DRUG PROGRAM ADMINISTRATION AGREEMENT
This agreement is between Company and Western Pathology Consultants, Inc.
(WPCI). The purpose of this agreement is to outline the services to be provided,
pricing for the services, and responsibilities of each party.
SERVICES PROVIDED BY WPCI
1. Complete urine drug collection and breath alcohol testing services. These
services will be provided through WPCI's Collection Business Unit. The
actual providers of the services will be collection facilities contracted
by WPCI. WPCI will be responsible for scheduling, monitoring, and paying
the contracted collection facilities.
2. DOT and NON-DOT drug testing. WPCI will contract with LabOne to provide
drug testing. LabOne is a SAMHSA certified laboratory. The testing services
will include screening tests, confirmation by GCMS for all positive
screening results, and additional testing as required, such as, d/l isomers
and 6 MAM as required. WPCI will monitor the laboratory performance,
certification, and quality. WPCI will be responsible for paying all LabOne
invoices for testing services.
3. WPCI will provide MRO services on all Company drug testing and will be
available for consultation as required by Company. All MRO reviews,
reporting, and record keeping activities will be in accordance with 49 CFR
part 40 and Company company policies.
4. WPCI agrees to maintain Company hard copy records in accordance with 49 CFR
Part 40 and applicable state regulations. WPCI will send these records to
the designated location within 2 business days or sooner as requested.
Company agrees to pay all shipping charges associated with this transfer
and Company will designate the shipping method. If electronic means is
acceptable, WPCI will transfer the information via electronic means to
Schwans with the designated time frame needed.
5. WPCI will provide overall drug program administration services. These
services will include, but are not limited to, quality monitoring of
collection facilities, laboratory testing, and MRO services. WPCI will
provide 24 hour 7 day a week collection services, MRO accessibility,
customer support services, and any optional services that Company may
decide to utilize.
6. WPCI will notify the Company designated management representative of
employees that have been selected for random testing. WPCI will be
responsible to administer the random selection process and completions of
random selections in accordance to applicable Federal Regulations.
7. WPCI will administer and monitor Company follow-up testing program and make
the required notification to the designated management contact. WPCI will
administer the follow up program in compliance with all applicable federal
regulations. WPCI will work in conjunction with Company to ensure
compliance with the program.
8. WPCI will monitor collection sites for quality and cost parameters. If WPCI
identifies a collection site that does not meet WPCI guidelines WPCI will
identify an alternate collection site to be utilized by the affected
location if an alternate site is available. WPCI will discuss with Company
corporate the reasoning for the change and obtain approval before any
change is implemented.
9. Company will continue to pay WPCI on valid test results received. When
payment is made Company will provide an electronic file supporting the
payment.
10. WPCI agrees to indemnify Company from any and all liability, loss, or
damage Company may suffer as a result of claims, demands, costs or
judgments against Company arising out of the failure of WPCI or those
acting under WPCI to conform to and obey federal and state statutes,
regulations or requirements in connection with employment related drug
testing.
Pricing and complete description of all services to be provided by WPCI are
included in attachment A of this agreement.
COMPANY RESPONSIBILITIES
1. Company will provide an internal contact person to help WPCI deal with the
internal requirement of the drug testing program. This internal contact
person will be provided training by WPCI in the function and operation
required to meet Company expectations and requirements.
2. Company will provide all required hardware for electronic result reporting.
3. Company will work with WPCI to resolve logistic or administrative problems
that may be internal to Company and out of WPCI's control to resolve.
Company will provide a contact list of all key people and a detailed
summary of their responsibilities as they relate to the smooth operation of
the drug testing program.
4. When notified of random notification problems or follow-up testing
difficulties, Company corporate will assist with the required notification
and facilitate corrective actions.
5. Company will provide WPCI with an updated random list during the first two
weeks of each quarter. Each Quarter's list will provide to the best of our
abilities a list of all active eligible employee's for that quarter.
Company will notify WPCI anytime a delay is expected in delivering the
quarterly list.
6. Company will pay all invoices from WPCI on a net 30 day basis.
PROGRAM MONITORING
Company and WPCI will designate individuals from each organization to
monitor the effectiveness of the program and solve all problems that can be
solved by the designated individuals. If additional representatives are required
from either organization to solve a particular issue the designated individuals
will arrange a meeting to address the issue. Should the individuals monitoring
the program have unresolved problems or difficulties both organizations would
provide senior management representatives to help resolve these problems and
facilitate the implementation or monitoring process.
PRICING REVIEW
Both parties agree to review pricing semi-annually. If cost reductions have
been experienced by WPCI a price reduction will be discussed with Company . Cost
reductions or cost stability will be the ongoing goal of both organizations.
Collection cost review data will be made available to a designated Company
representative and a complete review and any adjustments to Company collection
pricing will be negotiated at that time. Collection costs will not increase over
the length of this agreement and will be reviewed semi annually for price
reductions.
TERMS OF AGREEMENT
The term of this agreement will be Two years from date of acceptance noted
below. The terms, conditions, and performance standards outlined in this
agreement can be reviewed at mutually agreed on intervals. This agreement may be
terminated by either party without cause with 90 days written notice to the
other party. This agreement may also be terminated for cause with 30 days
written notice. It will be expressly understood that both parties will work
together to resolve any differences or difficulties encountered and the 30 day
termination cause will only be used when the parties have differences that
cannot be resolved. At the completion of the two year term, the agreement may be
renewed in one year increments. The terms of an ongoing agreement will be
presented by WPCI and agreed on by both parties 90 days prior to the expiration
date of the current agreement.
DOT PROGRAM
WPCI agrees to provide all services concerning drug and/or alcohol tests
required by the Department of Transportation regulations in full compliance with
the provisions of 49 CFR Part 40. Compliance with Part 40 is a mandatory term of
this agreement. If the Department of Transportation determines that WPCI is in
noncompliance with Part 40 with respect to DOT regulated drug and alcohol
programs, this agreement will be terminated for cause by Company.
NON-DOT PROGRAM
WPCI agrees to provide all services concerning drug and/or alcohol tests in
compliance with applicable state regulations and standards. WPCI will maintain
the same standards required for DOT testing when administering Company non-DOT
drug testing program. Compliance with all aspects of state and federal
regulations is a mandatory term of this agreement. WPCI will keep Company
informed of any state law changes or other issues that may effect the non-DOT
drug testing program. If it is determined that WPCI is in noncompliance with
applicable State regulations or standards, this agreement will be terminated for
cause by Company.
The following parties designated by each organization to consummate this
agreement have read and understand all the conditions, services, and
responsibilities outline herein.
Date: _________ _____________________________________________________
Company Representative
Date: _________ _____________________________________________________
WPCI representative
