 2024 – December 31, 2024 shall be four hundred seventy -three thousand dollars ($473,000)
E. It is understood that the fees associated with PRIME (Utilization Review and Nurse Case Management) identified in the attached Exhibit B-1 (in addition to any other fees which were, are, and will continue to be, the responsibility of each plan participant, including but not limited to attorney’s fees) will not be subject to the not -to-exceed amount identified in Section 4 of the original Agreement.

Notwithstanding the foregoing all other terms and conditions, including other fees and compensation outlined in the Agreement shall remain unchanged Signature page to follow.

Attachment 1

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IN WITNESS WHEREOF, the parties have executed this Reinstatement and FOURTH Amendment to the AGREEMEN.

ATTEST: CITY OF SUNNYVALE (“CITY”)
By ___________________________ By _____________________________ City Clerk City Manager
APPROVED AS TO FORM: KEENAN & ASSOCIATES
(“CONSULTANT”)
By___________________________ By_____________________________ City Attorney
_______________________________
Name and Title
By_____________________________
_______________________________
Name and Title
Attachment 1

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(Subject to change upon notice)

MANAGED CARE
Early Intervention Initial Assessment / Triage . $50 /
Hour
Telephonic Case Management (TCM) .... $103 / Hour
• PPO Channeling
• 4 PT Contact
• Initial Evaluation
• RTW Plan
• Medical Care Evaluation
• Written/Case Management Action Plan
Utilization Review .............................................. $115 / Referral
Physician Advisor .............................................. $235 / Referral
• Medical Necessity Determination
• Physician-to-Physician Contact
Specialty Physician Review ................................... $395 / Hour
• Specialty match required
• Appeals
STOP (Pharmacy Revie w) ..................................... $325 / Hour
• Peer-to-Peer Contact by Physician
• Management of Opioid Use
• Written Treatment Plan / Recommendations

BILL REVIEW
Minimum Processing Fee of $12.00 per bill
Price bills to State Fee Schedules .................. 13% of Savings
PPO Network Access (Anthem) ...................... 25%
of Savings
Retrospective Network Capture
Preferred Vendor Pricing (Ancillary Services)
MPN Access ............................................... $3.50 per MPN bill
Care Concierge ™ Medical Access Assistant
Physician Based Outcome Analytics
Pharmacy Benefit Management ....................... 20% of Savings
Additional $3.00 per prescription administrative fee
Negotiations .................................................... 24% of Savings Complex Bill Review by Physician
................... 24% of Savings eBill Access
.................................................. $1.20 per e-bill State Reporting Administrative Fee .................. $1.35 per bill
License No. 0451271 Innovative Solutions. Enduring Principles. www.keenan.com Rev. 4/24/20 Se
r
vice

F
ees
Fee Schedule
–

Effective July 1, 2020

Exhibit B-1
DocuSign Envelope ID: E969DE7A-BB57-4BAB-8E58-50C0F2EC8372 •
•
•
•
•
Attachment 1

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