1997-347 ORDINANCE NO
AN ORDIN~MNCE ACCEPTING COMPETITIVE BIDS AND AWARDING A CONTRACT FOR
THE PURCHASE OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES, PROVIDING
FOR THE EXPENDITURE OF FUNDS THEREFOR, AND PROVIDING FOR AN EFFECTIVE
DATE
WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase
of necessary materials, eqmpmant, supplies or services in accordance with the procedures of STATE
law and City orchnances, and
WHEREAS, the C~ty Manager or a designated employee has reviewed and recommended
that the hcrem described bids are the lowest responsible bids for the materials, eqmpmant, supplies
or services as shown m the "Bid Proposals" submitted therefore, and
WHEREAS, the City Council has prowded m the City Budget for the appropriation of funds
to be used for the purchase of the materials, equipment, supphes or servmes approved and accepted
herein, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I That the numbered items in the following numbered b~ds for materials,
eqmpment, supplies, or services, shown m the "Bid Proposals" attached hereto, are hereby accepted
and approved as being the lowest responsible b~ds for such items
BID 4~ ITEM
NUMBER NO VENDOR AMOUNT
2129 ALL MUNICIPAL SERVICES BUREAU(MSB) EXHIBIT A
SECTION II That by the acceptance and approval of the above numbered ~tems of the
submitted b~ds, the Caty accepts the offer of the persons submitting the b~ds for such items and
agrees to purchase the materials, equipment, supphes or services m accordance w~th the terms,
specfficat~ons, standards, quantatles and for the specified sums contmned in the B~d Inwtat~ons, B~d
Proposals, and related documents
SECTION III That should the City and persons submitting approved and accepted ~tems
and of the submitted bids w~sh to enter into a formal wnttan agreement as a result of the
acceptance, approval, and awarding of the bids, the C~ty Manager or his designated representative
~s hereby authorized to execute the wntten contract which shall be attached hereto, provided that the
written contract is m accordance w~th the terms, conditions, spemficat~ons, standards, quantities and
specified sums conttuned in the Bid Proposal and related documents hereto approved and accepted
SECTION IV That by the acceptance and approval of the above numbered ~tems of the
submitted b~ds, the C~ty Council hereby authorizes the expenditure of funds therefor ~n the amount
and ~n accordance w~th the approved bids or pursuant to a written contract made pursuant thereto as
authorized herein
SECTION V That fins ordinance shall become effective ~mmedmtely upon ~ts passage and
approval
PASSED AND APPROVED th~s d:~ day of ~:~ ~_~.~__~__~, 1997
JACK MILLER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
BID # 2129
BID NAME BILLING AND COLLECTION OF MUNICIPAL TEXAS DIVERSIFIED
AMBULANCE FEES SERVICES MEDICAL REIMBURSEMENT
BUREAU DATA SYSTEM
OPEN DATE NOVEMBER 13, 1997 (MSB) SYSTEM INC
I __% BILLING COMPENSATION WILL BE
A FIXED PERCENTAGE OF FEES S 90% 15% 10%
COLLECTED COLLECTED COLLECTED
2 __% BAD DEBT COLLECTORS
COMPENSATION WILL BE A FIXED 8 90% 25%
PERCENTAGE OF FEES COLLECTED COLLECTED COLLECTED
AGREEMENT
FOR COLLECTION SERVICE
STATE OF'TEXAS §
COUNTY OF DENTON §
THIS AGKEEMENT is made and entered into as of the ~ day of ~t#~f, 19.~by and between the City
of Denton, A Texas Municipal Corporation, with its pnnmpal office at 215 E McKmney Street, Denton, Denton
County, Texas 76201, (hereinafter sometimes referred to as "CITY") and MUNICIPAL SERVICES BUREAU,
with as corporate offica at 5912 Balcones Drive, Suite 100, Anstm, Texas, heremaftar called ("MSB") acting
hereto, by and through thetr duly authorized representative
WlTNESSETH, that m conmderatmn of the covenants and agreements herein contained, the parties hereto do
mutually agree as follows
ARTICLE I
EMPLOYMENT
The CITY hereby contracts with MSB, as an mdepandent contractor, and the MSB hereby agrees to perform the
services he,em m counect~un with the ProJect as stated m the sections to follow, w~th diligence and m accordance
w~th the hlshest profesamnal standards cnstomanly obtained for such serwces m the State of Texas The
professional services set out harem are m connection with the following described project
To provide billing and collectmn services for ambulance fees The object of the service ~s to unplement bdhng and
collection procedures that will increase revenue, as well as reduce personnel costs and tune
SCOPE OF SERVICES
The MSB shall perform the following services m a professional manner
A The MSB shall perform all those services as necessary and as described an the CITY'S Request for Bid for
Billing and Collection of Ambulance Fees which is attached hereto and made a part hereof as Exhibit "A"
as ffwntten word for word harem and m MSB'S proposal which ~s attached hereto and made a part hereof
as Exbablt "B"
B Patient Contact-Billing MSB agrees to provide and maintain a billing office m behalf of the City At the
request of the City, MSB wall file Health Insurance Claim Forms m the name of the City with insurance
companies, Methcald, Medicare, Workers compensation or others m an attempt to facilitate payment ora
Pat~ants' EMS bdl MSB, m the name of the City may also mad statements, telephune or otherwise contact
Patients, the responsible party, insurance company, Medrcmd, Medicare, Workers compensatmn or others
m order to attempt to collect those bills owed by the PaUents or the responsible party The C~ty wall
provide the name and last known address of the responsible party, if any and all mformatmn available
regarding the charges recurred If a bill becomes dehnquent, the account may be transferred to our
colleeUun &vision
C Pat~ant Contact or Dehnquent Accounts If a Patient's account becomes dehnquent, MSB may mall
collection notices, telephone otherwise contact Patients ar an attempt to collect those delinquent accounts
All contact made will be as a th~rd-pa~y colleetmn agency
D Correct Inforrnat:un MSB wall rely on the City to provide correct reformation about the Panent's bill and
spemfieally, about the dollar amount m questmn, and the City will tmmedmtely update and correct any
lnfonnanon it has promded to MSB In particular, the City wall within one (1) busmess days nonfy MSB of
any payment or other sansfact~on of the account made drrectly to the City, or uny other acnon affecting the
amount or nmmg of momes owed by the Panent to the City When addmonal mformanon is needed, the
hospital wall be contacted first, then the Pataent
E Collections and Settlement - MSB shah m all cases attempt to collect the total sum of outstanding
receivables und charges owed by the debtor on un Account However, MSB shall have the authority on
behalf of Creditor to collect, compronuse, adjust or settle uny and all Accounts placed with collector so
long as the sum collected, cornpronused, adjusted or settled as prcviunsly approved und agreed to by CITY
F Notification of Claims - MSB agrees to promptly advise CITY of any clanns asserted against CITY by
any debtor
G Return of Accounts - Unless this Agreement shall be terminated as hereinafter provided, und unless CITY
expressly agrees otherwise, tn advance, for each Account, Collector shall cease its actlvlUes and return the
Account to Creditor if (I) no collection arrangement has been made within 180 days of receiving the
Account, or (n) after having made a collection arrangement for a pamcular Account, no amounts are
collected by the Collector for a cunnnunus period of 365 days
H Withdrawal of Referred Accounts _ CITY may withdraw uny Account assigned to Collector at uny tune
for uny reason
I Legal Acnon/Credlt Bureaus The City authorLzes MSB to report dehnquent accounts to thc credrt bureau
ofMSB's chmce MSB shall have no habdrty fur any amunnts uncollected and in no event shall be
reqmred to bring any suit for coHecnon of uny such uncollected amount Should the City and MSB
mutually agree that a suit as the proper course of action against a Panunt to effect collecnon, MSB would
request written authorization from the City before proceeding
J Nulhficanon of Collecnons The City wall within one (1) business days notify MSB of accounts referred to
MSB for collection that have been paad or disputed by the Patients directly to the City whenever that
payment or dispute occurs By the fifteenth of each month, MSB wall provide detaded reporting to the City
to ldennfy all accounts known to be collected during the prior month and to remit monies collected on the
City's behalf The City unthortzes MSB to endorse negonable mstmments made payable to the City and
provided to MSB for payment of momes due and to deduct comnuss~ons due on those accounts paid
drrectly to MSB from the amounts collected by MSB
K If there is any conflict between the terms of this agreement and the exhibits attached to this agreement the
terms and conditions of this agreement wall control over the terms and conditions of the attached exhibits
ARTICLE III
PERIOD OF SERVICE
A This Agreement shall become effeenve on December 1, 1997 The Agreement is effective for a period of
one year however the agreement is renewable each year by agreement of the pames The CITY und the
MSB must each give written nonce to the other party at least 60 days before the contract ends for the
renewal to be effective
B CITY may terminate this agreement lmmechately by oral or written nonce if (I) MSB violates or breaches
any term or condition of the Agreement, or (ii) CITY reasonably determines that there has been un adverse
chunge m MSB's financial condtnon MSB shall st~ll be untitled to receive tis fee as provided m ARTICLE
IV In case of termmanon hereunder this paragraph (0 all accounts und file materials shall be returned
immediately to CITY, 00 MSB shall immediately cease all collection efforts
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C If MBS g~ves the s~xty days not,ce to end th~s Agreement, all accounts shall be ~mmethately returned to the
Caty and no compensatmn shall be pa~d to MBS past the termmatmn date If the C~ty gaves saxty days
not~ee to end this Agreement, MBS may cuntmue to render ~ts servmes on the accounts it has for thirty days
after the termmatton date and shall be paid the compensatton estabhshed by this Agreement After the
thmy day period, MBS shall return all accounts to the C~ty w~thout receiving further compensation, except
MBS may retain accounts for which the debtor has s~gned an installment agreement until the expuntmn of
the tnne m which momes are to be p~ud under the agreement MBS shall be bound by the terms and
contht~ons of th~s Agreement as to the accounts it is authorized to retain after termtnatmn
ARTICLE IV
COMPENSATION
MSB as full compensatmn for ~ts sarv~ces, shall for all accounts referred by the C~ty to MSB for billing for which
the C~ty is pa~d (m whole or m part), regardless of whether payment is accepted threctly by the C~ty or by MSB on
the C~ty's behalf, the C~ty will pay to MSB, m Traws County, Texas a 8 9percent comnusslon rate on the amount
collected Thas Cormmss~on rate will apply to all accounts referred to MSB regardless of when the amount due is
actually collected unless the provls~uns of Artmle III of thxs Agreement apply
ARTICLE V
REMITTANCES
MSB shall rermt to CITY all funds received on CITY Accounts along with a monthly remittance report by the 15t~
of each month, for the prewous month collections The C~ty shall notify MBS of payments made directly to the City
within one (1) business days of receipt and the City agrees to remit to MBS within 20 days of rece~vmg MBS's
statement, any amount due MBS
ARTICLE VI
INDEPENDENT CONTRACTOR
The MSB shall prowde serwces to CITY as an independent contractor, not as an employee of the C~ty MSB shall
not have or claim any right arising bom employee status
ARTICLE VII
INDEMNITY AGREEMENT
THE MSB SHALL INDEMNIFY AND SAVE AND HOLD HARMLESS THE CITY AND ITS OFFICERS,
AGENTS, AND EMPLOYEES FROM AND AGAINST ANY AND ALL LIABILITY, CLAIMS,
DEMANDS, DAMAGES, LOSSES AND EXPENSES, INCLUDING BUT NOT LIMITED TO COURT
COSTS AND REASONABLE ATTORNEY FEES INCURRED BY THE CITY, AND INCLUDING
WITHOUT LIMITATION DAMAGES FOR BODILY AND PERSONAL INJURY, DEATH AND
PROPERTY DAMAGE, RESULTING FROM THE NEGLIGENT ACTS OR OMISSIONS OF THE MSB
OR ITS OFFICERS, SHAREHOLDERS, AGENTS, OR ElVtPLOYEES IN THE EXECUTION,
OPERATION, OR PERFORMANCE OF THIS AGREEMENT
NOTHING IN THIS AGREEMENT SHALL BE CONSTRUED TO CREATE A
LIABILITY TO ANY PERSON WHO IS NOT A PARTY TO THIS AGREEMENT AND
NOTHING HEREIN SHALL WAIVE ANY OF THE PARTY'S DEFENSES, BOTH AT
LAW OR EQUITY, TO ANY CLAIM, CAUSE OF ACTION OR LITIGATION FILED
BY ANYONE NOT A PARTY TO THIS AGREEMENT, INCLUDING THE DEFENSE
OF GOVERNMENTAL IMMUNITY, WHICH DEFENSES ARE HEREBY EXPRESSLY
RESERVED.
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ARTICLE VIII
ARBITRATION AND ALTERNATE DISPUTE RESOLUTION
The pames may agree to settle any dispute under this Agreement by submitung the dispute to arbitration or other
means of alternate dispute resolution such as mediaUon No arbitraUon or alternate dispute resolution arising out of
or relating to, this agreement mvolvmg one party's disagreement may mclude the other party to the disagreement
without the other's approval
REPORTING TO TEXAS DEPARTMENT OF HEALTH
A Data Subrmsslons MSB will electromeally submat, on behalf of the City, the Texas Prehospltal Standard
Data set for all trauma, submersion (drowning end near drowning) and suffocation patients transported by
ambulance An electronic record will be subnutted for each patient Patients transferred between hospitals
will also be mcluded when subrmtted to MSB by the City
B Correct Informattun MSB will rely completely on the City to provide the correct mformatmn to be
reported Only the reformation supphed by the City on the Run Report will be submitted to the Texas
Department of Health, Trauma Registry
ARTICLE X
RESPONSIBILITY FOR CLAIMS AND LIABILITIES
Approval by the CITY shall not constitute nor be deemed a release of the responsibility and liability of the MSB, ns
employees, associates, agents, subcontractors and subconsultants for the competency of their work, nor shall such
approval be deemed to be an assumption of such responsibthty by the City for any work by MSB, its employees,
snbcontractors, agents and consultants
ARTICLE XI
NOTICES
All noUees, communications, and reports reqmred or permitted under this Agreement shall be personally delivered
or mailed to the reepeettve pames by depositing same m the United States mail at the address shown below, eemfied
mall, return receipt requested unless otherwise specified herein Marled notices shall be deemed communicated as
of three days mailing
TO MSB TO CITY
MUNICIPAL SERVICE BUREAU CITY OF DENTON
Atto Thomas Bellavia Aim Kathy DuBose
Title President Title Assistant City Manager for Finance
5912 Balcones Drive, Suite 100 215 E McKlnney
Austin, Texas 78731 Denton, Texas 76201
All notices shall be deemed effective upon receipt by the party to whom such nonce is given or within three days
mailing
ENTIRE AGREEMENT
This Agreement consisting of 6 pages and 2 exhibits constitutes the complete and exclusive statement of the terms
of their agreements and supemedes all prior contemporaneous offers, pmrmses, representations, negotiations,
discussions, communications and agreements wl~ch may have been made in connection with the subject matter
hereof
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ARTICLE XIII
SEVERABILITY
If any prowsmn of th~s Agreement ts found or deemed by a court of competent junsdmt~on to be mvahd or
unenforceablo, ~t shall be coustdered severable from the remamder of th~s Agreement and shall not cause the
remamder to be mvahd or unenforceable In such event, the party shall reform thts Agreement to replace such
smcken prowsmn wtth a vahd and enforceable prows~on whmh comes as close as possible to expressing the
tntentton of the slncken prowslon
ARTICLE IV
COMPLIANCE WITH LAWS
MSB shall comply w~th all federal, state, local laws, mles, regulatmns, and ordinances apphcable to the work
covered hereunder as they may now read or heremafter be amended
ARTICLE XV
DISCRIMIANATION PROHIBITED
In performing the serwces reqmred hereunder, the MSB shall not d~scrnnmate against any person on the bas~s of
race, color, rehgmn, sex, national ongm or ancestry, age, or physical handmap
ARTICLI~ XVI
PERSONNEL
A MSB represents that ~t has or will secure at ~ts own expense all personnel reqmred to perform all the
services reqmred under tlus Agreement Such personnel shall not be employees or officers of, or have an
contractual relatmns w~th the c~ty MSB shall ~nform the CITY of any conflmt of interest or potentml
conflict of interest that may arise during the term of thts Agreement
B All services reqmred hereunder wdl be performed by MSB or under tts superv~smn MSB shall ensure that
all personnel engaged ~n work are duly quahfied, and permitted under state and local laws to perform such
ARTICLE XVII
ASSIGNABILITY
MSB shall not assign any interest m th~s Agreement and shall not transfer any mterest ~n th~s Agreement (whether
by assignment, novatmn or otherwise) wathout the prior written consent of the CITY
ARTICLE XVIII
MODIFICATION
No wmver or modffieat~on of th~s Agreement or of any covenant, condmon, lmutatmn here~n contained shall be
vahd unless m writing and duly executed by the party to be charged therewith and no cwdcnce of any warver or
mothficat~on shall be offered or received m evidence m any proceeding arising between the part~es hereto out of or
affecting th~s Agreement, or the rights or obhgattons of the parttes hereunder, and unless such waiver or
modfficatxon ts m wrttrng, duly executed, and, the part~es further agree that the prowstons of thts section wall not be
wmved unless as hereto set forth
ARTICI~E XIX
MISCELLANEOUS
A Thc following exlubtts are attached to and made a part of th~s Agreement
Exlublt "A" Request for Proposal for Billing and Collection of Ambulance Fees
2 Exlubit "B" Proposal Bfllmg and Collectmn Ambulance Fees
B Venue of any suit or cause of acnon under this Agreement shall lie exclusively m Denton County, Texas
This Agreement shall be construed m accordance with the laws of the State of Texas
C MSB will promptly advise CITY of any Account on which it receives a not~ce of hank~uptcy
D MSB will accurately and fairly report all accounts to the credit bureau
E The captlol~s of th~s Agreement are for mforma~onal purposes only and shall not in any way affect the
substantive terms or condmuns of this Agreement
IN WITNESS HEREOF, the City of Denton, Texas has caused this Agreement to be executed by ~ts duly authorized
City ])~anagor and MSB has executed this Agreement through ~ts duly authorized undersigned officer on this the
CITY OF DENTON, TEXAS
Ted Benavldes, City Manager
ATTEST
YENNIFER WALTERS, CITY SECRETARY
HERBERT L PROUTY, CITY ATTORNEY
By~--~ ~C~'
T~Ya~me ~L ~E~/ICES BUREAU
WITNESS
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