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HomeMy WebLinkAboutRES 23-368RESOLUTION NO. 23-368 BE IT RESOLVED BY THE CITY COUNCIL O THE CITY CE BEAI.JMONT: WHEREAS, Council authorised a contract for Municipal Court collection services on November 21, 2023, in Resolution No. 23-354; and, WHEREAS, it is needed to amend Resolution No. 23-354 to reflect the following findings; and, WHEREAS, the City of Beaumont desires to engage a law firm to perform legal services for the collection of unpaid fines, fees, court costs, forfeited bonds, and restitution ordered paid by the Municipal Court; and, WHEREAS, the City of Beaumont finds that; (1) There is a substantial need for the legal services to be provided for the collection of unpaid fines, fees, court costs, forfeited bonds, and restitution; (2) These legal services cannot be adequately performed by the attorneys and supporting personnel of the City of Beaumont at a reasonable cost; (3) These legal services cannot reasonably be obtained from attorneys in private practice under a contract providing only for the payment of hourly fees, without regard to the outcome of the inatter, because of the nature of the collection authorized by TX Code of Criminal Procedure Art. 103.0031 and because the City of Beaumont does not have the hinds to pay the estimated amounts required under a contract only for the payment of hourly fees; and, WHEREAS, after having sought legal services on the basis of demonstrated competence and qualifications at a .fair and reasonable price the City of Beaumont has identified the law firm of Linebarger, Goggan, Blair & Sampson, LLP to provide the necessary services; and, WHEREAS, Linebarger, Goggan, Blair & Sampson, LLP has provided these specialized legal services to the City of Beaumont in the past; and, WHEREAS, it is in the best interest of the City of Beaumont to enter into a Contingency Fee Contract with the law firm of Linebar•ger, Goggan, Blair & Sampson, LLP to perform the legal services required to comply with the terms of this contract; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Council of the City of Beaumont hereby approves the selection of the law firm of Linebarger, Goggan, Blair & Sampson, LLP on a contingency fee basis for the collection of unpaid fines, fees, court costs, forfeited bonds, and restitution ordered paid by the Municipal Court; and, BE IT FURTHER RESOLVED THAT the City Manager, or his designee, be and they are hereby authorized to execute a one (1) year contract, with an option to renew upon mutual consent for two (2) additional one (1) year• periods, for collection services of delinquent Municipal Court fines and fees. The Contract is substantially in the form attached hereto as Exhibit "A," and made a part hereof for all purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 12th day of Dccernber, 2023, /Mayor Roy West - A ATTN: Linda Sshier Linebarger Goggan Blair & Sampson, LLP 2706 Via Fortuna Drive Austin, TX 78746 RE: RFP for Collection Agency Services for Municipal Co6rt RFP No. TF0823-22 Please be advised that your company has been awarded the referenced contract for the City of Beaumont. The provisions of the agreement are stated in RFP No, TF0823-22. The pricing details of the contract are shown on the following pages, ne conffdWrr5'Yr#7Z7rF7 not to exceed three (3) years total. All orders shall be accompanied by a Purchase Order number. The Purchase Order number must appear on all delivery tickets and invoices. Payment by City to Vendor shall be made in accordance with the requirement of Texas Government Code §2251,021. If you need any further information, please contact the Purchasing Division at (409) 880-3720 Sincerely, 0 Terry Welch Purchasing Manager TW:bd GASIDS - DO NOT MOVE OR DEU-,TEKPu201Pu f-2.%Tl�0629,.2.2-lwari#_BD.ducx cct Todd Simoneaux, Finance Cheryl Ray, Finance Bree Thibodeaux, Municipal Court PURCHASING T 409.880.3720 0 F 409,880,3747 PO Box 3827 Beaumont, TX 77704 801 Main St. I Suite 315 Beaumont, TX 77701 beau monttexas.gov RFP No. TF0823-22 November 29, 2023 Fmkl— RIFP PRICING WORKSHEET WILLECTION AGENCY SERVICES- WNICIPAL C101aly RFIP 40. TV0823-22 COLLIECT[ONAG"NCY SESINTICES - MUNICrPAL COURT Ties" Monddy Perventage of Collection Mookipal Comm Finn and Fees 30.00* % *Please see additional cewl detalls on the following attachl&nt, ��tie got owo.,& Us Prking entered Into IONWAVE under LINE ITEMS will be FINAL and the ONLY prking consIdered for award of bid. 201 — ('nHdC6(W% A#e ipai C04111 —UF0623 22� Linebarger Goggan Blair & Sampson, LLP Award Letter RFP for Collection Agency Services for Municipal Court RFP No. TF0823-22 November 29, 2023 Paae 3 Limeparger proposesthe following fee breakdown for Monfei pal Court Fees and Fires accounts. in 2003, the Tex Legislature amended tt)eTekas Code of 04rinal Procedure. tulide IDS 0031 to allow county tend municipatcourts lo ssr� ss a flat 30 pemprit i30*), add on collectior fee on all accounts60 days past due that they refer to a collerdcin firm. Doilend8ritsfor all adjudicated caws,, as wel I as fw ron.-ndlontraled crlsestNit ox.rurrMaftrf Juno 18, 2003 pay this foc, not the Ciihr, For comprehensive court. fees and fines collecnon services for the CtyUneberger propcisesthe %Vrowng fee schaduie, Plow rdft#Wal of IlAwOxwWs oolooWnserviiim am at no, to " OW. 3.1 Costs Associated with the Proposed Services I $ i"ri"'iklo 'isi CoF If, sssrA-lajrz,d N! pi Fr vd s,,s H be r-,coviftd ir, I - ,0r :ill s �' , , I C 0 q U Q 5" ej Municipat Court Fees and Fines Cost o)Fees Passed Directly to Defendant for Delinquent Accounts on or after June 18, 2003 and Ali Judgments - 30% Add -On Fee pursuant to texas Code of Criminal procedure, Arii 103.0031. Li nebarger proposes a cell", ion fee eqLsal to 30 peiceril (30%) of all mantes actually oollectau on all Tefe'irad accounts wiser; accounts are referred after 60 days past due. This same fee wily cover all V die offenses that occurred on or after June 18, 2003, as well as adjudicated cases Mat occurred before that date, The City will receive all fees and fines revenue collected. as tric, defendant pays the collencin fee. Tne City will not boar any collection fee msts; an these oftenses, and the City has discrehon to wave our fee OT arty lane.. *>No Fees on Delinquent Accounts Prior, to June 18, 2003 - 0% Fee On offenses which occurred pnur ioJune 13, 2003 hPirlth Fificuftent adjudication), Linebargfirwall not Ise charging a fee to callect or, these accounts, Rirsuartro CNarter 301, Section 103.0031 of the Texas Co& of Criminal Procedure, tine. 30% add - on: fee will W zompunaid and added to applicable citations ion or after June 18, 2003 acid ali jijogments'l. The ch.), Mil rofilml th4! cGrriputation offe�-,, adding them liri the applicable accounts arvo transferring We adi accounts to our system for coliections, 2, 1 Fxv xNsaf YLY CUy or 9caun;jw hFP q,FQ823_-22 I C11upler 3 Lineberger Goggan Blair & Sampson, LLP Award Letter RFP for Collection Agency Services for Municipal Court RFP No. TF0623-22 November 29, 2023 FALe 4 UNEBARGER ATTORNEYSAT LA�W Invoice Clalculation Recatl!;e [hC- (Aj*0 n4E It "Al bedriving UN& imoocihanan wd vxn' ow tsvo��ing As ilrw Uty receiyt-s paymerits_ or is kNf-xrrwfJ e<0hpi, (tat iges totliie arcounT 461�irvnsa I, rec�"+A' of 'kall myte so-r6%ed'j. C'11' %tart will appil, tree payrneitt or othE-f account cfiaoge Wr fj$tjj Yt'jj 5Irnpl� MLOr'IJC hIOW Elle'Ory ad1 usts &D'Qunts and prepare oixf Iflvoicp acy-'01`00%lo Me Clpw's caliculatibri-s. *)Sample Invaice sampInvoice ar4 staten'term are included in EANNi. B of rhts proposeiL '"841ing Frequency Invoices are suto"irled � Ioe Uy MvYipuy! &I tw bw-lore the date reomesped bN Ghe cfty. arId tr* p'*M'M11 fe<We'5E6rI I& djrW-'-VY U65 to'a demkud wq� uaf� ad-�Ust rhL9'h'KUenLY L'p<lrj request CO, Line Cltp' V)Payrrlanl[Terms Moices *111 reretenr&, a Purcriase Order nurIAx-r am rt* Ur Dvisinn tor *riirn Virias or SeMCL-� afe OrD0(118d. We 01VII SklDn'tit araccufa'w crlb.,t e witNtri five 151 %orkirg dayS I IM r.he CISTe ,4 delivmv ,arid mwd tpweyn uia &mall or U& Mail &,; 5;joer6ed an page 8 W RFP P TFOR23,22. We urwwfstarld Mki: P'axed invuwes'*411 niA. rkacc*,,pkfd. Dridefstwioi jrzit If is the Iron's re-I.Piotisibilitp to attain a purcKase Find C.1'f Depanment rof involo-m, 3.2 Fees for the Co�,techcn Agency Service -1, irle iees Dr'cqYxAi awve ncivate., all buS�I*V, CA)Vgffwtuding. but not liniAeLl to, pe(!vyinei. Mlerrien"s , enveopes ana, ret[Ar' n1ml efteicVes, clairrs Tcx rnrs, i0M d15Ta(`IC* CB115. POStage, af1d No Lal e Charges or interest Qui'M in dux it mr; apply am latc- cnarg--- w rxer�L to intiou ,aes inat rCI0 is 1.0d Olaf 50 d6'YS, H*Wevler, teeaiAe ow firn carr pr%yafe Its iniecioes according to 0# CitY s and ace"-'�ucC upitawls, we alatdVabe, vefytpw KSU&S *Iated to ano krivmrt& fesultinglit Vanswonin'P' an al rror*-, afyj PV>Mpt payrnEfd NUM MP City- It there are qLwsloons rx', our invoice., , &jr SUM will work to resoloe all issuE-s hi a Gamely 013Nrlief M the rrutmW s5tisfaction of all tnvoi4*d, Diarile, 3 , lui " J, , i�( fji^aL'i I a' y Y'+rFM 0 Friya-q3 ,sj 3 Linebarger Goggan Blair & Sampson, LLP Award Letter RFP for Collection Agency Services for Municipal Court RFP No. TF0823-22 November 29, 2023 Pace 5 LINEBARGER ATTOPNEYSAT LAW No Additionat Costs Our 18010iOd, Cust". approadi to &aflirquefit aw;uWflt cdtotioiis u-111 rw applicd toall we do, ondtrdingthp psnpiatyis, it t41 City dWMI0Is cWt as'sisti; n'. our ritni can assj�,t trio Cit} in dmigningan(i trnpw,imuntiriga fmwo winpatign that builds on the Lift SuggeStCd tw 11W Staite,, and iW Can mail doiiolnd natiticatiorg in suppiort of an a FYI Mesty and''Of 'Of round-upC�Orllpaign. OLY firth will sand outaaddional not",S and provdo The Cray with updated addrosscs within the Scauvriont wc�i, 3.3 The City Reserves the Right to Setect the Service/Provider(s) UbJVJ4'Vi"> : ItrE t UUO'j;'�t q t�I ki I �r' I(.,, II di; I At I o;' A & I i Slip v L:o o x tj We uryJerstand The (lily rcserues the right W sdcct the tvh&j Est niects hs goalsw'O rie%xJs, budget conStiaifitS, quality levclr, odueitiona 1,a rid quNicc 3.4 The City Reserves the Right to Award Collection Agency Services Contract I,, irj !I 'It "t) I" I) Ij 11, 1.11 '2 (1, WO uWerstand tire City feservLs trier tgnt to awJW the Wlloctiori ageilc--Y<ArvL�� conitaci to whidluvcr is fllosl advaritaguous to tire City. A I F,-,PD Sal for "'i, �"t 2"au-', o r R Ff' i.y T PC;3 2 3 2-2 1 Cr'�Ple r 3, . « LVC«_ « •. November0, 00 $00, fi g , ' (,12) 40-4675, y wkmiffinr your rvono , you (wrlify that you amaatMorized to repo svnl. and bind your r impa a . .u�tam hhra m, _ rww....................................................................... '..�_....................._..........._._._._............._._....... ' shy Submitted, al 9/7/2023 12:0 7:58 PM (CT) S4appfler Users lgbsbeuu°r ont NaMe Kacha<aO Stepert. FaX " n a d a s hm °me h. :a m m trio 'h Pam xs a.mPomu mobile Citt ] chard Hill, Partwr Danielle NeWes, and Director of Marketing Riyan Groee %W1 .sftVe as the ddefcontaLis between the firm d tht City, ' u the proposal ptucrssand contract, if W. Their Caftfact infmi-nmtkM ir. as follows. Richard Hill Danielle Nctilos Bryan Groot 8 Lnop C I Dr, Sit 600 1148 Park Strect 28 Loop Ccnual Dr, Sit 60 713,8443430 Phtvc; 409,832.9483 Phonc. 713.22,71 3 Tmairphons, and Fax Nurnbor (n) rnrkiudiflq aamy WU .,hruae mmm.rem°nbers, Un (&r prove taahl-frea numbers fin afi n': or nrmau M at�on with delinrtraem°njscoxmt hsaldera, rho mute to specHic �, , to ensure eontrwt', trained personnel are wormng the C ty's accounts', Maim 4M,832,9463 Main, 713,844. 400 Fat 409,933.2638 Fay TIM44,3501 San AnUM N OwOW t1 Main: 2WS81.2400 Main: 2.10.403S600 Fax 210.4 .0 J.1 Fox* 210.40 .9901 0.1) 11,11,ii°�anory Contact Pemru D aniWi 4 hietiles. Partner 1148 Pavk Street Beaumont, TX 77701.3614 [aired 409A32,9483 Fax 40, .3.2 Ernek nJe11e.r h . Linebarger Goggan Blair & Sampson, LLP Award Letter RFP for Collection Agency Services for Municipal Court RFP No. TF0823-22 November 29, 2023 Page 7 Rl-,80LUTION NO, 23-354 BEITRESOLVED BYTHE CITY COUNCIL OF THE CTTY OF BF-AliMONT: THAT the City Manziger be and lie is hereby autboiized to exe(;ute a contract f*or Collection ser-vices for N4111liedpal Court with Linebarger, Goggan, Blair, & Sampson of Aiisthi, Texas. The niecting at which this resolution was approved was in all flungs conducled in strict compliance, with the Texits Open Meethqg.�, Ad,, Texa.,; Govet-nnient Code, Chapter 551, PASSED BY '11114' CITY CGUNCIL of the Citv of Beauniont this the 21st day of November, 2023, November Rwkl OFI HE', CITY OF BFAUMOWI'� WHER15AS, it is: mxxhA t rbuid RcowgioUgm No. 23-35ol ) ivf1exA, the follow4w, findings, Wii, UNERI-WS, dic (31y of 400OVS ks t IR W ptlfil -,*pnvicc colkctitww of usipaid find, fbrs, mma coals. fbritcdirml, fioA Imid by w Municipal Cawt;wul, 'WITERFAS, the Chy of FicSUMMIl fulds thec "Flom p: w ��I scs m tic, a&qtisidy peiformd by the aammYs mul m4,quiipg "1 slirW * ohudned frow in i t - pracfiix W mitruel praviditw only, for dw, mrsumt of lwniriy facs, witficwt regard to the of 0-finimalProotdurcAunt 1 , ; 1 and Exxitursc "it�y of 14cmirswril o l Ilaw the fiends to pay tho c"fimpited wrouimstuiml undiew u wwwt tmjy rtr the psyllum OrhOlIfly 60C, A l i. rampoi And 'qualifitatiorls at a fait oind raisonablic j *& (hc C' 4 .... :. 14 RFP No. TF0823-22 a4993-- 001101W the low firm af UI , (kogs4n, Alsit & SaTlIpwa, I ,P Its provide WHERLAS, LintAmpt, 04 , BWr,& Saipm, 11-P fWas pluvi&-dIMCiA a legal e the CRY w° "' 3'e"m, nt in tt � ", WIMAREAS, it i in tile WA hUMA of the C tan)w I 1 ev Vic) Pam .1 1 iM, &matfwa, JI, to dew gait ,a qqvmed awl u&4*A; aful, fine o( LincWtrim, (k)gPik, Mair a, Sampmxv, MY m a cmifingmy we lu "° file mAtecde n of w finm fa^ coun cmasfockistxJ bculs,, mW maitullm otdared paid by the MM, nicipal Wau mid, B IIAI)I ' ° R RESOLVI . THAT' IIK IY Manw-T, or, W dclignoe, he jand they gape heteby opatuviv-W w exxx",ow At C, 'fit ccvitewcA, with sir oplion to rmew i mn anotmi cxtraw,al for two 2) iuklitkWifil Otte, 1) year , rise, A)r calkw6cal gerviuln 4A d9&xjucdII. Mmk*1 Ckan fltwxi mid fma, e Comma ix sulw=stiallyin d* finin 81facbad hereta* [W "A," and made, a "d hutvf fouall pu �u , Ibs m " WG p phis mscatificni WasIlIpmed was in ll ddep (x"Idmaxi in Strki Linebarger Goggan Blair & Sampson, LLP Award Letter RFP for Collection Agency Services for Municipal Court RFP No. TF0823-22 November 29, 2023 Paae 10 PASSR) BY THE CITY COUNCIL of the City of' Iksanwrif, this the 121h day of TXXVIWINC , 210231 lw? Mayor Raily WeA - CITY OF BEAUMONT CONTRACT FOR COLLECTION AGENCY SERVICES REF: RFP NO, TF0823-22 I. Findings Pursuant to Texas Government Code § 2254.1036. A. This Conti -act is necessary for the efficient collection of delinquent Municipal Court Fines, fees, and costs. B. The City currently does not possess the necessary staff, computer software/programming, or 0 experience to internally Conduct these collection services and acquiring these Will result in substantial experise to the City. C. An hourly fee for delinquent collection work would likely exceed the aniounts of delinquent fines and fees due. Using a contingent, fee arrangement allows the collection costs to be assessed against the debtor and not the City or its taxpayers. 11. General Information and Terms. Contractor's Name and Address: Linebarger Goggan Blair & Sampson, LLP 2700 Via Fortuna Drive, Suite 500 Austin, TX 78746 Description of Services: Collection Agency Services for Municipal Court Municipal Court Fines and Fees; Page 20 of RFP No. TF0823-22 Maximum Contract Amount: A collection fee in the amount of 30% on fines, court costs. and fees that are more than sixty (60) days past due and referred to the Contractor for collection, in accordance with Article 103.0031 of the Texas Code of Criminal Procedures, as amended. The collection fee does not apply to a debt incurred on an unadjudicated offense that, was committed before June 18, 2003. Effective Date: Oil the latest of the dates signed by both parties. Termination Date: Twelve (12) months frorn the Effective Date. Renewal: The initial tern of the contract is for one ( I ) year with the City of Beaumont's option to offer a renewal for two (2) additional one (1) year terms, not to exceed three (3) years total. Contract Parts: This Contract consists of the following parts: L Findings Pursuant to Government Code See. 2254,1036 11. General Information and Terms 111, Standard Contractual Provisions I.V. Signatures Page I -- Collection Agency Services for Municipal Court-- RFP No. TF0823-22 C, ITT. Standard Contractual Provisions. A. Contractor's Services, The Contractor will provide to the City the services described in this Contract under the terms and conditions of this Contract, B. B i [Itigg.and-RA yinent. The Contractor will bill the City for the services provided at intervals of at least thirty (30) days, except for the final billing. The City will pay the Contractor for the services provided for in this Contract with current revenues available to the City, but all of the City's payments to the Contractor, including the time of payment and the payment of interest on overdue amounts, are subject to the provisions of Chapter 2251 of the Government Code, The City is not liable to the Contractor for any taxes which the City is not liable by law, including state and local sales and use taxes (Section 151.309 and Title 3, Texas Tax Code) and federal excise tax (Subtitle D of the Internal Revenue Code). Accordingly, those taxes may not be added to any bill, C. Termination Provisions. (1) Unless terminated earlier as allowed by this Contract, this Contract terminates: (a) On the termination date, if any, specified in the General Information in Part If. but the obligation of a party to complete a contract requirement pending on the date oftermination survives termination; or (b) If there is no termination date specified in the General Information in Part 11, the contract terminates when both parties have completed all their respective obligations under the contract. (2) The City Manager may terminate this Contract during its term at any time for any reason by giving written notice to the Contractor not less than thirty (30) days prior to the termination date, but the City will pay the Contractor for all services rendered in compliance with this Contract to the date of termination. (3) If die City Council does not appropriate funds to make any payment for a fiscal year after the City's fiscal year in which the Contract becomes effective and there are no proceeds available for payment from the sale of bonds or other debt instruments, then the Contract automatically terminates at the beginning ofthe first day of the Successive fiscal year, (Section 5, Article X1, Texas Constitution) D. INDEMNITY. Contractor shall indemnity or hold harmless the City of Beaumont from claims and liabilities resulting from negligent acts and omissions of the contractor or the attornevs or other persons employed by the contractor. E. Assignment, The Contractor may not assign this Contract without the City's prior written consent. F. Law Governing and Venue. This Contract is governed by the law of the State of Texas and a lawsuit may only be prosecuted on this Contract in a court of competent jurisdiction located in or having jurisdiction in Jefferson County, Texas. G. Entire Conti -act. This Contract represents the entire Contract between the City and the Contractor and Supersedes all prior negotiations, representations, or contracts, either written or oral. This Contract may be amended only by written instrument signed by both parties. Page 2 — Collection Agency Services for Municipal Court — RFP No. TF0823-22 N. Indel)endent Contractor. The Contractor will perform the work Under this CoiitT-act as an indepcildent contractor and not as an employee of the City. The City has no right to supervise, direct, or control the Contractor or Contractor's officers or employees in the means, methods, or details ofthe work to be performed by Contractor. S.e v e r -, AbilitIf a court finds or rules that any part of this contract is invalid or unlawful, the remainder of the Conti -act continues to be binding on the parties. Conflicting Provisions. If there Is a conflict between a provision in the Contractor's Additional Contract Documents, if any, and a provision it) the remainder of this Contract, the latter controls. IV. Signatures. By signing below, the parties agree the terms of this Contract. UMVA a 011; By: Kenneth R. Williams Signature: Date Signed: Title- City Manager .......................................... Company: C Jsy_QfReauITL(m _t__ ----- — Sharae Reed, City Attorney City of Beaumont Date Signed CONTRACTOR: By: Richa Hill Signature: Date Signed: December 27, 2023 Title: Capital Partner Company: Linebarger �Go, Y.Ig Blair & Sampson, LLP Page 3 — Collection Agency Services for Municipal Court — RFP No. TF0823-22 IU,'S0L.Ul"l'.K.)N No, 23-354 BE fl.'RESO[..VED BYTHE ClTY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute a contract for collection services for Municipal Court with Linebarger, Goggati, Blair, & Sampson of Austin, wm. the niecting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 55 If I PASSED BY THE CITY COUNCIL of the City ofBeauniont this the 21st day of November, 2023, dW Mayor Roy West - RESOLUJION NO. 23-368 BE IT103SOLVED ):.iY'I'IIL,'CI'I'Y COUNCIL OFTHE CITY OFBEAUMONT: WHEREAS, Council authorised a Contract for Municipal Court collection services on November 21, 2023, in Resolution No, 23-354;and, WIIIEREAS, it is needed to amend Resolution No. 23-354 to rellect the following MMMERMI WHEREAS, the City of Beaumont desires to engage a law firm to perfor.in legal services for the collection of unpaid fines, fees, court costs, forfeited bonds, and restitution ordered paid by the MUIliCip8l Court; and, WlIERT,AS, the City of Beauniont finds that: (1) There is a substantial need for the, legal services to be provided for the collection of Unpaid fines, fees, court cost.s, forfeited bonds, and restitution; (2) These legal services cannot be adequately performed by the attorneys and supporting personnel of the City of Beaumont at a reasonable cost; (3) These legal services cannot reasonably be obtained from attorneys in private practice under a contract providing only for the payment of hourly fees, without regard to the outcome of the matter, because of the nature of the collection authorized by TX Code of Criminal Procedure Art. 103.0031 and because the City of Beaumont does not leave the funds to pay the estimated amOUIAS required Under a contract only for the payment of hourly fees; and, WHEREAS, after having SOLIgIlt legal services oil the basis of demonstrated competence and qualifications at a fair and reasonable price the City of Beaumont has identified the law firm of Linebarger, Goggan, Blair- & Sampson, I,LT1 to provide the necessary services; and, WHEREAS, Linebarger, Goggan, Blair & Sampson, L1,11 has provide(] these specialized legal services to the City of Beaumont in the past; and, WHE�REAS, it is in the best interest of the City oflicaumont to enter into a Contingency Fee Contract with the law firm of Linebarger, Goggan, Blair & Sampson, 111? to perform the legal services required to comply with the terms of this contract, NOW, THERE�FORf", 131", IT RFI�SOLVI-H) RY THE CITY COUNCIL OF THE CITY OF BEAUIMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, TiIAT the City Council of the City of Beaumont hereby approves the selection of the law firm of Linebarger, Goggan, Blair & Sampson, LLP on a contingency tec basis for the collection of unpaid fines, fees, court costs, forfeited bonds, and MStitLlti011 ordered paid by the Municipal Court; and, BE IT FURTHER RE'SOLVFM TI--IAT the City Manager, or his designee, be and the), are hereby authorized to execute a one (1) year contract, with an option to renew upon mutual consent for two (2) additional one (1) year periods, for collection services of delincluent, Municipal Court fines and fees. The Contract is substantially in the form attached hereto as Exhibit "A," and made a part hereof for all purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with theTcus Open Meetings Act,Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of' the City of' Beaumont thls the 12th day of* December, 2023. � /� � �\� \ �. . . . . . . . . . . . -- 01 �,lyor Roy West - TITSSTNI SS ASSOCIATE' AGREEMENT This Business Associate Agreement (the "Agreement") Is made and entered Into effective as of [effective date], by and between [third party vendor], and its subsidiarles and affiliate companies ("[enter an acronym for the third part vendor]") and City of Beaumont Health Plan (tile "Plan'), which Is sponsored by City of Beaumont (the "Sponsor"), WITNESSETH: WHEREAS, [VENDOR'S ACRONYM] shall provide certain administrative services, activities or functions In connection with the Plan (the "Services") pursuant to a Services Agreement between [VENDOR'S ACRONYNI] and the Sponsor (the "Services Agreement"), and WHEREAS, the parties desire to enter Into this Agreement as set forth below for the purpose of addressing the "Standards for Privacy of Individually Identifiable Health Information," 45 CFR Part loci and Part 164, Subparts A and E (the "Privacy Rule"); the "Standards for Electronic Transactions," 45 CFR Part 160, Subpart A, and Part 162, Subpart A and Subparts I through R (the "Electronic Transaction Rule"); the "Security Standards for the Protection of Electronic Protected Health Information," 45 CFR Part 160, Subpart A, and Part 164, Subparts A and C (the "Security Rule"); and the "Standards for Breach Notification for Unsecured Protected Health Information," 45 CFR Par( 164, Subpart D (the "Breach Notification Rule"), as amended and clarified by the HiPAA Omnibus Rule or any regulations, rules or guidanco that may be Issued after the effective date of this Agreement, NOW, THEREFORE, In consideration of the promises and other good and valuable consideration, the receipt and sufficiency of which Is hereby acknowledged, the Plan and [VENDOR'S ACRONYM) agree as follows; Q fl Il n 1.1 "Agent" shall have the meaning given to It In Section 2,5, As provided by HIPAA, an Agent and a Subcontractor are two separate types of arrangements. 1,2 "Broach" shall have the meaning given to It by 45 CFR § 164AO2, 1.3 'Business Associate" shall have the meaning given to It by 45 CFR § 160,103, 1 A "Designated Record Set" shall have the meaning given to It by 45 CFR § 1M.501, 1.5 "Health Care Operations" shall have the some meaning given to It In 45 CFR § 164.601. 1,6 "HIPAA" shall mean, collectively, the Privacy Rule, the Electronic Transaction Rule, the Security Rule, and/or the Breach Notification Rule, each as amended and clarified by the HIPAA Omnlbus Rule, 1,7 "HIPAA Omnlbus Rule" shall mean the "Mlodifications to the HIPAA Privacy, Security, Enforcement and Breach Notification Rules under the Health information Technology for Economic and Clinical Health Act and the Genetic Information Nondiscrimination Act," 78 Federal Register 6566 (January 25, 2013). 1.8 "Individual" shall mean the parson who Is the subject of PHI and shall include a person who qualifies as a personal representative in accordance with 45 CFR § 164.502(g), 1.rJ "Individual Rights Requests" shall mean Access Requests, Amendment Requests, Accounting Requests, and requests under Section 3.3, 1.10 "Payment"shall have the same meaning given to It In 45 CIFR § 164,601, 1,11 "PHI" shall mean any Information, whether oral or recorded In any form or medium, that — (I) relates to the past, present or future physical or mental condition of an Individual; the provision of health cure to an individual; or the past, present or future payment for the provision of health care to an Individual; and (11) identifies the Individual or with respect to which there Is a reasonable basis to believe the Information can be used to Identify the individual. 4,12 "Plan" shall have the meaning provided as first Written above. In all cases, the Plan shall mean the group health plan or plans of the Sponsor as set forth in 46 CFR § 160.103. 1,13 "Plan Administration Functions" shall have the same meaning given to It In 45 CFR § 164.504, 114 "Plan Administrator" shall mean the entity, individual, group or comalIttee appointed by the Sponsor, or Its successor or successors, who have authority to administer the Plan. C 1,16 "Privacy Official" shall mean the persoo, designated by the Plan to serve as Its privacy officlal within the moaning of 45 CFR § 164,530(a), and any pwwson to.whom the Privacy Officlal has delegated any of his or her duties or responslbillflos. ' ,t 1.16 "Protected Information" shall mean PHi r6celved from the Plan or created, received, maintained or transmitted by [VENDOR'$ ACRONYM] on behalf of the Man. 1.17 "Required by I_aw" shalt have the samo• meaning given to It In 45 CFR § 164,103, 1,18 "Secretary" shall mean the Secretary' of the United States Department of Health and Human Services, 1.19 "Services" shall mean the activities, functions and/or services that (VENDOR's ACRONYM] from time to time renders to' or on behalf of the Plan to the extent that those activities, functions and/or services are covered by HIPAA, 1.20 "Subcontractor" shall have the same meaning giving to It In 45 CFR § 160.103, 1,21 "Unsecured PHI" shall mean Protected lnformation that Is not secured through the use of a technology or methodology that renders such Protected Information unusable, unreadable or Indecipherable to unauthorized Individuals as specified in 45 CFR § 164,402. Article 11— Oblinatlons and Activities of IVENDOR'S ACRONYM] 2.1 Statu� of (VENDOR'S ACRONYMi. [VENDOR'S ACRONYM] acknowledges and agrees that It Is a business Associate of the Plan for purposes of the Privacy Rule. 2,2 Permitted Use_land Disclosures f r , (a) Permitted Usas. [VENDOR'S ACRONYM] shall not use Protected Information other than as permitted by this Agreement, [VENDOR'S ACRONYM] may use Protected Information — (1) in connection with the performance, management and. administration of the Services, (11) for the proper business management and administration of [VENDOR'S ACRONYM], (111) to carry out [(VENDOR'S ACRONYM)'S)Iegal responsibilities; (lv) to report violations of law consistent with 45 CFR § 164,502.0); (v) to the extent and for any purpose authorized by an Individual under 45 CFR §164,608; and (vi) for any purpose provided that no data Is Identifable and has been de- identlfled pursuant to 45 CFR §164.514(b) (Including the separate do-Identifioatlon guidance Issued by the Secretary on November 26, 2012), Notwithstanding the foregoing sentence, [VENDOR'S ACRONYM] shall not use Protected information In any manner that violates the Privacy Rule, or that would violate the Privacy Rule if so used by the Plan (except for the purposes specified under 45 CFR § 164.604(e)(2)(i)(A) and (B)). (b) Pormilted.Disclosures. [VENDOR'S ACRONYM] shall not disclose Protected Information other than as permitted by this Agreement. [VENDOR'S ACRONYM] may disclose Protected Information — (1) in connection with the performance, management and administration of the Services; (II) to report violations of law consistent with 45 GFR § 164,6020); (ill) to the extent and for any purpose authorized by an Individual under 45 CFR §164.608; and (iv) for any purpose provided that no data Is Identifiable and has been de -identified pursuant to 45 CFR §164,514(b) (Including the separate do -identification guidance Issued by the Secretary on November 20, 2012). In addition, [VENDOR'S ACRONYM] may also disclose Protected Information to a third party for the proper business management and administration of [VENDOR'S ACRONYM] and to carry out [(VENDOR'S ACRONYM)'S]legal responsibilities; provided, that the disclosure Is Required by Low, or [VENDOR'S ACRONYM] obtains, prior to the disclosure -- (1) reasonable assurances from the third party (hat the Protected information will be held confidentially and used or further disclosed only as Required by Law or for the purpose for which It was disclosed to the third party, and (2) an agreement from the third party that the third party will notify [VENDOR'S ACRONYM] Immediately of any Instances In which it knows the confidentiality of the Information has been breached. Further, [VENDOR'S ACRONYM] shall disclose, upon request, Protected Information to the Sponsor for Plan Administration Functions and to designated Sponsor employees (or designated Business Associates of the Plan) who are working for or on behalf of the Plan for purposes of Payment end Health Care Operations (including claims assistance activities) consistent with 46 CFR § 164.606(c)(1). Notwithstanding the foregoing, [VENDOR'S ACRONYM] shall not disclose Protected Information in any manner that violates the Privacy Rule, or that would violate the Privacy Rule If so disclosed by the Plan (except for the purposes specified under 46 CFR § 164.504(e)(2)(1)(A) and (B)). . (c) Mln]gium Necesspry. To the extent required by the Privacy Rule, [VENDOR'S ACRONYM] shall only request, use and/or disclose the minimum amount of Protected Information necessary to accomplish the purpose of the request, use and/or disclosure. For this purpose, the determination of what constitutes the minimum necessary amount of Protected Information shall be determined In accordance with Section 164.602(b) of the Privacy Rule. Page 2 of 9 (d) Direct Application _of ['rlyacy /Bales. [VENDOR'S ACRONYM) shall not use and/or disclose Protected information or provide any Services that require the use and/or disclosure of Protected Information unless such use and/or disclosure directly compiles with triis Section 2.2 and Sections 164.502(a)(3) and 164.504(e) of the Privacy Rule, (e) GINA Provislons. Notwithstanding subsections (a) through (c) above, [VENDOR'S ACRONYM] shall not use and/or disclose Protected information that Is genetic Information for underwriting purposes, as set forth In 45 CFR § 164,502(a)(5). 2.3 Safeduards. [VENDOR'S ACRONYM] shall maintain and use appropriate and commercially reasonable safeguards to prevent use, and/or disclosure of Protected Informatlon other than as permitted or required In this Agreement, 2A RBoo s o Pr�hlbited DIscl surer. If [VENDOR'S ACRONYM] becomes aware of a disclosure of an Individual's Protected Information by [VENDOR'S ACRONYM] and the disclosure violated the provisions of this Agreement, [VENDOR'S ACRONYM] must Inform the Privacy Official regarding the prohibited disclosure of the Individual's Protected Information, To the extent that,a disclosure described In the Section 2.4 also constitutes a Breach of Unsecured PHI, the provisions of this Secilorr 2.4 shall not apply, but rather the provisions of Section 2A shall apply. 2.5 Mgnts,and Subcontractors. [VENDOR'S ACRONYM) shall require each of Its representatives, agents, and entities (collectively, "Agents') to whom [VENDOR'S ACRONYM] provides Protected Information on behalf of the Plan to agree to observe the restrictions on use and disclosure of the Protected Information imposed upon [VENDOR'S ACRONYM] by this Agreement and the Privacy Rule. In addition, [VENDOR'S ACRONYM) shall enter Into a Business Associate Agreement with each of Its Subcontractors which meets he requirements of the Privacy Rule, Including the requirements set forth in 45 CFR § 164604(e). 2,6 Access by Sedrolln. [VENDOR'S ACRONYM] shall make available to the Secretary [(VENDOR'S ACRONYM)'S]internal practices, books and records (including Its poilcles and procedures) relating to [(VENDOR'S ACRONYM)'S]uso and disclosure of Protected information for the purpose of enabling the Secretary to assess the Plan's and/or [(VENDOR'S ACRONYM)'S)comptlance with HIPAA, [VENDOR'S ACRONYM] shall Inform the Privacy Officiai of any request sent by the Secretary on behalf of the Plan chat Is received by [VENDOR'S ACRONYM], unless it Is prohibited by applicable law from doing so.. 2,7 Mifiaatlon. [VENDOR'S ACRONYM] agrees to mitigate, to the extent practicable, any harmful effect that is known to [VENDOR'S ACRONYM] of a use or disclosure of Protected Information by (VENDOR'S ACRONYM) In violation of the requirements of this Agreement, 2.8 Notice of Breach of Unsecured (a) [VENDOR'S ACRONYM? f_ %pulre ents, Upon [(VENDOR'S ACRONYM)'S]dlscovery of a Breach of Unsecured PHI by [VENDOR'S ACRONYM], [VENDOR'S ACRONYM] shall — (1) Pursuant to the requirements set forth In subsection (b) below, provide written notice of the Breach, on behalf of the Plan, without unreasonable delay but no later than sixty (60) calendar days fallowing the date the Breach Is discovered or such later date as is authorized under 45 CFI § 164.412,to: {I) each Individual whose Unsecured PHI has been, or Is reasonably believed by [VENDOR'S ACRONYM] to have been, accessed, acquired, used or disclosed as a result of the Breach; the media to the extent required under 45 CPR § 164.406; and (111) the Secretary to the extent required under 45 CFR § 164,408 (unless the Plan has elected to provide this notification and has Informed [VENDOR'S ACRONYM]); (2) Pursuant to the requirements set forth In subsection (c) below, provide written notice of the Breach to the Privacy Official, as soon as administratively practicable, but no later than three (3) business days after the Breach is discovered, and (3) If the Breach Involves less then 500 Individuals, maintain a tog or other documentation of the Bread which contains such Information as would be required to be Included If the log were maintained by the Plan pursuant to 45 O R § 164.408, and provide such log to the Plan within five (5) business days of the Plan's written request, Page 3 of 9 (b) Notice RerauiremQ t§, This subsection (b) provides the following special rules that shall each be applicable to the provisions of Section 2,8(e.)(1) — (1) The date that a areach Is discovered shall be determined by [VENDOR'S ACRONYM], In Its sole discretion, In accordance with the Breach Notification Rule. (2) The content, form and delivery of each of the notices required by Section 23(a)(1) shall comply in ail respects with the breach notiflcatlon provislons applicable to tits Plan, as set forth In the breach Notification Rule. (3) IVENDOWS ACRONYM] shall send the notices described in Section 2.8(e)(1)(l) to each Individual using the address on file with [VENDOR'S ACRONYM] (or as may be otherwise provided by the Plan), If the notice to any Individual is returned as undeliverable, [VENDOR'S ACRONYM] shall make one additional attempt to deliver the notice to the Individual using such Information as Is reasonably available to It, or shall take other action required by the Breach Notification Rule. (4) With respect to notices required under Section 2.8(a)(1)(i) and (I1), [VENDOR'S ACRONYM] and the Privacy Official shall cooperate in all respects regarding the drafting and the content of the notices. To that end, before sending any notice to any Individual or the media under Section 2.8(a)(1)(1) or (1€), [VENDOR'S ACRONYM] shall first provide a draft of the notice to the Privacy Official, The Privacy Official shall have five business days (plus any reasonable, extensions) to either approve [(VENDOR'S ACRONYM)'S]draft of the notice or revise the language of the notice, Alternatively, the Privacy Offlclal may elect to draft the notice for review by [VENDOR'S ACRONYM]. Once [VENDOR'S ACRONYM] and the Privacy Official agree on the final contenf of the notice, [VENDOR'S ACRONYM] shall send the notice to the Individuals and/or the media based on the requirements of the Breach Notification Rule. (c) dygqy..C3fficial Notice,, The notice to the Privacy Official pursuant to Sootion 2,8(a)(2) shall Include the Identity of each Individual whose Unsecured PHI was Involved In the Breach and a brief desodptlon of the Breach. To the extent that (VENDOR'S ACRONYM] does not know the Identities of all affected Individuals when It Is required to notify the Privacy Official, [VENDOR'S ACRONYM] shall provide such Information as soon as administratively practicable after such information becomes availahle. Upon the Plan's written request, [VENDOR'S ACRONYM] shall provide such addiffonal Information regarding the breach as may be reasonably requested from time to time by the Plan. (d) Services Agreement. [VENDOR'S ACRONYM] reserves the right to charge reasonable cost for sending the notices required by this Sedon 2,8 should a Breach be due to actions on the part of the Sponsor, the Plan or any other entity other than [VENDOR'S ACRONYM], Its Agents or Subcontractors. Article III — Individual R]ghts Requlrarnents 31 Designated Record Sets. (a) Oen . [VENDOR'S ACRONYM] agrees to maintain a Designated Record Set for the Plan In a manner and form that will allow the Plan to provide access and amondmant rights to an Individual with respect to the individual's Protected Information In conformance with 45 CFR §§ 164.524 and 164,526, (b) 6=ss Request . Upon request from the Plan, [VENDOR'S ACRONYM] shall process and respond to a request by an Individual for access to an Individual's Protected Information that Is maintained by [VENDOR'S ACRONYM] In a Designated Record Set pursuant to 45 CFR § 164.524 (an "Access Request"). [VENDOR'S ACRONYM] shall respond to such Access Request within the timokames required by 45 CFR, § 164.524 by furnishing such Protected information to the Plan. If the Protected information that Is requested Is maintained electronically and the Individual requests an electronic copy of such information, [VENDOR'S ACRONYM] will provide access to, the Information in an electronic format that complies with 45 CFR § 164,524(c)(2)(II). Thereafter, the Plan will be responsible for sending such Information to the indtvidual, (c) Amondment Requests. Upon request from the Plan, [VENDOR'S ACRONYM] shall process a request by an Individual for amendments to an individual's Protected Information that Is maintained by [VENDOR'S ACRONYM] In a Designated Record Set pursuant to 45 CFR § 164.626 (an 'Amendment Request"). [VENDOR'S ACRONYM) shall process ouch Amendment bequest within the timeframes required by 46 CFR § 16C525. (d) Coordlnatiog with Privacy Official. [VENVOR'S ACRONYM] shall coordinate and cooperate with the Privacy Official (or any other person designated by the Plan Administrator for this purpose) regarding all processing, reeordkeeping and documentation Issues relating to Access Requests and Amendment Requests. Notwithstanding the foregoing, [VENDOR'S ACRONYM] shall not be obligated to coordinate with the Privacy Official if an Individual files an Access Request or Amendment Request with [VENDOR'S ACRONYM] and such request Is directed solely to [VENDOR'S ACRONYM], Page 4 of 9 3.2 Acwunkln, (a) Documentation of Disclosures, [VENDOR'S ACRONYM] agrees to document and maintain a log of any and all disclosures from and after the date or dates required by 45 CFR § 164,528 made by [VENDOR'S ACRONYM] of Protected Information in a manner and form that will allow the Plan to provide to an . Individual an accounting of disclosures or other applicable report of the Individual's Protected information In compliance with and based on the requirements of 45 CFR § 164.528. (b) Accounting Requosts. Upon request from the Plan, [VENDOR'S ACRONYM] shall process and respond to a request by an Individual for an accounting of disclosures or other applicable report of an Individual's Protected Information pursuant to the requirements of 45 CFR § 164,528 (an "Accounting Request"). [VENDOR'$ ACRONYM] shall respond to such Accounting Request within the timeframes required by 45 CFR § 164,628 by furnishing such accounting to the Plan. Thereafter, the Plan wilt be responsible for sending such Information to the Individual. (c) Coordination with Prlvacy Official. [VENDOR'S ACRONYM] shall coordinate and cooperate with the Privacy Official (or any other person designaterri by the Plan Administrator for this purpose) regarding all processing, recordkeeping and documentation Issues relating to Accounting Requests, Notwithstanding the foregoing, [VENDOR'S AGRONYM] shall not be obligated to coordinate with the Privacy Official If an Individual files an Accounting Request with [VENDOR'S ACRONYM] and such request Is directed solely to [VENDOR'S ACRONYM], 3.3 Privacy Protection Requests. (a) Restriction Reouests on Uses and dlsol4sures, The Plan and [VENDOR'S ACRONYM) on behalf of the Plan shall not agree to a restriction on the use or disclosure of Protected Information pursuant to 45 CFR § 164.522(a) without first consulting with the other party, [VENDOR'S ACRONYM] Is not obligated to Implement any restriction, If such restriction would hinder Health Care Operations or the Services [VENDOR'S ACRONYM] provides to the Plan, unless such restriction would otherwise be required by 45 CFR § 164.522(a), (b) Confidential Communicatlon Reguests. [VENDOR'S ACRONYM] shall Implement any reasonable requests by Individuals relating to a request to receive communications of Protected Information by alternative means or at alternative locations to the extent required by 45 CFR § 164.522(b). (c) Goordlnattqn with Privacv Official. [VENDOR'S ACRONYM] shall coordinate and cooperate with the Privacy Official (or any other person designated by the Plan Administrator for this purpose) regarding all processing, recordkeeptng and documentation issues relating to requests under this Section 3,3, 601cie IV — Electronic Transacf .9n Rlsle 4.1 Business Assoclato Requirements. [VENDOR'S ACRONYM] acknowfedgos that It Is a Business Associate of the Plan for purposes of the Electronic Transaction Rule. [VENDOR'S ACRONYM] agrees that It shall comply with all Electronic Transaction Rule requirements that may be applicable to [VENDOR'S ACRONYM] with respect to the Services It provides to and on behalf of the Plan. [VENDOR'S ACRONYM] shall also require each of Its Agents and Subcontractors to whom [VENDOR'S ACRONYM] provides Protocted Information that Is received from, or created or received by [VENDOR'S ACRONYM] on behalf of the Plan to comply with the applicable requirements of the Electronic Transaction Rule. 4.2 Sponsor Transmissions. Electronic tranaYmissions between [VENDOR'S ACRONYM] and the Sponsor are not required to comply with the Electronic Transaction Rule. Accordingly, the Sponsor hereby represents and warrants that all electronic transmissions with respect to the Plan between the Sponsor (either directly or through its designated apent) and [VENDOR'S ACRONYM], relating to — (1) enrollment and dtsenrollment Information and (11) premium payment Information, as each are covered by the Electronlc Transaction Mule, are sent or received by the Sponsor (either directly or through Its designated agent) In the Sponsor's capacity as an employer and are not sent or received by the Plan. Article V w Oi Illations of Plant 5.1 Pr agyr NoIIca. Upon request, the Plan will provide [VENDOR'S ACRONYM] with a copy of Its notice of privacy practices pursuant to 45 CFR § 164.620, 5.2 Authorizations. The Plan will notify [VENDOR'S ACRONYM] of any changes In or revocations of Individual authorizations for use or disclosure of Protected Information to the extent that such changes or revocations may affect [(VENDOR'S ACRONYM)'S)use or disclosure of Protected Information. Page 5 of 9 5.3 Ufficials, The Plan will notify [VENDOR'S ACRONYM] of the current name and contact information of the Plan Administrator, the Privacy Official and any other parson that has the authorlly to act on behalf of the Plan with respect to the provisions contained in this Agreement, 544 ELan Arrtendrnents, Sponsor represents that It has amended its Plan documents to Include specific provisions to restrict the use or disclosure of PHI and to ensure adequate procedural safeguards and accounting mechanisms for such uses or disclosures, In accordance with the Privacy Hula, 5.5 Additional Cert!flcallon. The Plan represents and warrants that; (a) It has amended its plan documents, In accordance with 45 CFR § 164.504(f), so as to allow the Plan to receive Protected Information; (b) It has received a certification from the Sponsor in accordance with 45 CPR § 164.504(f)(2)(I1), and will provide a copy of such certification to [VENDOR'S ACRONYM] upon request; (c) the plan document amendments permit the Plan to receive Protected Information (Including detailed Invoices, reports and statements from [VENDORS ACRONYM]); and (d) the Plan has determined, through its own policies and procedures and In compliance with 45 CIFIR § 164.502(b), that the Protected Information that It receives From [VENDOR'S ACRONYM] (including the detailed Invoices, reports and statements) contain the minimum Information necessary for the Flan to carry out its Payment and Health Care Operations activities, A, rtt le V -- Amendment and Torminatlon 6.1 Amendment, No change, modification, or attempted waiver of any of the provisions of this Agreement shall be binding upon any party hereto unless reduced to writing and signed by the party against whom enforcement Is sought, [VENDOR'S ACRONYM] agrees to take such action as is necessary to amend this Agreement from time to time as the Plan reasonably determines necessary to comply with HIPAA, or any othor applicable law, rule or regulation, 6.2 Term, The Term of th{s Agreement shall be effective on the date first written above (except as otherwise noted herein) and shall terminate when all of the Protected Information received from the Plan, or created or received by [VENDOR'S ACRONYM] on behalf of the Plan, is destroyed In accordance with the Plan's authorixatlon or Is returned to the Plan (or Its designated agents) pursuant to Section 6.4, 6.3 Ter€n nation, If one party to thls' Agreement (the "Non -breaching Party") has knowledge of material violation of this Agreement by the other party to this Agreement (the °preaching Party"), as determined good faith by the Non -Breaching Party, the Non -Breaching Party must promptly; (a) Provide an opportunity for the Breaching Party to end and to cure the material violation within a reasonable time specified by the Non -Breaching Party, and If the Breaching Party does not end and cure the material violation within such time (Including reasonable extensions that the Non -Breaching Party determines are necessary) to the satisfaction of tho Non -Breaching Party, the Non -Breaching Party shall Immediately terminate the Services rendered by [VENDORS ACRONYM] and any agreement or contract related thereto; or (b) If a cure Is not possible as determined by the Non -Breaching Party in Its solo discretion, the Non -Breaching Party shall Immediately terminate the Services rendered by [VENDOR'S ACRONYM] and any agreement or contract related thereto, 6.4 Effect of Terminplfon. Upon termination pursuant to Section 63, the Chan within a reasonable time thereafter must Inform [VENDOR'S ACRONYM] to either destroy or return to the Plan (or any agents designated by the Plan) the Protected Information that [VENDOR'S ACRONYM] and Its Agents and Subcontractors maintain in any form, and [VENDOR'S ACRONYM] and Its Agents and Subcontractors shall retain no copies of the Protected Information. However, In many situations [VENDOR'S ACRONYM) maintains one or more Crackup copies of Protected Information for auditing, data management and other related purposes and [VENDOR'S ACRONYM] has determined that destruction of all copies of Protected Information that It maintains Is Infeasible, Therefore, after termination of the Services and pursuant to 46 CFR § 164,604(e)1,2)(11)(J), this Agreement shall remain In effect and [VENDOR'S ACRONYM] shall continue to observe and shag ensure that Its Agents and Subcontractors continue to observe Its obligations under this Agreement to the extent copies of the Protected Information are retained by [VENDOR'S ACRONYM] and shall lirnit further uses and disclosures of Protected Information to the purposes that make Its return or destruction infeasible and that are consistent with the Privacy Rule, follows: Irma V([ __ Mwt�ecur([v ndarda 7.1 ,pefinitions, When used In this Article, the following terms shall have the meanings set forth as (a) "Electronic Media" shall have the meaning given to it In 45 CFR § 160,103, Page 6 of 9 (b) "Elactronlo Protected Inforrnatlon" shall mean Protected Information received from the Plan or created, received, maintained or transmitted by [VENDOR'S ACRONYM] on behalf of the Plan that Is transmitted by Electronic Media or maintained In Eiudronic Media. (c) "Security Incident' shall have the meaning given to it In 45 CFR § 164,304, 7.2 ,qulrgnjentt , Pursuantio 46 CPR § 164.314(a)(2)(1), [VENDOR'S ACRONYM] shall; (a) Comply with the applicable requirements of the Security Rule, Including the requirement that [VENDOR'S ACRONYM] Implement, maintain and document administrativo, physical and technical safeguards that reasonably and appropriately protect the confidontiallty, Integrity, and ava0abitity of Electronic Protected Information to the extent required by the Security Rule, (b) report (pursuant to the teens and conditions of Section 7.3) to the Privacy Official (or such other person designated for this purpose) any Security Incident of which (VENDOR'S ACRONYM) becomes aware and which occurred during the applicable reporting period; (c) Require each of Its Agents to whom [VENDOR'S ACRONYM] provides Electronic Protected Infon-natlon to agree to Implement administrative, physical and technical safeguards that reasonably and appropriately protect the confidentiality, Integrity, and availability of the Electronic Protected Information that Is provided to the agent to the extent requirod by the Security Rule; and (d) Enter Into a contract or other arrangement with each of Its Subcontractors that create, receive, maintain or transmit Electronic Protected Information on behalf of [VENDOR'S ACRONYM] pursuant to which the Subcontractor agrees Icy comply with the applicable requirements of the Security Mule. 7,3 Reporting Protocols. All reports required by Section 7.2(b) shall be provided pursuant to the terms and conditions specified In this Section. (a) � p rlty nts. Reporting for any Security Inoldent Involving the attempted unauthorized access, use, disclosure, modification or destruction of Electronlc Protected Information (collectively, an "Attempted Security Incident") shall be provided pursuant to the standard reporting protocols of [VENDOR'S ACRONYM] (as determined by [VENDOR'S ACRONYM]). (b) $uccossful Securftv Incident, Reporting for any Security Incident Involving the successful unauthorized access, use, disclosure, modification or destruction of Elactronlo Protected Information (collectively, a "Successful Security Incident") shalt be provided to the .Plan pursuant to the standard reporting protocols of [VENDOR'$ ACRONYM) (as determined by [VENDOR'S ACRONYM[); provided, that (1) the reports shall at a minimum Include the date of the Incident, the parties Involved (if known, Including the names of Individuals affected), a description of the Successful Security Incident, a description of the Electronic Protected Information Involved In the Incident and any action taken to mitigate the Impact of (tee Successful Security Incident anchor prevent Its future recurrence and (11) the reports shall satisfy the minimum requirements for Security Incident reporting that may be required from time to time by the Secretary, In addition, Successful Security Incidents shall be reported to the Flan as soon as administratively practicable after the occurrence of the Incident taking Into account the severity and nature of the incident, Notwithstanding the foregoing, the Plan may request details about one or- more Successful Security Incidents, and (VENDOR'S ACRONYM[ shall have 30 days thereafter to furnish the requested information, (0) Breach of Unsecured PHI. To the extent that a Security Incident described in this Section 7.3 also constitutes a Breach of Unsecured PHI, the provisions of this Section 7.3 shall not apply, `but rather the provisions of $action 2.8 shall apply. 7,A gjtl r . [VENDOR'$ ACRONYM) agrees to mitigate, to the extent practicable, any harmful effect that Is known to [VENDOR'S ACRONYM] relating to any Security Incident, 7,5 cress by_Sar,�r ,tad. [VENDOR'S ACRONYM] shall make available to the Secretary [(VENDOR'S ACRONYM)'3]Inlemal practices, kooks and records (including Its policies and procedures) relating to the safeguards established by [VENDORS ACRONYM[ with respect to Electronic Protected Information for the purpose of enabling the Secretary to assess [VENDOR'S ACRONYM[ and/or the Plan's compliance with the Security Rule. [VENDOR'S ACRONYM) shall Inform the Privacy Official of any request sent by the Secretary on behalf of the Plan that Is received by [VENDORS ACRONYM], unless [VENDOR'S ACRONYM] Is prevented by applicable law from doing so. 6rific e Vill,� 0 agent this Agreement deals only with those matters that ore speclUcally addressed herein. Further, this Agreernerit supersedes any prior business associate agreements entered Into by [VENDOR'S ACRONYM) and the Plan (or any predecessor to the Plan), and shall apply to all Protected Information existing as of the effective date of this Agreement or created or received thereafter while this Agreement Is In effect. 8.2 SaveZqbffly, The provisions of this Agreement shall be severable, and the Invalidity or unonforceability of any provision (or part ther000 of this Agreement shall In no way affect the validity or enforceability of any other provisions (or remaining part thereof). If any part of any provision contained In this Agreement Is determined.by a court of competent Jurisdiction, or by any administrative tribunal, to be Invalid, Illegal or incapable of being enforced, then the court or tribunal shall Interpret such provisions In a manner so as to enforce them to the fullest extent of the law. 83 nto_i;atCan. The provisions of this Agreement shall be Interpreted In a manner Intended to achieve compliance with l-IIPAA, Whenever the Agreement uses the term "Including" followed by a specific Ifem or items, or there is a passage having a similar affect, such passages of the Agreement shall be construed as If the phrase without Ilmilation" followed such term (or otherwise applied to such passage in a manner that avoids limitations' on Its breadth of application). Where the dorm "and/or" Is used in this Agreement, the provision that includes the term shall have the meaning the provision would have if "and" replaced "and/or," but It shall also have the meaning the provision would have if "or' replaced "and/or," Any reference to a section or provision of HIPAA shall Include any amendment or clarification of such section or provision contained In the HIPAA Omnibus Rule and any regulation, rule or guidance issued by the Secretary following the effective data of Oils Agreement, 8.4 Ceunterp. Any number of counterparts of this Agreement may be signed and delivered, each of which shall be consldored an original and all of which., together, shall constitute one and the same Instrument, 8,6 Binding Effect, The provisions of this Agreement shall be binding upon and shall Inure to the banefft of the parties hereto and their heirs, assigns and successors in Interest. The Plan shall have the right to assign this Agreement to any successor or surviving health plan, and all covenants and agreements hereunder shall Inure to the benefit of and be enforceable by any such assignee, 8.6 No Third -Party beneficiaries. Nothing express or implied in this Agreement Is Intended to confer, and nothing herein shall confer, upon any person other than the parties hereto any rights, remedies, obligations or liabilities whatsoever. 81 Applicable Layv_. The provisions of this Agreement shall be construed and administered to, and Its validity and enforceability 'determined under HIPAA. To the extent that HIPAA Is not applicable In a particular circumstance, the provisions of this Agreement shall be construed and administered to, and its validity and enforceability determined under the Employes Retirement income Security Act of 1974, as amended ("ERISA") to they extent It Is applicable. In the event that HIPAA and ERiSA do not preempt state law In a particular circumstance, the laws of the State of Texas shall govem, Venue and Jurisdiction for all disputes between the parties shall be exclusively In State or Federal District Court In Jefferson County, Texas, The Parties have the right to appeal the District Court's ruling. 8.8 State Privacy a0 Security Zws, (a) General; Pursuant to 45 CFR § 160,203, [VENDOR'S ACRONYM] and the Plan acknowledge that HIPAA only preempts state laws which are contrary to a HIPAA standard, requirement or Implementation specification, provided that state laws which relate to the privacy of Protected Informal -Ion and are more stringent than the Privacy Rule are not preempted. Accordingly, the parties acknowledge that certain State Privacy Laws affecting the privacy and/or security of personally Identifiable information (e,g„ name, address, age, and social security number) relating to a Plan participant or beneficiary ('Privacy Restricted Data") may apply to the Services provided by [VENDOR'S ACRONYM) to the extent such State Privacy Laws are not preempted by HiPAA. For purposes of this Section 8,9, "State Privacy taws" shall rnean any applicable state and local privacy laws governing the creation, collection, storage, maintenance, access, modification, transmisslon, use or disclosure of Privacy Restricted Data, (b) State Privacy Laws, All Privacy Restricted Data created, collected, received or obtained by or on behalf of [VENDOR'S ACRONYM] in the "course of performing its Services shall be created, collected, received, obtained, stored, maintained, accessed, modified, transmftted, used and disclosed In accordance with any and all applicable State Privacy Laws, [VENDOR'S ACRONYM] shall at all times perform the Services In accordance with the State Privacy Laws and as not to cause the Sponsor or the Tian to be In violation of the State Privacy Laws, [VENDOR'S ACRONYM) shall be fully responsible for any creation, collection, receipt, access, storage, malntenarrce, modification, transmission, use and disclosure of Privacy Restricted Data performed by or on behalf of [VENDOR'S ACRONYM] that Is In violation of any State Privacy Laws, [VENDOR'S ACRONYM] shall remedy and mitigate the damages of any breach of privacy, security, Integrity or confidentiality with respect to the unauthorized creation, collection, recelpt, storage, maintenance, access, modification, transmission, use or disclosure (a `State Breach") of Privacy Restricted Data that !s or may be in violation of any State Privacy Laws, Page 8 of 9 (c) Notification, [VENDOR'S ACRONYM] shall notify the Privacy Officer (using the procedures that apply to Breaches of Unsecured PI-tl under Section 2,8(c)) of any,Stato Breaches by or on behalf of [VENDOR'S ACRONYM] of Privacy Restricted Data that is or may be In violation of any State Privacy laws, In addition, [VENDOR'S ACRONYM] shall also notify the affected Plan participants and beneficiaries (using the procedures that apply to Breaches of Unsecured PHI under Sectlon 2,13(b)) of any State Breaches by or on behalf of [VENDOR'S ACRONYM] of Privacy Restricted Data that Is In violation of any State Privacy laws and any state or local governmental agencies, authorities or other entities, but only to the extent required by such State Privacy laws, (d) HIPAA Coordination. The parties acknowledge that In certain situations the provislons of both Section 2.8 and this Section 8.9 shall apply. If both Sections 23 and 8.9 apply In a given situation, (VENDOR'S ACRONYM] shall comply with both Sections 2,8 and 6.9 to the extent applicable. 8.9 O II ati n of Plan an [VENDOR'S ACRONYM , To the extent that [VENDOR'S ACRONYM] carries out the HIPAA obligations of the Plan (Including the obligations set forth In Section 2.8 and Article III), [VENDOR'S ACRONYM] shall comply with the applicable requirements of HIPAA as they apply to the Plan In the performance of such obligations on behalf of the Plan. IN WITNESS WHEREOF, the parties hereto have executed this Agreement by their duly authorized officials on the date set forth above, Signed for bytho Sponsor on behalf of and as a representative of the Plan: BY: Name: Title,, 44t14Iu :7aIk w' +iuv�j Name Date:r L