AGENDA ITEM REPORT
TITLE:
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A RESOLUTION AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO EXECUTE AMENDMENT NO. 2 TO THE AGREEMENT BETWEEN THE CITY OF COCONUT CREEK AND OPTUMHEALTH CARE SOLUTIONS, LLC REGARDING THE USE OF COCONUT CREEK FITNESS FACILITIES FOR OPTUM FITNESS PASSPORT PROGRAM CLIENTS.
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BACKGROUND:
OptumHealth Care Solutions, LLC (“Optum”) and the City of Coconut Creek entered into an agreement, dated November 28, 2017, and amended August 2021 (collectively the “Agreement”), to allow Optum customers to utilize Coconut Creek fitness facilities under Optum’s Medicare Advantage Plan and Commercial Plan to participate in the Optum Fitness Passport Program (“Program”) as an incentive to maintain a fitness routine. By participating in this Program, the City receives up to $32.00 (allows 8 visits per month per member) a month per plan member based on the number of eligible member visits.
DISCUSSION:
Optum has mandated that all fitness centers with which it contracts must include a “Most Favored Reimbursement” clause. The clause requires participating fitness centers to review similar programs and amend their contract with Optum to provide the most favorable per visit and monthly limitations rates to Optum. The proposed amendment includes the required clause and revises the City’s reimbursement rate for Medicare Advantage Plan and Commercial Plan members to $3.20 per visit for up to $32.00 per month (allows 10 visits per month per member).
RECOMMENDATION:
Staff recommends approval of this resolution.
FISCAL IMPACT:
REVENUES: $0
EXPENDITURES: $0
BUDGETED? Yes
NOTES: Account 01-V34725 - Fitness Program. Revenues for related membership fees are collected by a third party vendor, Healthy Contributions, authorized by a separate agreement.