TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 35750 with Healthvana, Inc., of Los Angeles, CA, to provide COVID-19 test patient results reporting services, to increase the annual contract amount by $604,800, with a contingency amount of $300,000, for a total annual revised contract authority not to exceed $1,800,000. (Citywide)
DISCUSSION
City Council approval is requested to amend Contract No. 35750 with Healthvana, Inc., to provide COVID-19 test patient results reporting services for City COVID-19 testing sites operated by the Department of Health and Human Services (Health Department), for a revised total annual contract authority not to exceed $1,800,000, inclusive of contingency.
On August 4, 2020, the City Council adopted Resolution RES-20-0092 authorizing the execution of a contract with Healthvana, Inc., for an annual contract amount of $364,800, with a contingency of $530,400. The initial term of the contract was through January 31, 2021, and the first renewal option has been exercised to extend the contract through January 21, 2022. Testing volume has significantly increased since the contract was originally awarded, and additional purchasing authority is requested as demand is expected to exceed the current annual amount, assuming 1,500 patient tests a day are completed.
This matter was reviewed by Deputy City Attorney Taylor M. Anderson on February 11, 2021, Business Services Bureau Manager Tara Yeats on February 9, 2021, and by Revenue Management Officer Geraldine Alejo on February 22, 2021.
EQUITY STATEMENT
Diagnostic testing in Long Beach is available to anyone with symptoms of COVID-19. Patients are not required to have health insurance or submit a copayment to be tested at a City test site. Testing is available at multiple locations across the City, including in communities of color disproportionately affected by the effects of COVID-19, to ensure equitable access to patients. Walk-up testing is available for individuals who do not have access to a vehicle.
TIMING CONSIDERATIONS
City Council action is requested on March 9, 2021, to ensure COVID-19 test patient reporting continues without interruption.
FISCAL IMPACT
The total annual revised contract amount, including the contingency, will not exceed $1,800,000. The original contract amount of $895,200 for 298,300 COVID-19 patient test results will allow for reporting through February 28, 2021. The $604,800 contract increase will allow an additional 201,600 COVID-19 patient test results and will provide the ability to report patient results for 1,500 testing appointments a day from March 1, 2021 through July 14, 2021. The contingency amount of $300,000 will allow for an additional 100,000 tests, if numbers exceed 1,500 appointments per day.
The City received a grant in the amount of $13,348,636 from the Centers for Disease Control and Prevention (CDC) Epidemiology and Laboratory Capacity for Prevention and Control of Emerging Infectious Diseases (ELC), which will provide support for a broad range of testing and epidemiological surveillance-related activities. Of the total grant award, $1,800,000 will support this contract for COVID-19 test patient results reporting services. The ELC grant is appropriated in the Health Fund Group in the Health and Human Services Department.
It is anticipated that related operating costs associated with testing, such as rent and security, will be eligible for funding under the FEMA Public Assistance (PA) program. The City also continues to monitor potential federal funding as offsets to these costs. An appropriation increase will be requested by the end of the fiscal year, once funding sources, actual costs, and appropriation needs are finalized. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KELLY COLOPY
DIRECTOR
HEALTH AND HUMAN SERVICES
APPROVED:
THOMAS B. MODICA
CITY MANAGER