Explanation
BACKGROUND: The Department of Human Resources, Employee Benefits/Risk Management section, requires services to verify the accuracy of the Bureau of Workers' Compensation payroll and claims data for the City of Columbus; to provide occupational injury management data, general workers' compensation consulting services; to calculate the allocation of Workers' Compensation claims experience by department, division, and fund; to conduct claims management on a per request basis; and to attend Industrial Commission hearings on a per request basis.
As a result of a Request For Proposal process conducted in December of 2008, in accordance with Section 329.12 of the Columbus City Codes, CareWorks Consultants Inc., formerly known as Compensation Consultants, Inc. (CCI), was the recommended service company based on the ability to assist the City with cost saving strategies in its workers' compensation program. The contract amount reflects the base contract with additional funding for 25 claims management services and 50 hearing representations each year at a cost of $50,000 per year. Legislation 0260-2009 was passed for the initial contract term of March 1, 2009 through February 28, 2010, The contract term is in the second year of the three year contract of March 1, 2010 through February 28, 2011 with the renewal option of two additional year based on City Council approval.
While it was the intent of the Department of Human Resources, Employee Benefits/Risk Management section to pass legislation and extend the term of the contract with CareWorks Consultants Inc., in 2010, it was unable to do so far a number of reasons. As such, CareWorks Consultants Inc., performed the required services, but an extension was never executed and payment for services performed by CareWorks Consultants Inc. in 2010 has yet to be made. This legislation will authorize the Department of Human Resources to renew and extend the contract with CareWorks Consultants Inc., for the second and third years of the contract. The term of the contract will be March 1, 2010 through February 28, 2012. The cost will be $50,000.00 per year, or $100,000.00 for the extended term contract.
Compensation Consultants, Inc. $100,000.00 $50,000.00
Contract Compliance No. 54-2193040
This ordinance is submitted to authorize and direct the Human Resources Director to enter in to contract for the workers' compensation actuarial and cost containment services for the City of Columbus with CareWorks Consultants, Inc., and to authorize the expenditure of $100,000.00 $50,000.00 to be paid out of the Employee Benefits fund in the Human Resources Department.
This ordinance is submitted as an emergency so as to allow financial transaction to be posted in the City's accounting system as soon as possible. Up to date financial posting promotes accurate accounting and financial management.
FISCAL IMPACT: To renew and extend the enter into contract with CareWorks Consultants, Inc. and to authorize the expenditure of $100,000.00 $50,000 for March 1, 2010 through February 28, 2012 2011.
Title
To authorize the Human Resources Department to renew and extend the enter into a contract with CareWorks Consultants, Inc to provide Workers' Compensation services from March 1, 2010 through February 28, 2012 2011; to authorize the expenditure of $100,000.00 $50,000.00, or so much thereof as may be necessary to pay the cost of said contract; and to declare an emergency. ($50,000.00)
Body
WHEREAS, it is in the best interest of the City of Columbus to renew and extend the enter into a contract to provide Workers' Compensation actuarial services from March 1, 2010 through February 28, 2012 2011; and
WHEREAS, it is necessary to authorize the expenditure of $100,000.00 $50,000.00, or so much thereof as may be necessary to pay contract costs for actuarial services; and
WHEREAS, an emergency exists in the usual daily operations of the Department of Human Resources in that it is immediately necessary to extend the contract for the renewal of workers' compensation actuarial services thereby preserving the public health, peace, property, safety and welfare;
Now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the Director of the Human Resources Department is hereby authorized to renew and extend the enter into a contract with CareWorks Consultants, Inc. to provide Workers' Compensation actuarial services from March 1, 2010 through February 28, 2012 2011.
SECTION 2. That the expenditure of $100,000.00 $50,000.00, or so much thereof as may be necessary from Fund 502, Human Resources Department, Division No. 46-02 46-01, Object Level One 03, Object Level Three 3336, and OCA code 450882 is hereby authorized and directed.
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is 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 Mayer neither approves nor vetoes the same.