The South Carolina State Fiscal Accountability Authority has awarded a statewide drug, alcohol and background screening contract to a Greenville testing firm.
ArcPoint Labs was awarded the five-year, $51 million state contract to provide drug, alcohol and background tests for all state agencies. According to Felix Mirando, ArcPoint Franchise Group founder and CEO, there were 12 companies vying for the contract. He said, on the average, the state will have over 400,000 tests per year.
“This will be a game-changer for our industry and it is big because we are a Greenville-based company,” Mirando said, in an interview with GSA Business Report.
Mirando said one benefit ArcPoint was able to provide was its “three-legged” approach to the business. There is ArcPoint Franchise Group that handles franchising ArcPoint Labs and services around the country; ArcPoint Diagnostics which is the diagnosis arm of the group, and ArcPoint Occupational Solutions, a third-party group that handles administrative, logistical and billing services.
“We were able to get aggressive with the pricing,” Mirando said. “We have the third-party entity that can do the billing and our partnerships allowed us to be very competitive and we are saving the state hundreds of thousands of dollars.”
He said the company will have to add staff in the future, but was not sure the number. ArcPoint has similar state screening contracts with Alaska, New Hampshire and Nebraska.
According to the state procurement website, Pennsylvania-based FirstLab will continue to handle screenings until the contract with ArcPoint can be implemented. The implementation time is estimated at around two months. FirstLab held the statewide drug and alcohol screening contract since 2009.