Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement & Compliance
ACM: David Gaines
DATE: May 25, 2021
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the City Manager, or their designee, to execute a contract with Change Healthcare Technology
Enabled Services, LLC, for the preparation and submittal of the Texas Ambulance Supplemental Payment
Program reimbursement for the Fire Department; providing for the expenditure of funds therefor; and
providing an effective date (RFP 7521 – awarded to Change Healthcare Technology Enabled Services,
LLC, for a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5)
not-to-exceed amount of $180,000.00).
INFORMATION/BACKGROUND
The City of Denton requested proposals for the preparation and submittal of the Texas Ambulance
Supplemental Payment Program (TASPP) and associated services. Previously, the City of Denton was part
of an interlocal contract with the City of Bryan and used Revenue Optimization Solutions, LLC, part of the
Change Healthcare Team, to prepare and submit the TASPP submission.
The TASPP is a federally approved program designed to provide additional reimbursement to governmental
providers that serve Medicaid, Medicaid Managed Care, and the Uninsured fee for service patients. The
City of Denton Fire Department is eligible for a portion of the variance between the cost of providing
ambulance services to Medicaid and uninsured patients, and what Medicaid pays. The annual
reimbursement to the City is an average of $717,483. For supplemental payment recovery preparation and
submission services, the City will pay a service fee equal to 4.0% of the reimbursement, which is 4% lower
than the prior contract. Based on a historical spend and future projections the recommended not to exceed
(NTE) for this contract is $180,000 for a total potential five (5) year contract.
Participation in the TASPP will not be an option if the City of Denton is unable to establish a contract. This
means a missed cost recovery opportunity for the general fund.
Requests for Proposals was sent to 122 prospective suppliers, including 3 Denton firms, of this item. In
addition, specifications were placed on the Materials Management website for prospective suppliers to
download and advertised in the local newspaper. One (1) proposal was received and evaluated based upon
published criteria including delivery, compliance with specifications, experience, and price. Based upon
this evaluation, Change Healthcare Technology Enabled Services, LLC was ranked the highest and
determined to be the best value for the City.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
NIGP Code Used for Solicitation: 946-(Service Only)-Financial Services
Notifications sent for Solicitation sent in IonWave: 122
Number of Suppliers that viewed Solicitation in IonWave: 7
HUB-Historically Underutilized Business Invitations sent out: 5
SBE-Small Business Enterprise Invitations sent out: 30
Responses from Solicitation: 1
RECOMMENDATION
Award a contract with Change Healthcare Technology Enabled Services, LLC, for the preparation and
submittal of the Texas Ambulance Supplemental Payment Program reimbursement for the Fire Department,
in a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5) year
not-to-exceed amount of $180,000.00.
PRINCIPAL PLACE OF BUSINESS
Change Healthcare Technology Enabled Services, LLC
Alpharetta, GA
ESTIMATED SCHEDULE OF PROJECT
This is a three (3) year contract, with options to extend the contract for two (2) additional one (1) year
periods, with all terms and conditions remaining the same.
FISCAL INFORMATION
These services will be funded from Fire Department Operating Funds based on the reimbursement amount.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: LLC Members
Exhibit 3: Ordinance and Contract
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Lindsey Garrison, 940-349-8844.
Legal point of contact: Marcella Lunn at 940-349-8333.