Shelby County Sent Its Employee Counseling Contract to Three Local Vendors. None of Them Bid. The $143,220 Award Went to the Only Company That Did.

MEMPHIS, August 19, 2026 - Shelby County commissioners advanced a $143,220 contract for employee assistance services with ComPsych Corporation, the only company that submitted a proposal after the county solicited three local vendors through its procurement portal.

The contract runs from execution through June 30, 2027, with the option for two additional one-year periods, and is funded from the county's fiscal year 2027 internal service fund for employee group health insurance. Committee 10, General Government, advanced it on five aye votes.

How the award was made

The deputy chief administrative officer told the committee the resolution seeks approval for employee assistance program services for all county employees and that the item is already incorporated in the adopted fiscal year 2027 budget.

The deputy administrator for human resources described the procurement. The county issued a request for proposals on February 4, 2026, with responses due March 4, 2026. The county's consultant, Gallagher, assisted with the criteria, the specifications and the scope of work for the request, and assisted with the evaluation of the proposal received.

She listed what the contract buys: around-the-clock access to master's level clinicians, a national provider network, local in-person and telebehavioral assessments, 12 counseling sessions for employees, 35 hours of training that can include critical incident response and health fairs, and 35 hours annually for supervisory training, employee education and critical incident response. The services extend to the county's active and retired employee populations.

The question about the local vendors

Commissioner Britney Thornton said three local vendors were in the county's portal when the solicitation went out, and that the award went to a non-local vendor who was the only one to submit a proposal. She asked whether the county knows anything about how the local vendors' capacity compares.

The answer was direct: no, we do not.

Commissioner Thornton asked the administration to follow up and find out why firms that received the solicitation did not submit a proposal, saying anything that could increase local spending in Shelby County would be helpful. No commitment to a date or a format was made on the record.

The reporting clause

Commissioner Henri E. Brooks, who chaired the committee, stopped the item before the vote to point out a provision in the contract's reports section. It requires the contractor to prepare and submit quarterly reports on all activities funded under the contract to the originating department and to contract administration, including an itemization of the use of county funds and a listing of specific services.

She asked whether the format was new. The answer from the table was that it is new, and that it is specific to this contract.

She said the county should model it countywide, calling it full disclosure, accountability and transparency.

The vote

Aye votes came from Commissioner Amber Mills, Commissioner Thornton, Commissioner Brooks, Commissioner David C. Bradford, Jr. and Chairwoman Shante K. Avant. Five aye votes sent the item forward with a favorable recommendation.

What happens next

The full Commission adopted the contract on the consent agenda on Monday, August 24, 2026, on 12 aye votes, without discussion. No answer was given at that meeting on why local vendors did not submit proposals, and no commissioner raised the question again before the vote.

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