2006/04/05 Council Agenda Packet

SYSTEMS DESIGN NORTHWEST, INC. Medical Billing Systems & Services P.O.Box 3510 Silverdale.WA 98383 9 (360)692-5242 February 17, 2006 (800)585-5242 Fax(360)698-4968 EMS Chief Jack Robinson City of Everett Fire Department 2811 Oakes Ave Everett,WA 98201 Dear Chief Robinson, 2005 has been another eventful year for everyone involved in ambulance transport services and billing. Medicare has required that all claims to them must now be submitted electronically,regardless of the size of the provider. Due to tightening Federal budgets,claims are becoming subject to even tighter prepayment reviews. However,it is the final year of the phase-in period for the National Fee Schedule for ambulance,so 2006 Medicare reimbursement levels will be calculated from a blend of only two Fee Schedules,rather than three! It has also been a very good year! We continue to grow,due to so many kind referrals from our clients. We have added to our staff and reorganized our managerial structure to accommodate this phenomenal growth. But most importantly,we have been able to achieve growth and still maintain the quality of service you have come to expect. On behalf of the entire staff,I would like to thank you for your continuing support. As we approach the end of your contract period, I'm sure next year's budget is a priority in your workload. As we do every year at this time,we have reviewed our own budget to determine what fees we will need to charge next year. I am happy to report that for the remainder of 2006, even though our expenses have increased,we will be able to maintain your rate at $19.50. We are able to do this by adding new clients and improving efficiencies. I realize that your contract period is currently from April to March, but I would like to propose that we extend this year's term date to the end of 2006 to bring your renewal date in line with the majority of our clients,who run from January to December. This letter,when signed below,can serve as the `mutual agreement of both parties' referenced in our current contract. If you agree to the extension,please return a signed copy of this letter at your earliest convenience. If you have any questions,need a different date range,or would prefer to sign an entirely new contract,please give my assistant,Shelley Brewington, or me a call. On behalf of Laurel and the rest of the staff at Systems Design Northwest,I want to again say `Thank You'. We have enjoyed working with you this year and look forward to many more. Thanks in advance for your attention to this matter. Approved: Systems Design Northwest,Inc. Approved: By: ? By: Roger A. Zegers, Date: President/CEO