Explanation
BACKGROUND: This legislation will authorize the Department of Human Resources to modify their contract with Brown & Brown of Massachusetts, LLC for the provision of employee benefit audit and market check services to reflect the assignment of the new name Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. and federal tax ID number change. This modification will reflect a company name and federal tax ID change for the contract and purchase order with Brown & Brown of Massachusetts; LLC established by the Department of Human Resources. Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
A revised Business Associate Agreement is being provided.
The Department of Human Resources is also requesting to increase funding for the current contract term by $25,000.00. This increase in funding will pay for a fraud, waste and abuse analysis of the pharmacy plan using data from 2023. Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. has recently hired a fraud expert and offered this new service to the Department of Human Resources. Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. has pharmacy data for 2023 as they are currently auditing the pharmacy plan for the same time period and the scope of work provides a thirty (30) day turnaround time for this analysis. This turnaround time is of value to the Department of Human Resources as we will be going out to bid for a medical and pharmacy vendor in 2025. This fraud, waste and abuse analysis of the pharmacy plan was not included in the original scope as it was not available when the original contract was signed earlier this year. It is not in the best interest of the City to go out to bid as Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. already has the data needed and the turn around time of thirty (30) days is of importance to the Department of Human Resources. A bid waiver is attached to this legislation.
The Department of Human Resources is currently in the fifth year of a five-year contract with Brown & Brown of Massachusetts, LLC for employee benefit audit and market check services authorized by ordinance 1703-2024.
FISCAL IMPACT: Sufficient funding is available within the Employee Benefits Fund, administrative subfund, for this contract modification.
EMERGENCY PROVISION: Emergency action is requested to facilitate uninterrupted payments and services.
Title
To authorize the Department of Human Resources to modify the contract with Brown & Brown of Massachusetts, LLC and to reflect a (1) name change to Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc., (2) a new federal tax ID number, (3) to incorporate an updated Business Associate Agreement, (4) to provide additional services; specifically a fraud, waste and abuse analysis of the pharmacy plan; and to declare an emergency. ($25,000.00)
Body
WHEREAS, the Department of Human Resources currently has a contract with Brown & Brown of Massachusetts, LLC authorized by ordinance 1703-2024; and
WHEREAS, Brown & Brown of Massachusetts, LLC has recently assigned its employee benefit audit and market check services business to Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. with a new federal tax ID number; and
WHEREAS, it was not anticipated at the time the original contract was signed and legislated that a fraud, waste and abuse analysis of the pharmacy plan would be offered; and
WHEREAS, it is necessary to authorize the additional appropriation and expenditure of up to $25,000.00 for this project; and
WHEREAS, Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc. has agreed to honor past, present and future contracts established between Brown & Brown of Massachusetts, LLC and the Department of Human Resources for employee benefit audit and market check services; and
WHEREAS, the City Auditor’s Office requires that these changes be officially acknowledged by City Council; and
WHEREAS, to facilitate the Department of Human Resources’ uninterrupted payments to this vendor, it is necessary to assign all past, present, and future business to Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc.; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Human Resources in that it is immediately necessary to modify the contract to allow uninterrupted business, thereby preserving the public health, peace, property, and safety; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Department of Human Resources be and hereby is authorized to modify its contract with Brown & Brown of Massachusetts, LLC to reflect an assignment and name change to Claims Technologies Incorporated, a division of Brown & Brown Insurance Services, Inc., and execute all documents relating thereto.
SECTION 2. That from the unappropriated monies in and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose, the sum of $25,000.00 is appropriated from and within the Employee Benefits Fund 5502, Department of Human Resources, in object class 03 purchased services, per the account codes in the attachment to this ordinance.
SECTION 3. That the expenditure of $25,000.00, or so much thereof as may be necessary, is hereby authorized from and within the Employee Benefits Fund 5502, in object class 03 purchased services per the accounting codes in the attachment of this ordinance.
SECTION 4. That the City Auditor be and hereby is authorized to make all necessary accounting adjustments to reflect said assignment.
SECTION 5. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.