Summary Sheet- RFCA SUMMARY
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CITY OF TEMPE Meeting Date: 06/25/2026 REQUEST FOR COUNCIL ACTION Agenda Item: 8A6 ACTION: Approve a one-year contract renewal with Express Scripts, Inc., who will provide pharmacy benefits management services for eligible City employees and their dependents. FISCAL IMPACT: The total cost of the contract will not exceed $7,100,000. Sufficient funds have been appropriated in the Health Fund, Cost Centers 4167 (Employees) and 4169 (Cobra Participants), for anticipated expenditures during Fiscal Year 2026-2027 contingent upon City Council approving the City’s annual budget. RECOMMENDATION: Approve the contract renewal. BACKGROUND INFORMATION: (T24-053-01) On March 21, 2024, City Council approved a one- year contract with four, one-year renewal options for pharmacy benefits management services. If approved, this would be the second of four, one-year renewal options. This contract provides a pharmacy benefits manager who oversees a pharmacy network for prescription drug services for over the counter and mail-order prescriptions. Additionally, Express Scripts offers Medication Therapy Management (MTM) services through which a patient’s medication treatment plans are monitored to ensure adherence to physician prescribed drug therapy, increasing the likelihood of a successful patient outcome and lower future medical costs. Contractor Performance The performance of the contractor has been evaluated by City staff as shown below: Express Scripts, Inc. Criteria Meets Contract Requirements Does Not Meet Contract Requirements Contract personnel are responsive X The quality of products or services delivered X Timeliness of performance X Follow-up skills in resolving complaints X Promptness and accuracy of invoices. X Renewal Cost Express Scripts, Inc. has agreed to renew the contract with no increase to the previously negotiated pricing. ATTACHMENTS: N/A STAFF CONTACT(S): Rebecca Strisko, Human Resources Director, (480) 350-8423 Department Director: Laura Calder, Financial Services Director 2 Legal review by: Dave Park, Senior Assistant City Attorney Prepared by: Eric Kraenzle, Senior Procurement Officer