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File #: 25-151A    Version: 1 Name:
Type: CONSENT AGENDA Status: Agenda Ready
File created: 12/27/2024 In control: Office of Procurement Services
On agenda: 1/22/2025 Final action:
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)
Indexes: 300
Attachments: 1. Resolution
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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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