CONTRACT 6674 OtherAgreement No. 6674
HOLMAN FAMILY COUNSELING, INC
GROUP CONTRACT
EAP PLAN
This Agreement is made by and between, Holman Family Counseling, Inc. (Hereinafter "HFC") a
California corporation having its principal place of business at P.O. Box 8011, Canoga Park, CA 91309,
telephone number (800) 321-2843, and CITY OF EL SEGUNDO (Hereinafter "Employer") hereby enter
into this Group Plan Contract as of this July 1, 2023.
RECITALS
A. HFC provides Employee Assistance Program Services to employer groups, eligible individuals
employed by such groups and eligible dependents, while at the same time maintaining the
requisites of an independent and responsible profession; and
B. Employer desires to provide its eligible employees and dependents with the benefits and services
of HFC's programs. Employer covenants that their employee population is now, and shall
continue to have minimum ten or more employees working within the State of California.
C. HFC desires to enter into this Agreement to render covered services to Employer's Enrollees
pursuant to this Agreement.
D, Employer desires to enter into this Agreement to have HFC render covered services to its
Enrollees pursuant to this Agreement.
E. This Agreement incorporates by reference all exhibits mentioned and attached, including but not
limited to, the Benefit Schedule/Description ("Exhibit A").
AGREEMENT
1.0 DEFINITIONS
1.1 Acute Psychiatric Hospital. Health facility with a medical staff that provides 24-hour inpatient
care for behavioral health care patients.
1.2 Annual Benefit Maximum. Total amount of money HFC will pay for authorized services
provided to Enrollees by Providers per year. Enrollee will be responsible for any. Behavioral
Health Services beyond this amount.
1.3 Benefits Schedule. (Attached as Exhibit A.) Describes the available levels of treatments
provided through this Group Plan Contract, along with required deductibles and co -payments if
any.
1.4 COBRA. Is a special law that gives members a chance to keep their health plan if they lose their
job, have a reduction in hours or a change in dependents status. Members will usually have to
pay the monthly charges to keep the plan under COBRA.
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1.5 Contracted Provider. A person licensed as a psychologist, clinical social worker, marriage,
family and child counselor, nurse or other licensed/certified health care professional, except
Psychiatrists, with appropriate training and experience in behavioral health services, and who
has contracted with HFC to deliver specified services to HFC Enrollees.
1.6 Coordination of Benefits. The allocation of financial responsibility between two or more
insurance companies or health care providers, each with a legal duty to pay for covered services
provided to an Enrollee at the same time.
1.7 Copa meat. Fixed fee paid to a Provider by Enrollee at time of provision of services, which are
in addition to the Premiums paid by the Employer. Such fees may be a specific dollar amount
or a percentage of total fees, depending on the type of services provided.
1.8 Coverage Decision. The approval or denial of health care services by a plan, or by one of its
contracting providers, substantially based on a finding that the provision of a particular service
is included or excluded as a covered benefit under the terms and conditions of the health care
service plan contract.
1.9 ' Covered Services. EAP services provided by Providers that are determined to fall within the
scope of EAP services and covered under this Group Plan Contract.
1.10 Disputed Health Care Service. Any health care service eligible for coverage and payment under
a health care service plan contract that has been denied, modified, or delayed by a decision of
the plan, or by one of its contracting providers, in whole or in part due to a finding that the service
is not medically necessary.
1.11 Eligible Dependents. Includes Eligible Employee's lawful spouse, domestic partner (as defined
in Section 297 of the Family Code), and children to age 26. Children include stepchildren,
adopted children, and foster children, provided such children are dependent upon the employee
for support and maintenance. Coverage for each minor child placed for adoption immediately
begins from and after the date on which the adoptive child's birth parent or other appropriate
legal authority signs a written document, including, but not limited to, a health facility minor
release report, a medical authorization form, or a relinquishment form, granting the subscriber
or spouse the right to control health care for the adoptive child. Attainment of the limiting age
of 26 by children, shall not operate to terminate the coverage of a child while the child is and
continues to be incapable of self-sustaining employment by reason of physical or mental
condition (certified by a doctor in writing), the child is chiefly dependent upon an Eligible
Employee for support and maintenance.
1.12 Eligible Employee. Employee of Employer who is eligible for benefits by Employer pursuant to
Employer's obligations under this Group Plan Contract. Full-time employees are eligible for
EAP Benefits upon I' day of the month following date of hire, and upon termination of
employment, are covered through the last day of the month. Continuation of EAP Coverage will
be allowed as specified by COBRA provisions.
1.13 Employee Assistance Program Services ("EAP"). A program of comprehensive assessment,
short term treatment and referral services designed to identify and make appropriate referrals for
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treatment of physical, mental or emotional conditions which may result in impaired employee
performance.
1.14 m . to ee/Member. Individual who works for an employer or is a member of a trust, who has
contracted with HFC for behavioral/health services.
1.15 Employer. An Employer is a company/organization that has contracted with HFC to provide
Behavioral/Health Services to its Eligible Employees.
1.16 Enrollee. An Eligible Employee (and/or such Eligible Employee's eligible dependents or anyone
living in the employee's household) of an Employer who has contracted with HFC to provide
EAP Services to its Employees. Employee must meet HFC's eligibility requirements, enroll in
the Employer's Group Plan, and accept the financial responsibility for any copayments that may
be incurred through the Group Plan.
1.17 Family/Household Unit. Comprised of Enrollee plus Enrollee's eligible dependents.
1.18 Fraud. Fraud is the deliberate submission of false information by a provider, enrollee, HFC
employee, or other individual or entity, to gain an undeserved payment on a claim.
1.19 Grievance. Any expression of dissatisfaction, whether written or oral. Members have 180
days to file a grievance with HFC.
1.20 Group Plan Contract. Agreement between an Employer and HFC providing that HFC will
provide EAP Services for the Employer's eligible employees/members in exchange for
Premiums paid by the Employer.
1.21 Groff TheraV,y Session. Goal -oriented Behavioral/Health Services provided in a small group
setting (one — two hours) by a HFC Provider. Group Therapy Sessions can be made available to
the Enrollee in lieu of individual EAP sessions when appropriate.
1.22 Medically Necessar . Except were state law or regulation requires a different definition,
"Medically Necessary" or "Medical Necessity" shall mean mental health or substance related
disorder services that a Licensed Mental Health Professional exercising prudent clinical
judgment would provide to an enrollee for the purpose of.evaluating, diagnosing, or treating a
mental or substance related disorders that are:
Appropriate and necessary for the diagnosis or treatment of the condition within standards of
good clinical practice within the substance related treatment community, clinically appropriate
in terms of type, frequency, extent, site and duration, and considered effective for the
enrollee's condition.
1.23 Mental Disorder. A mental disorder is a behavioral or psychological syndrome that causes
significant distress or disability, or a significantly increased risk of suffering death, pain, or an
important loss of freedom. The syndrome is considered to be a manifestation of some behavioral,
psychological, or biological dysfunction in the person. A mental disorder once
assessed/identified by EAP, is referred for treatment under the medical plan benefits.
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1.24 Mental Health Services. Behavioral/Health Services for the treatment of Mental Disorders
including substance abuse that required more treatment than is provided through the EAP.
1.25 Non -Contracted Provider. Any Provider not contracted with HFC to deliver services to
Enrollees. Every effort will be made to assure Enrollees are not subject to balance billing
practices for services paid under the HFC Agreement. Enrollees are liable for the cost of non -
emergency services provided by Non -Contracted Providers.
1.26 Outpatient Behavioral/Health Services. Outpatient Behavioral/Health Services are those
Behavioral/Health Services that are provided by a Provider in his or her office or appropriate
outpatient setting, covered under the employers' medical plan.
1.27 Premium. Predetermined monthly membership fee paid by an Employer for EAP coverage under
this Group Plan Contract.
1.28 Prior Authorization. Approval of coverage from HFC prior to the Enrollee obtaining covered
EAP services. Requests for prior authorization will be denied if not Medically Necessary, if in
conflict with HFC's policies or otherwise are not covered services.
1.29 EAP Session. A private session consists of one Enrollee with a Provider and includes:
1.29.1 A 45-50 minute consultation as treatment needs dictate.
1.29.2 A 45-50 minute psychological assessment and referral.
1.29.3 A 1 hour — 2 hour group therapy session.
1.30 Provider. A person licensed as a psychologist, clinical social worker, marriage and family
therapist, nurse or other licensed/certified health care professional or ancillary health care
healing arts, except Psychiatrists, with appropriate training and experience in
Behavioral/Medical Health Services, working individually or within a corporation, clinic, or
group practice, who is employed or under contract with HFC to deliver Services to Enrollees.
1.31 Serious Chronic Condition. A medical condition due to a disease, illness, or other medical
problem or medical disorder that is serious in nature and that does either of the following:
1.31.1 Persists without full cure or worsens over an extended period of time;
1.31.2 Requires ongoing treatment to maintain remission or prevent deterioration.
1.32 Serious Debilitating Illness. Diseases or conditions that cause major irreversible morbidity.
1.33 Urgently Needed Behavioral/Health Care Services. Medically Necessary Behavioral/Health
Services required outside of the service area to prevent serious deterioration of an Enrollee's
behavioral health resulting from a sudden onset of illness or injury manifesting itself by acute
behavioral health symptoms of sufficient severity, such that treatment cannot be delayed until
the Enrollee returns to the service area. Urgently Needed Behavioral/Health Care needs are
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assessed by the EAP then referred to a treatment provider under the companies medical plan;
unless immediate hospitalization is needed.
1.34 .utilization Management Committee (UMC). A committee operating within HFC whose
function is to ensure both quality and cost-effectiveness of treatment.
1.35 EAP t/ isit: outpatient. An outpatient session with a Provider conducted on an individual or
group basis during which EAP and short term Behavioral/Health Services are delivered. The
EAP sessions can include providing EAP sessions for people with acute/chronic physical
health problems that are suffering from the stress/depression associated with not feeling well as
a result of having a particular disease.
2.0 COVENANTS OF EMPLOYER
2.1 Premium. Employer agrees to pay HFC a monthly -prepaid Premium, commencing with the
effective date of this Group Plan Contract, and thereafter on or before the first (1st) day of the
month prior to the month of coverage, the sum (See "Exhibit A") for each Enrollee, per month,
to be covered pursuant to this Group Plan Contract. Such rates may from time to time be adjusted
in accordance with the provisions of this Group Plan Contract. These payments will be facilitated
through an electronic fund transfer mechanism. Calculation of the premiums will be determined
by using the previous month's eligibility list; as a result, premium reconciliation will trail by one
month.
2.2 Enrol lee Count. Employer agrees to furnish to HFC, on or prior to the first day the effective date
of this Group Plan Contract, an enrollee count on the monthly invoice of all persons who shall
be Eligible Enrollees under this Group Plan Contract.
2.3 Late Enrollment Provisions. Late Enrollment Provisions shall not apply to this Agreement.
2.4 'Required Distribution. Employer agrees to distribute to all Enrollees copies of the EAP
brochure, provided to Employer by HFC at HFC's expense. Additionally, Employer agrees to
disseminate any materials supplied by HFC, in accordance with legal or contractual
requirements, to its Enrollees by its next regular communication to Eligible Employees, but in
no event later than thirty (30) days after receipt by Employer.
2.5 Required Employer Notice to Enrollees. Employer shall direct Enrollees who wish to receive
EAP Services to telephone HFC at (800) 321-2843.
2.5.1 Written notice of cancellation of enrollment according to Section 2.7.
2.6 Required Employer Notifications to HFC. Employer shall notify HFC in writing within thirty
(30) days of any material increases or decreases in the number of eligible employees.
2.7 Plan Cancellation Notification. In the event of the cancellation of the Group Plan Contract, HFC
shall notify the Employer in writing 30 days prior to the effective date of the cancellation. The
group contract holder shall then promptly mail to each Enrollee a legible, true copy of the notice
of cancellation of the contract received from the Plan. Such notice must be received by the
Enrollee at least 15 days prior to the effective date of the cancellation. The group contract holder
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shall also provide proof of the mailing and the date thereof to the Plan by way of a signed
attestation within 3 days of such mailing. In the event the Employer fails to comply with this
condition, coverage will be extended until such time HFC can comply with the mandated notice
requirements. Employer shall be responsible for the cost of mailing.
2.8 Notification of Continuation Coverage to Qualified beneficiaries. Employer shall notify
qualified beneficiaries currently receiving continuation coverage, whose continuation coverage
will terminate under one group benefit plan prior to the end of the period the qualified beneficiary
would have remained covered as specified in Section 1366.27 of the California Health and Safety
Code, of the qualified beneficiary's ability to continue coverage under a new group benefit plan
for the balance of the period the qualified beneficiary would have remained covered under the
prior group benefit plan. This notice shall be provided either thirty (30) days prior to the
termination or when all enrolled Employees are notified, whichever is later.
2.9 Notification of Continuation Coverage to Successor Group Benefit Plan. Employer shall notify
the successor group benefit plan in writing of the qualified beneficiaries currently receiving
continuation coverage so that the successor plan, or contracting employer or administrator, may
provide those qualified beneficiaries with the necessary Premium information, enrollment forms,
and instructions consistent with the required disclosure in order to allow the qualified beneficiary
to continue coverage.
3.0 COVENANTS OF HFC
3.1 Provision of Services. HFC shall provide EAP Services through Providers pursuant to the
Schedule of Benefits. If an Enrollee wishes to use a Contracted Provider, such Enrollee shall
telephone HFC at (800) 321-2843. HFC will then assign the Enrollee to an appropriate
Contracted Provider based upon intake information that HFC will request in its telephone
conversation with the Enrollee. If the Enrollee wishes to use a Non -Contracted Provider,
Enrollee would do so at his or her own expense, and it shall be the responsibility of the Enrollee
to arrange for services to be rendered with the Non -Contracted Provider.
3.2 Additional Services. In addition to EAP, HFC will also provide legal and financial counseling
referrals to its Enrollees.
3.3 Policies and Procedure Assistance. HFC shall be available to assist Employer in developing
internal policies and procedures for referring Enrollees to HFC for EAP Services,
3.4 Provision of EAP Brochure. HFC shall provide a generic Employee Assistance Program
brochure to Employer and shall consult with Employer and Employer's representatives about it.
3.5 Access to HFC. HFC shall make available to Enrollees the telephone number of HFC for making
appointments and obtaining information with respect to services provided by HFC pursuant to
this Group Plan Contract.
3.6 Ouality; Control. HFC shall establish and maintain a quality control procedure, under the
oversight of the Quality Management and Utilization Management Committees. This process
will govern all private and group sessions provided by Contracted Providers, in order to assure
delivery of effective health care services to Enrollee.
Agreement No. 6674
3.7 Provider Ethics ltecluirement. HFC shall require all Contracted Providers and their authorized
professional employees to abide by all ethical principles and standards of their respective
professions.
3.8 Premiums and Benefits Increase/Decrease. HFC shall not increase the amount of the Premium
to be paid by Employer, or otherwise increase the compensation to be paid to HFC by Employer
for services provided pursuant to this Group Plan Contract, except after a period of at least thirty
(30) days from either 1) the postage paid mailing to the Employer's business address, or 2) by
hand delivery of the written notice of such increase to the Employer by HFC. If the increase is
at time of renewal, then the time frame for notice of increase is ninety (90) days. HFC shall not
decrease the amount of benefits to be provided pursuant to this Group Plan Contract except after
a period of at least ninety (90) days from either the postage paid mailing to the Employer, or by
hand delivery to Employer of a written notice of such decrease.
3.9 Provider Insurance. HFC shall require that all Providers have malpractice liability insurance
coverage for one million dollars ($1,000,000.00) per each occurrence and one million dollars
($1,000,000.00) in the aggregate.
3.10 1.11'C Insurance. HFC will carry:
3.10.1 Comprehensive general liability insurance, $1,000,000 each occurrence (bodily injury
and property damage) and business personal property insurance on all HFC facilities in
the amount of $65,000.
3.10.2 Statutory Worker's Compensation insurance coverage for all HFC employees;
3.10.3 Fidelity Bond in the amount in compliance with applicable Department of Managed
Health Care regulations.
4.0 GENERAL PROVISIONS
4.1 Period of Coverage. Coverage of Enrollees shall become effective on the date set forth on the
signature page provided Employer has paid the required Premium, and coverage shall end on
the last day of month for which Premium was paid or when this Group Plan Contract is
terminated.
4.2 Annual Benefit Maxiinlam. Payments for HFC authorized services are limited to those benefits
outlined in Exhibit A.
4.3 Co a ments. Enrollee and Enrollee's eligible dependent(s) are not responsible for paying
copayment amounts unless outlined in "Exhibit A".
4.4 Service Specifics. EAP services shall be provided by HFC in either HFC's offices, Providers'
offices, or in an office provided by Employer at a work/clinic location. Normally services shall
be delivered within five business days of a request by an Enrollee.
4.5 Confidentiality. HFC will maintain the confidentiality of all Enrollee records in accordance with
the Health Information Portability and Accountability Act (HIPAA) and other applicable federal
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and state laws. Confidentiality will be maintained, except to the extent that disclosure is
authorized by the Enrollee in writing or is otherwise mandated or permitted by law.
A STATEMENT DESCRIBING HFC'S POLICIES AND PROCEDURES FOR PRESERVING
THE CONFIDENTIALITY OF MEDICAL RECORDS IS AVAILABLE AND WILL BE
FURNISHED TO YOU UPON REQUEST.
4.6 Choice of Providers. A HFC clinician or intake specialist will refer Enrollees to Contracted
Providers in their community. If the Enrollee uses a Non -Contracted Provider, the Enrollee may
choose which Non -Contracted Provider to use and is responsible for arranging for services to be
rendered and for any charges incurred. HFC shall not reimburse Enrollees who secure services
from licensed Non -Contracted Providers except in emergency cases or as outlined in this Group
Plan Contract. Section 1.5 defines contracted providers.
4.7 Enrollee Reimbursement Provisions. HFC has made arrangements with its Contracted Providers
to ensure that all bills are submitted directly to HFC for payment. However, if an Enrollee
receives emergency behavioral health treatment from a Non -Contracted Provider, the Enrollee
may receive a bill for such services. The Enrollee must provide HFC with a copy of the bill or
claim as soon as possible. Enrollees should mail claims to: HFC Professional Counseling
Centers, P.O. Box 8011, Canoga Park, CA 91309.
4.8 IFC Provider Compensation Procedure. HFC Providers are paid on a discounted fee -for -service
or fixed charge per day. HFC does not use or permit any type of financial bonuses or incentives
in its contracts with Providers.
4.9 Coordination of Benefits. Pursuant to the provisions below, HFC will not be responsible for
making payments for services when another plan is primarily responsible for making payment
for such services:
4.9.1 A "plan" is considered to be any group insurance coverage or other arrangement of
coverage for individuals in a group that provides benefits or services on an insured or
uninsured basis, and any governmental program providing benefits or services of a
similar nature.
4.9.2 An "allowable expense" is any necessary, reasonable and customary mental health expense
covered by HFC and covered in full or in part under any one of the plans involved.
4.9.3 With respect to coordinating benefits with other carriers, the "primary" plan pays its
benefits without regard to any other plans. The "secondary" plans adjust their benefits
so that the total benefits available will not exceed the allowable expenses. No plan will
pay more than it does without the coordinating provision.
4.9.4 A plan without a coordinating provision is always the primary plan. If all plans have such
a provision (1) the plan covering the Enrollee directly, rather than an Enrollee's
dependent, is primary and the others are secondary; (2) if a child is covered under both
parents' plans, when two members are under the same plan in a family, the member
whose birthday falls first in a calendar year is the one who will be utilized; (3) if neither
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(1) nor (2) applies, the plan which has covered the Enrollee the longest period of time is
primary.
4.9.5 Employer shall provide HFC with any information it may have regarding other plans of
its employee that may cover services provided by HFC. HFC may exchange benefit
information with insurance companies, organizations and individuals, and has the right
to recover any overpayment made from Employer if there is neglect by Employer in
reporting coverage under another plan.
4.9.6 An Enrollee may not be covered as an Employee and Dependent on a plan, and an
Enrollee's dependents may not be covered by more than one Employee. If an Enrollee
is an Employee who is also a dependent of an Enrollee, the Enrollee will be insured solely
as an Employee and all copayments will be waived In this case, the combined maximum
contractual benefits to which an enrollee is entitled under the terms of the master contract
is not to exceed in the aggregate 100 percent of the charge for the covered expense or
service. If an Enrollee and spouse belong to different HFC plans, each of the children,
stepchildren, and legally adopted children may be insured under one HFC plan only and
all copayments will be waived.
4.10 Charges for Missed Appointments. An enrollee will forfeit one session for any free sessions not
kept except in cases where the contracted provider is notified at least twenty-four (24) hours in
advance of the appointment that it will not be kept. For Co -pay sessions, an enrollee will be
charged the applicable Co -pay or the sum of thirty-five ($35.00) (whichever is greater) directly
to the contracted provider for any appointment made with contracted provider and not kept,
except in the case where the contracted provider is notified at least twenty-four (24) hours in
advance of the appointment that it will not be kept.
4.11 Liability of Enrollee for Payment ment for Pre -Authorized Services. Every contract between HFC
and its Contracting Providers will contain a provision stating that Enrollees shall not be
responsible for payment to any Contracted Provider in the event that HFC should fail to pay the
Provider for services rendered, unless such services are determined to not be covered under this
Agreement. Authorized treatment by a provider shall not be rescinded or modified after the
provider renders the service in good faith pursuant to the authorization.
4.12 Renewal Provisions. This Group Plan Contract is for a term of one year unless otherwise
indicated. The Group Plan Contract will be automatically renewed annually at the same rate,
unless HFC and Employer agree or fail to agree to different terms at the time of renewal or unless
terminated pursuant to Section 4.13. Employer will notify Enrollees of any change to the Group
Plan thirty (30) days prior to the effective date of coverage. At renewal, any change in the
benefits included in this EAP contract will constitute the termination of this contract. Should
Employer wish to continue with HFC providing some additional benefits or fewer benefits, a
new contract outlining the new terms and new premium, will be provided.
Agreement No. 6674
4.13 Cancellations Terminations and Non -renewal. Cancellation, termination or non -renewal of this
Group Plan Contract may only be effected in accordance with the following provisions:
4.13.1 This Group Plan Contract may be canceled, terminated or non -renewed by HFC for the
following reasons:
a. Fail Lire to. For nonpayment of the required premiums owed to HFC or failure
to agree to pay the required renewal premium.
b. Fraud. Fraud or misrepresentation by Employer with respect to coverage of
individuals, the individuals, or their representatives.
C. Noncompliance. Noncompliance means failure to comply with the Plan's
participation or employer contribution requirements at time of renewal.
d. In all instances of cancellation in (a-d) aforementioned, written notice will be
given thirty (30) days prior to date of cancellation and cancellation will not be
retroactive. Enrollment will be cancelled as of the last day for which payment has
been received, subject to compliance with stated notice requirements.
4.13.2. Either party may cancel this contract with or without cause with 30 days written notice
to the other party.
4.13.3. All benefits under this Contract shall cease as of the date of cancellation, termination, or
non -renewal with HFC and Employer being released from all further obligations.
4.13.4 In the event of cancellation by HFC (except in the case of fraud or deception in the use
of services or facilities of HFC or knowingly permitting such fraud or deception by
another) or by Employer, HFC shall, within thirty (30) days, return to Employer the
prorated portion, if any, of the money paid to HFC which corresponds to any unexpired
period of which payment has been received, less any amounts due HFC.
4.13.5 Acceptance by HFC of the proper prepaid or periodic payment, after termination of this
Group Plan Contract and without requiring new application, shall reinstate the Contract
as though it had never terminated or been canceled unless HFC shall, within five (5)
business days of receipt of such payment, either refund the payment so made or issue to
the other party a new contract accompanied by written notice stating clearly those
respects in which the new contract differs from the terminated contract in benefits,
coverage, or otherwise.
4.14 COBRA Provisions. Facilitation of continued coverage under COBRA will be defined by the
Employer and will be the Employer's responsibility.
Agreement No. 6674
5.0 EXCLUSIONS:
5.1 Services provided by Non -Contracted Providers are not an EAP covered benefit.
5.2 Treatments which do not meet national standards for behavioral health professional practice are
not an EAP covered benefit.
5.3 Court ordered outpatient treatment is covered only when Medically Necessary. Reporting to the
court and interacting with the court are not covered services under this Agreement, and if
requested, the requesting party will be responsible for all costs associated.
5.4 Academic or educational testing. Services to remedy an academic or educational problem are
not an EAP covered benefit.
5.5 EAP Psychotherapy used as professional training and not for the treatment of a medical or mental
condition, are not an EAP covered benefit.
5.6 Use of sexual surrogate, sexual treatment of sexual offenders or perpetrators of sexual violence
are not an EAP covered benefit. Reporting to the court and interacting with the court are not
covered services under this Agreement.
5.7 Pastoral or spiritual counseling, if delivered by a licensed therapist, will be covered under EAP
benefits.
5.8 Dance, poetry, music or art therapy, are not EAP covered benefits.
5.9 Experimental or investigational therapies which are not recognized in accordance with
professionally recognized standards of practice as being safe and effective for use are not an
EAP covered benefit.
5.10 All non-prescription and prescription drugs prescribed in connection with an enrollee's
treatment, are not an EAP covered benefit.
5.11 Surgery, acupuncture, physical therapy, or occupational therapy, are not an EAP covered benefit.
5.12 Neurological services and tests, including but not limited to: EEGs, Pet scans, beam scans, MRIs,
skull X-rays, and lumbar punctures, are not an EAP covered benefit.
5.13 Acute care hospital, residential outpatient, day treatment, and partial hospital services are not an
EAP covered benefit.
5.14 Assessment for the need for Bio-feedback, Neurofeedback & HeartMath is an EAP covered
benefit.
5.15 Any service that is not Medically Necessary even though it is not specifically listed as an
exclusion or limitation, are not an EAP covered benefit.
5.16 Any service that is not specifically listed as a covered benefit is not an EAP covered benefit.
Agreement No. 6674
5.17 HFC is the decider of Medical Necessity.
6.0 ENROLLEE GRIEVANCE PROCESS
6.1 Enrollee Grievance Process/Appeal Process. Grievances will be directed to the Compliance
Specialist. The Compliance Specialist will work together with the Enrollee to resolve the issue
if possible. If no solution is reached, the Compliance Specialist will refer the matter to the
Grievance Committee. The HFC Grievance Committee will review the grievance and within
thirty (30) days from HFC's receipt of the grievance, HFC will send a written notice of the
resolution. If the grievance is denied, the notice will explain how the Enrollee may appeal the
decision of the Grievance Committee.
6.2 Arbitration. If the Enrollee remains dissatisfied with the decision, the Enrollee may submit a
request to HFC to submit the grievance to binding Arbitration before the American Arbitration
Association. Pursuant to California law a single neutral arbitrator who shall be chosen by the
parties and who shall have no jurisdiction to award more than $200,000 must decide any claim
of up to $200,000. However, after a request for arbitration has been submitted, HFC and the
Enrollee may agree in writing to waive the requirement to use a single arbitrator and instead use
a tripartite arbitration panel that includes the two party -appointed arbitrators or a panel of three
neutral arbitrators or another multiple arbitrator system mutually agreeable to the parties. The
Enrollee shall have three (3) business days to rescind the waiver agreement unless the agreement
has also been signed by the Enrollee's attorney, in which case the waiver cannot be rescinded. In
cases of extreme hardship, HFC may assume all or part of the Enrollee's share of the fees and
expenses of the neutral arbitrator provided the Enrollee has submitted a hardship application with
the American Arbitration Association. The American Arbitration Association shall determine
the approval or denial of a hardship application. A hardship application may be obtained by
contacting the American Arbitration Association in Los Angeles at 213-383-6516, in Orange
County at 714-474-5090, in San Diego at 619-239-3051 and in San Francisco at 415-981-3901.
6.2.1 If the Enrollee does not request arbitration within six months from the date of the
Grievance Resolution Notice, the decision of the Committee shall be final and binding.
However, if the Enrollee has legitimate health or other reasons which would prevent them
from electing binding arbitration in a timely manner, the Enrollee will have as long as
necessary to accommodate his or her special needs in order to elect binding arbitration.
Upon submission of a dispute to the American Arbitration Association, both the Enrollee
and HFC agree to be bound by the rules of procedure and decision of the American
Arbitration Association. Full discovery shall be permitted in preparation for arbitration
pursuant to California Code of Civil Procedure, Section 1285.05.
6.3 Treatment Denials. If a Provider or Enrollee notifies HFC of a dissatisfaction regarding an EAP
authorization denial, it will be directed to the assigned staff. HFC will work together with the Provider
and/or Enrollee to resolve the complaint. Within thirty (30) days from HFC's receipt of the complaint,
HFC will send the Provider and/or Enrollee a written notice of the resolution. If the Provider or
Enrollee's complaint is denied, the notice will explain how the Provider or Enrollee may appeal the
decision.
Agreement No. 6674
6.4 EAP Denial'. Al)eals. If the Provider/Enrollee is dissatisfied with HFC's resolution of the EAP
denial, the Provider/Enrollee may file an appeal through either the American Arbitration
Association.
6.4.1 Expedited reviews of EAP denials are available to Providers and/or Enrollees. In these
cases, HFC will provide verbal resolution within eight (8) business hours of HFC's
receipt of necessary information to make an informed decision and in writing within two
(2) days of receipt.
7.0 GENERAL
7.1 HFC's Medical Necessity, Philosophy. HFC's Medical Necessity Philosophy includes
authorizing the most intensive treatment in the least restrictive setting because life's problems
MUST be solved while engaged in life; living at home, on the job and with family and friends.
At the same time, as the Enrollee starts to put into practice the coping mechanisms and life skill
tools that are learned or re -awakened in therapy, we want the Enrollee to start to stand on their
own without developing a dependency on a therapist. One of these tools is therapeutic/personal
growth exercises which can be handed out upon the initial intake call to Holman and may be an
ongoing part of the EAP process. This standing on your own can result in scheduling sessions
every other week to every three/four weeks. Once ending a course of treatment and implementing
the NEW coping tools for some time and as your medical needs dictate, you are always
encouraged to call again, within the EAP benefit.
7.2 Antil"raud Policy,and Procedures. HFC makes every effort to detect, investigate, and prosecute
any incidents of fraud at any level within its EAP Service. HFC contracts with a special
investigator trained in fraud investigation to assist us in investigating fraud. In the event that
HFC detects any fraudulent activity on the part of a Provider, the Provider's contract with HFC
will be terminated. If HFC detects any fraudulent activity on the part of an Enrollee or Employer,
HFC will deny Enrollee any additional benefits under Enrollee's Group Plan and may terminate
Employer or the Enrollee. Additionally, HFC will prosecute fraud to the fullest extent of the
law. We also cooperate with all government agencies in a combined effort to prevent and
prosecute fraud on the part of both Providers and Enrollees.
7.3 Enrollees Held Harmless. As required by California law, every contract between HFC and a
Provider shall provide that the Provider accepts the payment rate under the HFC Agreement as
payment in full. The Provider may not, under any circumstances bill, charge, collect a deposit,
seek compensation, remuneration, or reimbursement from, or have any recourse against the
Enrollee for services provided. The Enrollee is held harmless and may not be balance billed.
Collection from the Enrollee of any copayments or deductibles in accordance with the terms of
the benefit plan, or charges for services determined to not be covered under the plan, may be
excluded from the hold harmless clause.
7.4 Approval of Materials. All materials published or distributed by Employer concerning this EAP
Group Plan Contract shall be approved by HFC prior to use.
Agreement No. 6674
7.5 Professionalism. All parties to this Group Plan Contract agree to permit and encourage the
professional relationship between Providers and Enrollees to be maintained without interference
and in a manner that would enhance the confidentiality of services.
7.6 Notices. All notices provided hereunder, and by Employer's insurance broker, shall be deemed
as having been properly made upon depositing the same in the United States mail, postage
prepaid, and addressing such notices to HFC at its administrative office, or to Employer at the
address appearing last on the books of HFC.
7.7 Entire Conti -act. This Group Plan Contract contains all of the provisions of the agreement
between the parties hereto, and no promise or agreement not contained herein shall be binding
on the parties unless the same is mutually agreed upon in writing, signed by the parties hereto
and attached to this Group Plan Contract. Only an officer or director of HFC has the power to
change, modify, or waive the provisions of this Group Plan Contract, and then only in writing.
Consent of Enrollees is not required to effect any such change.
7.8 Assignment. Neither this Group Plan Contract nor any rights, obligations or duties under this
Group Plan Contract may be assigned without the consent of contracting parties, provided
however, that HFC may assign its rights, obligations or duties under this Contract to any
corporate affiliate or other entity which may purchase substantially all assets of HFC or is the
surviving entity in a merger with HFC.
7.9 Severabilit . If any provision of this Group Plan Contract is declared invalid or unenforceable
by any arbitrator, court or other competent authority, the remaining provisions hereof shall
remain in full force and effect.
7.10 Waiver. A failure of either party to exercise any right provided for herein shall not be deemed a
waiver of any right hereunder. No party will be deemed to have waived any rights hereunder
unless the waiver is made in writing and is signed by the waiving party's duly authorized
representative. No waiver of a party's right under this Agreement shall be deemed to have been
effective if and to the extent waiver of such right is prohibited under applicable law.
7.11 Applicable Law. This Group Plan Contract shall be governed by and construed under the laws
of the State of California.
7.12 Amendment. Except as otherwise specifically provided in this Agreement, this Agreement may
be amended only by mutual written consent of the parties.
7.13 Effective Date. See Signature Page.
7.14 Em to er11EC Arbitration. Any controversy or claim arising out of or relating to this contract,
including any claims for tort liability, bad faith liability, breach of contract, punitive damages or
any other claim, but excluding medical malpractice claims by Enrollees, shall be submitted to
binding arbitration before the American Arbitration Association. Arbitration must be initiated
within six months after the alleged controversy or claim occurred by submitting a written demand
to the other party. The failure to initiate arbitration within that period constitutes an absolute bar
to the institution of any proceedings.
Agreement No. 6674
7.14.1 The arbitration shall be conducted in the state of California. The complaining party
serving a written demand for arbitration upon the other party initiates these arbitration
proceedings. The written demand shall contain a detailed statement setting forth the
nature of the dispute, the amount of damages involved, if any, and the remedy sought.
Within ten (10) business days of that demand, HFC and Employer will appoint a mutually
agreed upon arbitrator. A single neutral arbitrator who is licensed to practice law shall
conduct the arbitration. If the parties are unable to agree upon an arbitrator, the arbitrator
shall be selected in the manner provided for by the American Arbitration Association.
Unless otherwise approved by the parties, any arbitrator appointed under this Contract
shall have at least ten (10) years demonstrable experience in health care and managed
care issues.
7.14.2 Each party shall have the right to take the deposition of up to five (5) individuals and any
expert witness designated by the other party. At least thirty (30) days before the
arbitration, the parties must exchange lists of witnesses, including any experts (one of
each for HFC and Employer) and copies of all exhibits to be used at the arbitration. No
witness may be called, or exhibit introduced, at the hearing if not included on that list,
except as permitted by the arbitrator, upon a showing of good cause. A stenographic
record shall be made of the proceedings, the cost of which shall be borne equally by both
parties. The arbitrators shall determine the rights and obligations of the parties according
to the substantive laws of the state of California.
7.14.3 Any counterclaim, cross -claim, or third -party claim for indemnity or contribution
between provider and HFC in any Enrollee's action against Employer or HFC is
expressly excluded from this arbitration clause, unless Enrollee's entire action is
judicially required to be submitted to arbitration.
7.14.4 Judgment upon the award rendered by the arbitrator may be entered in any court having
competent jurisdiction. The decision of the arbitrator shall be final and binding. The
arbitrator shall have no authority to make material errors of law or to award punitive
damages to or to add to, modify, or refuse to enforce any agreements between the parties.
The arbitrator shall make findings of fact and conclusions of law and shall have no
authority to make any award that could not have been made by a court of law. The
prevailing party, or substantially prevailing party's costs or arbitration are to be borne by
the other party, including reasonable attorney's fees.
7.14.5 By entering into this Contract, Employer and HFC waive their legal rights to have any
dispute decided in a court of law before a judge or jury and instead accept the use of
arbitration for resolving disputes arising from this Group Plan Contract.
7.15 The Plan is subject to the requirements of Chapter 2.2 of Division 2 of the Code and of Chapter
1 of Title 28 of the California Code of Regulations and any provision required to be in the contact
by either of the above shall bind the Plan whether or not provided in the contract.
Agreement No. 6674
IN WITNESS WHEREOF, the parties have caused this contract to be executed at Canoga Park, California.
The effective date of this Agreement is July 1, 2023
CITY OF EL SEGUNDO ("Employer")
ka
Title
Date
ATTEST
Tracy Weaver,
City Clerk
APPROVED AS TO FORM:
MARK "E 1SI E `, City Attorney
Joaquin Vazquez, Assistant City Attorney
Insura4ce Approval:
Hank td, Vlik Manager
Holman Family Counseling, Inc.
("HFC") A California Corporation
By: ZA&.......
Signature
Ron Holman
Name
Chief Executive Officer
Title
05/26/2023
Date
Signature
Elizabeth Holman M.B.A.
Name
SecreLag and President
Title
05/26/2023
Date
Agreement No. 6674
Exhibit A
EAP Benefit Schedule/Description
Employee Assistance Program Benefit: 3-sessions with network provider, per individual, per issue, per
year, including Legal and Financial referrals.
EAP Rate: $1.18 pepm
Contract and Benefit Renewal Provisions: This Group Plan Contract is for a term of one year unless
otherwise indicated, commencing on July 1, 2023 and automatically to renew on June 30, 2024
unless HFC and Employer agree on different terms at the time of renewal or unless terminated by the parties
or pursuant to Section 4.13 of this Agreement. At renewal, any change in the benefits included in this EAP
contract will constitute the termination of this contract. Should Employer wish to continue with HFC
providing some additional benefits or fewer benefits, a new contract outlining the new terms, conditions and
premiums will be provided. Employer will notify Enrollees of any changes to the Group Plan thirty (30)
days prior to the effective date of coverage.
2. Assessment: Each one of Employers employees/family shall be eligible to receive an assessment of needs
as part of an initial counseling session. Such assessments consist of clinical interviews and do not include
psychological testing. Additionally, HFC shall provide the following types of special assessment:
a. Substance Abuse: HFC will assess the type and severity of substance abuse and appropriate level of
treatment. These assessments may include face to face assessment, the use of questionnaires and/or
brief screening instruments.
b. Crisis or Emergency: HFC will assess a patient who presents in crisis to determine an appropriate
level of intervention or treatment. Such assessments will be conducted whether or not the Member
has used all of his/her EAP benefits for the Contract Year.
c. Fitness for Duty: Upon request by employer, HFC will assess an Employee's fitness for duty. Such
assessments are based upon information provided by the employer and on the Employee's condition
at the time, with an understanding that the Employee's condition can change at any time. Employer
will remain responsible for monitoring Employee's condition and for notifying HFC of any change,
in which case HFC will reassess Employee's fitness for duty. Fitness for Duty EAP evaluations
require an additional fee from employer. HFC will provide to employer upon request a Fitness for
Duty evaluations at HFC's contracted provider cost; usually between $2,500 - $5,000.
d. Threat of Violence Potential: Upon request by employer, HFC will assess the situation for potential
violence. Employer agrees to complete all necessary forms and supply any supporting information
and documentation as requested by HFC. HFC will refer the patient to a recognized threat of violence
expert as indicated by the assessment. The charges for the specialist's services are not included in
the compensation paid hereunder and the employer shall be responsible for all such charges. HFC
will provide to employer upon request a Threat of Violence Potential evaluation at HFC's contracted
provider cost; usually between $2,500 - $5,000.
e. Employer agrees to hold HFC, it affiliates, officers, directors, agents and employees harmless from
and indemnify HFC, its affiliates, officers, directors, agents and employees against actions or
complaints relating to any injury or damage sustained as a result of the assessment of the situation
for evaluation for `fitness for duty' and/or evaluation for `potential violence'.
Agreement No. 6674
f. Assessments for the purpose of disability determination are not provided for under this Agreement
and can be added if employer wishes.
Short -tern Counseling: HFC will provide counseling to the Members for minor problems on a short-term
basis. These services will be provided throughout the United States. Locations may be changed at the sole
discretion of HFC. Counseling services shall consist of outpatient psychological counseling provided by a
licensed psychologist, clinical social worker, marriage and family therapist, nurse or other licensed/certified
health care professional or ancillary health care healing arts, except Psychiatrists, with appropriate training
and experience in Behavioral/Medical Health Services. HFC will not be responsible through the EAP, for
the following treatments: serious or chronic psychological disorders, psychiatric disorders, substance abuse
treatment, or conditions requiring medication.
4. Deferral: HFC will provide appropriate referrals for services not covered under this Agreement (the
"Excluded Services"). The Excluded Services include, and are not limited to, psychiatric/medical services,
psychological testing, substance abuse treatment, long-term psychotherapy, treatment for serious & severe
mental disorders (AB88) or chronic conditions, impatient or residential treatment, or other non -
psychological counseling. Referrals for Excluded Services will be made to providers under Member's
insurance, or to appropriate community resources. HFC will not be responsible for any charges or fees the
Member may incur from such referrals for Excluded Services.
Case Managem nt HFC will provide limited case management for emergency situations or for
management -referred Employees whom HFC provided a referral for continued assessment and/or treatment
and progress, and communication with the treating provider.
6. Crisis Management:, HFC shall provide a 24-hour crisis line for emergencies; (800) 321-2843 in the United
States for access by employer and employer's employees/family.
7. HFC shall conduct Employee orientations to explain HFC'S EAP services. Sites of the information
programs and the expenses for those sites will be the responsibility of the employer. HFC will provide at
HFC's expense, generic promotional brochures, that employer can distribute to its employees, to encourage
use of EAP services. On site employee orientations can be purchased at $150/hr and $75/hr for travel.
8. HFC shall provide (hours) supervisory training, to assist the Employer's managers that educates in utilizing,
outlining and motivating employees in the use of EAP services. Training for supervisors will include
explanations of the EAP program, impact of behavioral problems on Employee performance, and substance
abuse information. If employer wished on sites training, site of the training programs and the expenses for
those sites will be the responsibility of the Employer. The Employer can purchase additional on -site training
at $150/hour and $75/hour for travel.
9. HFC shall provide supervisory consultation regarding specific Employee issues, via telephone and HFC
shall provide supervisory training via on -site. This confidential consultation & training is intended to
facilitate appropriate referrals to the EAP program.
10. HFC shall periodically provide generic promotional materials to facilitate utilization of EAP services by
Employer Members, at HFC's expense.
11. HFC shall provide quarterly and annual statistical reports of EAP utilization and other HFC services
Agreement No. 6674
furnished to Employer Members on the HFC website. These reports shall be in HFC's generic format and
no patient/names shall be identified. If employer required specialized non -confidential reports, HFC may be
willing to provide such reports for an additional fee.
12. HFC shall provide periodic program consultation with Employer management regarding utilization of
HFC's services.
13. HFC is available, for a fee, to provide crisis intervention at the work -site for traumatic events which affect
the performance and attitude of the staff (e.g. robbery, death or suicide of a co-worker, industrial accidents
or mass casualty incidents). Each incident will be assessed on its own merits, but in general, a minimum of
four (4) hours advance notice is required. This service is available at all locations, upon request by Employer,
for the same fee. Crisis intervention for business -based decisions (e.g. downsizing, reductions in force, etc.)
may also be purchased for the same fee of $150/hour & $75/hour for travel.
14. Therapeutic/personal growth exercises may be assigned to persons calling Holman to access their EAP
benefits.