I. Purpose

Consortium and Member enter into this Agreement for the purpose of meeting the requirements for a Random Drug & Alcohol Testing Program as ordered by the Department of Transportation regulations. 49CFR 40.345 allows a Consortium to act as an Intermediary in the transmission of limited drug and alcohol testing information to employers. As the motor carrier, the decision of whether or not to use an Intermediary is yours. When dealing with an Owner Operator Motor Carrier, with no assigned DER, the Consortium may act as your DER under certain regulation exceptions as defined under CFR Title 49 Subpart Q. If the Consortium is your DER, the Consortium will be responsible for notifying, scheduling and reporting your random drug and alcohol tests. Consortium is also responsible for reporting refusals, failure to test, and any notification issues to FMCSA.

II. Consortium Obligations

Covered Services: Those services provided to Member to include the following:

1.Certificate of Enrollment with automatic renewals each year

2.Notifications to member of safety sensitive employee(s) selected for random drug and/or alcohol test

3.Reminder service to Member’s DER of employees that have not submitted to random testing

4.Scheduling of tests at contracted facilities

5.Records Retention, Record Keeping, and Administrative Support

6.Semi-Annual statistical report as mandated by 49 CFR Part 40.111

7.Preparation of annual MIS Report when required or requested

Drug and Alcohol Testing is not included in the enrollment fees unless specific a la carte services are included in the signup process as follows: Pre-Employment Drug Test, DOT Physical, PSP/MVR Driver Files or Background Check.

Consortium is also available to assist you with other required drug and alcohol testing at additional costs. These include: Pre-Employment, Post-Employment, Follow-Up, Return-to-Duty and Reasonable Suspicion.

III. Member Obligations

1. The Member will provide policy and procedures regarding drug & alcohol testing in the workplace

2. Member will provide initial list of covered safety sensitive employees and update the list as necessary or requested by Consortium.

3. Member will maintain files consistent with program compliance and assign a company drug & alcohol representative to work with Consortium, unless the Consortium is the DER as allowed under CFR Title 49 Subpart Q.

4. Member agrees that all drug and alcohol tests be handled and managed by Consortium for Members Employees. Should the Member have an employee tested outside of the Consortium, the Member will forward all results to the Consortium within 48 hours of receipt.

5. Member agrees that Consortium acts as an intermediary to transit drug and alcohol testing information from the MRO to the Member in accordance with 49 CFR Part 40.345 (a).

6. Member agrees that should they not perform tests as requested, follow the Consortium procedures, or violate this Agreement the Member can be expelled from the Consortium. Should the Member be expelled from the Consortium the Member may be reported to the applicable Department of Transportation agency for non-compliance as required by law.

IV. Fees The membership fee for covered services is calculated at check out and renews annually. Fee’s are determined by the number of covered CDL drivers in the consortium as follows:

Consortium Program Enrollment Fees
Owner Operator	$85.00 Owner/Operator or 1st Driver Per Year (no pro-ration for changes)
Additional Drivers	$25.00 Per Driver Per Year (no pro-ration for changes)
Administrative Fee to change/replace driver in pool during enrollment	$25.00 Per Change

It is your responsibility to determine if consortium services is required under your authority and GBWR weight. If you have a CDL, and your GBWR is more than 26,001 pounds then more than likely you must have a drug and alcohol program in place. If you are unsure, please contact your local FMCSA office and ask. Annual Membership Fees are non-refundable at the moment that we issue the Certificate of Compliance. If your authority was active even one day, the membership consortium fees are non-refundable. If your authority was never activate, your consortium fees are refundable minus $25 setup fee, and any membership fee discounts will be removed for additional services.  

Fee for testing will be required at the time the test is scheduled. Fee’s below are per requested test:

 

In Network Testing Fee Structure	E-Screen Network, plus Quest and Labcorp
Pre-Employment Drug Test	$55.00
Alcohol Breath Test	$45.00
DOT Physical (new or renewal)	$95.00 E-Screen Network Only
Return to Duty Drug Test	$55.00
Follow-Up Drug Test	$55.00
Follow-Up Drug and Alcohol Test	$100-$120.00
Observation Fee (as required)	$30.00
Out of Network Testing Fee Structure	Cost plus $10.00 Scheduling Fee
Lab Confirmation Testing of second sample – Split Specimen Test	$250.00

Service components will be billed to the customer as services are rendered. Payment is to be received in the Consortium offices within (30) days of invoice date. All outstanding balances following the 30 day period will be subject to the greater of a 1.50% monthly finance charge or $10.00 per month finance charge whichever is greater. The undersigned agrees to pay all collection costs, court costs, and legal fees incurred to collect delinquent balances. Consortium reserves the right to cancel membership at any time should Member have outstanding balances greater than 30 days. Payments received will be applied to the oldest open invoices.

Consortium agrees to perform all non-random SAMHSA Drug Screens at a rate of $55.00 per test and Breath Alcohol Screens at a rate of $45.00 per test. Fees are subject to change. If a dispute in fee’s occurs the current fee’s on Vertical Identity’s website prevails.

V. Compliance with Department of Transportation (D.O.T.) Regulations

Both Consortium and Member agree to be bound by and comply with all provisions of applicable state and federal laws and regulations.

VI. Term

The term of this Agreement shall commence on the effective date of the Agreement and shall continue in full force and effect for a period of one year. This Agreement will automatically renew each year unless Consortium received 30-day written notification of cancellation by Member.

VII. Company Designated Employer Representative (D.E.R.)

There are two options for Designated Employer Representative as follows:

As a single owner-operator, the Consortium may act as your DER. If you have your own DER, you must notify us upon signup. Should Member wish to change representative/DER please provide the change to the Consortium in writing by submitting a ticket on the website or updating your portal.

VIII. Employees Subject to Testing

Member registers each new employee subject to Drug and Alcohol Random testing upon hire. Member is required to notify consortium upon termination or addition of driver. Member and Consortium understand that these employees may be changed at any time. Member agrees that fees will be assessed for increased employee positions on an annual basis regardless of when the driver entered the pool:

IX. Notices

Any notice required by this Agreement or given in connection with it shall be given to appropriate party in person, by phone, mail, fax, portal or any other Consortium approved application.

Consortium Contact Information:

Vertical Identity

Post Office Box 74554, New River, AZ 85087

2039 S Mill Ave, Suite E, Tempe, AZ 85282

Phone: 602-899-1606

Fax: 602-899-1698

X. Hold Harmless & Indemnification

Company agrees to hold harmless and indemnify Consortium for any claims made by Company, Companies Employee, or former employee of Company claiming an alleged improper, illegal, and or unauthorized disclosure(s) was made by Consortium to Company or on Companies behalf pursuant to the requirements of this agreement.

Company agrees to hold harmless and indemnify Consortium for any and all claims made by Companies Employees rising out of or in conjunction with any erroneous, incorrect, and or incomplete information. Company is required to provide to Consortium under this agreement.

XI. Final Agreement

The Agreement terminates and supersedes all prior understandings or agreements on the subject matter hereof. This Agreement may be modified only by a further writing that is duly executed by both parties.

All sales final.

XII. Governing Law

This Agreement shall be construed and enforced in accordance with the laws of the State of Arizona.

All parties to this Agreement agree that any and all claims of breach of contract arising under or out of the Agreement shall be fully and finally settled by mandatory binding arbitration under the rules promulgated by the American Arbitration Association. Such mandatory binding arbitration will be held in the City of Phoenix, Arizona. Costs for binding arbitration itself will be split equally between the parties. All parties will bear their own attorney fees. All decisions of arbitrator are binding, final, and enforceable in any court of competent jurisdiction.