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HomeMy WebLinkAboutItem 07 Approval of Renewal of Agreement with Digitech for Medical Billing Services City of Ocoee ▪ 1 N. Bluford Avenue ▪ Ocoee, Florida 34761 Phone: (407) 905-3100 ▪ www.ocoee.org STAFF REPORT Meeting Date: August 19, 2025 Item #: 7 Contact Name: Charles Van Camp Department Director: Thomas Smothers Contact Number: Ext. 2006 City Manager: Craig Shadrix Subject: Approval of Renewal of Agreement with Digitech for Medical Billing Services. (Deputy Fire Chief Van Camp) Background Summary: The Ocoee Fire Department (OFD) currently provides fire-based EMS transport and utilizes a third-party vendor to handle billing for these services. Since 2018, the City has contracted with Intermedix (now Digitech) under a piggyback agreement to provide these services. The current contract is expiring, and staff has negotiated a renewal with Digitech effective October 1, 2025. The renewed agreement with Digitech maintains the provision of third-party EMS billing services via a cooperative piggyback of the Fernandina Beach Agreement, which is incorporated by reference. The agreement includes updated terms, fees, and HIPAA Business Associate provisions while ensuring continuity of billing services for the City’s EMS transports. Issue: Should the Honorable Mayor and City Commissioners approve the renewal of the agreement with Digitech Computer LLC for EMS medical billing services under the new contract terms? Recommendations: Staff recommends the Honorable Mayor and City Commissioners approve the renewal of the agreement with Digitech Computer LLC for EMS billing services, utilizing the terms of their agreement with Fernandina Beach, Florida, as outlined in the executed contract effective October 1, 2025. Attachments: 1. Digitech Billing Service Agreement 2025 Financial Impacts: Under the renewed agreement: • Digitech will charge a billing fee of 4.00% of net monthly non-Medicaid EMS billing collections, and a flat fee of $1,000 per month for Medicaid account processing. • Digitech will handle PEMT (Public Emergency Medical Transportation) cost reporting at a fee of 6% of revenue generated. City of Ocoee ▪ 1 N. Bluford Avenue ▪ Ocoee, Florida 34761 Phone: (407) 905-3100 ▪ www.ocoee.org • Managed Care Organization (MCO) and Intergovernmental Transfers (IGT) cost reporting will be handled at a fee of 3% of revenue generated. • If combined PEMT and MCO/IGT charges fall below $10,000 annually, the City will pay a minimum $10,000 combined fee for these services. All fees listed above are consistent with those currently paid by the department under the existing contract and represent no change in cost structure. These fees are offset against EMS transport revenues collected through billing and are essential to recover costs associated with providing EMS transport services. Type of Item: Consent