STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: January 22, 2025
COUNCIL DISTRICT(S): N/A
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service price agreement for drug and alcohol testing and medical services for the Office of Risk Management - Primary Health Physicians, PLLC dba CareNow, most advantageous proposer of eight - Estimated amount of $10,065,275.00 - Financing: Workers Compensation Fund (subject to annual appropriations)
Body
BACKGROUND
This action does not encumber funds; the purpose of a service price agreement is to establish firm pricing for services, for a specific term, which are ordered on an as needed basis according to annual budgetary appropriations. The estimated amount is intended as guidance rather than a cap on spending under the agreement, so that actual need combined with the amount budgeted will determine the amount spent under this agreement.
This service price agreement will provide for drug and alcohol testing and medical services for the Office of Risk Management. Approximately 14,000 tests are performed annually and these services are a crucial tool in ensuring the safety of city employees and the public. These services will include drug testing for pre-employment, random, post-accident, promotion, and for-cause.
Additionally, federally mandated Department of Transportation (DOT) and non-DOT driver physicals are performed bi-annually, ensuring our drivers are able to safely operate city equipment.
A six-member committee from the following departments reviewed and evaluated the qualifications:
• Dallas Fire-Rescue Department (1)
• Dallas Police Department (1)
• Department of Human Resources (1)
• Office of Risk Management (2)
• Office of Procurement Services (1)*
*The Office of Procurement Services evaluated cost and local preference, if applicable.
The committee selected the successful respondent on the basis of demonstrated competence and qualifications under the following criteria:
• Experience 30 points
• Cost and timeframe 30 points
• Approach 25 points
• Business and Inclusion and Development Plan 15 points
As part of the solicitation process and in an effort to increase competition, the Office of Procurement Services used its procurement system to send out email notifications to vendors registered under relevant commodity codes. To further increase competition, the Office of Procurement Services uses historical solicitation information, the Internet, and vendor contact information obtained from user departments to contact additional vendors.
On November 10, 2015, the City Council authorized a living wage policy that requires contractors to pay their employees a “living wage” rate as established annually by the Massachusetts Institute of Technology Living Wage Calculator for Dallas County by Resolution No. 15-2141. The calculated living wage during the solicitation process of this contract is $18.24; the selected vendor meets this requirement.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On February 13, 2019, the City Council authorized a five-year service price agreement for a drug and alcohol testing program and medical examination services for the Office of Risk Management with Primary Health, Inc. dba CareNow by Resolution No. 19-0271.
On June 26, 2024, the City Council authorized Supplemental Agreement No. 1 to extend the service contract with Primary Health Physicians, PLLC dba CareNow for a drug and alcohol testing program and medical examination services for the Office of Risk Management from August 12, 2024 through February 12, 2025 by Resolution No. 24-0943.
FISCAL INFORMATION
Fund |
FY 2025 |
FY 2026 |
Future Years |
Workers Compensation Fund |
$2,013,055.00 |
$2,013,055.00 |
$6,039,165.00 |
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Policy adopted on September 23, 2020, by Resolution No. 20-1430, as amended, the M/WBE participation on this contract is as follows:
Contract Amount |
Procurement Category |
M/WBE Goal |
$10,065,275.00 |
Professional Services |
38.00% |
M/WBE Subcontracting % |
M/WBE Overall % |
M/WBE Overall Participation $ |
11.92% |
11.92% |
$1,200,000.00 |
• This item does not meet the M/WBE subcontracting goal. |
• Primary Health Physicians, PLLC dba CareNow - Local; Workforce - 22.04% Local |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
Request for Competitive |
• Utilized for high technology procurements, insurance procurements, and other goods and services |
Sealed Proposal |
• Recommended offeror whose proposal is most advantageous to the City, considering the relative importance of price, and other evaluation factors stated in the specifications |
|
• Always involves a team evaluation |
|
• Allows for negotiation on contract terms, including price |
The Office of Procurement Services received the following proposals from solicitation number BEZ24-00025728. We opened them on October 4, 2024. We recommend the City Council award this service price agreement in its entirety to the most advantageous proposer.
*Denotes successful proposer
Proposers Address Score
*Primary Health Physicians, 700 State Hwy. 121 Bypass 80.67
PLLC dba CareNow Suite 175
Lewisville, TX 75067
Occupational Health Centers 2920 North Stemmons Frwy. 67.67
of the Southwest, P.A. Dallas, TX 75247
dba Concentra Medical
Centers
Love Family Enterprises LLC 2707 Bolton Boone Dr. 62.23
dba STAT LABS Suite 101
DeSoto, TX 75115
ARCpoint Labs of 5224 South State Hwy. 360 61.20
Grand Prairie-South Suite 225
Grand Prairie, TX 75052
Texas Mobile Drug Testing 445 Walnut St. 47.77
Richardson, TX 75081
Statcare Urgent & Walk In 135 Mineola Blvd. 44.80
Medical Care PLLC Mineola, NY 11501
dba Nao Medical
LT Medical & Technology 5931 Greenville Ave. 33.92
Suite #1102
Dallas, TX 75206
MB Labs LLC dba Fastest 1625 Mockingbird Ln. Non-responsive
Labs of Irving Suite 303
Dallas, TX 75235
OWNER/EXECUTIVE
Primary Health Physicians, PLLC dba CareNow
Tim Miller, President