05-1007RESOLUTION
CITY OF SAINT PAUL, MINNESOTA
PRESE\TED BY
RE�iuz�v To
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COtiIriITTEE: DaTE
i WHEREAS, that the Minnesota Counties Insurance Trust (MCIT) is a joint powers
z organization, established pursuant to Minnesota Statutes 471.59 and 471.981 and is open to any
a govemmental unit or other politicai subdivision ailowed by law; and
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s WHEREAS, the MCIT has contracted with FirstLab, a third-party administrator to
s provide drug and aicohol testing programs for members of the MCIT pool of counties and
v municipalities; and
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s WAEREAS, the City, through the Office of Auman Resources, would like to participate
io in the MCIT's pool for CDL pre-employment, random, follow-up and return-to-duty drug and
u alcohol testing, coordination of drug and aicohol testing services and customized chain-of-
iz custody forms and supplies for collection sites to remain in compliance with federal statute;
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i4 NOW THEREFORE, BE IT RESOLVED, that pursuant to Minnesota Statutes 471.59,
is commonly referred to as the "7oint Powers Act," the proper City of Saint Paul officials aze
is hereby authorized and directed to execute the attached Participation Agreement with the
iv Minnesota Counties Insurance Trust (MCIT) to participate in the MCIT Drug and Alcohol
i8 Testing Program; and be it
is
zo FURTHER RESOLVED, that this Participation Agreement is approved and a waiver, if
zi necessary is provided for under the terms of Administrative Code 85.13 Waiver for Certain
zz Contracts (and Exemptions). This waiver is granted to ailow for the orderly functioning of the
23 City, is not part of a managed competition process, and the City is, at this time, unable to
z4 reasonably develop, on a timely basis, the capacity or expertise to perform the City service or
zs services proposed to be contracted out; and be it
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i FINALLY RESOLVED, that the attached Agreement shall commence on October 1,
2 2005 and for a one year term to September 30, 2006, and will automatically be renewed
3 thereafter for one year terms unless the Office of Human Resources informs the MCIT of its
� intention to terminate the Agreement according to the provision of the Agreement.
by �oyinci� Secretary
By:
by
Adopted by Council: Date QV`fb'�'�l'J�� �.l ���5
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Requested b Department of:
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Approva] o a Joint Powers Agreement with the Minnesota Coundes Insurance Trust (MCTI) to pazticipate in the MCTT Drug and
Alcohol Testing Progxam foc Commencial Drivets (CDL) to be in compliance witlt federal statute. The MCIT is a joint powers
organization, established pursuant to MN Statutes 471.59 and 4�1.981 and is open to any goveramental unit or other political
subdivision allowed by law.
Planrting Cammission
CIB Committee
Citil Sen9ce Commission
Following
1. Has this persoNfirm e�er worked under a wntract for this department?
Yes No
2 Has this persw✓Brm e�er been a city employee?
Yes No
3. Does this persanlfirzn possess a skiD not nortnaliy possessed by aTry
curtent city employee?
Yes No
Explain aB yes answers on separete sheet and attach b 9ree� sheet
Initiating Problem, Issues, Opportunky (Who, What, When, Where, Why): "
The City of Saint Paul has participated in the MCTT Drug and Alcohol Testing pcogam siuce appro�cimately 1995. The MCIT Arug a�
Alcohol Testing Pro�am switched providers effecrive October 1, 2005 to FirstLab. FirstLab is the lazgest privately-heid third pari
administrator (TPA) of drug and alcohol testing services in the United States. The City needs to sign a new participation agreement to
remain in the program.
Advantages If Approved:
The.City will be able to continue to pazticipate in the MCITs pool for CDL pre-employment, random foliow-up and retum-to-dury di
and alcohol testing, coordination of drug and alcohol testing services and customized cLain-of-eustody foims and supplies for
collection sites.
DisadvaMages IF Approved:
None.
Disadvantages RNOtApproved:
The City will be tequired to find another TPA to provide this service and will not benefit from being par[ of a larger pool from
rnndom drug and alcohol tests are drawn.
iow�wnoun[or �O,OOD
Transaction:
Punding Source:
Financial informatlon:
(ExpWin)
CosHRevenue Budgeted:
Activ'tty Number.
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October24, 20051:43 PM Page 1
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Memo To:
From:
Date:
Re:
MINNESOTA COUNTIES INSURANCE TRUST
100 Empire Drive 651-209-6400
Suite 100 866-547-6516
St. Paul, MN 55103-1885 FAX: 651-209-6496
MCTI' Drug and Alcohol Testing Program Contacts
Joan Crrotjahn, Office Manager
Karen Ebert, Staff Counsel
September b, 2005
Participation Agreement
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In a pzior communication from Mark Nolan, MC13' Loss Contro3 Specia]ist, you were �ovid�;a`riew
Participation Agreement for the MCIT Drug and Alcohol Testing Program. The new Partici�ion t��ment
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is effective October 1, 2005.
Enclosed with this Memo you will find a copy of the completely executed Participation Agreement between
your entity and MCIT.
The Participation Agreement is a binding legal document and must be executed by persons with the ]egal
authority to enter into contracts on behalf of your county, city, township or other public entity. The signature
block on the Participation Agreement states that iL is signed by persons authorized to enter into the Agreement.
Therefore, MCTT will assume that the person who signed on behaif of your entity is the proper person to sign
contracts for the county, city, township or other public entity. If this is not the case, you should have the
Agreement and this memo reviewed by your legal counsel or contaci MCTI', either Joan Grotjahn or Karen
Ebert, for recommendatians. If we do not hear from you by September 30, 2005, we will assume that the
Agreement is properly signed.
Please make sure that a copy is sent to the proper office in your entity for contracts entered into by the county
board, city council, town boazd or other governing board. This is a binding legal document and should be kept
in the proper location.
Thank you for your assistance in retuming the signed Agreement in a timely manner.
Enclosure: copy of Parcicipation Agreement
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MINNESOTA COUNTIES INSURANCE TRUST
DRUG AND ALCOHOL TESTING PROGRAM
PARTICIPATION AGREEMENT
THIS AGREEMENT is made and entered into this z9th day of Augttst, 2005, between
ttie Minaesota Counties Insurdnce Trust, ("MCTI"'), 100Empire Drive, Suite 100, St. Paul,
Minnesota 55103-1885 and �e City of Saint Paul
,
hereinafter referred to as "Participant "
MCTI' is a joint powers organization created pursuant to Minnesota Statutes Sections
471.59 and 471.981 for the purpose of self-insuring workers compensation, property
/casualiy and employee benefits through a pooling arrangement. MCTf's primary
membership is Minnesota counties and related pubiic entities.
MCTP has retained the services of FirstLab to administer MCTT's Drug and Alcoho3
TesUng Program to assist MCTf Members and other participants (i.e., cities, tawnships and
other public entities that are not Members of MCTI� in complying with federal and state
laws and regulations for drug and alcohol testing.
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Member/Participant desires to participate in the Drug and Alcohol Testing Program
sponsored by IVICIT', hereinafter referred to as "the Progazn."
In consideration of the mutual promises and agreements contained herein, the parties
hereto agree as follows:
I. TERM AND 'I'ERNIINATION
1'he term of this Ageement shall commence on October 1, 2005, for a one year
term (to September 30, 2006), and will automatically renew thereafter for one yeaz
terms until such time as either party informs the other of iis intention to terminate
the Agreement according to the pmvisions of this Agreement. Either party may
ternvnate this agreement for any reason with 90 days written notice to coincide
wiih the quarterly draws. The withdrawal wil] not be effective until the beginning
of the quarter after the 9Q day written notice is given. Participant shall pay for
services provided up to date of temunation.
In addition, MCTT may terminate the Agreement immediately if Pazticipant is ouC
of comp2iance with the federal and state regulations on drug and atcohol testing
(therefore, out of compliance with the MCTT program and ihis Ageement). MCTT
will make al] reasonable effort to assist Participant with compliance prior to
terminating the Agreement for noncompliance. The noncompliance that will cause
immediate ternunation is the failure to follow the rules such that the entire pool is
at risk of violating federal and state law and regulation.
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II. SERVICES TO BE PROVIDED BY MCIT
A. Program Devetopment and Implementation - MCTT will pzovide services
to the MemberJParticipant in accordance with the drug and alcohol testing
service provider contract or successor contract. MCTT is not obligated to.
provide such services should the drug and alcahol testing service provider
contract be terminated or cancelled. Effective October 1, 2005, FirstI.ab
will provide services necessary to e»sure that participating entities are in
compliance with all applicabie drug and alcohoi testing requirements of the
U.S Department of Transportadon. Specificatly, the drug and alcohol
testing services provided will inciude testing required by the FMCSA and
FTA of participating entities' drivers in safety-sensitive posidons in the
following situations:
■ Pre-empIoyment.
■ Post accident.
■ Reasonable suspicion of prohibited use.
� Random selection.
■ Return to duty.
• Follow-up to prior tests.
MCTF wiil initially enroll participants and FirstLab will be responsible for
maintaining up-to-date employee records, including additionsldeietions, for
all individua3 employees of participating entities who are subject to testing
in the program. FirstLab will be responsible for developing procedures to
comply with the FMCSA and FTA drug and alcohol testing requirements.
B. Collection/Testing Sites - Firstl.ab will maintain collection/tesfing sites
thtoughout Minnesota to perform alcohol tests and collect urine specimens
for drug tests. FirstLab will provide on-site testing services if requested by
Pazticipant and at Participant's cost. FirstLab will ensure that all
collection/testing sites are in compliance with all federal and state laws,
rules and regulations goveming drug and alcohol testing. Participant may
identify a collection/testing site that is not already included in the program
and FirstLab wilt investigate the possibality of adding it as an approved site.
Participant agrees not to use any co3lection/testing site that is not pre-
appmved by FirstLab. Costs incuaed by Participant using a
colIection/testing site not approved by FirstLab will be the responsibility of
Participant.
C. Supplies - FirstI..ab shall provide col]ection/testing sites and, as reguested,
par[icipating entities with a13 supp]ies necessary for the collection of urine
specimens, including, but not limited to, specimen bottles with instructions,
labels, order forms, chain of custody forms and prepaid ovemight co¢rier
supplies.
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D. Chain of Custody -�rstLab will maintain proper chain of custody controls
during al1 testing and/or handling of urine specimens and proper chain of
custody documentadon. �rstLab will retain custody of any confirmed
positive specimens under pmper chain of custaly and secured refrigerated
condition as per standards of the Substance Abuse and Mental Health
Services Administration (hereinafter refened to "SAMHSA"}.
E. Random Testing - FirstLab will provide participating entities with names
of empIoyees to be tested on a random hasis in compliance with the annual
rates of testing required by the FMC3A and the FTA. Two sepazate MCTT
random testing "pools" wiIl be estabIished by FirstLab:
• one for FMCSA empioyees and
• one for FI'A emgloyees.
The annuai random setection percentages will be applied to the total number
of driver positions in each "pool".
• Random drug testing will be done at the annual rate of 50% of the
average nwnber of driver positions for both the FMCSA and the FI'A.
• Random alcoho] testing must be done at the annual rate of 10% of the
aveFage number of driver positions for both the FMCSA and the FI'A.
� Ttie random tests sha11 be reasonably spread throughwt the calendar
year.
F. Record Keeping and Reports for Pat�ticipating Enfities - Firs[Lab shail
develop and maintain records and reports required by federal and state taws,
rules and regulations. These records and reports shali include, but noi be
limited to:
. Verified positive drug and alcohol test results.
• Refusals to submit to tests.
• Driver evaluaYion and referrals.
• Annual calendar-year summary.
• Records related to the alcohol and drug collection/tesang process.
• Negative and cancelled dtug and alcohol test results.
• Records related to the drug and alcohol program's education and
training of supervisors and drivers.
• Any other reports and records reTated to the administration of the drug
and alcohol testing program that may be required.
FirstLab will assist Participants in completing any state/federaI audit
reports.
G. Expert Witness Testimonp - FirstLab will provide expert witztess
testimony if requested by MCTT or the respective Paz
H. EducaYion and training - Firstl,ab will provide education and training to
participating entities regarding their obligations under federai and state
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]aws, rules and regulations in the form of regional supervisor recognition
training sessions (4) for participating entities at various Minnesota locations
as arranged by MCPT. FrstLab and MCTT wiil agree on the dates, content
and locations of all regional training sessions. FirstI.ab shall also provide
on-site meetings for Participant upon request and at cost to Participants.
L Update of Laws, Rules, and Regulations - FirsiLab wiil inform and
update MCTT regarding any and alI revisions to federal and state laws, rules
and regulations conceming drug and alcohol testing, inciuding, but not
limited to, changes to the FMCSA and FTA drug and alcohol tesdng
requirements. MCTf wiil inform and update Par[icipant accordingly.
J. Additional Requirements for Drug Testing
Testing Laboratory - FirstLab will contract with a testing laboratory which
shall analyze the urine specimens provided by the collection/testing sites,
using an immunoassay method, to detemrine the presence or absence of the
following drugs: Marijuana, Cocaine, Amphetamines, Opiates,
Phencyclidine (PCP).
Firstl.ab will automatically co�rm by Gas Chromatography/Mass
Spectrometry (�C/MS) al] presumptive positive results fro�n.screening of
the drugs named above. The level at which a positive result is confirmed
shall be according to the SAMHSA standards for the respecUVe drugs.
Firstl.ab shall report all test results to the designated Medicai Review
O�cer within seventy-two (72) hours af receipt of the urine specimens. All
results will be reported either negative or positive without numerical value.
FirstLab can screen for additional drugs and bill Participant if requested.
Medical Review Officer (MRO) - FirstLab wilt atrange for a Medical
Review O�cer (MRO) to independenUy review drug test results received
from the testing laboratory and to report results to Participant. The MRO
shall be a}icensed physician who has lrnowledge of substance abuse
disorders and has appropriate inedical training to interprei and evaluate an
individual's confirmed positive test result together with his or her medical
history and any other relevant biomedical information. MRO services shall
include, but not be limited to, the following functions:
• Receive and review test resuits from the laboratory.
• Review certified copies of chain of custody forms.
• Report negative results to designated participating entity
personnel.
• Interpret positive resu]ts.
• Conduct confidentia] medical interviews with positive tested
individuals.
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• Review all medical records made available by the tested
individual when a co�rmed positive test could have resulted
from legally prescribed medication.
• Consult with collectionitesting site and laboratory personnel.
• Request quantitative results, if needed_
• Order anatysis af sp&t specimen, if requesterL
. Determine whether positive tests are the result of prescribed or
illicit clrugs_
• Examine atternate medical exptanations for any positive test
result.
• Report results of verified positiva tests to designated
participating entity personnel.
• Maintain records and notifications in accordance with federal
and state laws, rules and regulations.
• Order blind specimen testing as needed.
• Assist participating entities wiih post-accident testing
requirements.
III. FEES
Participants will be responsible fot alI costs associated with drug and alcohol tests.
Par[icipants will be invoiced direcfly by the service provider and make payment
within 30 days after receipt of the invoice. The Fee Schedule is as fol3ows:
A. Drug Test
Collection Site Fee $ 19.00
Laboratory Testing Fee $ 15.00
(LTrine Drug Test-UDT)
MRO Fee $ 2.50
Totat Drug Test $ 36.50
B. Alrnhol Test (Breath Alcohol Test)
Collection & Test Fee $ 30.00
Total BAT $ 30.00
C. *On-Site Drug Testing
Minimum of 5 donors per on-site event
Collection Fee $ 25•00*
Testing Fee $ 15.00
MRO Fee $ 2.50
Total on-site drug $ 42.50
D. *On-Site Alcohol Testing
Minimum of S donors per on-site event
Collection & Tesung $ 35.00
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'�Possible Additional On-Site Collection Fces
During regulaz business hours: $50.00 set up fee.
Emergency after hours (fess than 72 hours notice) $i50.Q0/hour/collector
Minimum 2 hours.
Additional Fees for on-site coIlections: $.50 per mile over 40 miles mund
uip.
$50.00/hr wait fee charged in 15 minute increments.
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V.
E. Additionai Services
Reanalysis or analysis or split
specimen by alternate AHHS
laboratory (per drug)
Fxpert Witness Testimony
Litigation package assembly
(plus pass through of any lab fees)
Blind Specimen Testing
(per DOT Regulation)
$ 125.00JdruQ
$ 150 00lhour nlus travei & exnenses
$ 25.00
$ 25.OQ
ADDITIONAL FEE FOR PARTICIPANTS WFIO ARE NOT MEMBERS OF
MCIT
Participants who are not members of MCTT but who are participating in the Drug
and Alcohol Testing Program wil] pay an administrative fee based on the number
of employees in the program. The adminiscrative fee is payable to MCTI' and will
be invoiced on an annual basis. The administrative fee must be gaid within 30 days
of the invoice from MCIT.
HOLD HARNII.ESS AND INDEMI3IFiCATION
Participant agrees that MCTT and its officers and employees shall not be liable for,
and Participant agrees to pay the cost of defense, indemnify and hold ha-mless
MCIT, 'sts o�cers and empIoyees from and against all liabilities, claims actions,
expenses (including attorneys fees and costs related to the invesagation of any such
claims, action or proceeding), obligadons, losses, fines, penalties and assessments
resulting from or arising out of the performance of Participant's obligations under
this Ageement.
MCTf agrees to indemnify, defend and hold Participant and its directors, officers,
agents and employees harniless from any loss, cost and exper.se (including court
costs and attorneys' fees) to Participant, arising out of or resulting from MCTT"s
performance of its obligations under this AgreemenL MCTT shall not defend, hold
harmiess and/or indemnify Participant against any demands, claims, suits, actions,
and/or damages arising or alleged to azise, out of the acts, conduct andlor
omissions, in whole or in part, of Participant or any testing laboratory or collection
facility designated by Participant to conduct drug tests on behalf of Participant not
previously approved by FirstLab as required by MCTT.
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VI.
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At ail times during the term of this Agreement, Pazticipant shali maintain at a
minimum the following insurance coverage with an insutance company or
companies that have an A.M. Best rating of A or better.
Commercial General Liability
Professional Liability or
Errors & Omissions
Automobile Liability
Workers' Compensation
$1,ppp,000 per occurrence
$2,000,000 per occutrence
$1,000,000 per occurrence
3tatutory Limits
Certificates of insurance coverage shall be provided ta MCTf upon request. If
participant is a pablic entity, liabifity limits may be according to statutory limits of
Chapter 466, Minnesota Statutes.
GENERAL TERMS AND CONDITIONS
A. Entire Agreement - This Agreement embraces the entire Agreement between
the parties. No oral ageement or representation concerning this Agreement shai}
be binding. AII prior ageements are revoked.
B. Assignment — Neither Pazticipant nor MCIT' may assign, delegate or otherwise
transfer this Agreement or any of its rights or obligations hereunder withoat the
prior written consent of the other, which consent shall not be unreasonably
xrithheld.
C. Non-Waiver and Cumulation of Remedies — The failure by eitiier party at any
time to enforce any of the provisions of this Agreement or any right or remedy
available hereunder or at law or in equity, or to exercise an option herein provided,
shall not constitute a waiver of such provision, right, remedy or option or in any
way affect the validity of this Agreement. The waiver of any default by either parcy
shall not be deemed a continuing waiver, bvt shal] apply solely to the instances to
which such waiveris directed.
D. Amendment — This Agreement may be aItered, extended, changed or amended
in writing by mutuat agreement of the parties with the same formality as this
original Agreement.
E. Severability — Every provision of this Agreement shall be construed, to the
extent possible, so as to be vatid and enforceable. ff any provision of this
agreement so constructed is held by a court of competent jurisdiction to be invalid,
illegal or othervvise unenforceable, such provision shall be deemed severed frora
this Agreement and all other provisions shall remain in fuil force and effect.
F. Data Privacy — Both parties agree to abide by the applicable provisions of the
Minnesota Data Practices Act, Minnesota Statutes, Chapter 13, and all other
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applicabie stafe or federal mles, regulations or orders pertaining to privacy or
�o�dentiality, including the Health Insurance Portability and Accountability Act
("I�PAA'�.
G. Notice — Notice shall be given to the other party in writing and may be
effecmated by delivery by U.S. Mail. Notice shall be made to MCTI' to Robyn
Sykes, Executive Director, 100 Empire Drive, Suite 100, St Faui, MN 55103-1885;
3nd to Citp of Saint Paul, PazYiCipant to
Angela Nalezny, Human Resources Director, 4Q0 City Hall Annex,
25 W, kth St=eet, Saint Paul, MN 5510
IN WI1'NESS WHEREOF, MCTT and Participant have caused tkus Agreement to be
executed by the person authorized to act in the respective nunes on the date shown below.
MINNESOTA COUNTIES INSURANCE TRUST
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obyn Sykes, Execu e Director Date
Approved as to form and execution: `� t�i��t'\ ����il VvL �[.fi�-e ����5
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