REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Travis Hopkins, City Manager
VIA: Marissa Sur, Assistant City Manager
PREPARED BY: Marissa Sur, Assistant City Manager
Subject:
title
Approve and authorize execution of a Professional Services Contract with Pacific Secured Equities, Inc. dba Intercare Holdings Insurance Services for Third Party Workers’ Compensation Claims Administration and Utilization Review Services
body
Statement of Issue:
As a self-insured public entity, the City contracts with a third party administrator (TPA) for workers’ compensation claims adjusting services and other vendors for managed care services including utilization review. The TPA is charged with providing overall program administration of the workers’ compensation claims and works directly with the injured employees, medical providers, consultants, and attorneys, to administer workers’ compensation benefits on behalf of the City and in compliance with applicable laws. With the City’s current agreement expiring on October 31, 2026, staff initiated a Request for Proposal to review TPA and managed care services options available to the City and now requests City Council approval of the proposed agreement with Pacific Secured Equities, Inc. dba Intercare Holdings Insurance Services (Intercare).
Financial Impact:
The annual fiscal impact during the term of the contract is: Yr. 1) $870,000; Yr. 2) $900,000; Yr. 3) $930,000. The total compensation over three years is $2,700,000. Sufficient funding is budgeted in the Workers’ Compensation Internal Service Fund (551) for FY 2026/27. Funding for years 2 and 3 will be included in the subsequent budgets.
Recommended Action:
recommendation
Approve and authorize the Mayor and City Clerk to execute “Professional Services Contract Between the City of Huntington Beach and Intercare Holdings Insurance Services for Workers’ Compensation Third Party Administration and Utilization Revi...
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