Supervisors Rehire Workers’ Comp Firm

A divided Board of Supervisors on Tuesday voted to retain Gates, McDonald & Co. as the outside administrator of the county’s workers’ compensation program, even though another firm submitted a lower bid.

County officials recommended that Gates, McDonald handle the program for the next four years at a cost of about $1.6 million annually. Officials cited the firm’s experience in the field and financial stability, as well as an independent review.

But the firm that offered the lower bid, Hazelrigg Risk Management Services, protested.

Supervisors William G. Steiner and Don Saltarelli voted against the selection of Gates, McDonald. Steiner said he wanted more time to better understand the county staff’s choice and to determine whether Hazelrigg’s bid represented a better deal for the county. According to Steiner, the Hazelrigg bid was up to $400,000 lower than the winning bid.

But other board members said they were comfortable with staff’s recommendation, though they did make a few modifications to the contract designed to control costs.