TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Daryn Drum, Fire Chief
Steve S. Charelian, Finance Director
Mike Boyd, Fire Battalion Chief
Gwen Eng, Purchasing Manager
SUBJECT:Title
Consider Adopting a Resolution Approving a Three-Year Agreement with McCormick Ambulance for Emergency Ambulance Transport Services with an Amount Not to Exceed $935,000 (Fire Chief Drum and Finance Director Charelian).
ADOPT RESOLUTION NO. 20-0018 APPROVING AN AGREEMENT
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council adopt Resolution No. 20-0018 approving a three-year agreement with McCormick Ambulance to provide emergency ambulance transport services with an amount not to exceed $935,000, and authorize the City Manager to extend the term of the contract for two additional one-year periods if deemed in the City’s best interest.
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FISCAL IMPLICATIONS:
The Fire Department Emergency Medical Services program budget has sufficient funding for these services. The payment schedule per transport will be as follows: year one $380, year two $389 and year three $398. The annual cost of service ranges between $304,000 and $318,400 based on an estimated 800 transports per year. The cost paid to McCormick will be offset by revenue received through the City’s ambulance billing process (average receipt is about $700 per transport). The City of Manhattan Beach transport rates are set by Los Angeles County Emergency Medical Services Agency.
BACKGROUND:
The Fire Department currently staffs one Advanced Life Support (ALS) Paramedic ambulance and two ALS Paramedic Engines. ALS is medical service provided by two licensed paramedics. Paramedics perform advanced airway management, electrocardiogram interpretation, defibrillation, and administration of intravenous medications.
Since fall 2018, Basic Life Support (BLS) ambulance services, used for non-life-threatening injuries or illnesses, have been provided by McCormick Ambulance. From April 2019 through December 2019, this private ambulance provider has averaged a satisfactory response time of nine minutes and 25 seconds. This time is well within their contractual required time of 14 minutes and 59 seconds.
The City contracted with McCormick Ambulance because they have the highest number of private ambulance resources in the South Bay. The City’s current contract with McCormick Ambulance started April 8, 2019, and is expected to expire on March 19, 2020. They are also under contract with neighboring cities of Torrance, Redondo Beach, and Hermosa Beach to provide emergency ambulance services and therefore, uniquely positioned to serve the needs of the City within the required response times.
McCormick’s Dispatch Center has a history of seamless service with the South Bay Regional Public Communications Authority center. Additionally, they are linked to the Electronic Patient Care Reporting (ePCR) network and follow the same policies and procedures as required by the Los Angeles Department of Health Services and the National EMS Information System (NEMSIS). The ePCR is designed to share EMS quality data at a national level. The National EMS System encourages ePCR system users to be compliant with national standards, as such specific data elements from ePCR shared with NEMSIS, part of the National Highway Traffic Safety Administration (NHSTA). These de-identified, customized data fields and elements are automatically uploaded and transmitted to NEMSIS and are utilized for statistical purposes, informed decisions, potential best practices, and for quality assurance and performance improvement at the national level.
DISCUSSION:
Under the new proposed contract, the City would continue managing the billing process and pay the private ambulance company $380 per transport for year one. The payment schedule per transport will be as follows: year one $380, year two $389 and year three $398. Under this arrangement, staff projects net revenue offset of approximately $250,000 per year.
McCormick Ambulance will be contractually obligated to respond when requested and must maintain a monthly response time compliance rate of 90%, based on the type of call received. For all Code 2 (without red lights and sirens) calls the response time must not exceed 29 minutes, and for all Code 3 (with red lights and sirens) calls response times must not exceed 14 minutes and 59 seconds. During McCormick’s last twelve months of service to the City they responded to 1,421 call of which 715 were transported.
It is important to note that Manhattan Beach Fire Paramedics arrive on scene in approximately 5 minutes (average response time is 4 minutes 30 seconds). Upon arrival, Paramedics immediately begin to assess, treat and stabilize the patient for transportation. These critical actions can take place prior to the BLS ambulance arrival.
Staff recommends that the City Council adopt Resolution No. 20-0018 approving a three-year agreement with McCormick Ambulance for Emergency Ambulance Transport Services with an estimated value not to exceed $935,000 with an allowance to extend the contract term for two additional one-year periods if deemed in the City’s best interest. The City may cancel the contract at any time, without cause, if necessary.
PUBLIC OUTREACH:
After analysis, staff determined that public outreach was not required for this issue.
ENVIRONMENTAL REVIEW
The City has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary.
LEGAL REVIEW:
The City Attorney has reviewed this report and approved as to form the agreement.
ATTACHMENTS:
1. Resolution No. 20-0018
2. Agreement - McCormick Ambulance