Health Care Financing Administration 7500 Security Blvd., Baltimore, MD 21244-1850

R -- PAYMENT ALTERNATIVES FOR MANAGED CARE ORGANIZATIONS POC Mr. Cornelius Brown, Purchasing Agent, (410) 786-5170. The Health Care Financing Administration (HCFA) intends to award a SMALL PURCHASE ORDER, on a sole source basis, with Health Economics Research (HER) to perform specific analyses that compare several payment alternatives for managed care organizations. As a follow-on to an earlier project with HER, the contractor will conduct the analyses using a data set constructed by HER. The contractor will then assess the usefulness of partial capitation as a payment method compared to payment using a concurrent Diagnostic Cost Group (DCG) model, also developed by HER. The period of performance shall be 16 weeks from the date of award. Respondents must fully demonstrate its ability to accomplish this project within the period specified above. If no responses are received within 15 calendar days from the published date of this notice, HCFA will proceed with awarding a purchase order to Health Economics Research. No formal Request for Quotation (RFQ) document is available. (See Numbered Note 22). (0215)

Loren Data Corp. http://www.ld.com (SYN# 0080 19960805\R-0005.SOL)