HomeMy WebLinkAboutAgenda - 06-13-2006-5wORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: .tune 13, 2006
Action Agenda
Item No. 5 B w
SUBJECT: Employee Assistance Program Contract Renewal
DEPARTMENT: Personnel PUBLIC HEARING: (Y/N) No
ATTACHMENT(S): INFORMATION CONTACT:
2006-2008 EAP Renewal Contract Tyrone Jackson, 245-2550
PURPOSE: To approve renewal of the Employee Assistance Program (EAP) contract with
Magellan Behavioral Health for the period July 1, 2006 through June 30, 2008,
BACKGROUND: The EAP provides Orange County employees and their dependents with
confidential face-to-face assessment and counseling services, 24-hours a day emergency
service, referral to community resources as needed, coverage for any personal problems and
follow-upon all cases. The types of problems which may be addressed through the EAP
include drug and alcohol abuse, mental health including depression, parent/child issues, marital
issues and jab stress. The EAP also provides supervisory consultation far dealing with
employee personal problems, and provides consultation on a variety of mental health topics
such as stress management, depression and conflict management.
The EAP currently serves as Orange County's referral agency for any employee problems
related to substance abuse. The County's Drug and Alcohol Testing Policy, which complies with
the Federal government's drug and alcohol testing requirements, requires the County to have a
referral agency for an employee who tests positive for substance abuse. The EAP is the
required referral service for drug and alcohol treatment under the Drug and Alcohol Testing
requirements. The EAP also serves as the County's referral source when dealing with post-
traumatic incident debriefings, and employees utilized these services during the contract period.
The total service EAP projected employee utilization rate for employees directly contacting the
EAP for assistance average around 17.8 percent. In addition the EAP has provided legal
consultation and referral services to employees. Employees have utilized MagellanAssist online
services to access counseling services, and for self-referrals to participating area providers. The
EAP also has provided training for supervisors and department heads through its supervisory
assistance program. Also, as noted earlier, the EAP provides individual consultative assistance
to supervisors in dealing with specific problem employee situations such as depression.. The
number of such supervisory contacts is not available.
Attached is the contract for the EAP for 2006-2008..
FINANCIAL IMPACT: The contract renewal is at a rate of $1,54 per employee per month with
no change from the previous plan year. The estimated annual cost for the EAP for 2006-2008 is
$14,784 and funds are included in the 2006-2007 budget.
RECOMMENDATION(S): The Manager recommends that the Board authorize the Board Chair
to sign the renewal contract with Magellan Behavioral Health for the EAP for 2006-2008.
3
.Tune 5, 2006
Orange County
208 S. Cameron
Hillsborough, NC 27278
To Whom It May Concern:
This letter is to serve as a renewal and amendment of the current Agreement entered into by and
between Magellan Behavioral Health, Inc., on behalf of itself and its Affiliates, ("Magellan") and
Orange County ("Sponsor") which is effective for the period .July 1, 2004 through June 30,
2006.
Effective .July 1, 2006:
1. The Agreement shall be renewed for a term of 24 months extending from July 1, 2006
through June 30, 2008,
2, The employee count shall be as follows:
Number of Employees in die State of California 0
Number of Employees in states other than California 800
Total
800
3. Addendum B, Fee Schedule and Conditions of Offer shall be deleted in its entirety and the
attached Fee Schedule and Conditions of Offer shall be substituted in its place.
4. All remaining terms and conditions of the Agreement shall remain unchanged and in effect.
If this letter reflects your understanding of the new terms of our agreement, please have both
originals of this letter signed by the appropriate person and return them to me For signature.
Sincerely,
Maryanne C.himero
~'
AGREED TO AND ACCEPTED BY:
MAGELLAN BEHAVIORAL HEALTH, INC.
By:
Orange County
Hillsborough, NC 27278
By:
ADDENDUM B
FEE SCHEDULE AND CONDITIONS OF OFFER
BASIC FEES Fee PEPM
Basic Services
[Choose only one] $ I.25
x Face to Face Employee Assistance Program
Model --Choose selected model below:
® .3-session ^ 4-session
^ 5-session ^ 6-session
^ 8-session
Or'
Telephonic Only Services
Optional Services
_ Legal and Financial Consultation Services
x Legal Consultation Services $0.07
_ Financial Consultation Services
LifeManagement Resource and Referral $0,22
Services --Choose model below:
® Basic
^ Full
^ Full, with Convenience Services
Nurse Advice Line
SUPPLEMENTAL FEES
Additional Services
Additional Trainings $125 per hour
Additional Sessions $90.00 per Session
Additional Communications Materials
_ Additions) Brochures $0.40 per unit
_ Additional Videos $14.00 per unit
_ Additional Posters $1.60 per unit
International Services
_ Annual Set-up Fee US $3000
_ Pace-to-Face Counseling Services US $225 per one-
hoursession
CONDITIONS OF OFFER
1. Renewals are for 24 months with an annual rate adjustment.
Renewal rates are on a community basis, effective on the contract renewal date.
Rates will change once the employee count drops/rises to the next rating tier.
Rate increases will be indicated 90 days in advance,
5
2. Billing will be quarterly in advance or as required by statute.
3. None of these services can be offered as an employee choice under a cafeteria plan.
4. The EAP will not "gatekeep" to the behavioral component of available medical benefits
coverage.
5. Eligible dependents are limited to those who meet one of these criteria:
• Are dependents under IRS regulation, or
• Permanently physically reside in the household of the employee
6. Included in the core pricing:
• EAP orientations at implementation are included for a primary or headquarters site.
There is no charge for orientations at secondary sites with a minimum of 50 employees,
but travel costs will be charged for secondary sites.
• Wellness trainings are available as follows:
Up to 99 employees: no trainings included
100-249: includes 1 hour
250-499: includes 2 hours
500-749: includes 3 hours
750-999: includes 4 hours
1000-1499: includes 5 hours
1500-1999: includes 6 hours
Additional trainings will be charged at the Supplemental Rate indicated on the Fee Schedule
Travel costs for travel of 50 miles or more will be reimbursed to Magellan by the customer at
Magellan's cost.
• Any necessary CISDs are included.. Travel costs for travel of 50 miles or more will be
reimbursed to Magellan by the customer at Magellan's cost.
• Any necessary Mandatory referrals are included in the face-to-face EAP models.
• The telephonic EAP does not include mandatory referrals. They can be purchased at
$700,00 per case.
• MagellanHealth.com is included..
7. Core EAP rates assume standard Magellan employee communications package, consisting of:
• Brochures w/wallet cards: 1,3 per employee
• Quarterly Employee Newsletter (electronic)
• Posters: I per 150 employees
• Supervisor manual: 1 per 20 employees
• Employee videos: 1 per 500 employees
• Supervisor videos: 1 per 500 employee
Distribution of above materials to one location
Additional communication materials will be charged at the Supplemental Rate indicated on
the Fee Schedule
8. Reporting:
One aggregate annual usage report provided to customers with fewer than 250 employees
Four quarterly reports provided to customers with 250 or more employees
Divisional reporting is not available.
9. No performance guarantees are offered; service center overall performance reporting only..
10. Legal, Financial, WorkLife Resource and Referral, and Nurse Advice Line services may only 7
be purchased with core EAP. Convenience services may be purchased only when Full
LifeNtnnngemen! WorkLife Resource and Referral has been purchased,
1 1. Rates apply only to customers in the United States, Puerto Rico, or Canada, whose members
reside only in the United States, Puerto Rico, and Canada; Magellan must be specifically
notified of non-U.S. residents. EAP and related services require a minimum often (10)
employees who reside in the United States.
12, International Services are available to United States and Canadian expatriates residing
overseas for an additional annual fee as listed in the Fee Schedule.