Interoffice Memorandum
DATE: July 9, 2026
TO: Mayor Jerry L. Demings and County Commissioners
FROM: Carrie Mathes, FNIGP, CFCM, NIGP-CPP, CPPO, C.P.M., Manager II, Procurement Division
CONTACT: Venerria L. Thomas, Director, Community and Family Services Department
PHONE: 407-836-6229
SUBJECT: Approval of Amendment No. 1, Contract Y24-2225, Providing Funding for Medical Debt Relief Federal Subrecipient Agreement
ACTION REQUESTED:
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Approval of Amendment No. 1, Contract Y24-2225, Providing Funding for Medical Debt Relief Federal Subrecipient Agreement, with Medical Debt Resolution, Inc., in the amount of $2,000,000, for a revised not-to-exceed amount of $6,500,000. ([Community and Family Services Department ] Procurement Division)
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PROCUREMENT:
This amendment will extend the contract term from September 30, 2026, to October 31, 2026 and add funds to support eliminating additional medical debt, thereby alleviating financial hardships for at least 100,000 Orange County residents.
FUNDING:
Funds are available in account number 5896-019-8627-8610.
APPROVALS:
The Community and Family Services Department concurs with this recommendation.
REMARKS:
On August 13, 2024, the Board authorized award of Contract 24-2225 with Medical Debt Resolution, Inc. dba Undue Medical Debt for a federal subaward of an amount not to exceed $4,500,000 for the performance period of August 1, 2024, through September 30, 2026. The Board further authorized the Procurement Division Manager or designee to execute the Federal Subrecipient Agreement and any necessary modifications, amendments, and extensions.
The subaward was issued from the American Rescue Plan Act (ARPA) of 2021 Coronavirus Local Fiscal Recovery Fund allocation received by the County on May 18, 2021.
In accordance with Section 17-286 of the Orange County Code, agreements between the Board and nonprofit organizations are excluded from competitive procurement requirements.
On February 20, 2024, the Board authorized the use of $4,500,000 in ARPA funding for the provision of medical debt relief for eligible Orange County residents. Subsequently, the subrecipient, a third-party administrator, was identified as an eligible non-profit with the capacity to perform this work.
Through this contract, the subrecipient will administer the medical debt relief project, abolishing an estimated $424,000,000 of medical debt for approximately 154,593 eligible Orange County residents. Eligible residents include those who have experienced negative economic impacts caused by the COVID-19 pandemic which disproportionately impacted residents burdened by high medical debt. “Burdened by Medical Debt” include those having medical debt that equals or exceeds five percent of total household income.