02 - COVID-19 Drive Through Testing Center

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Item No. 2 TO: Mayor & City Council FROM: Gene Anderson, Interim City Manager & Finance Director SUBJECT: COVID-19 DRIVE THROUGH TESTING CENTER DATE: April 6, 2020 BACKGROUND: Due to the lack of testing kits and the inability of the State Region 45 Phlett Lab in Tyler to process COVID-19 tests currently because of a shortage of reagent, the City of Paris has been unable to obtain a clear picture of the spread of the coronavirus in our community. STATUS OF ISSUE: Through the efforts of Mayor Clifford, Dr. A.J. Hashmi has agreed to be in charge of a COVID-19 drive through testing center where citizens could come on a designated day(s) to be tested. Dr. Hashmi is working with Dr. Amanda Green, Gina Prestridge, and myself to organize this event. Dr. Hashmi has been in contact with a vendor who has agreed to provide 20,000 test kits at a cost of $25.00 per kit. As I understand it, 20,000 is the minimum order of test kits possible from the vendor. The intent is for the vendor to bill the City of Paris for the testing kits. Testing for City residents would be at no charge. People outside the City would pay $35.00 or more to take the test. The City is expecting to be billed shortly for the tests if the Council approves the project. $25.00 per kit times 20,000 kits equals $500,000. The plan, with Council approval, is to pay for the kits out of City reserves. There would be incidental costs for Personal Protective Equipment (masks, gloves, protective clothing, etc.) in an amount that has not been determined but for which I have allowed an additional $10,000. We would then attempt to recover as much of our costs as possible by charging non -city residents for testing. It would probably also be possible to sell test kits we do not use or wish to stockpile for future use. We also will track all costs so that, if possible, the City can be reimbursed by Federal funds that become available. BUDGET: This expenditure would require a budget amendment. RECOMMENDATION: Amend the City budget and authorize an expenditure not to exceed $510,000 from City reserves for this project.