Department of Veterans Affairs, Acquisition Opeations Service (93A), 810 Vermont Avenue, NW, Washington, DC 20420

R -- THIRD PARTY DEBT COLLECTION AMENDMENT 01 SOL RFP 101-07-98 DUE 033198 POC Michael Smith (202) 273-8767 E-MAIL: Contracting Officer, Michael.Smith@mail.va.gov. The initial submission date for the subject procurement has been extended to March 31, 1998. Six copies of this submission are required. This submission is limited to a maximum of fifteen pages, but by no means are15 pages required. In addition, the following information is provided in no specific order: 1. The electronic claims transmitted from VA to Contractor will come in the standard HCFA 1500 format, and contain all of the UB-92 information. 2. The claims information will come from each individual VA Medical Center (VAMC). The option of using the Austin Automation Center for centralized claims transmission is no longer available. The file format for these transmissions will be provided prior to oral presentations. Additional VA communications connectivity and format capability information will be provided during the next step of this procurement, but well prior to oral presentations. During oral presentations Offerors will be allowed the opportunity to propose a solution for this connection. However, VA is responsible for establishing the link to the Contractor. 3. Payments will be based on the actual number of claims submitted to vendor for collection, and invoiced monthly. 4. The actual price per claim is not due at this time, but when it is submitted it will be a flat dollar amount per claim. Based on the available technology and the amount of effort that should be required the VA anticipates a rate of $3.00 -- $7.00 per claim for this contract. 5. All accounts have been previously billed to the insurer by VA, and are now at least 90 days past due. Future claims will be electronically transmitted by the VAMC as they reach the 90 days past due. 6. The Contractor will propose the technical solution for conducting the collections in a separate oral presentation to be scheduled after VA determines which firms meet the minimum qualifications. It is anticipated that this will occur during early to mid-April, 1998. 7. The following figures represent the average claims information for 1997 that reach 90 days past due. Only 5% of bills are for inpatient services. However, 62% of the amount billed by VA represents inpatient services. The average inpatient bill is $5,186. 8. The following figures represent the average claims information for 1997. Ninety-five percent of bills are for outpatient services. However, outpatient bills account for only 32% of the amount billed by VA. The average outpatient bill is $189. 9. Payments of claims by the insurer shall be made directly to the billing VAMC. 10. The successful Offeror shall have standardized reports available (both printed & on-line) to provide VA with individual claim status by VAMC, Veteran Health Service Network (VISN), and VA-wide. Additionally, the status of all delinquent accounts, referred to the Contractor, will be required. Offerors are strongly encouraged to use their existing reporting system to fulfill this requirement. 11. The VA anticipates the award of an IDIQ contract for a base period ending on 9/30/98 with four additional, one year, option years each. The exercise of the any option, by the government, will depend heavily on the contractor's performance. 12. This is a first time national buy, therefor there is no incumbent. 13. Since there is at least one VAMC in each of the 50 United States of America, and each VAMC is eligible to use this contract, the contractor, at a minimum, must have experience performing the services described in this announcement, in each state. 14. If incomplete claim information is received either from the VAMC, the Offeror may receive additional information, i.e. demographic or medical information, by contacting the billing VAMC. (0070)

Loren Data Corp. http://www.ld.com (SYN# 0079 19980313\R-0002.SOL)