Agenda 02/09/2010 Item #16K6
Agenda Item No. 16K6
February 9,2010
Page 1 of 10
EXECUTIVE SUMMARY
Approval of agreement between Collier County and Physician Led Area
Network (PLAN) for the County Attorney's Office to provide defense for
PLAN in the lawsuit styled Deborah Dahlmanns V. Plan and Marcy
Krumbine, Case No. 09-7915-CA
OBJECTIVE: For the Board to: (I) approve an agreement between Collier County and PLAN
that authorizes the Office of the County Attorney to defend PLAN in the lawsuit styled Deborah
Dahlmanns v. PLAN and Marcv Krumbine, Case No, 09-79l5-CA, now pending in the Circuit
Court for the Twentieth Judicial Circuit in and for Collier County, Florida; and (2) declare that
such defense serves a public purpose.
CONSIDERATIONS: Marcy Krumbine, an employee of Collier County, was serving as
Chairperson of the Board of Directors of PLAN when the Executive Director of PLAN, Deborah
Dahlmanns was terminated. Deborah Dahlmanns was notified of the termination in a letter
written by Ms. Krumbine. At the time of the termination and presently, Ms Krumbine's position
was and is Director of Housing and Human Services for Collier County. Prior to this instance,
other Collier County employees have served on the Board of PLAN. PLAN is a not-for-profit
entity created to provide medical care for indigent Collier County residents. It operates on grant
funds and donations. PLAN has indicated to the County that it has no funds to provide an
adequate defense. Although PLAN secured liability insurance, pursuant to its contract with the
County, the insurance company has agreed only to provide a defense for Ms Krumbine. The
insurer's position is that an action on a contract of employment is excluded from coverage. The
facts of this matter are extraordinarily unique and inextricably involve a County employee. A
defense of PLAN is in the public interest and serves a public purpose by preserving funds for
indigent health care for Collier County residents.
If the Board authorizes this Office to represent PLAN, this Office will do so provided there is no
conflict with the Board of County Commissioners. There may come a time, however, where the
best interests of PLAN do not coincide with the best interests of Marcy Krumbine. Should such
a conflict arise, this Office will seek further direction from the Board.
FISCAL IMP ACT: There will be no out-of-pocket expenses, as all legal work will be done by
this Office. Collier County will not assume any responsibility for any damage award or attorney
fees and costs award against PLAN and will provide only a legal defense to the litigation. Under
the agreement Collier County may seek reimbursement for all outside costs incurred by the
Office of the County Attorney, including deposition costs, court reporter costs, copying, and
mailing costs.
GROWTH MANAGEMENT IMPACT: None.
RECOMMENDATION: That the Board approve the agreement to provide a defense for
PLAN that authorizes the Office of the County Attorney to defend PLAN in the lawsuit styled
Agenda Item No. 16K6
February 9.2010
Page 2 of 10
Deborah Dahlmanns v. PLAN and Marcy Knunbine, Case No. 09-79l5-CA, now pending in the
Circuit Court for the Twentieth Judicial Circuit in and for Collier County, Florida; and to declare
a public purpose for same.
PREPARED BY: Jeffrey A. Klatzkow, County Attorney
2
Item Number:
Item Summary:
Meeting Date:
Agenda Item No. 16K6
February 9. 2010
Page 3 of 10
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
16K6
Approval of agreement between Collier County and Physician Led Area Network (PLAN) for
the County Attorneys Office to provide defense for PLAN in the lawsuit styled Deborah
Dahlmanns V. Plan and Marcy Krumbine, Case No. 09-7915-CA.
2/9/2010 9:00:00 AM
Date
Prepared By
Jeff Klatzkow
County Attorney
2/1/20103:36:25 PM
Date
Approved By
Jeff Klatzkow
County Attorney
2/1/20103:43 PM
Date
Approved By
OMS Coordinator
County Manager's Office
Office of Management & Budget
2/1/20104:08 PM
Date
Approved By
Susan Usher
Office of Management &
Budget
Management/Budget Analyst, Senior
Office of Management & Budget
2/1/20107:10 PM
Date
Approved By
Mark Isackson
Office of Management &
Budget
Management/Budget Analyst, Senior
Office of Management & Budget
212/20108:54 AM
Agenda Item No. 16K6
February 9, 2010
Page 4 of 10
AGREEMENT
BETWEEN COLLIER COUNTY AND COLLIER WE CARE, INC. aka PHYSICIAN
LED ACCESS NETWORK (PLAN) OF COLLIER COUNTY
This Agreement ("Agreement") is made by and between the Board of County
Commissioners of Collier County, Florida (the "County"), and the Collier We Care, Inc, aka
Physician Led Access Network of Collier County ("PLAN"), a Florida not-for-profit
corporation, which has been determined to be exempt from federal income taxation under section
501(c)(3) of the Internal Revenue Code of 1986, as amended ("Code") and not to be a private
foundation within the meaning of section 509(a) of the Code.
WHEREAS, an action for declaratory relief and judgment has been filed in the Twentieth
Judicial Circuit, in and for Collier County, styled Deborah Dahlmanns v. PLAN and Marcv
Krumbine, Case No. 09-7915-CA ("Lawsuit"), in which County employee Marcy Krumbine has
been sued individually in her capacity as Chairperson of the Board of Directors of PLAN; and
WHEREAS, PLAN has a contract with the County through August 31, 2010 [see copy
attached as Exhibit "A"] to perform medical services for uninsured Collier County residents; and
WHEREAS, under said contract, PLAN secured liability insurance; however, PLAN's
insurer has declined to pay PLAN's legal expenses related to the Lawsuit because the Lawsuit
accuses PLAN of breach of contract; and
WHEREAS, the Lawsuit alleges, inter alia, a County employee, Marcy Krumbine,
terminated an employee of PLAN without cause, precipitating the Lawsuit; and
WHEREAS, ~ 3.2 of PLAN's By-Laws require its Board of Directors to include one
representative from Collier County Govemment and Marcy Krumbine was that member at all
times material hereto; and
Agenda Item No. 16K6
February 9, 2010
Page 5 of 10
WHEREAS, Marcy Krumbine's Job Description requires her "to collaborate with PLAN
to insure success of the physician donated services as part of the safety net for health care
services for the uninsured."; and to "Implement Health Information Technology Grant with
PLAN..."; and
WHEREAS, PLAN has alleged it has insufficient funds for its defense of the Lawsuit;
and the County does not wish to have its grant funds used for litigation expenses; and
WHEREAS, the Collier County Attorney's Office is willing to defend PLAN and such
defense will be conducted with an attorney from the County Attorney's Office ("County
Attorney"), and thus, will not affect the grant award to PLAN; and
WHEREAS, this in-house defense of the Lawsuit will aid PLAN in its delivery of
medical care to uninsured Collier County residents; and
WHEREAS, the County has determined this defense serves a public purpose; and
NOW THEREFORE, in consideration of the premises contained herein, the Collier
County Board of County Commissioners agrees to assign the County Attorney to provide a
defense in the Lawsuit for PLAN as set forth below:
ARTICLE 1
TERM AND TIME OF PERFORMANCE
1.1 The term of this Agreement shall be until the conclusion of the Lawsuit, unless
terminated earlier in accordance with the provisions of this Agreement or at the discretion
of the County Attorney. In the event the term of this Agreement extends beyond a single
fiscal year of County, the continuation of this Agreement beyond the end of any fiscal
year shall be subject to the availability of funds from County in accordance with Chapter
129, Florida Statutes.
2
Agenda Item No. 16K6
February 9, 2010
Page 6 of 10
1.2 Time shall be deemed to be of the essence in performing the duties, obligations and
responsibilities of this Agreement.
1.3 Any amendments, alterations, variations, modifications or waivers of provisions of this
Agreement shall only be valid when they have been reduced to writing, duly signed by
both parties hereto, and attached to the original of this Agreement.
1.4 In the event PLAN is found liable in the Lawsuit, the County does not assume any
responsibility for any damage awards or attorneys' fees and costs awards against PLAN
and will provide only a legal defense to the Lawsuit. The County may seek
reimbursement from PLAN for all outside costs relating to the Lawsuit, such as court
costs, court reporter costs, copying, and mailing.
ARTICLE 2
TERMINATION
2.1 This Agreement may be terminated by either party for cause upon five (5) days notice or
by either party for convenience upon no less than ten (10) days advance written notice.
2,2 Termination of this Agreement for cause shall include, but not be limited to, failure, in
the opinion of the County Attorney, to cooperate with the County Attorney, or failure to
continuously perform in a manner determined by the County Attorney to meet or
accomplish the objectives of the County Attorney in the Lawsuit. The County Attorney
may also terminate this Agreement if he determines, in his sole discretion, that a conflict
exists with his primary client, the Board of County Commissioners, as well as the County
Administrator or County Staff.
2,3 Upon notice by either party to terminate, the County shall refrain from performing further
services or incurring additional expenses under the terms of this Agreement.
3
Agenda Item No. 16K6
February 9,2010
Page 7 of 10
2.4 PLAN acknowledges and agrees that Ten Dollars ($10) of compensation will be paid by
the County, the adequacy of which is hereby acknowledged by PLAN, as specific
consideration to PLAN for the County's right to terminate this Agreement for
convenience.
2.5 The County's obligations to PLAN as provided for hereunder shall cease upon
termination, except for participating in an orderly and professional transfer of such
responsibilities and files or copies of files to PLAN or its designee.
ARTICLE 3
REVIEW AND INSPECTION OF RECORDS
3.1 The County shall have the right to review all books and records of PLAN pertinent to the
Lawsuit as determined by the County Attorney. PLAN shall preserve and make available
at reasonable times for examination, review, and copying by the County Attorney, all
PLAN Board minutes, memoranda, by-laws, financial records, supporting documents,
and, any other documents deemed pertinent to the Lawsuit by the County Attorney, upon
request within 2 days of request, by the County Attorney; whether verbal or written.
3.2 The County and PLAN shall comply with the Florida Public Records Act (Chapter 119,
Florida Statutes) if determined to be applicable to PLAN's records, however, no
confidentiality or non-disclosure requirement of either federal or state law shall be
violated by the County or PLAN.
ARTICLE 4
INDEMNIFICATION
4.1 PLAN acknowledges and agrees that an additional Ten Dollars ($10.00) of
compensation paid by the County, the adequacy of which is hereby acknowledged by
PLAN, is given as specific consideration to PLAN so that PLAN shall at all times
4
Agenda Item No. 16K6
February 9. 2010
Page 8 of 10
hereafter indemnify, hold harmless and; at the County's option, defend or pay for an
attorney selected by the County to defend the County, its officers, agents, servants, and
employees against any and all claims, losses, liabilities, and expenditures of any kind,
including attorney fees, court costs, and expenses, caused by negligent act or omission of
PLAN, its employees, agents, servants, or officers, or accruing, resulting from, or related
to the subject matter of this Agreement including, without limitation, any and all claims,
demands or causes of action of any nature whatsoever resulting from injuries or damages
sustained by any person or property. The provisions of this section shall survive the
expiration or earlier termination of this Agreement. To the extent considered necessary
by the County, any swns due PLAN under this Agreement may be retained by the County
until all of the County's claims for indemnification pursuant to this Agreement have been
settled or otherwise resolved; and any amount withheld shall not be subject to payment of
interest by the County.
ARTICLE 5
OWNERSHIP OF DOCUMENTS
5.1 Any and all original or copies of reports, photographs, surveys, and other data and
docwnents provided, requested, received, or created in connection with the Lawsuit and
placed in the possession of the County shall remain the property of the County.
ARTICLE 6
NOTICES
6.1 Whenever either party desires to give notice to the other, such notice may be in writing,
sent by registered, certified, or regular United States Mail, postage prepaid, return receipt
requested, or by hand-delivery, addressed to the party for whom it is intended at the place
last specified; or by facsimile transmission. The place for giving notice shall remain the
5
Agenda Item No. 16K6
February 9, 2010
Page 9 of 10
same as set forth herein until changed in writing in the manner provided in this section.
For the present, the parties designate the following:
FOR COLLIER COUNTY:
Jeffrey A. Klatzkow, County Attorney
Collier County Government Center
Administration Building, 8th Floor
3301 Tamiami Trail East
Naples, Florida 34112
Telephone: (239) 252-8400
Fax: (239) 774-0225
FOR PLAN:
Physician Led Access Network (PLAN)
of Collier County, Inc.
1012 Goodlette-Frank Rd., Suite #201
Naples, Florida 34101
Paul Mitchell, M.D., Board Vice-Chainnan
Telephone: (239) 434-0008
Fax: (239) 417-8900
ARTICLE 7
MISCELLANEOUS
7.1 COMPLIANCE WITH LAWS
The parties shall comply with all federal, state, and local laws, codes, ordinances, rules,
and regulations in perfonning its duties, responsibilities, and obligations related to this
Agreement.
7.2 APPLICABLE LAW AND VENUE
This Agreement shall be interpreted and construed in accordance with and governed by
the laws of the State of Florida. Venue for litigation concerning this Agreement shall be
in Collier County, Florida.
7.3 INCORPORATION BY REFERENCE
6
Agenda Item No. 16K6
February 9, 2010
Page 10 of 10
The truth and accuracy of each "Whereas" clause set forth above is incorporated herein
and acknowledged by the parties.
ATTEST:
DWIGHT E. BROCK, CLERK
BOARD OF COUNTY COMMISSIONERS
OF COLLIER COUNTY, FLORIDA
By:
DEPUTY CLERK
FRED W. COYLE, CHAIRMAN
al sufficiency
PHYSICIAN LED ACCESS NETWORK (PLAN)
By:
Its:
STATE OF FLORIDA
COUNTY OF COLLIER
The foregoing Agreement was acknowledged before me this _ day of
2010, by
as
of PLAN. He/she is personally known to
me or produced
as identification.
Signature of Notary Public
Name of Notary Public typed, printed or
My Commission Expires:
7