FROM: Barbara Hannah, Chief Counsel
SUBJECT: LCS Record Retrieval Services
RECOMMENDATION:
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Approve a contract for services with LCS Record Retrieval; authorize the Chief Executive Officer to execute an agreement with LCS in a form approved by Chief Counsel.
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BACKGROUND:
As part of SBCERA’s disability retirement process, staff utilizes the services of an external vendor to retrieve medical records. With the current vendor, we have experienced delays and inconsistent communication, which have resulted in periodic backlogs. As a result, staff recommends transitioning the retrieval of records to LCS Record Retrieval Services.
As part of a strategic review aimed at enhancing service quality and timeliness, staff initiated a vendor comparison process to evaluate potential improvements to current operations. During this process, staff assessed vendor services based on the following standards:
• Turnaround time;
• Communication and customer service;
• Technology tools;
• Compliance with data protection regulations; and
• Costs and fee structure.
In accordance with the Board’s procurement policy, the staff’s memorandum to the Board shall provide documentation of the rationale for the procurement, including the methods used to achieve the purposes of this Policy. In any case where a formal procurement process is not used, the staff has ensured that the informal solicitation of quotes was conducted in a manner that is consistent with the Board’s expectations for competitive and fair procurement practices.
Specifically, staff underwent an informal solicitation of quotes from four qualified vendors, gathering comprehensive information on pricing, quality, and vendor capability to best meet the project’s needs. Based on this evaluation, staff recommends proceeding with the selected vendor because it does not require a flat fee for portal access, unlike at least two other vendors. Additionally, the selected vendor's service allows SBCERA to retrieve medical records directly using the applicant's medical authorization, eliminating the need for SBCERA to act as an agent for the disability applicant-a requirement of another vendor. Moreover, the selected vendor’s service is not limited to contracted medical facilities, ensuring that SBCERA can obtain records from any necessary medical facility, thus fully meeting the Board’s goals and operational requirements.
Given the above, LCS offered the best overall alignment with staff’s expectations.
Staff believes that LCS will offer significantly reduced turnaround times compared to the current vendor. In addition, LCS will assign a dedicated representative who serves as a consistent point of contact for service inquiries, escalations, and coordination. The platform is user-friendly for real-time tracking requests, document retrieval, and communication. With safeguards in place for HIPAA and other privacy standards, LCS meets all data protection requirements, ensuring the secure handling of sensitive personal and medical information. In regards to costs and fees, while LCS’s pricing remains competitive, the added value in time savings, reduced administrative friction, and streamlined communication offers measurable long-term cost efficiency.
Overall, staff’s decision to change vendors is driven by a need to enhance standards and service quality. The improvements in turnaround time, communication, and technological support directly address operational challenges experienced with the incumbent provider. Therefore, staff recommends entering in an agreement with LCS to assume responsibility for records retrieval services.
COMMITTEE REVIEW:
This item was reviewed by the Administrative Committee at its meeting on May 22, 2025, and recommends Board approval with a 4-0 vote. Trustee Bracco participated in the absence of Committee Member Erickson.
BUDGET IMPACT:
Costs for this item are included in the current year administrative budget. Subsequent costs will be included in the upcoming administrative budget.
STRATEGIC PLANNING GOAL/OBJECTIVE:
Operational Excellence & Efficiency
STAFF CONTACT:
Barbara Hannah
ATTACHMENTS:
Exhibit A: LCS Presentation Re: Medical Records Retrieval
Exhibit B: Costs and Fee Structure