AGENDA MEMORANDUM

 

Meeting Date:           March 23, 2009

 

From:                          Mike Thornton, Purchasing Manager

 

Subject:                      Resolution approving execution of agreements with Life’s Solutions EAP of Psychcare, LLC to provide employee assistance program (EAP) services

 

 

Staff Recommendation:

Staff recommends approval of an agreement with Life’s Solutions EAP of Psychcare LLC.

 

Analysis:

The purpose of this solicitation is to establish an agreement with a highly qualified firm to provide Employee Assistance Program (EAP) services for employee’s and their covered dependents.

On December 22, 2008, the Purchasing Division issued Request for Proposals (RFP) number 90122 inviting interested and qualified firms to submit Technical and Price Proposals which demonstrated the professional qualifications and competence of their organization by responding to specific evaluation criteria published in the RFP, by which their proposals would be judged to determine the organization to best to serve the needs of the City.

 

On January 20, 2009, the City received proposals from seven firms.  An evaluation committee consisting of staff from Human Resources, Risk Management, City Manager’s Office, and Purchasing evaluated the responses which were to detail the firm’s and local area network provider’s credentials, qualifications, specialized experience and technical competence in relation to the six evaluation elements of the RFP.

 

The solicitation included similar evaluation criterion elements as those used in the past to successfully conduct similar type procurements.  The criterion, based on the scope of work, with their relative importance emphasized by maximum obtainable point values were:

·         Access to qualified counselors within reasonable distance to the City - 30 points

·         Competitive rates and fees - 20 points

·         Compliance with specifications - 15 points

·         Certifications of program and qualifications, credentials and experience of providers - 15 points

·         Ability to seamlessly refer clients to additional providers and resources - 10 points

·         Online access to information - 10 points  

 

In the tradition of fundamental source selection principles which stress the need to adhere strictly to the evaluation criteria set forth in the RFP and following the evaluation and scoring methodology in the source selection/technical evaluation plan, the proposals were evaluated by the committee in a fair, uniform, and objective manner solely in accordance with the evaluation criteria.

The result of those evaluations is detailed in the ranking list included here.

 

 

Evaluator No.

 

Evaluator No.

 

Total

Overall Ranking

                  

1

2

3

4

 

1

2

3

4

     Respondents                                        

Point Scores

 

Ranking

Life’s Solutions EAP

86.5

81

82

97

 

1

1

1

1

4

 

1

Charles Nechtem, Associates

53.5

63

73

76

 

6

3

4

5

18

 

4

ACI Enterprises

58

40

57

81

 

5

6

6

4

21

 

5

CorpCare Associates, Inc.

67

42

66.5

67.5

 

4

5

5

7

21

 

5

Unipsych/MHNet

83.5

64

79

93

 

2

2

2

2

8

 

2

Deer Oaks EAP

83

63

57

90

 

3

3

6

3

15

 

3

ESI Employee Assistance

33

18

76

76

 

7

7

3

5

22

 

7

TABLE 1 – Evaluation Scoring & Ranking

 

For each firm evaluated, raw point scores assigned by each member were totaled and converted to a ranking.  The rankings for each firm were totaled and then converted to an overall ordinal score.  Using this method has proven to minimize the effects of large variances in any one evaluators’ scoring.  An example can be noted in TABLE 1 above in regard to the scores assigned to the highest ranked firm. 

 

During a consensus meeting the evaluators noted and discussed the strengths, weaknesses, and deficiencies; and the disparity of scores.  In this regard, the cause is mainly attributed to the lack of relevant information regarding qualifications and credentials of their local area network providers which the firms did not include in their responses. 

 

Approval of the receommended firm will result in an 8.5% decrease in the cost the City pays per employee per month (PEPM).  The City was in a position where the incumbent, which ranked Number 2 under this proposal, sought a 27% increase ($1.73 PEPM) over the expiring term’s rate of $1.42 PEPM.  Life Solutions price of $1.30 PEPM is 8.5% lower than the incumbent’s expiring rate and 28% less than the new rate the incumbent’s proposed renewal rate before this competitive solicitation was issued.

 

Options:

1.         Approve execution of the agreements with the highest ranked firm; or

2.         Not approve the selected firm and cancel the solicitation; whereby the City would not have a firm providing EAP services.

 

Fiscal Impact:

The City will realize a savings of 8.5% compared to the expiring contract for the per employee per month rate paid by the City as a benefit to its employees.  Past monthly payments have averaged $730.00 per month.  An 8.5% savings will provide approximately $744.60 annual savings.  A budget adjustment is forthcoming to cover the deficiency in this line item.

 

Submission Date and Time:    3/19/2009 11:43 AM____

 

Department: _Human Resources________

Prepared by:  _Mike Thornton________                     

Attachments:         Yes__X__   No ______

Advertised:   Yes__Not Required ______                     

Dates:   ____December 21, 2009_______                     

Attorney Review :       Yes___  No ____

                                                 

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. ___________JB_____                                     

                              

Deputy C.M. ______EFS__________                                                                         

Submitted by:

City Manager ___________________

 

Account No. __001-1437-513.31-12_

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______$5,000.00_________

 

Available _____($17,120.12)_______

 

 


 

 

 

 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH LIFE'S SOLUTIONS EAP OF PSYCHCARE, LLC FOR EMPLOYEE ASSISTANCE PROGRAM (EAP) SERVICES; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement with LIFE'S SOLUTIONS EAP OF PSYCHCARE, LLC whose address is 10200 SUNSET DRIVE, MIAMI, FLORIDA for EMPLOYEE ASSISTANCE PROGRAM (EAP) SERVICES pursuant to Request for Proposal 90122.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the _23rd_ day of __March_ 2009.

 

 

 

                                                                            ________________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________________

City Clerk