Broken Arrow City Council
Meeting of: 12-06-2016
To: Mayor and City Council
From: Fire Department
Title:
title
Consideration, discussion, and possible approval of and authorization to execute an agreement between Blue Cross and Blue Shield of Oklahoma and the City of Broken Arrow to allow the City to become an in-network provider
End
Background:
It is estimated 30% of the patients transported by Broken Arrow Fire Emergency Medical Service are insured with Blue Cross and Blue Shield of Oklahoma (“BCBS”). Presently the City is considered an out- of- network provider for those insured with BCBS. As a result, BCBS sends insurance payments directly to patients for services rather than the City. There are a number of patients who fail to forward this payment on to our third party billing vendor EMS Management and Consultants. The City of Broken Arrow does not currently send EMS patient accounts to collections resulting in lost revenue.
This agreement would establish the City as a network provider for Blue Cross Blue Shield. While the reimbursement rate is less than the City’s standard fees, EMS Management and Consultants estimates becoming an in-network provider will result in an annual revenue increase of $50,000.00.
The Legal Department has reviewed the agreement and has requested that the binding arbitration clause be omitted. However, BCBS will not agree to make any changes to their standardized agreement. The Legal Department is recommending that the Council approve the agreement with the understanding that binding arbitration is required.
Cost: None
Prepared By: Jeremy Moore, Fire Chief
Reviewed By: Legal Department
Finance Department
Human Resources Department
Assistant City Manager
Approved By: Michael L. Spurgeon, City Manager
Attachments: Agreement - Blue Traditional, BluePreferred, BlueChoice,
Addendum - BlueLincs HMO - review and sign,
Addendum - BlueAdvantage, BlueTraditional, BlueChoice, BluePreffered - review and sign,
Addendum - BluePlan65 review and sign
Recommendation:
Approve the agreement with Blue Cross Blue Shield of Oklahoma and authorize its execution.