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Item C10Coun of Mo rf A p si ,�1 BOARD OF COUNTY COMMISSIONERS Mayor George Neugent, District 2 T he Fl orida Keys ) �i� h Mayor Pro Tem David Rice, District 4 Danny L. Kolhage, District I Heather Carruthers, District 3 Sylvia J. Murphy, District 5 County Commission Meeting January 18, 2017 Agenda Item Number: C.10 Agenda Item Summary #2512 BULK ITEM: Yes DEPARTMENT: Employee Services TIME APPROXIMATE: STAFF CONTACT: Maria Fernandez- Gonzalez (305) 292 -4448 N/A AGENDA ITEM WORDING: Approval of Amendment No. 2 to Pharmacy Benefit Management Services Agreement with envision RX to extend agreement to December 31, 2017. ITEM BACKGROUND: The Pharmacy Benefit Management Services (PBM) contract is scheduled for issuance of a Request for Proposal (RFP) for 2017. Extending this contract benefits the County in two ways. The contract with this provider running with the calendar year means deductibles and co pays would not be impacted by changing vendors during a calendar year. In addition, it gives more time for staff to analyze the proposals to assure a thorough review PREVIOUS RELEVANT BOCC ACTION: Envision RX has been the County's Pharmacy Benefit Manager since October 1, 2011. At September 27, 2014 BOCC meeting Amendment No. was approved extending contract through September 30, 2017. CONTRACT /AGREEMENT CHANGES: Extension of current services agreement until December 31, 2017 STAFF RECOMMENDATION: Approval DOCUMENTATION: ENVISION AMENDMENT No. 2 Envision Amendment No. 1 executed ENVISION CONTRACT EXECUTED COPY 2011 FINANCIAL IMPACT: Effective Date: January 1, 2017 Expiration Date: December 31, 2017 Total Dollar Value of Contract: N/A Total Cost to County: N/A Current Year Portion: Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: Grant: County Match: Insurance Required: Additional Details: If yes, amount: 01/18/17 502 -08003 - GROUP INS CLAIMS $816,000.00 REVIEWED BY: Christine Hurley Completed 12/23/2016 10:06 AM Budget and Finance Completed 12/28/2016 4:41 PM Cynthia Hall Completed 12/29/2016 9:07 AM Maria Slavik Completed 12/29/2016 9:12 AM Kathy Peters Completed 12/29/2016 9:20 AM Board of County Commissioners Completed 01/18/2017 9:00 AM AMENDMENT NO. 2 TO PHARMACY BENEFIT MANAGEMENT SERVICES AGREEMENT This Amendment No. 2 (this "Amendment "), is entered into by and between Envision Pharmaceutical Services, LLC ( "Envision "), and Monroe County Board of County Commissioners ( "Plan Sponsor "). BACKGROUND Envision and Plan Sponsor are parties to a Pharmacy Benefit Management Services Agreement dated October 1 2011 (the "Agreement "), under which Envision provides PBM Services to Plan Sponsor; and The parties desire to amend the Agreement, and therefore Envision and Plan Sponsor agree as follows: 1. The term of the Agreement shall extend to December 31 2017. 2. Financial performance guarantees for Contract Year 2016 will include all Claims from October 1 2016 through December 31 2017. 3. This Amendment shall be effective January 0, 2017 ( "Effective Date "). 4. All other terms or provisions of the Agreement not modified by this Amendment or any other amendments or addenda shall remain unchanged. IN WITNESS WHEREOF, Envision and Plan Sponsor have executed this Amendment as of the Effective Date above. For ENVISION: Frank J. Sheehy Chief Executive Officer For PLAN SPONSOR: Print Name & Title Rl /Monroe County BOC Am. 2 113016 © Envision Pharmaceutical Services, LLC Page 1 of 1 Al AMENDMENT NO. I TO PHARMACY BENEFIT MANAGEMENT SERVICES AGREEMENT This Amendment No. I (this "Amendment"), is entered into by and between Envision Pharmaceutical Services, LLC ("Envision"), and Monroe County Board of County Commissioners ("Plan Sponsor"). BACKGROUND Envision and Plan Sponsor are patties to a Pharmacy Benefit Management Services Agreement dated October Is'. 2011 (the "Agreement "), under which Envision provides PBM Services to Plan Sponsor, and The parties desire to amend the Agreement, and therefore Envision and Plan Sponsor agree as follows: I . The term of the Agreement shall extend to September 30"', 2017. 2. Section 2,4,5 shall be deleted in its entirety, 3. Exhibit I shall be deleted in its entirety and replaced with the following: EXHIBIT I DRUG PRICING AND FEES Administrative Fee (Payable to Envision.; not including fees payable to Plan Sponsor'sTPAs, consultants, or brokers, if any) For Contract Year 2014: $3.50 Per Employee, Per Month (PEPM) Igor Contract Year 2015: $3.65 PEPM For Contract Year 2016: $3.65 PEPM Fees for Additional Services and Miscellaneous Expenses I . Replacement by Envision of lost or stolen ID Cards $1 per card Plus cost of postage 2. Manual Claims Processing ('including DMRs) $1.50 per Claim processed 1 airn Ad justment Checks (charged to Plan Sponsor for reimbursements made to Covered Individuals for Claim adjustments requested by Plan Sponsor.) $8.50 per check 4. Ma Ad nually create or update the Eligibility Fite $ 1.00 per Covered Individual data entry Ou'll)LIter or Report Prograrnmina $150.00 per hour 5� Floc C t-n �%IOWOC COW I t( X' Am, 1 13'7;31 (' 1 - 110 .sioll PhUnlaccutical Sen, ices, LL(' Page � I Packet Pg. 500 g1W N 6. Clinical Prior Authorizations (Initial Coverage Determinations) $8 Of) era th Retail Pharmacy a AWP minus 15.35% $1.30 AWP min 75% $1.30 84 Days' Supply (or 11 In greater) at a Retail 'supply /Source GENERIC For Contract Year Drug Price (A) 2014 (Annual Average Dispensing (B) Pharmacy (non-Mail AWP minus 20% N/A AWP minus 76% N/A Order) Agreement) Guarantee) Average Guarantee) (Annual Average Mail Order Pharmacy Acquisition Cost $9.50 Guarantee) Average- Guarantee) Specialty Ph Acquisition Cost $9�50 (Pass-Through of Contract Rate with Dispensing Pharmacy) Supply /Source BRAND GENERIC For Contract Year Drug P (A) (Annual Average Dispensing Fee (B) Drug Price (A) Dispensing 2015 Effective Rate (Annual (Annual Average Effectiv Rate Fee Cu) Guarantee) Average Guarantee) (Annual Guarantee) Avera ge 0 Days' Suppi y at a Guarantee) Retail PharmacN, AWP minus 15.45% $1.30 AWP minus 75.50% $1.30 94 Days Supply (or � __ greater) at a Retail I Pharmacy (non-Mail AWP minus 20. 10% N/A AWP minus Order) 1 76.50% N/A Drug Pricing and Dispensing Fees V U Or zaLlon 50 Cost - $9.50 9 IATcquisiti SuPply/Source BRAND 11 In with Dispensing Pharmacy) 'supply /Source GENERIC For Contract Year Drug Price (A) 2014 (Annual Average Dispensing (B) Drug Price(A) Dispensing (based on 3 year Effective Rate Fee (Annual (Annual Avera Effective Rate Fee A Agreement) Guarantee) Average Guarantee) (Annual Average 30 Days' Sun I a t Guarantee) Guarantee) Mail Order Pharmacy Acquisition Cost 50 Cost - $9.50 9 IATcquisiti Specialty plia (Pas s Of Contract Rate 11 In with Dispensing Pharmacy) 'supply /Source BRAND GENERIC For Contract Year Drug Price 7(A, (Annual Average spe sing Dispe " A) ' Fee (B) Drug Price ( Dispensin g 2016 Effective Rate (Annual (Annual Average Fee A Effective Rate Guarantee) Average- Guarantee) (Annual Guarantee) Average Guarantee) 30C' stn, 1)731 14 I'm ision Pharmaceutical serN ic,s LLC 30 Days" Supply at a Retail Pharmacy AWP minus 15.55 ° fo $1.25 AWP minus 76 ° l0 $1.25 € 4 Days' Supply (or greater) at a Retail Pharmacy (non -Mail AWP minus 20.20% N/A AWP minus 77% N/A Order) Mail Order Pharmacy Acquisition Cost $9.50 Acquisition Cost $9.50 t Specialty Pharmacy (Pass- Through of Contract Rate with Dispensing Pharmacy) (A' Annual Average Effective Rate is calculated using actual price paid by Envision to Participating Pharmacies in the designated Network, plus any Cost Share, (the Ingredient Cost) for all Claims for the applicable category (including Claims paid at the U &C Price) during a Contract Year, excluding (i) Compound Drugs; (ii) Limited Distribution Drugs; (iii) drugs dispensed at a Specialty Pharmacy; (iv) (';laims from non- Participating Pharmacies, LTC pharmacies, or government owned or operated pharmacies (e.g. Veterans Administration); (v) Claims paid at government required amounts (e.g. Medicaid); (vi) 340B Claims; (vii) vaccines; (viii) non - Prescription Drugs; (ix) Claims from any Plan Sponsor owned or affiliated pharmacy which is not a Participating Pharmacy; and (x) Excluded Generics. �`� Annual Average Dispensing Fee is the average per Claim fee for all Claims by Envision to Participating Pharmacies in the designated Network (including Claims paid at the U&C Price) during a Contract Year, excluding (i) Compound Drugs; (ii) Limited Distribution Drugs; (iii) drugs dispensed at a Specialty Pharmacy; (iv) Claims f non- Participating Pharmacies, LTC pharmacies, or government owned or operated pharmacies (e.g, Veterans Administration); (v) Claims paid at government required amounts (e.g. Medicaid); (vi) 34013 Claims; (vii) vaccines; (viii) non - Prescription Drugs; (ix) Claims from any Plan Sponsor owned or of #ilia.ted pharmacy which is not a Participating Pharmacy; and (x) Excluded Generics, Annual Average Effective Rate and Annual Average Dispensing Fee Guarantee Plan Sponsor acknowledges that the Annual Average Effective Rates and Annual Average Dispensing Fees specified in this Exhibit I are conditioned upon Plan Sponsor's adherence to certain conditions under this Agreement and that the actual Annual Average Effective Rates and Annual Average Dispensing Fees will also depend on Plan Sponsor's drug utilization and mix of Participating Pharmacies. Within four months after the end of each Contract Year, Envision shall provide Plan Sponsor, upon request, with a report Showing the actual Annual Average Effective Rates and Annual Average Dispensing Fees paid by Plan Sponsor for the C ontract Year. The Annual Average Effective Rates and Annual Average Dispensing Fees guarantees set forth in Exhibit 1 shall be deemed to have been satisfied if the discounts passed through to Plan Sponsor for all Claims during the Contract Year are equal to or more favorable, in the aggregate, than the drug pricing and dispensing fee guarantees stated for each drug type or category individually. If the amounts paid by Plan Sponsor for all Claims during the Contract Year are less favorable, in the aggregate, than the combined Annual Average Effective Rates and Annual Average Dispensing Fees stated in Exhibit L, Envision shall credit. Plan Sponsor with the difference. Envision shall not be liable to Plan Sponsor for shortfalls in guaranteed Annual Average Effective Rates or Annual Average Dispensing Fees if (i) Plan Sponsor makes a change to the Benefit Plan at any time (regardless of whether or not such change is required by law); (d) the configuration of System edits is modified by Plan Sponsor; (iii) Plan Sponsor does not adhere to the Formulary; or (iv) the utilization data provided by Plan Sponsor (or Plan Sponsor's agent) upon which the ctrlculation of guarantees were based is inaccurate, incomplete, or there is a substantial change in drug utilization patterns of Covered Individuals. Plan Sponsor agrees that Envision's liability to Plan SPOnsor for shortfalls in financial guarantees, in the aggregate, for any Contract Year shall be Limited a a Urnr«c CountN t3C;C 1m. I 073114 Envision Pharmaceutical Services_ t,LC Pa Packet Pg. 502 to arnounts paid by Plan Sponsor to Envision for Administrative Fees during the applicable Contract Year, and Plan Sponsor has no right of offset to withhold any payment due Envision under this Agreement for any '11 Man Sponsor believes are owed by Envision for financial guarantees. 4. This Amendment shall be effective October 1st, 2014 ("Effective Date") 5, All other terms or provisions of the Agreement not modified by this Amendment or any other amendments or addenda shall remain unchanged. IN WITNESS WHEREOF, Envision and Plan Sponsor have executed this Amendment as of the Effective Date above, For ENVISION: For PLAN SPONSOR: B v: Frank J. heelly Chict'Executi 1-11 - v�tl' 0 O C e r By: P rint Name & Title MONROE COUNTYkI 11,YNTHIA L, HM_L ASSISTANT COUNTY ATTORNEY ( 0 WIV , BBC Nn l 1 0731 p4 '( Envision Pharmaceutical Services, 1-[,( ] Packet Pg. 503 1 PHARMACY BENEFIT MANAGEMENT SERVICES AGREEMENT This Pharmacy Benefit Management Services Agreement (the "Agreement') is effective the 1st day of October, 2011 (the "Effective Date ") by and between Envision Pharmaceutical Services, Inc., an Ohio Corporation (hereinafter "Envision "), and Monroe County Board of County Commissioners, a political subdivision of the State of Florida (hereinafter "Plan Sponsor "). BACKGROUND Envision is a URAC accredited Pharmacy Benefit Management (PBM) company engaged in the business of providing comprehensive pharmacy benefit management services nationwide to various employers, unions, and health plans which sponsor or administer health benefit plans covering outpatient prescription medications. Plan Sponsor has established one or more health benefit plans providing coverage for prescription medications to covered individuals and desires to engage Envision to provide pharmacy benefit management services in accordance with the terms and conditions of this Agreement. NOW, THEREFORE, in consideration of the mutual promises and agreements herein contained, Plan Sponsor and Envision hereby agree as follows: 1. DEFINITIONS 1.1 "Administrative Fee" means the amount that Envision charges Plan Sponsor for included services under this Agreement. Envision represents and warrants that the Administrative Fee and any fees for Additional Services and Miscellaneous Expenses set forth in Exhibit 1 are its sole compensation for the services rendered hereunder, and that it retains no revenues, directly or indirectly, from any other source. 1.2 "Annual Average Effective Rate" means, for the category of drugs being reviewed, the result calculated by the following formula: (IC /AWP) -1, where "IC" is the sum of all amounts paid by Plan Sponsor for the ingredient cost of the Covered Medications dispensed during the calendar year, and AWP is the sum of the Average Wholesale Price amounts associated with the same Covered Medications. 1.3 "Average Wholesale Price" or "AWP" shall mean the average wholesale price of a Covered Medication indicated on the most current pricing file provided to Envision by Medi- Span (or other applicable industry standard reference on which pricing hereunder is based) for the actual drug dispensed using the 11 digit National Drug Code (NDC) number provided by the dispensing pharmacy. Envision uses a single source for determining AWP and updates the AWP source file once a week. 1.4 `Benefit Plan" means the group health plan, insurance plan, prescription drug plan, or other benefit plan sponsored or administered by Plan Sponsor that covers the cost of Covered Medications dispensed to Members. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page Packet ,Pg. 504 1.5 `Benefit Specification Form" means the form that is completed by Plan Sponsor, in conjunction with Envision, which details the specifics of the Benefit Plan such as which prescription medications are covered by Plan Sponsor, any limitations or exclusions, the Benefit Plan's tier structure and Cost Share requirements, and any conditions associated with the specific services to be rendered by Envision under this Agreement (i.e. prior authorizations, drug therapy management, etc.). 1.6 "Brand Drug" means a drug where the Medi -Span multisource ( "MONY ") code attached to the 11 digit NDC for such drug indicates an "N" (a single- source brand name drug product available from one manufacturer and is not available as a generic), an "M" (a branded drug product that is co- branded and not considered generic, nor is it available as a generic, and is generally considered a single- source drug product despite multiple manufacturers), or an "O" (an original branded drug product available from one or more manufacturers as a generic). A drug is classified as a Brand Drug at the Point -of -Sale based on the MONY code assigned by Medi -Span and shall not be reclassified for any purposes hereunder including the calculation of drug price or rebate guarantees. 1.7 "Claim" means an invoice or transaction (electronic or paper) for a Covered Medication dispensed to a Member that has been submitted to Envision by the dispensing pharmacy or a Member (including transactions where the Member paid 100% of the cost). A "340B Claim" is a Claim which has been processed under Section 340B of the Public Health Service Act. 1.8 "Compound Drug" means a Covered Medication that requires compounding by a pharmacist because it is not available from the manufacturer in the prescribed form or strength. Compound Drugs consist of two or more solid, semi -solid or liquid ingredients, at least one of which is recognized under federal law as a Legend Drug (i.e. a drug that bears the legend: "Caution: Federal law prohibits dispensing without a prescription. ") 1.9 "Contract Year" means the complete twelve month period commencing on the Effective Date and each consecutive complete twelve month period thereafter that this Agreement remains in effect. 1.10 "Cost Share" means the amount of money that a Member must pay to the Participating Pharmacy to obtain a Covered Medication in accordance with the terms of the Benefit Plan. The Cost Share may be a fixed amount (co- payment) or a percentage of the drug cost (co- insurance), or a deductible that must be satisfied before drugs are covered under the Benefit Plan. 1.11 "Covered Medication" means a prescription drug, medication, or device that meets the requirements for coverage under the Benefit Plan, after applying all conditions and exclusions set forth in the Benefit Specification Form, and which is dispensed to a Member pursuant to a written or electronic prescription order or allowable refill. 1.12 "Eligibility File" means that electronic communication supplied to Envision by Plan °P E Sponsor which identifies the Members covered under Plan Sponsor's Benefit Plan, along with other eligibility information necessary for Envision to provide PBM Services hereunder. Plan \PBMSA (frm06O7l 1)(f=12) © Envision Pharmaceutical Services, Inc. Page Packet ,Pg. 505 Sponsor acknowledges that eligibility begins on the first day the Member is reported by Plan Sponsor (or its designee) to be effective and continues through the last day the Member appears on the Eligibility File. 1.13 "Employee" means an Employee of Plan Sponsor covered under Plan Sponsor's Benefit Plan, together with such Employee's eligible dependents. 1.14 "Generic Drug" means a drug where the Medi -Span multisource code attached to the 11 digit NDC for such drug indicates a "Y" (a generic drug product available from one or more manufacturers). A drug is classified as a Generic Drug at the Point -of -Sale based on the MONY code assigned by Medi -Span and shall not be reclassified for any purposes hereunder including the calculation of drug price or rebate guarantees. 1.15 "HIPAA" means the Health Insurance Portability and Accountability Act of 1996, as amended. 1.16 "Licensed Prescriber" means a licensed Doctor of Medicine (M.D.), Doctor of Osteopathy (D.O.), Doctor of Podiatry (D.P.M.), Doctor of Dentistry (D.D.S.), or other licensed health practitioner with independent prescribing authority in the state in which the dispensing pharmacy is located. 1.17 "Manufacturer Derived Revenue" means any discounts, rebates, pharmaceutical manufacturers administrative fees, and any other revenue received by Envision from pharmaceutical manufacturers (whether as a result of the number of covered lives, other incentives or other amounts received) for Covered Medications dispensed to Members. 1.18 "MAC List" means a proprietary list of Generic Drugs for which Envision establishes a maximum price ( "MAC Price ") payable to the dispensing pharmacy, which includes most, but not all Generic Drugs. Envision maintains one commercial MAC List per Participating Pharmacy which is used to both determine the negotiated price payable to the dispensing pharmacy and the price charged to Plan Sponsor. Plan Sponsor will be charged the exact negotiated amount payable by Envision to the dispensing pharmacy without any markup or spread. Envision updates the MAC List from time -to -time as Generic Drugs come on the market or come off the market, or as their availability changes due to market circumstances. Generic Drugs that are excluded from the MAC List include Newly Available Generic Drugs, Single - Source Generic Drugs, and Limited Availability Generic Drugs ( "Excluded Generics "). For purposes of this definition, a Newly Available Generic Drug is one which, at the time the drug is dispensed, is subject to the Hatch - Waxman 180 day market exclusivity provision, a Single - Source Generic Drug is one which, at the time the drug is dispensed, is available from only one manufacturer, and a Limited Availability Generic Drug is one which, at the time the drug is dispensed, is priced higher than normal due to supply limitations or limited market competition. 1.19 "Member" means each individual (Employee and each of his or her dependents) who has been identified by Plan Sponsor on the Eligibility File as being eligible to receive Covered Medications. .c \PBMSA (frm0607I 1)(final2) © Envision Pharmaceutical Services, Inc. Page Packet,Pg. 506 1.20 "NCPDP" shall mean the National Council for Prescription Drug Programs Standard Claims Billing Tape and Payment Format 2.0, or a revised and then current version. 1.21 "Participating Pharmacy" means a pharmacy (including a designated mail order or specialty pharmacy) that has entered into a negotiated pricing agreement with Envision to dispense Covered Medications to Members. A "Retail Pharmacy" is a pharmacy that dispenses medications to outpatients. 1.22 "Plan Sponsor" means the entity (identified above as Plan Sponsor) which (i) has created and maintains the Benefit Plan on behalf of the Members, and has determined the rules by which the Benefit Plan is to be administered, and (ii) is financially responsible for the payment of Administrative Fees, Fees for Additional Services and Miscellaneous Expenses, and Covered Medications dispensed to Members hereunder. 1.23 "Point -of- Sale" means the location and time that a Covered Medication is dispensed to a Member, and the corresponding Claim is submitted by the dispensing pharmacy for adjudication by Envision's on -line computerized claims processing system (hereinafter "Claims Adjudication System "). 1.24 "Specialty Drug" means those high -cost injectable, infused, oral, inhaled, or biotech drugs which require special ordering, handling and /or patient intervention. Specialty Drugs will be priced based on where the drug is dispensed (i.e. retail, mail order, or specialty pharmacy). 2. PBM SERVICES Envision shall perform the following pharmacy benefit management services ( "PBM Services "): 2.1 Identification Card Envision shall provide Plan Sponsor with Envision approved identification cards ( "ID Cards "), up to two per family, for distribution to Members by Plan Sponsor. If requested by Plan Sponsor, Envision shall provide ID Cards directly to Members at no additional cost, except for the cost of postage and handling. Additional ID Cards or replacement ID Cards (i.e. for lost or stolen ID Cards) will be provided at a cost as specified in Exhibit 1. If Plan Sponsor desires to re- design and /or re -issue ID Cards, or for special graphic requests, additional charges may apply. 2.2 Claims Processing During the term of this Agreement, Envision shall accept, process, and adjudicate Claims for Covered Medications (i) submitted electronically by Participating Pharmacies in National Council for Prescription Drug Programs (NCPDP) formats; (ii) submitted b.y Members as Direct Member Reimbursements (DMRs, as defined below); or (iii) received from third parties, such as Medicaid, for reimbursement by Plan Sponsor. Claims shall be checked for eligibility, benefit design, Cost Share requirements, and exclusions to determine which Claims are successfully processed, pended for prior authorization, or rejected for ineligibility or other factors in accordance with Plan Sponsor's specifications as set forth in Plan Sponsor's Benefit Specification Form (incorporated herein by this reference). Claims that must be processed manually or require special handling, including, without limitation, (i) DMRs or (ii) Claims received from third parties, such as Medicaid, for reimbursement by Plan Sponsor for \PBMSA (frm060; l 1)(final2) © Envision Pharmaceutical Services, Inc. Pag Packet,Pg. 507 ineligible payments, will incur a fee as set forth in Exhibit 1. After termination of this Agreement, Envision shall process Claims for dates of service on or before the effective date of termination, for a period of ninety (90) days ( "Run -Out Period "), subject to the timely payment of invoices as provided herein. 2.3 Direct Member Reimbursement (DMR) Envision shall provide, via its website, a DMR form, for use by Members to obtain reimbursement for amounts paid out -of- pocket (other than Cost Share) for Covered Medications (e.g. Covered Medications dispensed at a non - Participating Pharmacy). Envision shall accept, process, and adjudicate DMR Claims within ten (10) business days of receipt of the DMR form, but shall not be liable to reimburse a Member until Plan Sponsor provides funds for such purpose. 2.4 Pass - Through of Discounts and Dispensing Fees Envision has negotiated discounted drug prices and dispensing fees with Participating Pharmacies. Envision shall pass - through to Plan Sponsor one hundred percent (100 %) of the negotiated discount for the drug dispensed (plus any applicable dispensing fee) without any reclassification, mark -up or spread by Envision. The amount charged to Plan Sponsor shall be determined as follows and as specified in Exhibit 1: 2.4.1 For Brand Drugs Envision shall charge Plan Sponsor the calculated negotiated amount payable to the Participating Pharmacy based on the drug pricing fields (i.e. AWP, MONY code, etc.) for the 11 digit NDC of the drug dispensed, less any applicable Manufacturer Derived Revenue (plus applicable dispensing fees); or, if lower, the Participating Pharmacy's reported usual and customary price (except for mail order and specialty pharmacies). For purposes of this Agreement, the usual and customary price ( "U &C Price ") is the retail amount the pharmacy charges its cash paying customers for the drug dispensed, as reported to Envision by the dispensing pharmacy. 2.4.2 For Generic Drugs For Generic Drugs included on the then current Envision MAC List, Envision shall charge Plan Sponsor the MAC Price for the drug dispensed; for Generic Drugs not on the MAC List (i.e. Excluded Generics), Envision shall charge Plan Sponsor the calculated negotiated amount payable to the Participating Pharmacy based on the drug pricing fields (i.e. AWP, MONY code, etc.) for the 11 digit NDC of the drug dispensed (plus applicable dispensing fees); or, if lower, the Participating Pharmacy's reported U &C Price (except for mail order and specialty pharmacies). 2.4.3 Modifications by Plan Sponsor Plan Sponsor's Benefit Plan may contain certain programs (e.g. mandatory generic program) and /or rules which determine the way in which Claims are adjudicated (i.e. what portion of a Claim is payable by Plan Sponsor and what portion is payable by Members). The rules by which Plan Sponsor's Claims are adjudicated are detailed by Plan Sponsor as set forth in the Benefit Specification Form. To the extent Plan Sponsor's Benefit Plan modifies the standard Claims adjudication process, the Claims Adjudication System will be configured accordingly. However, such modifications shall not result in the reclassification of a Claim. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Pag Racket Pg. 508 2.4.4 For Dispensing Fees Envision shall charge Plan Sponsor the actual dispensing fee amount payable to the Participating Pharmacy for both Brand Drugs and Generic Drugs as applicable. 2.4.5 Drug ricing and Dispensing Fees: Unless otherwise stated herein, the Annual Average Effective Rates and Annual Average Dispensing Fees set forth in Exhibit 1 shall be deemed to have been achieved if, overall, the amounts paid by Plan Sponsor for all Claims during the Contract Year are equal to or more favorable than the amounts paid for each drug type or category individually. 2.5 Manufacturer Derived Revenue 2.5.1 Pass- Through of Manufacturer Derived Revenue Envision has negotiated contracts with pharmaceutical manufacturers to obtain Manufacturer Derived Revenue for eligible Brand Drugs, and shall pass through to Plan Sponsor one hundred percent (100 %) of all earned Manufacturer Derived Revenue paid to Envision by contracted pharmaceutical manufacturers for such eligible Brand Drugs. Envision shall include such eligible Brand Drugs on the Formulary, subject to approval by Envision's Pharmacy & Therapeutics Committee. Plan Sponsor acknowledges that its yield of Manufacturer Derived Revenue is dependent on certain factors including, without limitation, the following: (i) whether the terms and conditions of Plan Sponsor's Benefit Plan are consistent with the application of Envision's Formulary; (ii) the structure of Plan Sponsor's Benefit Plan; and (iii) the drug utilization patterns of Members. Plan Sponsor further acknowledges that Plan Sponsor's portion of market share rebates is based on (i) Plan Sponsor's ability to meet and earn market share rebate levels by manufacturer and (ii) the ratio of Plan Sponsor's Claims for a particular rebated drug to the total number of Claims for such drug for all Envision clients, as adjusted for the effect of Plan Sponsor's Benefit Plan (e.g. tier structure and Cost Share differentials) on the overall yield of market share rebates. Manufacturer Derived Revenue for Claims paid entirely by Members (e.g. a Claim occurring while the Member has not yet met his or her deductible) and 340B Claims are ineligible for Manufacturer Derived Revenue, and no Manufacturer Derived Revenue shall be payable to Plan Sponsor for such Claims. 2.5.2 Pass - Through Methodology Manufacturer Derived Revenue shall be advanced to Plan Sponsor by adjusting the Claim for an eligible Brand Drug by the estimated Manufacturer Derived Revenue using Envision's patent - pending Point -of -Sale Technology. Envision's Point -of -Sale Technology generates a Claim that will be invoiced to Plan Sponsor at the net price after applying credit for expected earned Manufacturer Derived Revenue. (Plan Sponsor acknowledges that, unless otherwise indicated by Plan Sponsor on the Benefit Specification Form, if a Member pays a percentage of the drug cost (i.e. co- insurance) under the Benefit Plan, a proportional amount of the Manufacturer Derived Revenue will be passed on to the Member at the Point -of- Sale). Any earned Manufacturer Derived Revenue (including market share rebates) not applied to Claims at the Point -of -Sale shall be paid to Plan Sponsor when collected by Envision. 2.5.4 Sole Source Plan Sponsor represents and warrants to Envision that, at no time E during or after the term of this Agreement, is Plan Sponsor receiving Manufacturer Derived \PBMSA (frm060711)(final2) © Envision Pharmaceutical Services, Inc. Pag Racket Pg. 509 Revenue other than through Envision, either directly or indirectly (through a Group Purchasing Organization, drug wholesaler, or otherwise) for Claims processed by Envision under this Agreement. Plan Sponsor agrees that it shall not, at any time, submit Claims which have been transmitted to Envision to another pharmacy benefit manager or carrier for the collection of Manufacturer Derived Revenue or create a situation which would cause a manufacturer to decline payments to Envision. Envision reserves the right to recover from Plan Sponsor, and Plan Sponsor shall refund to Envision, any Manufacturer Derived Revenue advanced to Plan Sponsor by Envision which is connected with any Claims for which Plan Sponsor received Manufacturer Derived Revenue from any other source or for amounts advanced to Plan Sponsor by Envision which have been withheld by a manufacturer due to the ineligibility of such Claims for Manufacturer Derived Revenue (i.e. 340B Claims) or breach of these provisions by Plan Sponsor. 2.5.5 Early Termination Notwithstanding anything herein to the contrary, if this Agreement is terminated for any reason by Plan Sponsor prior to the end of the Initial Term (other than for a material breach by Envision), Plan Sponsor agrees (i) to reimburse Envision for any Manufacturer Derived Revenue advanced to Plan Sponsor that Envision has not collected from pharmaceutical manufacturers within nine months from the effective date of termination; and (ii) all market share rebates payable as of the date of delivery by Plan Sponsor of the notice of termination shall be forfeited by Plan Sponsor. 2.6 Pharmacv Network Envision shall arrange for the dispensing of Covered Medications to Members pursuant to contracts with a network of Participating Pharmacies. Plan Sponsor understands and agrees that the network of Participating Pharmacies may change from time to time, including the designated mail order provider and /or specialty pharmaceuticals provider. The list of Participating Pharmacies is constantly updated to reflect any changes in the network, including pharmacy addresses and telephone numbers, and is accessible via Envision's website. Plan Sponsor acknowledges that (i) orders exceeding a thirty day supply are not available at all Retail Pharmacies; (ii) Covered Medications shall not be dispensed to Members without a prescription order by a Licensed Prescriber; and (iii) the availability of drugs are subject to market conditions and that Envision cannot, and does not, assure the availability of any drug from any Participating Pharmacy. 2.7 Formulary Envision shall maintain a list of commonly prescribed drugs and supplies ( "Formulary ") which has been reviewed by Envision's Pharmacy & Therapeutics Committee (using evidence -based evaluation criteria for safety and efficacy in accordance with URAC standards and, when applicable, CMS guidelines) to be used by Plan Sponsor, Licensed Prescribers, Participating Pharmacies, and Members to guide the selection of cost effective Covered Medications. The Formulary may be modified from time to time as new medications and /or new clinical information become available, is constantly updated to reflect any changes, and is accessible via Envision's website. Plan Sponsor acknowledges that adherence to the Formulary is necessary to maximize cost savings and yields in Manufacturer Derived Revenue, however, the determination of which Formulary and non - Formulary drugs are covered, limited, or excluded are governed by Plan Sponsor's Benefit Plan. Any customization of the Formulary desired by Plan Sponsor for its use must be approved, in writing, by Envision, and Plan Sponsor acknowledges that such modifications may affect yields in Manufacturer Derived Revenue. \PaMSA (frm060711)(final2) © Envision Pharmaceutical Services, Inc. Pag Racket Pg. 510 2.8 Generic Substitution Unless otherwise specified by Plan Sponsor in the Benefit Specification Form, the Claims Adjudication System will permit Participating Pharmacies to dispense a Generic Drug when a prescription is written for a Brand Drug. The decision to substitute a Generic Drug for a Brand Drug and the choice of drug is at the discretion of the dispensing pharmacy and subject to the law of the state in which the pharmacy is located. 2.9 Prior Authorizations; Drug Utilization Review; and Drug Therapy Management 2.9.1 System Generated Prior Authorizations Envision shall configure the Claims Adjudication System to require prior authorization before Covered Medications are dispensed in certain circumstances which have been specified by Plan Sponsor in the Benefit Specification Form. Examples of system generated prior authorizations include requests for lost or stolen drugs, vacation supplies, certain package sizes, dosage changes, and invalid days' supply. System generated prior authorizations are included in the Administrative Fee. 2.9.2 Clinical Prior Authorizations If Plan Sponsor has elected to receive Clinical Prior Authorization services from Envision, for those Covered Medications and circumstances specified b.y Plan Sponsor in the Benefit Specification Form, Envision shall contact the prescriber and verify that the requested drug is appropriate for the diagnosis in the judgment of the prescriber. Plan Sponsor will be charged for Clinical Prior Authorizations as specified in Exhibit 1. 2.9.3 Concurrent Drug Utilization Review Envision shall program edits into the Claims Adjudication System which are applied to Claims during the adjudication process to identify the following: duplicate prescriptions; over - utilization/refill too soon; under - utilization; drug interactions; pediatric warnings; geriatric warnings; acute /maintenance dosing; formulary compliance; therapeutic duplication; drug inferred health state; drugs exceeding maximum dose; drugs below minimum daily dosage, and other financial and cost limitations which are specified by Plan Sponsor in the Benefit Specification Form. The Claims Adjudication System will provide the dispensing pharmacy with the appropriate messaging to advise the pharmacy of Concurrent ]Drug Utilization Review issues. 2.9.4 Retrospective Drug Utilization Review Envision may review Claims retrospectively, as specified in the Benefit Specification Form, to determine the drug utilization patterns of Members, and report the results of retrospective reviews to Plan Sponsor. Retrospective Drug Utilization Review reports may include, but are not limited to: high cost /high utilization of a particular drug class, or therapeutic appropriateness of drug for a particular disease state, and other agreed upon reports. 2.9.5 Drug Therapy Management (DTM) and other Clinical Programs Envision ®_ provides certain clinical programs such as Drug Therapy Management, Drug Therapy Care Gap Management, and Formulary Adherence. Plan Sponsor may elect to receive some or all of these services at an additional charge by indicating so in the Benefit Specification Form. A description and cost of these programs will be provided upon request. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Pag Packet Pg. 511 2.10 Business Associate Agreement Envision shall execute a HIPAA Business Associate Agreement, attached as Exhibit 2. 2.11 Customer Service Envision shall maintain and operate a customer service center with toll -free customer service numbers and adequately staffed with trained personnel 24 hours a day, 7 days a week, 365 days a year, for the use of Plan Sponsor, Members, Licensed Prescribers, and Participating; Pharmacies. 2.12 Records Envision shall maintain such business records as may be required by applicable law or regulation, or as may be necessary to properly document the delivery of, and payment for, Covered Medications and the provision of services by Envision under this Agreement. 2.13 Rep orts: Envision shall provide Plan Sponsor with access to web -based report generator through which Plan Sponsor may create and download a variety of standard and customized reports. Envision shall provide training for a Plan Sponsor designated individual on the capabilities of Envision's web -based reporting program. Plan Sponsor represents that the designated individual has received training and has knowledge of the HIPAA privacy and security regulations. Any reports that are to be provided by Envision to Plan Sponsor without cost (other than those available from Envision's web -based reporting program) shall be mutually determined prior to the configuration of Plan Sponsor's Benefit Plan in the Claims Adjudication System and shall be specified in the Benefit Specification Form. Plan Sponsor shall be charged a fee for any other reports requested by Plan Sponsor. 2.14 Distribution of Materials Envision shall bulk ship printed materials produced by Envision as agreed hereunder to Plan Sponsor at no additional charge. If Plan Sponsor requests ID Cards or other printed materials to be mailed directly to Members, Plan Sponsor shall reimburse Envision its costs of postage and handling. 2.15 Reti Drug Subsidy (RDS) Reports For Plan Sponsors which submit requests for drug subsidies under the Medicare RDS program, Envision shall provide Plan Sponsor with quarterly reports summarizing Claims paid by Plan Sponsor for Medicare Part D drugs dispensed to Members who Plan Sponsor has identified on the appropriate form as Medicare eligible retirees. Plan Sponsor acknowledges that any estimated Manufacturer Derived Revenue which has been passed - through to Plan Sponsor will have been deducted from the Claim amounts reported. Unless otherwise specified herein or included under an addendum to this Agreement, Envision shall not be responsible or liable to Plan Sponsor for any RDS services or subsidies. Any assistance requested by Plan Sponsor and /or provided by Envision shall be solely consultative and shall not be deemed to be an acceptance by Envision of any responsibility or liability for the completion or submission of any RDS application or request for subsidies under Medicare Part D. 2.16 Additional Services Any services to be rendered under this Agreement which are not included in the Administrative Fee shall be itemized in the Exhibits and Addendums hereto along with any associated costs or charges. \PBMSA (frm06O'7l 1)(final2) © Envision Pharmaceutical Services, Inc. Pag Packet Pg. 512 2.17 Performance Guarantees Envision shall provide PBM Services in accordance with the Performance Guarantees specified in Exhibit 3. Failure to meet targets will be determined by means of reports produced by Envision. If Envision fails to meet any of the Performance Guarantees, and Plan Sponsor desires to assess penalties, payment to Plan Sponsor is payable by Envision within thirty (30) business days. The total amount of penalties payable by Envision in any Contract Year shall not exceed ten percent (10 %) of Envision's Administrative Fee paid by Plan Sponsor during applicable Contract Year. Upon approval from Plan Sponsor, payment of penalties may be credited towards future Administration Fees. Failure to meet Performance Guarantees shall not be deemed to be a breach of this Agreement. 3. PLAN SPONSOR RESPONSIBILITIES 3.1 Eligibility Plan Sponsor shall provide Envision (either directly or through an authorized third party administrator) with an Eligibility File, at least monthly, in the HIPAA 834 standard transaction code set format, or such other format as has been previously agreed to by Envision. Plan Sponsor shall provide timely eligibility updates (for example, additions, terminations, change of address or personal information, etc.) to ensure accurate determination of the eligibility status of Members. Plan Sponsor acknowledges and agrees that (i) Envision provides such eligibility data to the Participating Pharmacies and understands that Envision and Participating Pharmacies will act in reliance upon the accuracy of data received from Plan Sponsor; (ii) Envision will continue to rely on the information provided by Plan Sponsor until Envision receives notice that such information has changed; and (iii) Envision shall not be liable to Plan Sponsor for any Claims or expense resulting from the provision by Plan Sponsor (or its designee) of inaccurate, erroneous, or untimely information. In addition, if Envision must create or update eligibility by manually entering Member data, Plan Sponsor will be charged a data entry fee as specified in Exhibit 1. In lieu of the Eligibility File, Plan Sponsor may provide eligibility information by updating the Claims Adjudication System directly (except for the initial Eligibility File, which must be provided to Envision during the initial implementation), provided Phan Sponsor continues to meet Envision's conditions and specifications for direct eligibility updates. 3.2 Benefit Plan Plan Sponsor shall provide Envision with complete information concerning the Benefit Plan. Plan Sponsor understands and agrees that Envision shall rely on the terms and conditions provided by Plan Sponsor on the Benefit Specification Form. The Benefit Specification Form may be changed from time to time by Plan Sponsor; provided, however, that the form must be signed by Plan Sponsor and any changes to the Benefit Plan must be communicated to Envision, in writing, at least thirty (30) days before any such change shall be implemented. The most recent executed Benefit Specification Form shall supersede any prior dated form. Plan Sponsor shall have sole authority to determine the terms of the Benefit Plan and the coverage of benefits thereunder, however, Plan Sponsor understands and agrees that any change in the Benefit Plan (e.g. mandatory generic program, coverage of over - the - counter drugs or medications, etc.) may affect yields in Manufacturer Derived Revenue and average drug pricing, and that Envision will not be liable to Plan Sponsor for a reduction of such yields or increase in pricing which result from any change in the Benefit Plan. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page 1 1 11 flj Packet Pg. 513 3.3 Payment Plan Sponsor shall timely pay, or cause its designee to timely pay, Envision for services rendered hereunder in accordance with Section 4 below and Exhibit 1. 3.4 Coop eration: Plan Sponsor shall provide such cooperation and support as reasonably necessary to ensure that Envision can provide all services described hereunder in a timely, responsible, and professional manner. 4. TERMS OF PAYMENT 4.1 Fees and Dru Pricing ricing Envision and Plan Sponsor agree that fees for PBM Services and drug pricing payable by Plan Sponsor hereunder are as set forth in Exhibit 1 hereto, as may be amended in writing from time to time. Plan Sponsor acknowledges that (i) Exhibit 1 has been reviewed and approved by Plan Sponsor; (ii) the rates specified in Exhibit 1 are conditioned upon Plan Sponsor's adherence to certain conditions under this Agreement; and (iii) the rates specified in Exhibit 1 are subject to adjustment for Contract Years after the Initial Term due to, among other factors, changes to administrative costs, changes in the negotiated discounts with Participating; Pharmacies, and /or changes in Manufacturer Derived Revenue amounts with pharmaceutical manufacturers. 4.2 Pavrnents for Claims Envision shall provide Plan Sponsor with an invoice of payable Claims once, each week and Plan Sponsor shall pay Envision's invoices no later than 12:00 p.m. on the thirtieth (30 calendar day from receipt of said invoices and backup containing a breakdown of the claims paid. Invoices shall be deemed to have been received by Plan Sponsor upon the earliest delivery of the invoice by mail, e -mail, fax, or courier. 4.3 Financial Responsibility Plan Sponsor understands and agrees that Envision cannot obligate Participating Pharmacies to continue to dispense Covered Medications without receiving payment for past Claims and Envision shall not be obligated to pay Participating Pharmacies if Plan Sponsor fails to timely pay Envision as required under this Agreement. Plan Sponsor understands that, if Plan Sponsor has not paid within seven (7) calendar days of written notice by Envision of a past due Claims invoice, Envision may notify Participating Pharmacies that Plan Sponsor has not timely paid amounts due for Claims. Further, Envision may suspend the provision of services until any unpaid balance is received and, as a condition of continuing to perform services under this Agreement, require Plan Sponsor to deposit with Envision a reasonable amount to ensure the timely payment of future invoices and /or discontinue advancing Manufacturer Derived Revenue to Plan Sponsor using Envision's Point -of -Sale Technology. Plan Sponsor further agrees that Envision shall not be liable for any consequences resulting from the untimely payment of Participating Pharmacies, including, without limitation, failure to meet any applicable prompt payment laws, due to the failure of Plan Sponsor to timely pay Envision as required under this Agreement. Notwithstanding anything herein to the contrary, Plan Sponsor shall be and remain responsible for the payment of all invoices for Covered Medications dispensed to Members, along with any associated Cost Share not timely paid by Members, and dispensing fees and taxes. If Plan Sponsor should fail to pay any amounts due Envision hereunder due to insolvency, bankruptcy, termination of business, sale, or rebuff, Envision reserves the right to pursue payment from Members to the extent permitted by law. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page Packet Pg. 514 4.4 Payment of Administrative Fee Envision shall provide Plan Sponsor with an invoice of Administrative Fees on or about the first day of each month following delivery of services. Administrative Fees are due within thirty (30) calendar days of receipt of Envision's invoice. The monthly Administrative Fee is calculated by multiplying the number of Employees who are eligible to receive services hereunder at any time during the prior month (as reflected in the Claims Adjudication System) by the Administrative Fee amount set forth in Exhibit 1. 4.5 Fees for Additional Services and Miscellaneous Expenses Plan Sponsor agrees to reimburse Envision for Additional Services and Miscellaneous Expenses (e.g. postage) specified in Exhibit 1 hereunder, within thirty (30) calendar days of receipt of an invoice and supporting documentation. 4.6 Retroactive Disenrollment Retroactive termination or disenrollment of a group, Employee, or Member shall not release Plan Sponsor of its obligation to pay Claims incurred, at any time, on behalf of such Member, or Administrative Fees due to Envision for such Member during any period for which services were renderable hereunder based on the then current eligibility. 4.7 Taxes Any sales or use taxes for Covered Medications sold to Members shall be charged, collected, and paid to state and local taxing authorities by the dispensing pharmacy. Plan Sponsor shall reimburse Envision or the dispensing pharmacy for taxes paid as part of the reimbursement for Claims. Other than as stated herein, the Plan Sponsor is not liable under Florida law for sales or use taxes. 4.8 Financial Audit by Plan Sponsor Plan Sponsor, at its sole expense, may audit Envision's records of Claims adjudicated under this Agreement. Envision shall make available to Plan Sponsor's auditor, any and all financial records containing Plan Sponsor's information and such other records as reasonably necessary for auditor to confirm that the amounts paid by Plan Sponsor are! the cost to Envision on the day the Covered Medication was dispensed. Plan Sponsor agrees to not use as its auditors, any person or entity which, in the sole discretion of Envision, is a competitor of Envision, a pharmaceutical manufacturer representative, or any other person or entity which has a conflict of interest with Envision. Plan Sponsor understands that Envision's contracts with pharmaceutical manufacturers, Participating Pharmacies, and other third parties may contain non - disclosure provisions, and hereby agrees to comply with such non- disclosure provisions, subject to requirements of Florida public records law in the Florida Constitution. and Chapter 119 of the Florida Statutes. If Plan Sponsor utilizes an independent auditor, such auditor shall execute a conflicts of interest disclosure and confidentiality agreement with Envision prior to the audit. Audits shall only be made during normal business hours following teen (10) days written notice, be conducted without undue interference to Envision's business activity, and in accordance with reasonable audit practices. Plan Sponsor's auditor may inspect Envision's contracts with Participating Pharmacies and pharmaceutical manufacturers at Envision's offices only or by a secure website, and no copies of such contracts may be removed from Envision's offices. Plan Sponsor agrees to disclose the findings and methodologies of a completed audit, and provide Envision with a reasonable period of time to respond to such findings and methodologies, before a demand is made by Plan Sponsor for amounts it believes are due from Envision. If an auditor employed by the County or Clerk determines that monies \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page Packet Pg. 515 paid to Envision pursuant to this Agreement were spent for purposes not authorized by this Agreement, Envision shall repay the monies together with interest calculated pursuant to Sec. 55.03, FS, running from the date the monies were paid to Envision. 5. TERM AND TERMINATION 5.1 Term The term of this Agreement shall commence on the Effective Date and shall remain in full force and effect for an initial term of three (3) years ( "Initial Term ") unless earlier terminated as provided herein. Upon the expiration of the Initial Term, and each subsequent renewal term, this Agreement shall renew automatically for an additional term of one year; unless, at least sixty (60) days prior to the end of such term, either party hereto notifies the other, in writing, of its intent that the Agreement terminate at the end of the current term. 5.2 Termination This Agreement may be terminated as follows: 5.2.1 For Cause By either party hereto in the event the other party breaches any of its material obligations hereunder; provided, however, that the defaulting party shall have thirty (30) days to correct such breach after written notice is given by such non - breaching party specifying the alleged breach; 5.2.2 Insolvency By either party hereto in the event the other party (i) is adjudicated insolvent, under state and /or federal regulation, or makes an assignment for the benefit of creditors; (ii) files or has filed against it, or has an entry of an order for relief against it, in any voluntary or involuntary proceeding under any bankruptcy, insolvency, reorganization or receivership law, or seeks relief as therein allowed, which filing or order shall not have been vacated within sixty (60) calendar days from the entry thereof, (iii) has a receiver appointed for all or a substantial portion of its property and such appointment shall not be discharged or vacated within sixty (60) calendar days of the date thereof; (iv) is subject to custody, attachment or sequestration by a court of competent jurisdiction that has assumed of all or a significant portion of its property; or (v) ceases to do business or otherwise terminates its business operations, is declared insolvent or seeks protection under any bankruptcy, receivership, trust deed, creditors arrangement or similar proceeding; 5.2.3. Failure to Pay By Envision, upon reasonable notice, in the event Plan Sponsor fails to pay Envision according to terms of this Agreement. 5.2.4- Termination Without Cause By either party, effective no sooner than the end of the second Contract Year, by providing the other party with at least sixty (60) days written notice. 5.3 Noti ces: All notices required in this Section 5 shall be reasonably specific concerning the cause for termination and shall specify the effective date and time of termination. 5.4 Effect of Termination Termination of this Agreement for any reason shall not release any party hereto from obligations incurred under this Agreement prior to the date of termination. E All services required to be performed under the terms of this Agreement shall be provided \PBMSA (frm0607I 1)(fina12) © Envision Pharmaceutical Services, Inc. Page I nf?A Packet Pg. 516 through the effective date of termination. Except as otherwise agreed, in writing, no services shall be provided by Envision after the effective date of termination. All payments required to be paid under the terms of this Agreement shall be paid in full. 6. CONFIDENTIAL INFORMATION 6.1 Confidentiality Except as otherwise stated herein or required by law, neither party hereto shall disclose any information of, or concerning the other party which has either been provided by one party to the other or obtained by a party in connection with this Agreement (including this Agreement and the terms of this Agreement) or related to the services rendered under this Agreement, all of which information is deemed confidential information. All data, information., and knowledge supplied by a party hereto shall be used by the other party exclusively for the purposes of performing this Agreement. Notwithstanding any of the foregoing to the contrary, "confidential information" shall not include any information which was known by a party prior to receiving it from the other party, or that becomes rightfully known to a party from a third party under no obligation to maintain its confidentiality, or that becomes publicly known through no violation of this Agreement. 6.2 Protected Health Information Plan Sponsor will have access to Protected Health Information (PHI) (as defined by HIPAA) contained in reports provided by Envision or accessed by Plan Sponsor via Envision's website. Plan Sponsor agrees, for itself and its employees, that PHI shall not be used for any impermissible purpose, including, without limitation, the use of PHI for disciplinary or discriminatory purposes, and any user names and passwords assigned to designated individuals shall not be shared with non - designated individuals. 7. INDEMNIFICATION 7.1 Limited Indemnification by Envision Envision hereby agrees to indemnify, hold harmless, and defend Plan Sponsor and its employees, officers, directors, trustees, shareholders, and agents :from and against any and all liabilities, actions, claims, damages, costs, losses and expenses (including without limitation, reasonable costs of investigation and attorneys' fees) caused by on arising out of (i) any act or omission by Envision in the performance of the services provided under this Agreement; or (ii) any breach of any representation, covenant, or other agreement of Envision contained in this Agreement. 7.2 Limited Indemnification by Plan Sponsor Subject to the limitations of Section 768.28, Florida Statutes, Plan Sponsor hereby agrees to indemnify, hold harmless, and defend Envision and its employees, officers, directors, shareholders, affiliates and agents from and against any and all liabilities, actions, claims, damages, costs, losses and expenses (including without limitation, reasonable costs of investigation and attorneys' fees) caused by or arising out of (i) the provision by Plan Sponsor or its designee of erroneous information; or (ii) Plan Sponsor's failure to comply with state or federal law in the operation of its Benefit Plan. 7.3 Limitation of Liability Except for the indemnification obligations set forth above, each party's liability to the other hereunder will in no event exceed the actual proximate losses or °P E damages caused by breach of this Agreement. In no event will either party or any of their \PBMSA (frm060?I 1)(final2) © Envision Pharmaceutical Services, Inc. Page 14 of 24 Packet Pg. 517 respective affiliates, directors, employees or agents, be liable for any indirect, special, incidental, consequential, exemplary or punitive damages, or any damages for lost profits relating to a relationship with a third party, however caused or arising, whether or not they have been informed of the possibility of their occurrence. 7.4 Survival This Section 7 shall survive the expiration or termination of this Agreement for any reason. 8. RELATIONSHIP WITH CONTRACTED PHARMACIES Plan Sponsor acknowledges that Envision is neither an operator of pharmacies nor exercises control over the professional judgment used by any pharmacist when dispensing drugs or medical supplies to Members. Nothing in this Agreement shall be construed to usurp the dispensing pharmacist's professional judgment with respect to the dispensing or refusal to dispense any drugs or medical supplies to Members. Plan Sponsor releases Envision from any liability arising from the dispensing of drugs or medical supplies by any pharmacy to Members. 9. GENERAL 9.1 Leg Status Nothing in this Agreement shall be deemed to confer upon Envision the status of a fiduciary (as defined in the Employee Retirement Income Security Act of 1974, as amended ( "ERISA "), the Americans with Disabilities Act, as amended ( "ADA "), or by any other definition), except to extent, in the performance of its obligations under this Agreement, Envision exercises actual discretionary control over the property of Plan Sponsor, or as required under applicable law. Further, Plan Sponsor retains the sole responsibility for the terms and /or validity of the Benefit Plan; the interpretation and determinations of coverage under the Benefit Plan, and for the disclosing or reporting of information regarding the Benefit Plan or changes in the Benefit Plan (e.g., calculation of Cost Share or creditable coverage) as may be required by law to be disclosed to governmental agencies or Members. 9.2 Independent Contractors Envision and Plan Sponsor are independent contractors. Notwithstanding anything herein to the contrary, neither party hereto, nor any of its respective employees, shall be construed to be the employee, agent, or representative of the other for any reason, or liable for any acts of omission or commission on the part of the other. 9.3 Exclusivity During the term of this Agreement, Envision shall be the sole provider of PBM Services to Plan Sponsor, including, without limitation, the exclusive contractor of rebates with pharmaceutical manufacturers for Plan Sponsor's Claims. 9.4 Assi nment: Except as follows, this Agreement may not be assigned by either party hereto without the prior express written consent of the other party, which may not be unreasonably withheld. 9.5 Bindin_ Effect This Agreement and the exhibits and schedules attached hereto shall be binding upon and inure to the benefit of the respective parties hereto and their respective successors and assigns. \PBMSA (frm060711)(final2) © Envision Pharmaceutical Services, Inc. Page 15 of 24 Packet Pg. 518 9.6 Intellectual Property Each party hereto reserves the right to and control of the use of their names, symbols, trademarks or service marks presently existing or hereafter established, and no party may use any names, symbols, trademarks or service marks of any other party without the owner's written consent. 9.7 Waiver Neither the failure nor any delay on the part of either party hereto to exercise any right, power or privilege hereunder will operate as a waiver thereof, nor will any single or partial exercise of any such right, power or privilege preclude any other or further exercise thereof, or the exercise of any other right, power or privilege. In the event any party hereto should waive any breach of any provision of this Agreement, it will not be deemed or construed as a waiver of any other breach of the same or different provision. 9.8 Severability The invalidity or non - enforceability of any term or provision of this Agreement shall in no way affect the validity or enforceability of any other term or provision. 9.9 Cha in Law or Market Conditions If any law, regulation, or market condition (e.g. an applicable industry standard reference on which pricing hereunder is based, changes the methodology for determining drug price in a way that materially changes the pricing or economics of the Agreement), either now existing or subsequently occurring, affects the ability of either party hereto to carry out any obligation hereunder (a "Material Change "), Envision and Plan Sponsor shall renegotiate the affected terms of this Agreement, in good faith, to preserve, to the extent possible, the relative positions of the parties that existed prior to such Material Change. Either party may notify the other party of a Material Change. If a successful renegotiation is not achieved within thirty (30) days after notification of a Material Change, any failure of the affected party to meet its obligations hereunder due to the effect of such Material Change shall not be deemed to be a breach of this Agreement; however, if continuation of the Agreement without modification is in violation of any law or regulation, or makes it impracticable for the affected party to meet its obligations hereunder, either party may terminate this Agreement with sixty (60) days prior written notice. 9.10 HeactiM The section or paragraph headings contained in this Agreement are for reference purposes only and shall not affect the meaning or interpretation of this Agreement. 9.11 Entire Agreement This Agreement shall constitute the entire agreement between Envision and Plan Sponsor with respect to the subject matter herein and supersede any prior understanding or agreements of any kind preceding this Agreement with respect to such subject matter. Any modification or amendment to this Agreement, or additional obligation assumed by Envision or Plan Sponsor in connection with this Agreement, shall be binding only if evidenced in a writing signed by both parties hereto. No term or provision of this Agreement shall establish a precedent for any term or provision in any other agreement. 9.12 Acceptance of Offer Notwithstanding anything herein to the contrary, this Agreement shall not be binding upon the parties hereto unless and until the Agreement is signed and executed by a duly authorized officer of each of the parties. The signing of this Agreement by Plan Sponsor constitutes an offer only until the same has been accepted by Envision. \PBMSA (frm0607I 1)(final2) © Envision Pharmaceutical Services, Inc. Page 1 of 24 9.13 Mediation If either party to this Agreement should declare a breach of this Agreement, or if any dispute arises from this Agreement or the subject of this Agreement, the parties shall first submit the matter to non - binding mediation (not arbitration) and attempt to resolve the matter, in good faith, prior to the institution of any arbitration or any other legal action. Any statements made at such mediation shall be for settlement purposes only and shall not be construed to be an admission. A party demanding mediation shall be entitled to obtain a court order mandating mediation if the other party does not agree to commence mediation within thirty (30) days after written demand. The fees and costs incurred by the party seeking such court order shall be reimbursed by the other party; otherwise, each party shall pay its own costs of mediation. All such mediation proceedings shall be conducted on a confidential basis. The mediation shall be conducted in Key West, Florida. 9.14 Choice of Law This Agreement shall be construed, interpreted, and governed according to the laws of the State of Florida, except to the extent such laws are preempted by applicable Federal law.. 9.15 Force Majeure Neither Envision nor Plan Sponsor will be deemed to have breached this Agreement or be held liable for any failure or delay in the performance of all or any portion of its obligations under this Agreement if prevented from doing so by a cause or causes beyond its control. Without limiting the generality of the foregoing, such causes include acts of God or the public enemy, fires, floods, storms, earthquakes, riots, strikes, boycotts, lock -outs, acts of terrorism, acts of war or war - operations, restraints of government, power or communications line failure or other circumstances beyond such party's control, or by reason of the judgment, ruling or order of any court or agency of competent jurisdiction, or change of law or regulation (or change in the interpretation thereof) subsequent to the execution of this Agreement. The party claiming force majeure must provide the other party with reasonable written notice. However, as soon as cause preventing performance ceases, the party affected thereby shall fulfill its obligations as set forth under this Agreement. This Section 9.15 shall not be considered to be a waiver of any continuing obligations under this Agreement, including, without limitation, the obligation to make payments. 9.16 Noti ces: All notices required under this Agreement shall be in writing, signed by the party giving notice and shall be deemed sufficiently given immediately after being delivered by hand, or by traceable overnight delivery service, or by registered or certified mail (return receipt requested), to the other party at the address set forth below or at such address as has been given by proper notice. 9.17 Representations Each signatory named below represents and warrants that he or she (i) has read this Agreement, Exhibits, and other attachments, and fully understands and agrees to the content therein; (ii) has entered into this Agreement voluntarily; (iii) has not transferred or assigned or otherwise conveyed in any manner or form any of the rights, obligations or claims which are the subject matter of this Agreement; and (iv) has the full power and authority to execute this Agreement. Envision further represents that there are no organizational arrangements that could potentially create a conflict of interest that affects clinical or financial decisions. Plan Sponsor further represents and warrants that (i) the entering into this Agreement \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page 1 of 24 for PBM Services is not in violation of any other agreement; (ii) has no undisclosed conflicts of interest; and (iii) it maintains, and shall continue to maintain throughout the term of this Agreement, any and all licenses, governmental authority, or other authorization required to operate an entity of its type. 9.18 Conflict of Interest Envision warrants that, with respect to itself, it has neither employed nor retained any company or person, other than a bona fide employee working solely for it, to solicit or secure this Agreement and that it has not paid or agreed to pay any person, company, corporation, individual, or firm, other than a bona fide employee working solely for it, any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or making of this Agreement. For the breach or violation of the provision, Envision agrees that the Plan Sponsor shall have the right to terminate this Agreement without liability and, at its discretion, to offset from monies owed, or otherwise recover, the full amount of such fee, commission, percentage, gift, or consideration. Envision also warrants that it has not employed, retained or otherwise had act on its behalf any former Monroe County officer or employee in violation of Section 2 of Ordinance No. 10 -1990 or any Monroe County officer or employee in violation of Section 3 of Ordinance No. 10 -1990. For breach or violation of this provision Monroe County may, in its discretion, terminate this contract without liability and may also, in its discretion, deduct from the contract or purchase price, or otherwise recover, the full amount of any fee, commission, percentage, gift, or consideration paid to the former Monroe County officer or employee. IN WITNESS WHEREOF, Envision and Plan Sponsor have executed this Agreement as of the Effective Date above. For ENVISION: By: 12. 444 u Joseph R. Schauer, COO Print Name & Title A ddrPec- Envision Pharmaceutical Services, Inc 2181 East Aurora Road Twinsburg, OH 44087 PH: 330 -405-8080 FX: 330 -40_5-8081 MON E COUNTY ATTORNEY AP OV AS JO #M L �� VNTHIA L. HA ASSISTANT �OU�TYfTORNEY Date \PBMSA (frm060711)(final2) For PLAN SPONSOR: IN ' 1 (-a- ( (-.,a f f Ut �1 E -( -) Print Name & Title M c v�\ Y 0 e- LJ-c r�t y , Address MCBOCC 1100 Simonton Street Key West, FL 33040 PH: 305- 292 -4452 FX: E -MAIL; FEIN: • % —�; �C) i I , $EA.L) AkT Envision Ph r`ina� Services, Inc. DANNY L. KOLKAUt: DEPUTY CLERK Page 18 of 24 EXHIBIT 1 DRUG PRICING AND FEES Drug Pricing and Dispensing Fees (A) Supply /Source BRAND GENERIC Based On 3 Year Drug Price (B) Dispensing Drug Price (C) Dispensing Contract Fee (D) Fee (D) Annual Average 30 Days' Supply at a Effective Rate of AWP minus 13.55% Annual Annual Average Annual Retail Pharmacy Average Effective Rate of Average (Equivalent to Pre- $1.40 AWP minus 73% $1.50 Settlement discount of 17 %) Annual Average 90 Days' Supply at a Effective f t Rate ae o Annual Average Retail Pharmacy AWP minus 18.75% None Effective Rate of None (non -Mail Order) (Equivalent to Pre- AWP minus 74% Settlement discount of 22 %) Annual Average Mail Order (at Effective Rate of Annual Average Orchard AWP minus 19.8% $9.50 Effective Rate of $9.50 Pharmaceutical (Equivalent to Pre- AWP minus 86% Services) Settlement discount of 23 %) Specialty (at Walgreens Specialty (Pass- through of negotiated price with dispensing pharmacy) Pharmacy) (A) Calculated. price using the applicable negotiated contract rate (i.e. AWP or MAC rate, or U &C Price). In order to illustrate economic neutrality to the 2009 McKesson /First Data Bank Settlement, the pre - settlement AINP values noted in this exhibit have been adjusted to restore the relationship between WAC and AWP as it was prior to September 26 "', 2009. Only the post - settlement AWP values are used to calculate the Average Annual Effective Rates as set forth in Exhibit 1. If the calculated price is lower than the allowable amount under any state Medicaid "Favored Nations" rule, Envision shall pass- through, and Plan Sponsor shall pay, the Medicaid allowable amount. (n) Annual Average Effective Rate for Brand Drugs is calculated using actual price paid to pharmacies by Envision (before deducting Manufacturer Derived Revenue) for all Brand Drug Claims (including Claims paid at the U&C Price) during a Contract Year, excluding (i) Compound Drugs, (ii) Specialty Drugs, (iii) Claims from non - Participating Pharmacies, (iv) Claims paid at the Medicaid allowable amount, (v) 340B Claims. (" Annual Average Effective Rate for Generic Drugs is calculated using actual price paid to pharmacies by Envision for all Generic Drug Claims (including Claims paid at the U &C Price) during a Contract Year, excluding (i) Excluded Generics, (ii) Compound Drugs, (iii) Specialty Drugs, (iv) Claims from non- \PBMSA (frm060711)(final2) © Envision Pharmaceutical Services, Inc. Page 19 of 24 Participating Pharmacies, (v) Claims paid at the Medicaid allowable amount, (vi) 340B Claims. (D) Annual Average Dispensing Fee is the average per Claim fee for all Claims (including Claims paid at the U &C Price) during a Contract Year, excluding (i) Compound Drugs, (ii) Specialty Drugs, (iii) Claims from non - Participating Pharmacies, (iv) Claims paid at the Medicaid allowable amount. Administrative Fee (Payable to Envision; not including fees payable to Plan Sponsor's TPAs, consultants, or brokers, if any) For Contract Year 1: $3.75 Per Employee, Per Month (PEPM) For Contract Year 2: $3.75 PEPM For Contract Year 3: $3.75 PEPM Fees f A Services and Miscellaneous Expenses 1. Replacement by Envision of lost or stolen ID Cards $1.00 per card plus cost of postage 2. Manual Claims Processing and Direct Member Reimbursements (DMRs) $1.50 per Claim processed 3. Manually create or update the Eligibility File $1.00 per Member data entry 4. Ad Hoc Computer or Report Programming $150.00 per hour 5. Clinical Prior Authorizations $8.00 per authorization a a { a a il a \PBMSA (fnn060?11)(final2) © Envision Pharmaceutical Services, Inc. Page 20 of 24 Packet Pg. 523 BUSINESS ASSOCIATE AGREEMENT This BUSINESS ASSOCIATE AGREEMENT (the "Agreement ") is effective the 1" day of October, 2011 (the "Effective Date "), by and between Envision Pharmaceutical Services, Inc. ( "Business Associate ") and Monroe County Board of County Commissioners ( "Plan Sponsor "), each referred to individually herein as a "Party" or collectively as the "Parties ". RECITALS A. Plan Sponsor sponsors a health benefit plan that provides coverage for prescription medications and supplies to covered members. Plan Sponsor has entered into a service agreement with Business Associate to provide certain administrative services to, or on behalf of, Plan Sponsor. B. In order for Business Associate to provide services to Plan Sponsor, Plan Sponsor may disclose certain Protected Health Information ( "PHI ") (as defined in Article 1 of this Agreement) of Plan Sponsor's members to Business Associate and anticipates that Business Associate will create or receive PHI on behalf of Plan Sponsor. C. The Parties also anticipate that Business Associate will be required to create, receive, maintain, or transmit ePHI (as defined in Article 1 of this Agreement) on behalf of Plan Sponsor in order to provide services to Plan Sponsor. D. Business Associate desires to provide the satisfactory assurances required by HIPAA to Plan Sponsor and further define the rights and responsibilities of the Parties under HIPAA for the exchange of PHI, including ePHI. E. Title XIII of the American Recovery and Reinvestment Act of 2009, also known as the Health Information Technology for Economic and Clinical Health ( "HITECH ") Act, amends HIPAA (as defined in Article 1 of this Agreement). F. This Agreement incorporates provisions 42 U.S.C. § 17931(a) and 42 U.S.C. § 17934(a) of the HITECH Act. NOW, THEREFORE, the Parties, in consideration of the mutual agreements herein contained, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, do hereby agree as follows: Article 1: Definitions For the purposes of this Agreement, the following defined terms shall have the following definitions. Except as otherwise stated herein, the defined terms used in this Agreement shall have the meanings given them under the Health Insurance Portability and Accountability Act of 1996 and the regulations thereunder, including any amendments thereto ( "HIPAA "). 1.1. "Breach" shall mean the acquisition, access, use, or disclosure of PHI in a manner not permitted under Subpart E of 45 C.F.R. Part 164 (regarding the privacy of PHI, otherwise known as the "HIPAA Privacy Standards "), which compromises the security or privacy \BAA [Rev. 03 -02: -2010] Packet Pg. 524 of the PHI. For purposes of this definition, "compromises the security or privacy of the PHI," means poses a significant risk of financial, reputational, or other harm to the Individual. If the use or disclosure of PHI does not include the identifiers listed in 45 C.F.R. § 164.514(e)(2), date of birth, and zip code, the use or disclosure does not compromise the security or privacy of the PHI, and is not deemed to be a Breach. "Breach" also excludes: (1) Unintentional acquisition, access, or use of PHI by an employee or a person acting under the authority of Business Associate, if such acquisition, access, or use was made in good faith and within the scope of the authority, and does not result in further use or disclosure in a manner not permitted under the HIPAA Privacy Standards. (2) ]Inadvertent disclosure of PHI from a person authorized to access PHI at Business Associate to another person authorized to access PHI at Business Associate, and the information received as a result of the disclosure is not further used or disclosed in a manner not permitted under the HIPAA Privacy Standards. (3) A disclosure of PHI in which Business Associate has a good faith belief that an unauthorized person to whom PHI is disclosed would not reasonably have been able to retain the information. 1.2. "Compliance Date" shall mean April 14, 2004 with regard to the HIPAA Privacy Standards, and April 20, 2006 with regard to Subpart C of 45 C.F.R. Part 164 (regarding the security of ePHI, otherwise known as the "HIPAA Security Standards "). 1.3. "Designated Record Set" shall have the meaning prescribed to it in the HIPAA Standards. 1.4. "Electronic Media" shall have the meaning prescribed to it in the HIPAA Standards 1.5. "Electronic Protected Health Care Information" ( "ePHI ") shall mean PHI that is transmitted or maintained in Electronic Media. 1.6. "HH S" shall mean the U. S. Department of Health and Human Services. 1.7. "HIPAA Standards" shall mean the standards for privacy and security of Individually Identifiable Health Information found at 45 C.F.R. Parts 160 and 164. 1.8. "Individual" shall have the same meaning as the term "individual" in the HIPAA Standards and shall include a person who qualifies as a personal representative in accordance with the HIPAA Standards. 1.9. "Individually Identifiable Health Information" shall have the meaning prescribed to it in the HIPAA Standards. 1.10. "Protected Health Information" ( "PHI ") shall have the meaning prescribed to it in the HIPAA Standards, limited to Individually Identifiable Health Information transmitted or \BAA [Rev. 03 -02 -20101 Packet Pg. 525 maintained in any form or medium that Business Associate creates or receives from or on behalf of Plan Sponsor. 1.11. "Required by Law" shall have the same meaning as the term "required by law" in the HIPAA Standards. 1.12. "Secretary" shall mean the Secretary of HHS or his or her designee. 1.13. "Unsecured PHI" shall mean PHI that is not rendered unusable, unreadable, or indecipherable to unauthorized individuals through the use of technology or methodology specified by the Secretary in the guidance issued under section 13402(h)(2) of Public Law 111 -5 on the HHS Website. Article 2: Business Associate Use and Disclosure of PHI and ePHI 2.1. Pugiose As further described above under Recitals, Business Associate performs certain administrative services for the Plan Sponsor. 2.2. Rec and Use of PHI Performance of administrative services requires that Business Associate receive and use PHI obtained from or on behalf of Plan Sponsor, or that Business Associate create, receive, maintain, or transmit ePHI on behalf of Plan Sponsor. To perform these administrative services, Business Associate may use or disclose PHI provided such use or disclosure would not violate the HIPAA Standards if done by Plan Sponsor. However, Business Associate may use PHI internally to carry out its legal responsibilities and for its proper management, internal auditing, and administration, and at the request of Plan Sponsor, to provide data aggregation services to Plan Sponsor as permitted by the HIPAA Standards. 2.3. Disclosure of PHI Performance of administrative services by Business Associate may require that Business Associate disclose PHI to agents or subcontractors of Business Associate. Business Associate may disclose PHI to third parties with which it contracts to assist in providing administrative services, and to its agents to carry out Business Associate's legal responsibilities, for proper management, internal auditing, and administration, only if (a) Business Associate obtains reasonable assurances from such third parties or agents that the PHI will be held by them confidentially and used or further disclosed only as Required by Law or for the purpose for which it was disclosed to them, (b) such third parties or agents agree to implement reasonable and appropriate safeguards to protect the confidentiality, integrity, and availability of ePHI, and (c) such third parties or agents agree to notify Business Associate of any instance of which they are aware that the confidentiality of the information has been breached or that a security incident has occurred. Notwithstanding the foregoing, Business Associate will be permitted to exchange PHI or ePHI freely with any Business Associates of the Plan Sponsor with which the Plan Sponsor has executed a Business Associate Agreement/Addendum. 2.4. Obligation for Use and Disclosure of PHI All PHI does not fall within the definition of ePHI and therefore all PHI is not subject to the HIPAA Security Standards. However, all ePHI falls within the meaning of PHI and is therefore subject to the HIPAA Privacy Standards in the same manner as other PHI. \BAA [Rev. 03 -02 -2010] Packet Pg. 526 2.5. Satisfactory Assurances After the Compliance Dates (as defined in Article 1 of this Agreement), Plan Sponsor may not transfer or transmit PHI or ePHI to Business Associate or permit Business Associate to create, receive, or transmit PHI or ePHI on behalf of Plan Sponsor without satisfactory assurances from Business Associate that it will appropriately safeguard the information. Article 3: Duties of Business Associate 3.1. Limitations on Use of PHI Business Associate shall not use PHI except as permitted or required by this Agreement or as Required by Law. Business Associate shall only use PHI in a manner that is consistent with the HIPAA Standards. 3.2. Limitations on Disclosure of PHI Business Associate shall not disclose PHI except as permitted or required by this Agreement or as Required by Law. Business Associate shall only disclose PHI in a manner that is consistent with the HIPAA Standards. 3.3. Minimum Necessary Business Associate shall request, use and disclose the minimum amount of PHI necessary to accomplish the purpose of the request, use or disclosure, in accordance with 42 U.S.C. § 17935(b). 3.4. Safeguarding PHI and ePHI Business Associate shall use appropriate safeguards to prevent the use or disclosure of PHI other than as permitted by this Agreement. Business Associate shall comply with the provisions of 45 C.F.R. §§ 164.308, 164.310, 164.312 and 164.316 in the same manner that such provisions apply to Plan Sponsor, and implement administrative, physical, and technical safeguards that reasonably and appropriately protect the confidentiality, integrity, and availability of the ePHI that it creates, receives, maintains, or transmits on behalf of Plan Sponsor as required by the HIPAA Standards. 3.5. Third Party Agreements Business Associate may need to enter into agreements with third parties, including agents or subcontractors, in order to satisfy its obligations to Plan Sponsor. Should Business Associate disclose to these third parties or agents any PHI received from Plan Sponsor, Business Associate shall require such third parties or agents to agree, in writing, to (a) be bound by the same restrictions and conditions that apply to Business Associate under this Agreement, and (b) implement reasonable and appropriate administrative, technical and physical safeguards to protect PHI and the confidentiality, integrity and availability of ePHI. Notwithstanding the foregoing, Business Associate will be permitted to exchange PHI or ePHI freely with any Business Associates of the Plan Sponsor with which the Plan Sponsor has executed a Business Associate Agreement /Addendum. 3.6. Reporting of Unauthorized Uses and Disclosures and Security Incidents If Business Associate becomes aware that Unsecured PHI has been, or is reasonably believed to have been, accessed, acquired, used, or disclosed as a result of a Breach by Business Associate, its employees, officers, or other agents, or a security incident involving ePHI, except as provided in 45 C.F.R. § 164.412, Business Associate shall notify Plan Sponsor of the Breach, in writing, without unreasonable delay, and no later than sixty (60) calendar days after discovering the Breach. Business Associate is deemed to have discovered the \BAA [Rev. 03 -02 -2010] Packet Pg. 527 Breach on the first day Business Associate knows about the Breach, or by exercising reasonable diligence, would have been known to any person, other than the person committing the Breach, who is an employee, officer, or other agent of Business Associate. 3.7. Content of Notification To the extent possible, Business Associate's notice to Plan Sponsor shall include the identification of each Individual whose Unsecured PHI has been, or is reasonably believed to have been, accessed, acquired, used, or disclosed during the Breach. At the time of notification or soon thereafter as information becomes available, Business Associate shall provide the following information to Plan Sponsor: (a) A brief description of what occurred, including the date of the Breach and the date of discovery of the Breach, if known; (b) A description of the types of Unsecured PHI involved in the Breach; (c) Steps Individuals should take to protect themselves from potential harm resulting from the Breach; (d) A brief description of what Business Associate is doing to investigate the Breach, to mitigate harm to Individuals, and to protect against any further Breaches; and (e) Contact procedures for Individuals to ask questions or learn additional information, including a toll -free telephone number, an e-mail address, website or postal address. 3.8. Burden of Proof Business Associate shall have the burden of demonstrating that it made all notifications to Plan Sponsor, including evidence showing the necessity of any delay, or that the use or disclosure did not constitute a Breach. 3.9. Mitiyation of Disclosure of PHI Business Associate agrees to mitigate, to the extent practicable, any harmful effect that is known to Business Associate of a use or disclosure of P]HI by Business Associate in violation of the requirements of this Agreement. 3.10. Access to PHI Within ten (10) business days of Plan Sponsor's written request, Business Associate shall provide Plan Sponsor or an Individual who is the subject of the PHI with access to PHI in Business Associate's possession, if Business Associate's information consists of a Designated Record Set in order for Plan Sponsor to comply with 45 C.F.R. § 164.524. 3.11. Avaiilabilitv of PHI for Amendment The parties acknowledge that the HIPAA Standards permit an Individual who is the subject of PHI to request certain amendments of his or her records. Within ten (10) business days of Plan Sponsor's written request, Business Associate shall make PHI contained in a Designated Record Set in Business Associate's possession available for amendment and shall incorporate any amendments in accordance with 45 C.F.R. § 164.526. \BAA [Rev. 03 -02 -20101 Racket Pg. 528 3.12. Accounting of Disclosures Business Associate agrees to document disclosures of PHI, and to make available, within ten (10) business days of Plan Sponsor's written request, information to Plan Sponsor concerning Business Associate's disclosure of PHI for which Plan Sponsor needs to provide an Individual with an accounting of disclosures as required by 45 C.F.R. § 164.528. Should an accounting of the PHI of a particular Individual be requested more than once in any twelve (12) month period, Business Associate may charge Plan Sponsor a reasonable, cost -based fee. 3.13. Ava of Books and Records For purposes of determining compliance of Plan Sponsor with the HIPAA Standards, Business Associate agrees to make available to the Secretary its internal policies and procedures, books and records relating to the use and disclosure of PHI received from, or created or received by Business Associate on behalf of, Plan Sponsor. 3.14. Return of PHI at Termination Upon termination of this Agreement, Business Associate, as well as any agents or subcontractors of Business Associate, shall, where feasible, return to Plan Sponsor, or with the permission of Plan Sponsor, destroy all PHI received from or created or received by Business Associate on behalf of, Plan Sponsor and shall retain no copies of PHI. When return or destruction is not feasible, the duties of Business Associate under this Agreement shall be extended to protect the PHI retained by Business Associate. Business Associate agrees to limit further uses and disclosures of the information retained to those purposes that made the return or destruction infeasible. Article 4: Term and Termination 4.1. Basic Term The term of this Agreement shall commence on the effective date stated above and shall terminate when all of the PHI provided by Plan Sponsor to Business Associate, or created or received by Business Associate on behalf of Plan Sponsor, is returned or, at the discretion of Plan Sponsor, is destroyed, in accordance with Section 3.14 of this Agreement. 4.2. Termination for Breach In the event Business Associate breaches or otherwise defaults under this Agreement, Plan Sponsor may provide an opportunity for Business Associate to cure the breach within thirty (30) days, or immediately terminate this Agreement by providing written notice to Business Associate; provided, however, all of the obligations imposed on Business Associate hereunder shall continue. Article 5: Miscellaneous 5.1. Reg References A reference in this Agreement to a section in the HIPAA Standards means the section as in effect or as amended. 5.2. Amendment The Parties to this Agreement agree to take such action to amend this Agreement from time to time as is necessary to comply with the requirements of HIPAA. 5.3. Prior Business Associate Agreements or Addenda This Agreement shall supersede any prior Business Associate Agreement or Business Associate Agreement Addenda. \BAA [Rev. 03 -02 -20101 Packet Pg. 529 5.4. Survival. The respective rights and obligations of Business Associate under Section 3.14 of this Agreement shall survive the termination of this Agreement. 5.5. Intel - Dretation. Any ambiguity in this Agreement shall be resolved to permit Plan Sponsor to comply with the HIPAA Standards. 5.6. HIPAA. Business Associate will comply with all requirements under HIPAA that apply to business associates. IN WITNESS WHEREOF, the parties have, by their duly authorized representatives, executed this Agreeirtent to be effective as of the date first above written. PLAN SPONSOR: By: Print Name Title f'Y C 0 Munroe_ CC-)C(.n �/ 1 Y ATC (,CU - N F30VED AS TO FORilvl: , c he b , , &:&.i SnL-- Oi IF NL m. umaF--,"i ASSISTA�T C ATTOF,!',:Y BUSINESS ASSOCIATE: By: Joseph R. Schauer, COO Print Name & Title EAL) T T, D NNY L DE PU TY CLERK EP al CD 7-D CD CD \BAA [Rev. 03-02-2010] 7 Packet Pg. 530 EXHIBIT 3 Minimum Performance Standards \PBMSA (frm060; 1)(fina12) © Envision Pharmaceutical Services, Inc. Page 22 of 24 *TOTAL DOLLAR CATEGORY/ AMOUNT MEASURE TARGET DEFINITION AT RISK System Availability 99.5% Calculated as the amount of time the $1,000 POS system is available to process claims. System Response time/ <4 seconds Calculated as the time commencing $1,000 measured annually immediately after receipt of the last character of a transaction submitted by a pharmacy until the first character of the response is sent to the pharmacy. Retail Paper Claims Processing Time Percent of direct member 95% Calculated as the number of claims $1,000 submitted prescription reimbursed or responded to within 10 drugs claims reimbursed business days, divided by the total or responded to within number of prescription drugs for a 10 business days specified time period Mail Order Claims Processing Time Turnaround time for 95% within 2 Measured in business days from the $1,000 prescription drugs business days date a prescription drug claim is requiring no intervention received by the PBM (either via paper, phone, fax, or Internet) to the date it is mailed Turnaround time for 98% within 5 Measured in business days from the $1,000 prescription drugs business days date a prescription drug claim is requiring administrative or less received by the PBM (either via paper, /clinical intervention phone, fax, or Internet) to the date it is mailed \PBMSA (frm060; 1)(fina12) © Envision Pharmaceutical Services, Inc. Page 22 of 24 Retail and ]Mail Claims Processing Accuracy Percent of all claims paid >99.98% Based on PBM's internal quality $1,000 with no errors Retail review. Calculated as all claims >99.98% audited and found to be without error Mail of any form, divided by all claims audited Customer Service Percent of calls that will 95% The amount of time that elapses $1,000 be answered within 30 answered in between the time a call is received seconds an average of into a customer service queue to the 30 seconds or time the phone is answered by a less Customer Service Representative (CSR) Percent of calls <4% Percentage of calls that are not $1,000 abandoned answered by PBM (caller hangs up before call is answered). Calculated as the number of calls that are not answered divided by the number of calls received Percent of calls blocked <2% Percentage of all calls made to PBM $1,000 vendor that were not answered because the calls did not enter phone system due to excess volume Percent of calls with >90% Percentage of all calls made to PBM $1,000 resolution at end of first that were resolved by initial CSR. call (i.e. no further Calculated as the total calls to PBM inquiry by caller required minus total number of unresolved to obtain requested calls divided by the total number of information or action) calls received. Percent of written 99% Response time for all written inquiries $1,000 inquiries responded to by will be based on the number of paper within 10 business business days subtracting the date days or responded to received at PBM from the date the electronically within 2 response was sent business days Pharmacy Network >95% Based on network pharmacy access $1,000 Access within, 10 miles for Plan Sponsor's participants. \PBMSA (frm060711)(final2) © Envision Pharmaceutical Services, Inc. Page 23 of 24 Account Management Plan Sponsor satisfaction Results will Plan Sponsor satisfaction results will $1,000 with Account be based on be measured by the response to the Management overall results following question: Overall, how of all Plan satisfied are you with the Account Sponsor Team Service level? "Overall Plan contacts with Sponsor Satisfaction" for the purpose direct contact of this guarantee includes the with Account following responses: Satisfied and Team Very Satisfied. Administration Enrollment :Processing Two (2) Eligibility information submitted to $1,000 business days vendor will become effective within 2 business days. Assumes complete and accurate information is sent to vendor. Ongoing ID card Five (5) Measured as the time from receipt of $1,000 production business days complete and accurate eligibility information to the time vendor deposits ID cards into the mail. Standard reporting cycle Mutually Measured as the time from the last day $1,000 agreed upon of the end of a reporting cycle to the timeline day standard reports are sent to Plan Sponsor. NOTE: Failure to meet targets will be determined by means of reports produced by Envision. For purposes of calculating time with the respect to these Performance Guarantees, the day of receipt shall be excluded and the day of delivery will be included in the calculation as long as delivery occurs prior to 4:00 PM local time. If Envision fails to meet the above listed Performance Guarantees and Plan Sponsor desires to assess penalties, payment to Plan Sponsor is payable within thirty (30) business days. Total amount of penalties payable by Envision in any contract year shall not exceed ten percent (10 %) of Envision's Administrative Fee paid by Plan Sponsor. Upon approval from Plan Sponsor, payment of penalties may be credited towards future Administration Fees. Failure to meet Performance Guarantees shall not be deemed to be a breach of this Agreement. \PBMSA (frm06071 1)(final2) © Envision Pharmaceutical Services, Inc. Page 24 of 24 MEDICARE RETIREE DRUG SUBSIDY ADDENDUM This Medicare Retiree Drug Subsidy Addendum ( "RDS Addendum ") is effective the 1st day of October, 2011, by and between Envision Pharmaceutical Services, Inc. ( "Envision "), and Monroe County Board of County Commissioners ( "Plan Sponsor "). RECITALS WHEREAS, Envision and Plan Sponsor are parties to a Pharmacy Benefit Management Services Agreement dated October 0, 2011 (the "Agreement') under which Envision provides PBM Services to and on behalf of Plan Sponsor; and WHEREAS, Plan Sponsor has established and sponsors a Qualified Retiree Prescription Drug Plan ( "Part D Plan") pursuant to 42 CFR § 423.884 under the Medicare Part D Program in order to apply for and collect retiree drug subsidy ( "RDS ") payments for covered Part D drugs provided to Eligible Retirees; WHEREAS, Envision provides certain services on behalf of Plan Sponsors to assist in the reporting of information required for the collection of RDS payments ( "RDS Services "); and WHEREAS, Plan Sponsor desires to engage Envision to provide the RDS Services set forth herein. Now, therefore, Envision and Plan Sponsor hereby agree as follows: 1. Definitions Capitalized terms not otherwise defined herein shall have the meanings ascribed to them in the Agreement and, as applicable, the Medicare Regulations (as defined below). The following terms shall have the meanings set forth below: A. "CMS" means the Center for Medicare and Medicaid Services, the administrator of the Medicare Part D Program. B. "Delegation" means the actions and permissions required by CMS for Plan Sponsor to designate Envision as the entity authorized to report Cost Summary on behalf of Plan Sponsor. C. "Eligible Retiree" means a Covered Individual who is eligible for Medicare Part D and covered by an employment -based retiree health benefits plan sponsored by Plan Sponsor meeting the requirements for a Part D Plan and who has been identified by Plan Sponsor in the RDS Eligible Member files D. "Medicare Regulations" means any and all rules, guidance, interpretations and operational directives adopted by CMS concerning the Medicare Part D Program. E. "RDS Payment' means the subsidy amount paid to Plan Sponsor for covered Part D drugs. \RDS Addendum 07- 19- 10(final) F. "Cost Reports" means the following reports in a format and with content consistent with the requirements of the Medicare Regulations: (i) Initial Eligibility File (list of Plan Sponsor's Eligible Retirees), due no later than ninety (90) days prior to Plan Sponsor's plan year. Plan Sponsor must complete the process of Delegation and provide Envision with the list of Eligible Retirees at least fifteen (15) days prior to Initial Eligibility File due date; (ii) Eligibility Update File (update of Eligible Retirees), due monthly, quarterly, or annually as chosen by Plan Sponsor; and (iii) Cost Data Extract (net covered retiree plan- related prescription drug costs), due monthly, quarterly, or annually as chosen by Plan Sponsor. 2. RDS Services In consideration of the fees set forth in Section 3 below, Envision will provide the following services: A. Cost Summarv Envision will submit, directly to CMS on behalf of Plan Sponsor, the Cost Reports in a format and with content consistent with the requirements of Medicare Regulations in order to enable Plan Sponsor to file for and collect RDS Payments and meet its Part D Plan reporting obligations under the Medicare Regulations. Plan Sponsor shall provide to Envision, in a timely manner, any data now and hereafter required under the Medicare Regulations (e.g., Eligible Retiree Social Security numbers, Health Insurance Claim numbers, the CMS issued Plan Sponsor ID, Application ID, etc.) in a time frame and format reasonably required by Envision (i.e. depending on the reporting period chosen by Plan Sponsor and in a Comma Separated Value (.csv) file containing all required fields). B. Drug Cost Reporting and Reconciliation Envision agrees to submit to Plan Sponsor or, upon Plan Sponsor's request to upload directly to the CMS RDS website, the aggregate drug costs incurred by Plan Sponsor's Part D Eligible Retirees as required by 42 CFR § 423.888(b)(2) and (b)(4). In the case of submissions to the Plan Sponsor, Envision agrees to provide such data in sufficient time to allow Plan Sponsor to submit such information via the CMS RDS website within the time periods specified by CMS. In the case of direct uploads to the CMS RDS website by Envision, Envision agrees to upload the data in sufficient time for Plan Sponsor to review and formally submit the data to CMS via the CMS RDS website. Envision also agrees to perform any required reconciliation functions with CMS related to the reject responses of the drug cost data. Plan Sponsor shall advise Envision, at the time it submits the RDS application, whether it wishes to receive payments from CMS on a monthly, quarterly or annual basis in accordance with 42 CFR § 423.888(b)(2) so that Envision may prepare and submit data accordingly to Plan Sponsor or, as directed by Plan Sponsor, to the CMS RDS website. C. Appointing Envision as an RDS Designee Plan Sponsor hereby acknowledges and agrees that in order for Envision to submit Eligibility and Cost Summary data directly to CMS, Plan Sponsor must appoint Envision as a designee both for the submission of eligibility \RDS Addendum 07- 19- 10(final) 2 Racket Pg. 535 and costs data. Plan Sponsor is solely responsible for appointing Envision as both an eligibility and cost reporter designee in the manner prescribed by CMS. Plan Sponsor understands and agrees that if Plan Sponsor fails to properly appoint Envision as a designee, Envision will be unable to submit retiree data and Cost Summary Reports directly to CMS. Plan Sponsor shall indemnify and hold Envision harmless from any claims, damages, liabilities or expenses arising out of Envision's inability to submit any and all Subsidy, Drug Cost Reporting and Annual Reports to CMS due to Plan Sponsor's failure to properly appoint Envision as a designee for the submission of eligibility and /or cost data. D. Cooperation Plan Sponsor shall cooperate with Envision as reasonably necessary for Envision to perform RDS Services hereunder including, without limitation, providing timely and accurate information as required to complete and reconcile Subsidy Reports, and agrees to hold harmless Envision from any errors or failures to meet timelines which result from Plan Sponsor's failure to cooperate or provide timely and accurate information. E. RDS Applications Plan Sponsor acknowledges that RDS Services exclude the completion or filing of the Plan Sponsor's initial or annual renewal CMS application for RDS. Plan Sponsor shall be solely responsible for the timely and complete filing of RDS applications. Any assistance requested by Plan Sponsor and /or provided by Envision shall be solely consultative and shall not be deemed to be an acceptance by Envision of any responsibility or liability for the completion or submission of any application. F. Audit Services Envision agrees to make available for audit by CMS or its designee the Claims data and such data in Envision's possession as required to be retained pursuant to 42 CFR § 423.888(d)(3), for CMS to verify the subsidy payment claimed by Plan Sponsor, for the six year period specified in 42 CFR § 423.888(d). G. Creditable Coverage and Non - Creditable Notices Upon Plan Sponsor's independent determination as to whether its Plan qualifies as creditable prescription drug coverage within the meaning of 42 CFR § 423.56(a), Envision agrees to send to Plan Sponsor's Part D Eligible Retirees notices of creditable or non - creditable coverage, as applicable in accordance with Part D requirements under 42 CFR § 423.56(f) based on creditable coverage information provided by Plan Sponsor. Plan Sponsor agrees that Envision shall not have any further responsibility to provide any further services under this Addendum with respect to non - creditable coverage plan(s). Plan Sponsor will agree to reimburse Envision for the postage cost incurred in ]mailing such notices. H. Reports and Records Envision shall maintain documentation of all Claims processed for ten (10) years. In addition, Envision shall maintain, for a period of six (6) years, books, records, documents and other evidence of accounting procedures and practices directly related to the! financial and other aspects of its administration of the Plan consistent with 42 CFR § 423.888(d). Subject to this section, all such records, while maintained by Envision, shall be accessible by Plan Sponsor for examination and audit during the term of and in accordance with this RDS Addendum. \RDS Addendum 07- 19- 10(final) I. Actuarial Equivalence Determination Envision agrees to provide consultative assistance to the Plan Sponsor in determining whether its Plan meets the actuarial equivalence tests specified in 42 CFR § 423.884(d)(1). Plan Sponsor acknowledges and agrees that it is responsible for obtaining the services of an licensed actuary and providing to CMS the actuarial equivalence attestation required by 42 CFR § 423.884(d). J. Submissions by Envision Envision shall reimburse Plan Sponsor for any overpayments, fines, or penalties charged to Plan Sponsor by CMS as a result of a reporting or submission error made or caused solely by Envision and not, in any manner, made or caused by Plan Sponsor. 3. Compensation Plan Sponsor shall reimburse Envision for the provision of RDS Services as follows: $1.00 per Eligible Retiree per month (with an annual minimum of Two Thousand ($2,000.00) per Plan Sponsor) which shall be added to the monthly Administrative Fee charged by Envision under the Agreement. 4. Federal Funds Envision acknowledges that information it provides in connection with this Addendum will be used by Plan Sponsor for the purpose of obtaining Federal Funds, as that term is further described in the RDS application. 5. Modification Each and every other term or provision of the Agreement not modified by this RDS Addendum shall remain unchanged. IN WITNESS WHEREOF, the undersigned have executed this RDS Addendum to be effective as of the date set forth above. Envision: Plan Sponsor: i By: By: JosenhR. Schauer, COO -f C��• Print Name & Title Print Name & Title (SEAL) FZTT - T: DAt:4�Y L. K Llk , MOM- DEPUTY CLERK ` r= I�l /rr t 4 CF I MSTINE IVI aiSTANT CG. I _Y \RDS Addendum 07- 19- 10(final) Packet Pg. 537 l DATE IY E (MM /DDYYY) ORL7 CERTIFICATE OF LIABILITY INSURANCE 2/25/2011 41S CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS ,ERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder In lieu of such endorsement(s). PRODUCER Commercial Lines - (650) 413 -4200 INSURED Wells Fargo Insurance Services USA, Inc. - CA Lic#: OD08408 959 Skyway Road San Carlos, CA 94070 Envision Pharmaceutical Holdings Inc. 2181 East Aurora Road Twinsburg, OH 44087 CUSTOMER ID #: ENVISION ADDL INSURER(S) AFFORDING COVERAGE INSURER A: Darwin Select Insurance C o. INSURER B: LIMITS EACH OCCURRENCE INSURER C: DAMAGE TO RENTEU PREMISES Ea occurrence INSURER D: MED EXP (Any one person) INSURER E: PERSONAL & ADV INJURY rzlIci ; COVERAGES CERTIFICATE NUMBER: 2407004 REVISION NUMBER: See below THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE GENERAL LIABILITY COMMERCIAL GENERAL LIABILITY CLAIMS -MADE C] OCCUR ADDL SUBR POLICY NUMBER POLICY EFF POLICY EXP LIMITS EACH OCCURRENCE $ DAMAGE TO RENTEU PREMISES Ea occurrence $ MED EXP (Any one person) $ PERSONAL & ADV INJURY $ GENERAL AGGREGATE $ GEN'L AGGREGATE LIMIT APPLIES PER: POLICY PRO- LOC PRODUCTS - COMP /OP AGG $ $ — AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON -OWNED AUTOS COMBINED SINGLE LIMIT (Ea accident) $ BODILY INJURY (Per person) $ BODILY INJURY (Per accident) $ PROPERTY DAMAGE (Per accident) $ $ _ UMBRELLA LIAB EXCESS LIAB OCCUR CLAIMS -MADE / C ` 1 ` EACH OCCURRENCE $ AGGREGATE $ DEDUCTIBLE RETENTION $ $ $ W ORKERS COMPENSATION AND EMPLOYERS' LIABILITY YIN ANY PROPRIETOR/PARTNER/EXECUTIVE ❑ OFFICERIMEMBER EXCLUDED? (Mandatory In NH) If yes, describe under DESCRIPTION OF OPERATIONS below NIA WC STATU - OTH- I TORY LIMITS I ER E.L. EACH ACCIDENT $ E.L. DISEASE - EA EMPLOYEE $ E.L. DISEASE - POLICY LIMIT $ A E &O - Professional 03035196 01/31/2011 01/31/2012 Each Claim $3,000,000 Rot. $50,000 08/28/2006 DESCRIPTION OF OPERATIONS / LOCATIONS I VEHICLES (Attach ACORD 101, Additional Remarks Schedule, If more apace Is required) Evidence of Insurance CERTIFICATE HOLDER CANCELLATION vision Pharmaceutical Holdings Inc. 81 Eash Aurora Road Twinsburg, OH 44087 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE ©1988 -2009 ACORD CORPORATION. All rights reserved. ACORD 25 (2009/09) The ACORD name and logo are registered marks of ACORD ® ENVISION �"RO CERTIFICATE OF LIABILITY INSURANCE D AT E 3/24/20111 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Commercial Lines - (650) 413 -4200 NAME: PHONE FAX Wells Fargo Insurance Services USA, Inc. - CA Lic #: OD08408 INC, No Ext : A/ No) 959 Skyway Road ADDRESS: INSURERS AFFORDING COVERAGE NAIC # San Carlos, CA 94070 Travelers Casu & Sure Co. of America 31194 INSURER A : Y Sur _ INSURED Envision Pharmaceutical Services, Inc. LINSURER B: 2181 East Aurora Road INSURER C : INSURER D: Twinsburg, OH 44087 INSURER F COVERAGES CERTIFICATE NUMBER: 2513577 REVISION NUMBER: R.. hel. THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE ADOL SUER POLICY NUMBER POLICY EFF MMIDD POLICY EXP MM/DD/YYYY LIMITS GENERAL LIABILITY EACH OCCURRENCE $ COMMERCIAL GENERAL LIABILITY DAMAGE ( RENTED PREMISES S Ea occurrence ) $ CLAIMS -MADE E:1 OCCUR MED EXP (Any one person) $ PERSONAL 8 ADV INJURY $ GENERAL AGGREGATE $ GEN'L AGGREGATE LIMIT APPLIES PER: _ PRODUCTS - COMP /OP AGG $ POLICY PRO LOC $ AUTOMOBILE LIABILITY ANY AUTO COMBINED SINGLE LIMIT Ea accident $ BODILY INJURY (Per person) $ ALL OWNED SCHEDULED AUTOS AUTOS J t,' BODILY INJURY (Per accident) $ HIRED AUTOS NON-OWNED AUTOS IIIIYYYY PROPERTY DAMAGE Per accident _ $ $ UMBRELLA LIAB OCCUR EACH OCCURRENCE $ AGGREGATE $ EXCESS LIAB CLAIMS -MADE DED RETENTION $ _ $ WORKERS COMPENSATION WC STATU- I OTH- AND EMPLOYERS' LIABILITY Y / N TORY LIMITA ER E.L. EACH ACCIDENT $ ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED? ❑ NIA E.L. DISEASE - EA EMPLOYE $ (Mandatory in NH) If yes, describe under - -- DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT I $ A Crime 105559549 02/01/2011 02/01/2012 Employee Theft $1,000,000 - Ret. $10,000 ERISA - $500,000 UE5CKIP IIUN OF UPERATIUN5 I LOCATIONS I VEHICLES (Attach ACORD 101, Additional Remarks Schedule, If more space is required) Evidence of Coverage. CERTIFICATE HOLDER CANCELLATION Envision Pharmaceutical Services, Inc. 2181 E Aurora Road Twinsburg, OH 44087 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE n The ACORD name and logo are registered marks of ACORD ©1988 -2010 ACORD CORPORATION. All rights reserved. ACORD 25 (2010/05) . ENVISION DATE E(MM /DD(YYYY) ACC>REP CERTIFICATE OF LIABILITY INSURANCE �.. 9129 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CO NTACT Commercial Lines - (650) 413 -4200 NAME: PHONE FAX No, Wells Fargo Insurance Services USA, Inc. - CA Lic #: OD08408 E-MAIL Alc No ADDRESS: 959 Skyway Road INSURERS AFFORDING COVERAGE NAIC p San Carlos, CA 94070 e . Vallev Forge Insurance Comoanv 20508 INSURED Envision Pharmaceutical Services, Inc. 2181 East Aurora Road Twinsburg, OH 44087 I INSURER F: CAVFRAGFS CERTIFICATE NUMBER: 3330849 REVISION NUMBER: See helnw THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIO OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE ADDL SUBR POLICY NUMBER MM/DD/YYYY POLIC LIMITS A GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY 4020038139 01/31/2011 01/31/2012 EACH OCCURRENCE $ 1,000,OOC PREMISES Ea occurrence $ 1,000,00C CLAIMS -MADE L'J OCCUR MED EXP (Any one person) $ 10,00C PERSONAL BADVINJURY $ 1,000,00( GENERAL AGGREGATE $ 2,000,00( GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG $ 2,000,00( $ POLICY PRO X LOC JECT — ] AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT Ea accident $ BODILY INJURY (Per person) $ ANY AUTO ALL OWNED SCHEDULED AUTOS AUTOS BODILY INJURY (Per accident) $ PROPERTY DAMAGE Per accident $ NON -OWNED HIREDAUTOS AUTOS $ UMBRELLA LIAB OCCUR �( EACH OCCURRENCE $ AGGREGATE $ EXCESS LIAB CLAIMS -MADE `U DIED RETENTION $ $ WORKERS COMPENSATION WC STATU- I 1OTH- AND EMPLOYERS' LIABILITY YIN ANY PROPRIETOR /PARTNER,IEXECUTIVE E.L. EACH ACCIDENT $ OFFICER /MEMBER EXCLUDED? ❑ N I A E.L. DISEASE - EA EMPLOYE $ (Mandatory in NH) If yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT $ DESCRIPTION OF OPERATIONS/ LOCATIONS /VEHICLES (Attach ACORD 101, Additional Remarks Schedule, If more space is required) G- 147167 -B99 (12/06) Monroe County Board of County Commissioners is included as Additional Insured for General Liability as respects the operations of the Named Insured, per endorsement attached. CERTIFICATE HOLDER CANCELLATION Monroe County Board of County Commissioners 1100 Simonton Street Suite 2 -268 Key West, FL 33040 ACORD 25 (2010/05) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE The ACORD name and logo are registered marks of ACORD ©1988 -2010 ACORD CORPORATION. All rights reserved