MODIFICATION
R -- The Office of the Assistant Secretary of Defense (Health Affairs) seeks expressions of interest in the acquisition of healthcare system capital investment decision making services.
- Notice Date
- 6/6/2006
- Notice Type
- Modification
- NAICS
- 541611
— Administrative Management and General Management Consulting Services
- Contracting Office
- US Army Medical Research Acquisition Activity, ATTN: MCMR-AAA, 820 Chandler Street, Frederick, MD 21702-5014
- ZIP Code
- 21702-5014
- Solicitation Number
- IIP
- Response Due
- 6/26/2006
- Archive Date
- 8/25/2006
- Small Business Set-Aside
- N/A
- Description
- This is not a request for proposals or a request for quotations; it is strictly a Request For Information (RFI). Neither unsolicited proposals nor any other kinds of offers will be considered in response to this RFI. The Government will not pay for costs associated with developing a response to this RFI. No other information is available to respondents. BACKGROUND 1. The Office of the Assistant Secretary of Defense (Health Affairs) (ASD(HA)) is responsible for the management of the Military Health System (MHS). The MHS is a $33 billion dollar per year enterprise that provides operational medicine, training, researc h, and Force Health Protection support across the full range of military operations. It also delivers health care for the system's 9.2 million eligible beneficiaries through TRICARE direct and managed care programs. The transformation of the MHS has been ongoing and significant. Recent initiatives have led to the development of a comprehensive strategic and annual business planning process, new purchased care contracts, a streamlined regional TRICARE management structure, and formulary and Federal pricin g for pharmacy services. As a part of the ongoing MHS Transformation effort, the Quadrennial Defense Review (QDR) identified a number of initiatives needed to further improve system effectiveness and efficiency. The Innovation Investment Process (IIP) is one of these major initiatives. The IIP is a process by which organizations within the MHS can expeditiously obtain funding for projects that reduce the cost of health care to the MHS. The IIP will be capable of sponsoring large-scale innovations requir ing an initial investment of capital; successful innovations will return their initial investment to the IIP over multiple fiscal years. Each investment will be based upon a sound business case analysis, as determined by a Board of Directors. 2. The MHS' TRICARE system delivers health care through a worldwide network of over 70 inpatient and 409 outpatient facilities and supplements that care through a series of private sector contracts that provide physician and hospital networks, retail and m ail order pharmacy benefits, claims processing, marketing, and medical management. The TRICARE program provides a triple option benefit, including Prime (a Health Maintenance Organization-style benefit requiring beneficiary enrollment to a Primary Care Ma nager (PCM)), Extra (a Preferred Provider Organization-style benefit); and Standard (a fee-for-service benefit). Beneficiary program eligibility, availability, and costs are based on beneficiary category and location. Notwithstanding inherent differences in service availability among locations, the MHS strives to achieve a uniform benefit. A key objective of the Managed Care Support Services contracts is to optimize the healthcare services within the hospitals and clinics operated by the MHS; that object ive is consistent with the objectives of the IIP. 3. Funding for the operation of MHS inpatient and outpatient facilities is allocated based on historical budgets. The MHS is currently implementing a prospective payment system that will change the allocation system to pay prospectively on the value of he alth care provided. To determine the prospective payment, MHS inpatient and outpatient facilities are required to build a business plan which projects their annual enrollment and healthcare delivery targets. The prospective payment system will be fully i mplemented for covered activities in FY 2008. Additional activities will be added over the next few years until all healthcare delivery is covered by prospective payment. Currently, the value of health care is determined by healthcare workload but in the future, elements of a capitation payment system, as well as quality performance incentives, may be introduced. 4. The MHS maintains the following systems that provide data on the healthcare delivery system and can provide input for IIP busin ess case analyses: MHS Management Analysis and Reporting Tool (M2) for population data, inpatient and outpatient workload data, and claims data; and Expense Assignment System IV (EASIV) for facility cost data. NOTIONAL CONCEPT 1. The MHS has little experience with market-based decision making for healthcare system capital investments, but believes that such experience/expertise exists in the private sector. To implement the IIP, the MHS desires to leverage private sector exper ience and expertise regarding healthcare system capital investment decision making. 2. The MHS seeks to contract with a firm that has/uses an existing analytic tool that is capable of performing business case analyses, assessing the risk of a proposed initiative, and performing return on investment calculations for healthcare system capi tal investments. The analysis will also identify potential impacts on medical readiness, access to care, quality of care and will consider the time necessary to implement each proposed initiative. 3. The analytic tool must be adaptable to account for differences between private sector and MHS delivery systems, such as funding sources, payers, patient population, readiness requirements, medical education, accounting impacts such as taxes and depreci ation, risk apportionment between the MHS hospitals/clinics and the Managed Care Support Contracts, and DOD policies and regulations. 4. The analytic tool must be capable of evaluating initiatives that are local, regional, or national in scope. 5. The contractor will have expertise in healthcare investment, be able to work with the MHS to identify IIP opportunities, and will share in the savings associated with initiatives that are approved and adopted by the MHS. 6. The contractor, through rights or licensing of the adapted analytic tool, will provide the MHS with the capability to continue to use the analytic tool after the expiration of the contract. 7. The contractor will provide MHS representatives/organizations with training on the use of the analytic tool. 8. The contractor will work with the MHS to develop plans of action to implement approved IIP initiatives. RESPONSES To be of greatest value, responses should be received by 4:00 p.m., June 26, 2006. Electronic submissions (email with Microsoft Word attachment) are required. Attachments should be no longer than 20 pages. Please send responses to kathy.doyle-lehman@det.amedd.army.mil . Responses should address the following areas: a. Questions on the Notional Concept: 1. Is the notional concept the best way to meet MHS objectives? Why or why not? 2. Is the type of IIP analytic tool envisioned by the MHS available in the private sector? 3. Is it feasible to adapt an existing analytic tool to incorporate the attributes that are unique to the MHS? 4. If you believe the notional concept is the best way to meet MHS objectives, discuss the personnel and method that you would propose to use to meet those objectives. If you believe an alternative approach will better meet MHS objectives, discuss that ap proach and the personnel and method that you would propose to use. 5. Please provide a rough order of magnitude cost for the initial effort (including a proposed alternative approach) and the ongoing licensure/maintenance costs. 6. Describe any other challenges or special considerations the Government should take into account. b. Capabilities Statement 1. Tell us about your organization and its capabilities to meet IIP objectives. Identify your organization's salient characteristics: overall qualifications and expertise of the firm; relevant experience with respect to MHS IIP objectives; small or large business, for profit or not for profit, university or consortium, etc. Provide the contract number for any Federal supply schedule contracts held by your organization. 2. You may identify current or prospective teaming partners, their salie nt characteristics, and relevant experience. 3. Potential conflicts of interest. Disclose your past and current contractual relationships with the MHS. Disclose the past and current contractual relationships with the MHS of your current or prospective teaming partners. Disclose the past and curren t clients who have contractual relationships with the MHS.
- Place of Performance
- Address: US Army Medical Research Acquisition Activity ATTN: MCMR-AAA, 820 Chandler Street Frederick MD
- Zip Code: 21702-5014
- Country: US
- Zip Code: 21702-5014
- Record
- SN01063463-W 20060608/060606221023 (fbodaily.com)
- Source
-
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