96-03RESOLUTION NO. 96-3
CITY OF OTSEGO, COUNTY OF WRIGHT
A RESOLUTION ADOPTING FOR THE CITY OF OTSEGO AN EMPLOYEE
DRUG AND ALCOHOL POLICY FOR DRIVERS OF
COMMERCIAL VEHICLES
WHEREAS, The City of Otsego is required to have a Drug and Alcohol
Policy in place by January 1, 1996, and
WHEREAS, The City of Otsego has enrolled in the Minnesota Counties
Insurance Trust, 125 Charles Avenue, St. Paul, Minnesota, 55103 Ph: (612) 224-3344.
and has signed a Minnesota Counties Insurance Trust Drug and Alcohol Testing Program
Participation Agreement on January 8, 1996 and agreed to become an Associate Member
of the Minnesota Counties Insurance Trust (MCIT) to be eligible to receive the services
provided in the agreement and agreed to pay MCIT an annual administrative service fee
of Fifty Dollars ($50.00) during the term of agreement.
WHEREAS, The City of Otsego by signing the Participation Agreement with
MCIT also is under the Service Agreement between MCIT and Medtox, Inc, 402 County
Road D, Saint Paul, Minnesota, 55112, the laboratory that does the drug and alcohol
testing.
NOW THEREFORE BE IT RESOLVED THAT,
The City of Otsego hereby adopts the City of Otsego Employee Drug and Alcohol Policy
for Drivers of Commercial Vehicles and this policy will be added to the City of Otsego's
Personnel Policy.
Dated this 22ND day of January 1996.
CITY OF OTSEGO
Norman F Freske, Mayor
A EST:
Laine Beatty, City ClerklZ#ing Administrator
(City Seal)
Attachments:
Employee Drug and Alcohol Policy
MCIT Drug & Alcohol Testing Program Participation Agreement
(Exhibit I - Service Agreement between MCIT and Medtox, Inc.
ri
THE MINNESOTA COUNTIES INSURANCE TRUST
DRUG AND ALCOHOL TESTING PROGRAM
PARTICIPATION AGREEMENT
THIS PARTICIPATION AGREEMENT provides for the delivery of drug and
alcohol testing services by the Minnesota Counties Insurance Trust (MCIT) for the
City of OtsegX, " Member."
1. SERVICES TO BE PROVIDED
MCIT agrees to provide services to the Member in accordance with the drug and alcohol
testing service provider contract or successor contract, the current contract is attached
hereto and incorporated herein as Exhibit 1. WIT is not obligated to provide such
services should the drug and alcohol testing service provider contract be terminated or
cancelled.
2. SERVICE FEES
The Member will compensate MCIT in accordance with the fee schedule in ARTICLE IV
of Exhibit 1. MCIT will submit invoices to the Member on a monthly basis for services
performed under this Agreement. The Member will provide payment to MCIT within
thirty (30) days following receipt of invoice.
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3. TERMINATION
This Agreement may be terminated by MCIT or the Member upon thirty (30) day written
notice to the other party. The Member will pay for services provided up to the date of
termination.
4. MCIT ASSOCIATE MEMBER
The City of Otsedagrees to become an Associate Member of the Minnesota Counties
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Insurance Trust (MCIT) to be eligible to receive the services provided in this Agreement.
The City of Otsegg assumes no liabilities or obligations as an MCIT Associate Member
except as set forth in this Agreement. The City of Otsegd agrees to pay MCIT an annual
administrative service fee of Fifty Dollars ($50.00) during the term of this Agreement.
IN WITNESS WHEREOF, MCIT and the City of Otseghave caused this Agreement to be
executed by the person authorized to act in their respective names on the date shown below:
MINNESOTA COUNTIES INSURANCE TRUST
Date: `,Z — 1 9- f 7—
Director
CITY QF OTSEG�Pcy I *�
Date: 1 / 8 / 9 6
NORMAN F FRESKE, MAYOR
Attest:
--- -ITYYL
RK
Date: 1 /R/96
CITY OF OTSE G
e.
Elk O
889k R Njer, MN 55330
Exhibit 1
SERVICE AGREEMENT
THIS AGREEMENT, made and entered into this 27th day of December, 1994, between the Minnesota
Counties insurance Trust, Hereinafter referred to as MCIT, and Medtox Inc., Hereinafter referred to as
Medtox.
ARTICLE I PURPOSE
1 PURPOSE
The MINNESOTA COUNTIES INSURANCE TRUST (MCIT) is a joint powers organization created
pursuant to Minnesota Statutes Section 471.59 and 471.981. MCIT provides a means for Minnesota
Counties and related entities to self insure workers' compensation, property and casualty and employee
benefits through a pooling arrangement. MCIT also provides its members with risk management services
to help assure compliance with state and federal rules and regulations. MCIT desires to secure the
services of Medtox to assist its members and members of the Association of Minnesota Counties (AMC)
in complying with the federal rules for drug and alcohol testing. The purpose of this Agreement is to set
forth the duties and obligations of the parties.
ARTICLE II - SERVICE CENTER AND PERSONNEL
2 SERVICE CENTER AND PERSONNEL
2.1 SERVICE CENTER
Medtox shall maintain a principal Service Center in the State of Minnesota for coordinating the
delivery of services provided under the terms of this Agreement.
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2.2 PERSONNEL
Medtox agrees to assign competent personnel to perform those tasks necessary to provide the
services specified in this Agreement. Medtox shall make certain that its staff possesses the
necessary professional background, experience and on-going training to provide the services
described in this Agreement. MCIT will be advised of the identity and qualifications of all
professional personnel providing direct services to MCIT.
ARTICLE III - SERVICES TO BE PROVIDED
3 SERVICES TO BE PROVIDED
3.1 Collection Sites - Medtox shall establish collection sites/clinics throughout the state to
collect urine specimens for drug tests. Medtox shall permit members to make independent
arrangements with clinics as collection sites and allow such counties to purchase other
services pursuant to this agreement.
3.2 Supplies - Medtox will provide Members with all supplies necessary for the collection of
urine specimens, including but not limited to, specimen bottles with instructions, labels,
order forms, chain of custody forms and prepaid overnight courier supplies.
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3.3 Testing laboratory - Medtox shall conduct an actual analysis of the specimen provided by
the collection site/clinic, using an immunochemical method, to determine the presence or
absence of the following drugs:
3.3.1 Marijuana
3.3.2 Cocaine
3.3.3 Amphetamines
3.3.4 Opiates
3.3.5 Phencyclidine (PCP).
At the request of the Member, Medtox shall screen for additional drugs. Medtox will
automatically confirm by Gas Chromatography/Mass Spectrometry (GC/MS) all
presumptive positive results from screening of the drugs named above. The level at which
a positive result is confirmed shall be according to SAMHSA standards for the respective
drugs. Medtox will report all test results to the designated Medical Review Officer within
seventy-two (72) hours of receipt of the urine specimen. All results will be reported either
negative or positive without numerical value.
3.4 Chain of Custody - Medtox shall maintain proper chain of custody controls during all
testing and/or handling of urine specimens and proper chain of custody documentation.
Medtox will retain custody of any confirmed positive specimens under proper chain of
custody and secured refrigerated condition as per SAMHSA regulations.
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3.5 Medical Review Officer (MRO) - Medtox shall arrange for Medical Review Officers to
independently review drug test results received from the testing laboratory and report
results to the member. The MRO shall protect employees from false -positive results due to
collection or chain -of -custody difficulties, technical inaccuracies, or drug interactions. The
MRO should ensure that no legitimate medical use of drugs gets reported to the member as
an unacceptable positive result. Before reporting a positive result to the member, the MRO
shall give the individual an opportunity to discuss the test result. The Medical Review
Officers shall be licensed physicians. Medical Review Officer services shall include but
not be limited to the following functions:
3.5.1 Receive and review test results from the laboratory.
3.5.2 Review certified copies of chain of custody forms.
3.5.3 Report negative results to designated member personnel.
3.5.4 Interpret positive results.
3.5.5 Conduct confidential medical interviews with positive tested individuals.
3.5.6 Consult with collection site and laboratory personnel.
3.5.7 Request quantitative results, if needed.
3.5.8 Order analysis of split specimen, if requested.
3.5.9 Determine whether positive tests are the result of prescribed or illicit drugs.
3.5. 10 Report results of verified positive tests to designated member personnel.
3.5.11 Store all positive results for five (5) years.
3.5.12 Order blind specimen testing as needed.
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3.5. 13 Assist members with post -accident testing requirements.
The Medical Review Officer shall also assist members in conducting random, unannounced drug
and alcohol tests. Unless changed by DOT, the total number of drug tests conducted each year
must equal at least 50% of the safety -sensitive driver positions. Random alcohol testing must be
done at a minimum annual rate of 25% of the average number of safety -sensitive driver positions.
These tests must be spread reasonably throughout the calendar year. Members should be given the
opportunity to conduct the random selection through participation in pools or consortia, in which
the number of drivers to be tested may be based on the total number of subject drivers by the pool.
3.6 Alcohol Testing - Medtox shall assist members in the development of procedures to
comply with federal and/or state regulation for alcohol testing. Such assistance shall
include but not be limited to:
3.6.1 Designation of testing/collection sites.
3.6.2 Selection and procurement of Evidential Breath Testing Devices, if necessary.
3.6.3 Selection of alternative alcohol testing methods as allowed by federal or state
regulations.
3.6.4 Designation of certified Breath Alcohol Technicians.
3.7 Record Keeping and Reports - Medtox shall assist members in developing and maintaining
records and preparing reports required by federal or state regulations.
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These records and reports shall include, but not be limited to:
3.7.1 Verified positive drug and alcohol tests.
3.7.2 Refusals to submit to tests.
3.7.3 Required calibration of Evidential Breath Testing Devices (EBTs).
3.7.4 Annual calendar year summary.
3.7.5 Records related to the collection process and required training.
3.7.6 Negative and cancelled drug and alcohol test results.
3.8 . Periodic Statistical Reports - Upon the request of the member, Medtox will provide, on a
monthly or quarterly basis as requested by the member, a statistical report of the rest
results during the reporting period, to include the following:
3.8.1 The number of specimens tested during the reporting period.
3.8.2 The number of specimens tested positive.
3.8.3 A breakdown of positive results, indicating the drug for which positive results were
obtained.
3..8.4 A breakdown of results per test category; i.e., pre-employment, post -accident,
random.
3.9 Expert Witness Testimony - Medtox will provide expert witness testimony if requested by
the member.
3.10 Education and Training - Medtox shall provide education and training to members
regarding their obligations under federal and state regulation. Medtox and MOT shall
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agree to the number and location of training, as well as the content of the meetings.
Meetings shall include both regional sessions and selected on-site member meetings.
3.11 Update of Rules and Regulation - Medtox shall inform and update members regarding any
revisions to federal or state rules and regulations concerning drug and alcohol testing
requirements.
ARTICLE IV - COMPENSATION
4 COMPENSATION
Medtox shall be compensated in accordance with he following fee schedule:
4.1 Laboratory Testing Fees
4. 1.1 Five Drug DOT Panel - $23.00
Inclusive drugs: Amphetamines, Cocaine, Opiates, PCP, THC (100 ng/ml)
4.1.2 Drugs of Abuse Screens (non -DOT programs)
4.1.2.1 Five Drug Panel - $23.00
Inclusive drugs: Amphetamines, Cocaine, Opiates, PCP, THC (100 ng/ml)
4.1.2.2 6-8 Drug Panel - $25.00
Inclusive drugs to be determined.
4.1.2.3 9-11 Drug Panel - $26.00
Inclusive drugs to be determine.
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4.2 Additional Service Fees
4.2.1 Specimen Collection - $20.00 each.
4.2.2 Location and Coordination of Collection Facilities - No Charge.
4.2.3 Training and Continual Monitoring of Collection Facilities - No Charge,
4.2.4 Split Specimen Collection Kits - No Charge.
4.2.5 Automatic Identification of 6-Monoacetylmorphine - No Charge.
4.2.6 Automatic Separation and Identification of d & i Methamphetamine - No Charge.
4.2.7 Ability to Identify and Confirm UrinAide/Gluteraldehyde - No Charge.
4.2.8 Testing, Customer Service and Professional Staff Available 24 -Hours a Day, 7
Days a Week - No Charge.
4.2.9 Customized Statistical Reports - No Chargc.
4.2. 10 Medical Review Officer Services, per specimen (includes random selection
program) - $3.00.
4.2.11 Expert Witness Testimony.
Phone Discussions - No Charge_.
Subpoenaed testimony to support the integrity of results -1y4e
Expert testimony no directly related to the results in question - $ l .25 p
4.2.12 Employee Training - No Charge.
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4.2.13 DOT mandated supervisor training involving two (2) hours on substance and
alcohol abuse recognition - No charge for u to o Eight (8) training sessions.
MTeffirsM. •I •111 '110-7-11511
4.3
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4.3 Terms of Payment - Medtox shall submit invoices to MCIT on a monthly basis for services
performed under this Agreement. Invoices shall itemize fees by MCIT or AMC member.
MCIT will provide payment within forty-five (45) days following receipt of invoice.
Payment by MCIT does not waive MCIT's right to object to charges later found to be
improper.
ARTICLE V - RECORDS AND FILES
5 RECORDS AND FILES
5.1 MCIT Access and Ownership
At all times during the term of this Agreement and for a period of three (3) years following any
termination or expiration, MCIT, its attorneys and other representatives, as authorized by MCIT,
shall have access to records and files maintained by Medtox for MCIT and each MCIT member or
applicant during normal business hours. All records, books and files relating to the operations and
business of MCIT are the property of MCIT. As custodian of these documents, Medtox shall
comply with all applicable requirements of the Minnesota Governmental Data Practices Act,
including but not limited to the requirements of M.S. 13.61 or similar state or federal laws.
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5.2 Care of Data
Medtox shall take all steps necessary to safeguard data, files, reports or other information from
loss, destruction or erasure. Liability for cost or expense of replacing, or damages resulting from
the loss os such data shall be bome by Medtox unless at the time of loss, said data was in exclusive
custody of MCIT.
5.3 Confidentiality
Medtox agrees that information related to drug and alcohol testing services provided under this
Agreement shall be kept confidential and shall be used only in connection with the performance of
duties for members. In case of a conflict between this paragraph and the Minnesota Data Practices
Act or similar state or federal law, the Minnesota Data Practices Act or similar state or federal law
shall govern.
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ARTICLE VI - NON -COMPETITION AGREEMENT
6 AGREEMENT NOT TO COMPETE
Medtox and its subsidiaries through the acknowledgment by signature agree during the term of
this Agreement, unless waived by MCIT, and for a period of four years after termination of the
Agreement, unless MCIT agrees in writing to a shorter period, not to compete in the State of
Minnesota with MCIT or AMC by marketing or offering 1.) any similar program of coverage or
services provided by MCIT or 2.) the services provided within this agreement to MCIT or AMC
members who are or were members of MCIT or AMC at any time during the term of this
agreement. Medtox and its subcontractors agree not to use any records, files or date developed or
maintained as a result of this agreement for any purpose other than to provide services listed in this
Agreement.
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ARTICLE VII - TERM AND TERMINATION
7 TERM AND TERMINATION
7.1 Contract Term
The term of this Agreement shall commence on October 1, 1994 and shall continue in full force
and effect except as stated below until December 31, 1998.
7.2 Termination
Either party may terminate this agreement upon sixty (60) day written notice. MCIT may
terminate this agreement immediately upon a major breach in service or duty by Medtox.
7.3 Renewal Rates
Medtox will submit any proposed change in rates in writing to MCIT sixty (60) days prior to the
date of termination. Rate change becomes effective on the date that it is accepted in writing by
MCIT; during the interim, the old rate is applicable.
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ARTICLE VIII. INTERPRETATION OF AGREEMENT
8 INTERPRETATION OF AGREEMENT
8.1 POOL BOARD'S POLICY
In the event of any disputes or questions as to exact nature or extent of services to be provided
under this Agreement, the parties hereto shall look to the record of the MCIT Board's policy
decisions and other relevant facts and circumstances as the frame of reference for guidance and
clarification as to said dispute or questions.
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ARTICLE IX. INSURANCE/INDEMNIFICATION
9 INSURANCE/INDEMNIFICATION
9.1 Errors and Omissions - Medtox shall maintain errors and omissions liability insurance with
limits of liability of at least $1,000,000. Medtox will continue to maintain such insurance
with such limits during the term of this Agreement and will provide MCIT with certificates
evidencing such coverage within thirty (30) days of the execution of this Agreement.
Medtox shall notify MCIT within ten (10) days of any change or cancellation of errors and
omission coverage.
9.2 Other Insurance - At all times during the term of this Agreement, Medtox shall maintain
General Liability, Automobile Liability, Fidelity and, Workers' Compensation.
Certificates of insurance coverage shall be provided to MCIT upon request.
9.3 Indemnification - Medtox warrants that Medtox's drug and alcohol testing policies,
procedures and practices do and will at all times, comply with governmental laws, rules
and regulations. In consideration of MCIT using Medtox's drug and alcohol testing
program, Medtox agrees. to defend, indemnify and hold MCIT and AMC and their officers
and employees harmless from all loss, cost and expense (including court costs and
attorney's fees) resulting from claims arising from the failure to comply with any
applicable governmental laws, rules and regulations, and from any act or failure to act in
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connection with Medtox's performance under this Agreement. MCIT agrees to indemnify,
defend and hold Medtox and its directors, officers, agents and employees harmless from
any loss, cost and expense (including court costs and attorney's fees) to Medtox, arising out
of or resulting from MCIT's negligence with respect to the test results after they are
received by MCIT or AMC members from Medtox.
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ARTICLE X. MISCELLANEOUS
10 MISCELLANEOUS
10.1 Certification - Medtox represents and warrants that it is in compliance, and will continue to
comply during the term of this Agreement with federal and state laws, rules and regulations
applicable to the licensure and operation of drug testing services. Upon request of MCIT,
Medtox agrees to provide MCIT documentation regarding licensurelaccreditation.
10.2 Subcontractors - Medtox shall not subcontract any of the services which it is to provide
without the express written approval of MCIT.
10.3 Independent Contractor - Medtox is expressly forbidden to act for MCIT in any other
capacity, or to represent itself in any manner as an agent of MCIT, except under the terms
hereof. During the term of this Agreement Medtox, and Medtox's employee(s), shall be
considered and act as an independent contractor and shall not be considered as employee(s)
of MCIT or AMC. Medtox shall furnish all labor required to perform the services and will
have full control and direction over the method and manner of performing those services.
10.4 Authority and Freedom from Conflict - Medtox represents and warrants to MCIT that:
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10.4.1 Medtox has the lawful authority to enter into this Agreement and is free of any
obligation or restrictions that would prevent it from entering into this Agreement,
create any conflict of interest or impede its performance hereunder.
10.4.2 Medtox will not enter into any other agreement, undertake any obligation or
commit any act which would prevent its performance or limit the rights of MCIT,
AMC or their members hereunder.
10.5 Non -Waiver and Cumulation of Remedies - The failure by either party at any time to
enforce any of the provisions of this Agreement or any right or remedy available hereunder
or at law or in equity, or to exercise any option herein provided, shall not constitute a
waiver of such provision, right, remedy or option or in any way affect the validity of this
Agreement. The waiver of any default by either party shall not be deemed a continuing
waiver, but shall apply solely to the instance to which such waiver is directed. The
remedies provided under this Agreement shall be cumulative and not alternative, and the
election of any one remedy for breach shall not preclude the pursuit of other remedies.
10.6 Entire Agreement - This Agreement embraces the entire Agreement between the parties.
No oral agreement or representation concerning this Agreement shall be binding.
10.7 Choice of Law and Venue - This Agreement shall be governed by and interpreted,
construed, and enforced in accordance with the laws of the State of Minnesota Any action
arising out of or relating to this Agreement, its performance, enforcement or breach, will be
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venued in a state or federal court situated within the State of Minnesota, and Medtox and
its sureties and guarantors hereby irrevocably consent and submit themselves to the
personal jurisdiction of said court for such purposes.
10.8 Severability - Every provision of this Agreement shall be construed, to the extent possible,
so as to be valid and enforceable. If any provision of this agreement so construed is held
by a court of competent jurisdiction to be invalid, illegal, or otherwise unenforceable, such
provision shall be deemed severed from this Agreement, and all other provisions shall
remain in full force and effect.
10.9 Assignment - Neither Medtox nor MCIT may assign, delegate or otherwise transfer this
Agreement or any of its rights or obligations hereunder without the prior written consent of
the other, which consent shall not be unreasonably withheld, except that claims for money
due or to become due to Medtox under this Agreement may without such consent be
assigned to a bank, trust company or other financial institution.
10.10 Amendments - This Agreement may be altered, extended, changed or amended in writing
by mutual agreement of the parties hereto when dated and attached hereto without altering
the other terms of this Agreement.
10.11 Notice - Notice to be given hereunder by either party to the other shall be in writing and
may be effectuated by delivery of U.S. Certified Mail, Return Receipt Requested. Notice
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It
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hereunder shall be sufficient if properly addressed and made to:
MEDTOX LABORATORIES
402 West County Road D
St. Paul, MN 55112
MINNESOTA COUNTIES INSURANCE TRUST
125 Charles Avenue
St. Paul, MN 55103
IN WITNESS WHEREOF, MCM Medtox have caused this Agreement to be executed by the
person authorized to act in tb* respective names on the date Chown below:
Manesota Conatim Laurance T rest