ESBD_560237_1789681156645_RFP - Fire Cost Recovery - Final.pdf

REQUEST FOR PROPOSALS

The City of Forney is requesting proposals for:

RFP 2026-009

Fire Department Cost Recovery Administration Services

Release Date: September 17, 2026

Proposals Due: October 12, 2026 @ 2:00 pm

CITY OF FORNEY, TEXAS

REQUEST FOR PROPOSALS

FIRE DEPARTMENT COST RECOVERY ADMINISTRATION SERVICES

RFP 2026-009

ISSUE DATE: September 17, 2026 PROPOSAL DUE DATE: October 12, 2026, at 2:00 pm CST PROPOSAL SUBMISSION: City of Forney

Attn: Rosie Castillo - Purchasing 402 N. Bois D’Arc Forney, TX 75126

SECTION 1. INTRODUCTION

1.1 Purpose

The City of Forney, Texas (“City”) requests proposals from qualified firms (“Proposers”) to provide third-party administration services for the City’s Fire Department Cost Recovery Program, established by City of Forney Ordinance No. 26-30. The selected Proposer will review eligible Forney Fire Department emergency responses, identify applicable insurance coverage, prepare and submit claims to insurance carriers, pursue those claims, and account for and remit recovered funds to the City.

The City’s objectives are to recover eligible response costs from applicable insurance carriers, to do so with minimal additional workload on Fire Department personnel, and to do so without billing or pursuing residents, property owners, vehicle owners, drivers, or occupants. The mandatory limitations that give effect to the third objective are stated in Section 4 and are not subject to exception.

Cost recovery under this program is limited to the recovery of costs reasonably related to the City’s actual cost of providing the emergency response resources deployed. This program is not intended to, and shall not, operate as a general measure.

1.2 Background

The Forney Fire Department provides fire suppression, rescue, emergency medical first response, hazardous materials response, technical rescue, motor vehicle accident response, and other emergency services within the City and its service area. These responses require specialized personnel, apparatus, equipment, and consumable supplies. Revenue recovered through the program will be deposited into the City’s Fire Department Equipment Cost Recovery Fund and used for authorized Fire Department equipment and operational purposes.

Proposers are advised that the limitations in Section 4 will affect achievable recovery rates and should account for them in their proposed methodology and compensation.

1.3 Designated Point of Contact; Restricted Communications

The sole point of contact for this solicitation is the City’s designated purchasing representative identified in the solicitation notice. From the issue date of this RFP until award or cancellation, a Proposer and any person acting on its behalf shall not contact any member of the City Council, the City Manager, the Fire Chief, or any other City officer, employee, or evaluation committee member concerning this solicitation, except through that representative. Violation may result in disqualification.

1.4 Schedule of Events

The anticipated schedule for this solicitation is as follows. The City reserves the right to modify this schedule by written addendum.

Event Date RFP Issued September 17, 2026 Solicitation Dates September 24, 2026 & October 1, 2026 Deadline for Written Questions October 5, 2026 @ 4:00 pm Proposals Due October 12, 2026 @ 2:00 pm Proposal Review October 15, 2026 Anticipated City Council Consideration of Award October 20, 2026

SECTION 2. SUBMISSION REQUIREMENTS

2.1 Submission

Proposals shall be submitted by the method, in the format and number of copies, and to the location stated in the solicitation notice, and must be received on or before the due date and time stated above. Proposals received after that time will not be accepted or evaluated. Each proposal shall be clearly identified as “RFP 2026-009 - Fire Department Cost Recovery Administration Services.”

Each proposal shall remain valid and subject to acceptance for one hundred twenty (120) calendar days following the due date. A Proposer may withdraw its proposal by written notice received by the designated point of contact before the due date and time.

2.2 Questions, Clarifications, and Addenda

All questions shall be submitted in writing through the City’s designated procurement process and must be received by the deadline stated in Section 1.4. Any interpretation, clarification, correction, or modification that affects the requirements of this solicitation will be issued by written addendum.

Proposers shall not rely on verbal interpretations or representations. Each Proposer is responsible for obtaining all addenda and shall acknowledge receipt on Appendix D; failure to do so may render a proposal non-responsive.

2.3 Public Information Act

All proposals and related materials are subject to the Texas Public Information Act, Chapter 552, Texas Government Code. A Proposer claiming that any portion of its proposal is confidential or proprietary must identify that portion specifically, by page and paragraph, and state the statutory basis for the claim. Blanket designations, including marking an entire proposal as confidential, will not be honored.

The City makes no representation that information submitted will be withheld from disclosure. If the City receives a request for information a Proposer has designated as confidential, the City may seek a decision from the Texas Attorney General, and the Proposer is responsible for submitting its own written argument under Section 552.305, Texas Government Code. A Proposer that fails to do so may waive its claimed exception. Pricing is generally subject to disclosure following award.

2.4 Proposal Content and Organization

Proposals should be organized in the following order. Each item is described in the referenced section or appendix; Proposers need not restate information provided on an appendix form in the narrative.

Item Reference

1. Cover letter and executive summary —

2. Company information Section 3.1

3. Experience, references, and recovery data Section 3.2; Appendix B

4. Personnel Section 3.3

5. Proposed scope and methodology Section 5

6. Technology, reporting, and data security Section 3.4

7. Implementation plan Section 3.5

8. Sample reports —

9. Proposed compensation Section 6; Appendix A

10. Exceptions to the form agreement Section 8.2; Appendix E

11. Exceptions to RFP requirements Section 8.2

12. Required forms and certifications Appendices C, D, F

No exception will be permitted to Section 4. A proposal that takes exception to Section 4, or that fails to execute Appendix C without qualification, will be determined non-responsive.

SECTION 3. – BACKGROUND

3.1 Company Information

Provide the legal company name, state of formation, business address, primary contact with telephone and email, years in business, organizational structure, and any parent, subsidiary, or affiliated entities. Disclose any litigation, regulatory action, or consumer complaint proceeding involving the firm’s billing or collection practices within he past five (5) years.

3.2 Experience, References, and Recovery Data

Describe the firm’s experience administering fire department cost recovery programs. Complete Appendix B for at least three municipal or fire department clients, with preference for Texas clients.

Because the City’s program prohibits direct billing and balance billing of individuals, Appendix B requires each reference to identify whether that client operates under comparable restrictions and, if so, the amounts billed and collected and the resulting collection percentage for the most recent twelve (12) month period. If the Proposer has no client operating under comparable restrictions, the Proposer shall so state and describe how it projects recovery for the City’s program.

Identify any Texas municipal client that has terminated or elected not to renew the firm’s services within the past three (3) years and the reason stated. The City may contact any listed or known client of the Proposer.

3.3 Personnel

Identify the key personnel who would be assigned to the City of Forney account and provide their qualifications and relevant experience.

3.4 Technology, Reporting, and Data Security

Describe the technology used to administer the program, including incident data transfer, records management system integration, electronic claim submission, insurance identification, online reporting, data security and backup, and cybersecurity protections. Identify experience integrating with fire department records management systems.

Also identify where data is stored, including whether any data is stored or accessed outside the United States; any subcontractor or cloud service provider having access to City data; and any security incident or data breach experienced within the past five (5) years.

3.5 Implementation Plan

Describe how the Proposer would establish the program following contract execution, addressing initial coordination with City and Fire Department staff, data requirements, records management system integration, establishment of billing procedures, staff training, claim processing, reporting, and a proposed implementation timeline. The City desires implementation with minimal additional workload on Fire Department personnel.

SECTION 4. MANDATORY BILLING AND COLLECTION LIMITATIONS

This Section states material, non-negotiable requirements. It will be incorporated into the agreement without modification and may not be altered except by the City Council.

4.1 Insurance-Only Billing; No Recourse to Individuals

Claims under the program shall be submitted only to available automobile, commercial, property, or other applicable insurance carriers. With respect to Fire Department services provided under this program, the Contractor shall not:

(a) bill a resident, property owner, vehicle owner, driver, occupant, or other individual, or transfer to any such person a balance that an insurance carrier denies, partially pays, determines not to be covered, or otherwise refuses to pay;

(b) refer any individual to a collection agency or report any individual to a credit reporting agency;

(c) file a lien against an individual’s property, initiate legal proceedings against an individual, or charge an individual interest or late fees;

(d) sell, assign, refer, or otherwise transfer any account or claim to a debt buyer, collection agency, or other third party; or

(e) represent to any individual that the individual is or may be personally liable for Fire Department costs.

Collection activity is permitted only as directed toward the applicable insurance carrier.

4.2 No Fee on Uncollected Claims

The Contractor shall not charge the City any fee, cost, or expense with respect to a claim for which no revenue is actually collected and remitted to the City.

4.3 Application to Others; Survival

This Section applies to the Contractor and to each of its subcontractors, affiliates, agents, assignees, and successors. The Contractor shall not subcontract or assign any billing or collection function without the City’s prior written consent. This Section survives expiration or termination and continues to apply to any claim submitted or account handled during the term.

4.4 No Waiver of City Rights

This Section restricts the Contractor only. Nothing in it waives, limits, releases, or otherwise affects any right, claim, cause of action, or remedy of the City against any responsible party, including the City’s right to recover hazardous materials response or remediation costs or to pursue a claim for negligence or damage to City property.

4.5 Remedies

Violation of this Section is cause for immediate termination, in addition to any other remedy available to the City. The Contractor shall indemnify the City and its officers and employees against any claim, demand, suit, penalty, or liability arising from a violation, including claims under the federal Fair Debt Collection Practices Act or Chapter 392, Texas Finance Code.

SECTION 5. SCOPE OF SERVICES

The selected Proposer (the “Contractor”) shall provide comprehensive Fire Department cost recovery administration services, including at a minimum the following. Proposers should describe their methodology for each.

5.1 Incident Review

Review Fire Department incident reports and supporting documentation to determine whether an incident may qualify for cost recovery. Eligible incidents may include motor vehicle accidents and extrications, structure and commercial structure fires, vehicle fires, hazardous materials incidents, technical rescue incidents, and other emergency incidents involving Fire Department apparatus, equipment, supplies, personnel, or specialized resources.

5.2 Insurance Identification

Identify applicable automobile, property, commercial, or other insurance coverage associated with eligible incidents, using lawful means and without unnecessarily burdening Fire Department personnel.

5.3 Claim Preparation, Submission, and Follow-Up

Prepare and submit claims to applicable insurance carriers in accordance with the Fire Department Cost Recovery Fee Schedule as adopted by the City Council, with documentation supporting the services and resources used. Provide follow-up with carriers on claim status, requests for additional documentation, payment processing, denials, partial payments, and appeals or reconsideration where appropriate.

The Contractor shall not file suit, assert a subrogation or lien claim, retain legal counsel, initiate arbitration or any other proceeding, or otherwise act on behalf of or in the name of the City without prior written authorization from the City.

5.4 Collection and Remittance

Receive or process approved insurance reimbursements and remit funds to the City as provided in the agreement. Funds collected on behalf of the City are public funds. The City’s preferred structure for carrier payments to be made payable to the City and directed to an account controlled by the City. Proposers shall state whether they can accommodate that structure and, if not, shall describe the safeguards applied to funds on the City’s behalf.

5.5 Reporting

Provide reports at intervals established by the City showing, at a minimum: incidents reviewed;

claims submitted; amount billed, collected, denied, and outstanding; collection percentage; reasons for denial by category; administrative fees charged; net revenue remitted; claim status; and any complaint or inquiry received from an individual concerning the program. Provide the Fire Chief of designee with access to online reporting capabilities, if available.

5.6 Fee Schedule

The Fire Department Cost Recovery Fee Schedule will be developed by City staff from a documented analysis of the City’s actual cost of providing the applicable emergency response resources, approved by the City Council, and incorporated into the City’s Master Fee Schedule.

Because the Contractor’s compensation is based on a percentage of amounts collected, the Contractor shall have no role in establishing the rates. On request, the Contractor shall provide comparative rate data from other Texas municipalities and respond to City questions regarding carrier practices, but shall not recommend specific rates for adoption and shall not independently modify rates established by the City.

SECTION 6. COMPENSATION

The City prefers a compensation structure based primarily on a percentage of funds successfully recovered and collected. Proposers shall state the proposed percentage and all other charges on Appendix A.

For purposes of this RFP and any resulting agreement, “amounts actually collected” means funds actually received from an insurance carrier and remitted to the City on a claim submitted by the Contractor. The term does not include amounts billed but not collected; funds received by the City from any source other than a claim submitted by the Contractor; or amounts subsequently refunded, recouped, or reversed, for which any fee previously paid shall be credited to the City.

No fee may be charged on a claim for which no revenue is collected. See Section 4.2. Proposers shall fully disclose all compensation received in connection with the City’s account, and the Contractor shall not receive any commission, rebate, referral fee, or other compensation from any insurance carrier, third-party vendor, or other person in connection with the account.

SECTION 7. EVALUATION AND AWARD

The City will evaluate proposals using the following criteria and relative weights:

Evaluation Criteria Points

Qualifications and fire department cost recovery experience 20

Texas municipal and fire department experience, references, and recovery data

Proposed methodology and scope of services 20

Technology, reporting, integration, and data security 15

Implementation and customer service 10

Proposed compensation and cost to the City 15

Total 100

The City may conduct interviews or demonstrations, seek clarification, or request additional information. The City may award based on initial proposals without discussion, or may enter into discussions and request revised proposals from Proposers reasonably likely to be selected for award. The City is not required to select the lowest cost proposal; selection will be based on best value to the City of Forney.

The City reserves the right to reject any or all proposals; cancel or modify this solicitation; waive minor informalities or irregularities; request clarification or additional information; verify information and contact references; negotiate with one or more Proposers; disqualify a Proposer for violation of Section 1.3 or for material misrepresentation; and award a contract determined to be in the best interest of the City. Issuance of this RFP does not obligate the City to award a contract or to reimburse proposal preparation costs.

SECTION 8. CONTRACT

8.1 Form Agreement

The City’s form Professional Services Agreement is attached as Appendix E. The agreement addresses term and renewal, non-appropriation, compensation, handling and remittance of funds, the Section 4 limitations, reporting, records retention and audit, confidentiality and data security, insurance, indemnification, termination and transition, statutory verifications, and governing law and venue. Award and execution are subject to approval by the Forney City Council.

8.2 Exceptions

Each Proposer shall review Appendix E and identify any requested exception, with proposed alternative language. A Proposer that submits its own form of agreement in lieu of identifying exceptions to Appendix E may be determined non-responsive. The nature and extent of requested exceptions may be considered in the evaluation. Any exception to a requirement of this RFP shall likewise be clearly identified. No exception is permitted to Section 4.

8.3 Insurance

Required coverage is stated in Article 10 of Appendix E. Proposers should account for those requirements in developing proposed compensation. The City does not agree to indemnify any Proposer, to waive its governmental immunity, to arbitrate, to shift attorney’s fees, or to accept a limitation on the Contractor’s liability.

APPENDIX A – COST PROPOSAL

Company Name: ______________________________________________

Percentage of amounts actually collected (as defined in Section 6): ________ %

Additional charges. State the amount of each, or “none.”

Charge Amount

Implementation fee $__________

Monthly fee $__________

Software / technology fee $__________

Integration fee $__________

Training fee $__________

Transaction fee $__________

Cancellation fee $__________

Other (describe below) $__________

Describe any additional charge and the circumstances in which it applies:

1. Section 4.2 prohibits any fee on a claim for which no revenue is collected. Does the Proposer agree without exception?

☐ Yes – agreed without exception. ☐ No – the Proposer understands the proposal will be non-responsive.

2. Does the Proposer claim any fee on funds received after expiration or termination of the agreement?

☐ No. ☐ Yes – explain: ______________________________________________

3. Does the Proposer receive any commission, rebate, referral fee, or other compensation from any source other than the City in connection with this account?

☐ No. ☐ Yes – explain: ______________________________________________

4. Can the Proposer accommodate carrier payments made payable to the City and directed to a City-controlled account or lockbox (Section 5.4)?

☐ Yes. ☐ No – describe safeguards applied to funds held: ______________________

APPENDIX B – EXPERIENCE AND REFERENCES

Complete for at least three municipal or fire department clients. Reproduce this page as needed.

Reference 1

Municipality / Fire Department:

Contact name and title:

Telephone / Email:

Years providing service and general scope:

Does this client prohibit direct billing or balance billing of individuals? ☐ YES ☐ NO

If yes, for the most recent twelve (12) months: Amount billed $____________; Amount collected $____________; Collection percentage ______%

Reference 2

Municipality / Fire Department:

Contact name and title:

If yes, for the most recent twelve (12) months: Amount billed $____________; Amount collected $____________; Collection percentage ______%

Reference 3

Municipality / Fire Department:

Contact name and title:

If yes, for the most recent twelve (12) months: Amount billed $____________; Amount collected $____________; Collection percentage ______%

APPENDIX C – CERTIFICATION OF NO DIRECT BILLING

The undersigned Proposer certifies that, if selected, it will comply with Section 4 of this RFP without exception, and specifically that:

1. Claims will be submitted only to applicable insurance carriers;

2. No resident, property owner, vehicle owner, driver, occupant, or other individual will be billed for services under this program, and no denied or unpaid balance will be transferred to any such person;

3. No collection action of any kind will be initiated against an individual, and no account or claim will be sold, assigned, referred, or transferred to any debt buyer, collection agency, or other third party;

4. No fee will be charged to the City on any claim for which no revenue is collected;

5. These requirements will be imposed on and observed by all subcontractors, affiliates, agents, assignees, and successors, and will survive expiration or termination; and

6. These requirements are material and non-negotiable conditions of any resulting agreement.

Company:

Authorized Representative and Title:

Signature:

Date:

APPENDIX D – ACKNOWLEDGMENT

The undersigned certifies that the Proposer has reviewed the Request for Proposals, including the form agreement at Appendix E, and agrees to provide the proposed services in accordance with its requirements except for exceptions specifically identified in the proposal. The undersigned further certifies that no exception is taken to Section 4.

Receipt of the following addenda is acknowledged:

No. ____ dated __________;

No. ____ dated __________;

No. ____ dated __________.

Company Name:

Address, City/State/ZIP:

Authorized Representative and Title:

Telephone / Email:

Signature:

Date:

APPENDIX E – CITY’S FORM AGREEMENT

PROFESSIONAL SERVICES AGREEMENT

FIRE DEPARTMENT COST RECOVERY ADMINISTRATION SERVICES

This Professional Services Agreement (this “Agreement”) is entered into by and between the City of Forney, Texas, a Texas home-rule municipality (the “City”), and __________________________________, a __________________ (the “Contractor”), effective as of ______________________ (the “Effective Date”).

RECITALS

The City has established a Fire Department Cost Recovery Program by Ordinance No. 26-30. The City issued RFP No. 2026-____ for third-party administration of the program, the Contractor submitted a proposal in response, and the City Council authorized this Agreement by action taken on ______________________. The City and the Contractor therefore agree as follows.

ARTICLE 1. SERVICES

1.1 Scope. The Contractor shall perform the fire department cost recovery administration services described in Section 5 of the RFP, which is attached as Exhibit A and incorporated by reference, and shall furnish all personnel, systems, and materials necessary to do so.

1.2 Standard of Performance. The Contractor shall perform the Services with the professional skill and care ordinarily exercised by firms performing comparable services for Texas municipalities, and in compliance with all applicable federal, state, and local law.

1.3 Key Personnel. The Contractor shall assign the key personnel identified in its proposal and shall notify the City in writing before replacing any of them.

1.4 No Authority to Act for the City. The Contractor shall not file suit, assert a subrogation or lien claim, retain legal counsel on the City’s behalf, initiate arbitration or any other legal or administrative proceeding, settle or compromise any claim, or otherwise act on behalf of or in the name of the City without prior written authorization from the City Manager or the City Attorney.

ARTICLE 2. TERM; RENEWAL; NON-APPROPRIATION

2.1 Initial Term. This Agreement begins on the Effective Date and continues for an initial term of ______ (__) year(s), unless earlier terminated.

2.2 Renewal. This Agreement may be renewed for up to ______ (__) additional one-year terms by written amendment executed by both parties. This Agreement does not renew automatically.

2.3 Non-Appropriation. The City’s obligations are payable solely from funds appropriated for the then-current fiscal year. If funds are not appropriated for a subsequent fiscal year, this Agreement terminates at the end of the fiscal year for which funds were last appropriated, without penalty or further obligation. This Agreement does not create a debt of the City within the meaning of any constitutional or statutory provision.

ARTICLE 3. COMPENSATION

3.1 Fee. As full compensation for the Services, the City shall pay the Contractor ______ percent (____%) of amounts actually collected, and no other amount except as expressly stated in Exhibit C.

3.2 Amounts Actually Collected. “Amounts actually collected” means funds actually received from an insurance carrier and remitted to the City on a claim submitted by the Contractor. The term does not include amounts billed but not collected; funds received by the City from any source other than a claim submitted by the Contractor; or amounts subsequently refunded, recouped, or reversed, for which any fee previously paid shall be credited to the City on the next invoice or, if none, refunded within thirty (30) days.

3.3 No Fee on Uncollected Claims. The Contractor shall not charge the City any fee, cost, or expense with respect to a claim for which no revenue is actually collected and remitted to the City.

3.4 Invoicing. The Contractor shall invoice the City monthly, in arrears, with detail sufficient to tie each fee to the claim and payment on which it is based. The City shall pay undisputed amounts in accordance with Chapter 2251, Texas Government Code.

3.5 No Other Compensation. The Contractor shall not receive any commission, rebate, referral fee, or other compensation from any insurance carrier, third-party vendor, or other person in connection with the City’s account, and shall promptly disclose and remit to the City any such amount received.

3.6 Post-Termination. The Contractor is entitled to no fee on funds received by the City after the expiration or termination of this Agreement, except as expressly provided in Exhibit C.

ARTICLE 4. COLLECTION AND REMITTANCE OF FUNDS

4.1 Public Funds. All amounts collected on the City’s behalf are public funds of the City and are held in trust for the City.

4.2 Payment Direction. Unless the City directs otherwise in writing, the Contractor shall instruct carriers to make payment payable to the City of Forney and to direct payment to the account or lockbox designated by the City.

4.3 Funds Held by Contractor. If the Contractor receives any funds belonging to the City, it shall hold them in a segregated account, shall not commingle them with its own funds, and shall remit them to the City not less than monthly, within fifteen (15) calendar days after the end of each calendar month, together with the accounting required by Article 5.

4.4 No Offset. The Contractor shall not deduct, withhold, or offset its fees or any other claimed amount against funds due the City. Fees are payable only through the invoicing process in Section 3.4.

ARTICLE 5. REPORTING, RECORDS, AND AUDIT

5.1 Reports. The Contractor shall provide reports at the intervals established by the City containing, at a minimum, the information listed in Section 5.5 of Exhibit A, and shall provide the Fire Chief or designee with access to online reporting if available.

5.2 Records Retention. The Contractor shall maintain complete records relating to the City’s account and shall retain them in accordance with the retention schedules applicable to the City under the Texas Local Government Records Act.

5.3 Audit. The City or its designee may, on reasonable notice, audit the Contractor’s books, records, and claim files relating to the City’s account, including records supporting the calculation of the Contractor’s fees, during the term and for four (4) years after expiration or termination. If an audit discloses an overcharge, the Contractor shall refund the overcharge within thirty (30) days; if the overcharge exceeds five percent (5%) of amounts invoiced for the period audited, the Contractor shall also bear the reasonable cost of the audit.

5.4 Public Information. The Contractor acknowledges that records it holds relating to the City’s account may be subject to the Texas Public Information Act and shall promptly provide the City with any record the City requires in order to respond to a request under Chapter 552, Texas Government Code.

ARTICLE 6. MANDATORY BILLING AND COLLECTION LIMITATIONS

6.1 Incorporation. Section 4 of the RFP is incorporated into this Agreement as though fully set out and controls over any inconsistent provision of this Agreement or of the Contractor’s proposal.

6.2 Core Prohibitions. Without limiting Section 6.1, the Contractor shall submit claims only to available automobile, commercial, property, or other applicable insurance carriers; shall not bill any individual or transfer any denied or unpaid balance to an individual; shall not refer an individual to collections or a credit reporting agency, file a lien, initiate proceedings against an individual, or charge an individual interest or late fees; and shall not sell, assign, refer, or transfer any account or claim to a debt buyer, collection agency, or other third party.

6.3 Application and Survival. This Article applies to the Contractor and to each of its subcontractors, affiliates, agents, assignees, and successors, and survives expiration or termination as to any claim submitted or account handled during the term.

6.4 No Waiver of City Rights. This Article restricts the Contractor only and does not waive, limit, release, or otherwise affect any right, claim, cause of action, or remedy of the City against any responsible party.

6.5 Remedies. This Article states material terms. A violation is cause for immediate termination under Section 12.2, and the Contractor shall indemnify the City and its officers and employees against any claim, demand, suit, penalty, or liability arising from a violation, including claims under the federal Fair Debt Collection Practices Act or Chapter 392, Texas Finance Code. This obligation is in addition to Article 11 and is not subject to any limitation in it.

ARTICLE 7. FEE SCHEDULE

7.1 Adoption. The Fire Department Cost Recovery Fee Schedule is developed by City staff from a documented analysis of the City’s actual cost of providing the applicable emergency response resources, approved by the City Council, and incorporated into the City’s Master Fee Schedule.

The current schedule is attached as Exhibit B.

7.2 Contractor Role. Because the Contractor’s compensation is a percentage of amounts collected, the Contractor shall have no role in establishing the rates. On request, the Contractor shall provide comparative rate data from other Texas municipalities and respond to City questions regarding carrier practices, but shall not recommend specific rates for adoption.

7.3 No Independent Modification. The Contractor shall bill strictly in accordance with Exhibit B and shall not independently modify any rate.

ARTICLE 8. CONFIDENTIALITY, DATA, AND SECURITY

8.1 Ownership. All City and Fire Department records provided to or generated by the Contractor in performing the Services are and remain the property of the City. The Contractor shall use them solely for purposes authorized by the City.

8.2 Compliance. The Contractor shall comply with all applicable federal and state privacy, records retention, public information, cybersecurity, and data protection requirements, including the Health Insurance Portability and Accountability Act and its implementing regulations, Chapter 181, Texas Health and Safety Code, and Chapter 521, Texas Business and Commerce Code.

8.3 Protected Health Information. The Contractor shall not request, receive, or retain protected health information unless it has first executed a business associate agreement in a form acceptable to the City.

8.4 Safeguards. The Contractor shall maintain administrative, physical, and technical safeguards appropriate to the sensitivity of the information it holds, including access controls, encryption of City data in transit and at rest, and regular backup.

8.5 Breach. The Contractor shall notify the City in writing within twenty-four (24) hours after discovering any actual or suspected breach of City data, shall cooperate fully in the City’s investigation and response, and shall bear the cost of any legally required notification and of credit monitoring or similar remedial services the City reasonably determines to provide.

8.6 Return or Destruction. On expiration or termination, the Contractor shall return City data in a usable, non-proprietary electronic format, or securely destroy it, as the City directs and as permitted by law, and shall certify compliance in writing.

ARTICLE 9. INDEPENDENT CONTRACTOR

9.1 Status. The Contractor is an independent contractor. Neither the Contractor nor any of its personnel is an officer, employee, agent, or servant of the City for any purpose, and neither party has authority to bind the other except as expressly provided.

9.2 Subcontracting and Assignment. The Contractor shall not assign this Agreement or subcontract any billing or collection function without the City’s prior written consent. The Contractor remains responsible for the performance of any approved subcontractor.

ARTICLE 10. INSURANCE

10.1 Required Coverage. During the term, the Contractor shall maintain, at its expense, the following coverage with carriers rated A- VII or better by A.M. Best and authorized to do business in Texas:

(a) Commercial general liability, $1,000,000 per occurrence and $2,000,000 general aggregate;

(b) Workers’ compensation at statutory limits and employer’s liability of $500,000 each accident, each employee, and policy limit;

(c) Professional liability (errors and omissions), $1,000,000 per claim and in the aggregate, covering the Services; and

(d) Cyber and privacy liability, including breach response and notification costs, $1,000,000 in the aggregate.

10.2 Automobile Liability. If the Contractor or its personnel operate a motor vehicle in performing the Services, the Contractor shall also maintain business automobile liability of $500,000 combined single limit covering owned, hired, and non-owned vehicles. If no vehicle is operated in performing the Services, this Section does not apply.

10.3 Claims-Made Coverage. Coverage written on a claims-made basis shall have a retroactive date no later than the Effective Date and shall be maintained, or an extended reporting period purchased, for two (2) years after expiration or termination.

10.4 Endorsements. The commercial general liability and, if applicable, automobile liability policies shall name the City as an additional insured with respect to the Services. All policies shall provide a waiver of subrogation in favor of the City to the extent permitted by the policy and applicable law, and shall be primary and non-contributory with respect to any coverage carried by the City. The Contractor shall provide certificates of insurance before execution and on each renewal, and shall give the City thirty (30) days’ written notice of cancellation or material reduction.

10.5 No Limitation. The required coverage does not limit the Contractor’s liability or its obligations under Article 6 or Article 11.

ARTICLE 11. INDEMNIFICATION

11.1 Indemnity. TO THE FULLEST EXTENT PERMITTED BY LAW, THE CONTRACTOR

SHALL DEFEND, INDEMNIFY, AND HOLD HARMLESS THE CITY AND ITS OFFICERS,

AGENTS, AND EMPLOYEES FROM AND AGAINST ALL CLAIMS, DEMANDS, SUITS,

JUDGMENTS, FINES, PENALTIES, LOSSES, DAMAGES, AND EXPENSES, INCLUDING

REASONABLE ATTORNEY’S FEES, ARISING OUT OF OR RESULTING FROM THE

NEGLIGENT ACTS OR OMISSIONS, INTENTIONAL MISCONDUCT, OR BREACH OF

THIS AGREEMENT BY THE CONTRACTOR, ITS OFFICERS, EMPLOYEES, AGENTS, OR

SUBCONTRACTORS, INCLUDING ANY CLAIM ARISING FROM A VIOLATION OF

ARTICLE 6 OR A BREACH OF ARTICLE 8.

11.2 No City Indemnity; Immunity. The City does not indemnify any person. Nothing in this Agreement waives, or shall be construed as waiving, the City’s governmental or sovereign immunity or any defense, limitation, or protection available to the City under Texas law, including the Texas Tort Claims Act.

11.3 Survival. This Article survives expiration or termination.

ARTICLE 12. TERMINATION AND TRANSITION

12.1 Termination for Convenience. The City may terminate this Agreement, in whole or in part, for convenience on thirty (30) days’ written notice. The Contractor shall be entitled only to fees earned on amounts actually collected and remitted through the effective date of termination.

12.2 Termination for Cause. The City may terminate this Agreement immediately on written notice for a violation of Article 6, and otherwise for a material breach that the Contractor fails to cure within ten (10) days after written notice.

12.3 Termination for Non-Appropriation. The City may terminate under Section 2.3.

12.4 Transition. On expiration or termination for any reason, the Contractor shall promptly deliver to the City a complete accounting and a status report on every pending claim, remit all funds held on the City’s behalf, cease all billing and collection activity except as the City directs in writing, and provide reasonable transition assistance to the City or its successor contractor at no additional charge for a period of up to sixty (60) days.

ARTICLE 13. COMPLIANCE AND STATUTORY VERIFICATIONS

13.1 Compliance with Law. The Contractor shall comply with all applicable federal, state, and local laws, ordinances, and regulations in performing the Services, and shall maintain any license, registration, or bond required for its activities, including any applicable requirement of Chapter 392, Texas Finance Code.

13.2 Conflict of Interest Questionnaire. The Contractor has filed with the City Secretary a completed Conflict of Interest Questionnaire (Form CIQ) as required by Chapter 176, Texas Local Government Code, or has determined in good faith that no filing is required. The Contractor shall file an updated questionnaire within seven (7) business days after the date on which an event occurs that makes a previously filed questionnaire incomplete or inaccurate.

13.3 Certificate of Interested Parties. If this Agreement requires action or a vote by the City Council or has a value of at least $1,000,000, the Contractor has, before execution, filed a Certificate of Interested Parties (Form 1295) with the Texas Ethics Commission as required by Section 2252.908, Texas Government Code, and has delivered the certified copy bearing the certificate number to the City.

13.4 Verification Regarding Boycott of Israel. As required by Chapter 2271, Texas Government Code, the Contractor verifies that, if it is a company with ten (10) or more full-time employees and this Agreement has a value of $100,000 or more to be paid wholly or partly from public funds of the City, it: (a) does not boycott Israel; and (b) will not boycott Israel during the term of this Agreement. “Boycott Israel” has the meaning assigned by Section 2271.001.

13.5 Verification Regarding Firearm Entities and Firearm Trade Associations. As required by Chapter 2274, Texas Government Code, the Contractor verifies that, if it is a company with ten

(10) or more full-time employees and this Agreement has a value of $100,000 or more to be paid wholly or partly from public funds of the City, it: (a) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (b) will not discriminate during the term of this Agreement against a firearm entity or firearm trade association.

The quoted terms have the meanings assigned by Section 2274.001.

13.6 Verification Regarding Boycott of Energy Companies. As required by Chapter 2276, Texas Government Code, the Contractor verifies that, if it is a company with ten (10) or more full-time employees and this Agreement has a value of $100,000 or more to be paid wholly or partly from public funds of the City, it: (a) does not boycott energy companies; and (b) will not boycott energy companies during the term of this Agreement. “Boycott energy company” has the meaning assigned by Section 2276.001.

13.7 Certification Regarding Listed Companies. As required by Subchapter F, Chapter 2252, Texas Government Code, the Contractor certifies that it is not identified on a list prepared and maintained by the Texas Comptroller of Public Accounts under Section 2252.153 or Section

2270.0201 of companies that do business with Iran, Sudan, or a foreign terrorist organization, and that it is not a company engaged in business with Iran, Sudan, or a foreign terrorist organization as described in Section 2252.152.

13.8 Certification Regarding Foreign-Owned Companies. As required by Chapter 2275, Texas Government Code, and to the extent this Agreement gives the Contractor direct or remote access to or control of critical infrastructure of the City, the Contractor certifies that it is not owned by or the majority of stock or other ownership interest of which is held or controlled by individuals who are citizens of, or by a company or other entity owned or controlled by citizens of or the government of, China, Iran, North Korea, Russia, or any other country designated by the Governor under that chapter, and that it is not headquartered in any such country.

13.9 Prohibited Technology. Consistent with Chapter 620, Texas Government Code, and the City’s covered applications and prohibited technology policy, the Contractor shall not install, use, or operate any covered application or prohibited technology on any device used to access City data or City networks in performing the Services, or on any device the Contractor connects to a City network, and shall not permit its personnel or subcontractors to do so. The Contractor shall comply with any update to the applicable list of covered applications or prohibited technologies within thirty (30) days after written notice from the City.

13.10 Suspension and Debarment. The Contractor certifies that neither it nor any of its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in any federal, state, or local government program or contract, and that it has not been convicted of or had a civil judgment rendered against it for an offense described in 2 C.F.R. § 180.800 within the preceding three (3) years.

13.11 Non-Collusion. The Contractor certifies that its proposal was arrived at independently and without consultation, communication, or agreement with any other proposer or competitor for the purpose of restricting competition, and that no City officer or employee has any financial interest in the Contractor or in this Agreement other than as permitted and disclosed under Chapter 171, Texas Local Government Code.

13.12 Conflict of Interest. The Contractor represents that it has no interest, and shall acquire none, that would conflict with the performance of the Services, and shall promptly disclose any potential conflict in writing.

13.13 Continuing Nature; Notice of Change; Remedy. Each certification and verification in this Article is made as of the Effective Date, is a continuing representation throughout the term, and is deemed remade on each renewal. The Contractor shall notify the City in writing within ten

(10) business days after any of them becomes inaccurate. A material misrepresentation in, or breach of, this Article is cause for immediate termination under Section 12.2, and the Contractor shall reimburse the City for any resulting cost, penalty, or loss.

ARTICLE 14. MISCELLANEOUS

14.1 Governing Law and Venue. This Agreement is governed by Texas law, and venue for any action lies exclusively in the state district courts of Kaufman County, Texas.

14.2 No Arbitration; No Fee Shifting. The City does not agree to arbitrate any dispute or to pay the attorney’s fees of any other party.

14.3 No Limitation of Liability. The Contractor’s liability under this Agreement is not limited or capped, and no consequential-damages waiver applies in favor of the Contractor, except as expressly stated in a writing signed by the City.

14.4 Order of Precedence. In the event of conflict, the following controls in descending order:

Section 4 of the RFP; this Agreement; the remainder of the RFP (Exhibit A); and the Contractor’s proposal.

14.5 Entire Agreement; Amendment. This Agreement, together with its Exhibits, is the entire agreement of the parties and supersedes all prior negotiations. It may be amended only by a written instrument signed by both parties and, where required, approved by the City Council.

14.6 Notices. Notices must be in writing and are effective when delivered by hand, by nationally recognized overnight courier, or by certified mail, return receipt requested, to the addresses stated below the signature blocks, or to such other address as a party designates in writing.

14.7 No Third-Party Beneficiaries. This Agreement is solely for the benefit of the parties and creates no right in any third party.

14.8 Severability; No Waiver. If any provision is held invalid, the remainder continues in effect.

No failure or delay by the City in exercising a right operates as a waiver of that or any other right.

14.9 Counterparts; Electronic Signatures. This Agreement may be executed in counterparts, and electronic signatures have the same effect as original signatures.

14.10 Authority. Each person signing represents that he or she is authorized to bind the party for whom he or she signs.

EXECUTED as of the Effective Date.

CITY OF FORNEY, TEXAS

By: ______________________________

Name: ____________________________

Title: City Manager

ATTEST:

City Secretary

APPROVED AS TO FORM:

City Attorney

CONTRACTOR

By: ______________________________

Name: ____________________________

Title: _____________________________

Notice Address:

EXHIBIT A – SCOPE OF SERVICES

[Attach RFP No. 2026-____, Fire Department Cost Recovery Administration Services.]

EXHIBIT B – FIRE DEPARTMENT COST RECOVERY FEE SCHEDULE

[Attach the Fire Department Cost Recovery Fee Schedule as adopted by the City Council and incorporated into the City’s Master Fee Schedule.]

EXHIBIT C – COMPENSATION

Collection fee: ______ percent (____%) of amounts actually collected, as defined in Section 3.2.

Additional charges: [None / list each charge and the circumstances in which it applies, consistent with the Contractor’s Appendix A cost proposal.]

Post-termination fees: [None / describe.]

APPENDIX F – REQUIRED FORMS AND CERTIFICATIONS

The following must be completed and submitted with the proposal, on the forms provided with the solicitation notice.

(a) Form CIQ, Conflict of Interest Questionnaire (Chapter 176, Texas Local Government Code);

(b) Form 1295, Certificate of Interested Parties (Section 2252.908, Texas Government Code), filed with the Texas Ethics Commission and submitted at award;

(c) Verification regarding boycott of Israel (Chapter 2271, Texas Government Code);

(d) Verification regarding discrimination against firearm entities and firearm trade associations (Chapter 2274, Texas Government Code);

(e) Verification regarding boycott of energy companies (Chapter 2276, Texas Government Code);

(f) Certification regarding listed companies doing business with Iran, Sudan, or a foreign terrorist organization (Subchapter F, Chapter 2252, Texas Government Code);

(g) Certification regarding foreign-owned companies (Chapter 2275, Texas Government Code);

(h) Certification regarding prohibited technology and covered applications (Chapter 620, Texas Government Code);

(i) Certification regarding suspension and debarment;

(j) Certification of non-collusion;

(k) IRS Form W-9; and

(l) Certificate(s) of insurance evidencing the coverage required by Article 10 of Appendix E, to be provided prior to execution.

The Contractor’s compensation is netted from City revenue and is treated by the City as payment from public funds for purposes of any applicable statutory threshold. The verifications above are required of all Proposers regardless of contract value.