EVT0002234 Addendum 1

April 24, 2013

Page 1

ADDENDUM

April 24, 2013

Addendum Number:1

RFP Number:EVT0002234

Closing Date:May 3, 2013, 2:00 P.M.

Procurement Officer:ConstanceS Hatch

Telephone:785-296-1171

E-Mail Address:

Item:On-Site Flu Shot Clinic

Agency:Kansas State Employees Health Care Commission &

The Division of Health Care Finance

Location(s):Statewide

Conditions:

Answers to Vendors’ questions follow, see page 2.

There are no other changes at this time.

A signed copy of this Addendum must be submitted with your bid. If your bid response has been returned, submit this Addendum by the closing date indicated above.

I (We) have read and understand this addendum and agree it is a part of my (our) bid response.

NAME OF COMPANY OR FIRM:

SIGNED BY:

TITLE: DATE:

It shall be the vendor's responsibility to monitor this website on a regular basis for any changes/addenda.

  1. On page 1 of 32 of Section I (Event Notice and Acknowledgement of Addenda), the Contract period is stated as three years, from August 1, 2013 through December 31, 2016. In addition, Section 32 of the Sample Contract indicates the contract ends on June 30, 2015. Finally, Section VII (Cost Proposal) contains spaces to quote pricing for years, 2013, 2014, 2015 and 2016. As flu vaccination pricing has historically been established for influenza seasons that span from the late summer of one year until the spring of the following year, can the Commission confirm that it is seeking a contract term of 36 months, from August 1, 2013 through July 31, 2016 and that pricing offers can be made for each successive 12-month portion of that period, such that pricing offers for the period 8/1/13 through 7/31/14 would be entered in the box labeled 2013 in the Cost Proposal, and so forth for the other years?

The contract period will be for 36 months (8/1/13 through 12/31/16) with the option to renew for an additional three (3) year term.

  1. On page 6 of 32 (Signature Sheet), the Closing Date is stated as April 19, 2013, however, the Finish Time stated in the Event Detail is May 3, 2013. Can the Commission confirm that proposals are due by 2pm CDT on May 3, 2013? If so, should bidders revise the Closing Date on the Signature Sheet prior to submission or sign it as is?

The closing is May 3, 2013. The signature sheet should have been updated to reflect the May 3rd closing date, but that was missed. You can update it or sign it as is. Either way is fine.

  1. Can the Commission confirm that pre-existing materials would be excluded from the scope of Section 3.26 of the Mandatory Contract Provisions and Section 10 of the Sample Contract? For instance, bidder anticipates providing the Commission with utilization reporting and onsite clinic promotional materials. To the extent these reports or materials were developed from scratch for the Commission, we would anticipate them to fall within the scope of these provisions, however, to the extent the report format or materials are used for all of our clients for whom we provide flu vaccination services, we would anticipate that pre-existing material to fall outside of the scope of Section 3.26 and Section 10 of the Sample Contract.

Materials that were developed by the vendor before the entering of this contract and used for this contract will fall outside of the copyright provisions within the RFP and contract.

  1. On page 26 of 32 in the Scope of Work, the first sentence of the “Plan Materials” section looks like it may be missing a word or punctuation. Can the Commission confirm that it is intended to read, “Contractor is responsible for developing and printing appropriate member notices.”?

Correct.

  1. Also on page 26 of 32 in the Scope of Work, the last sentence of the “Event Requirements” section describes the requirements for an adjunct room for confidential discussions or disrobing. As the State worksites hosting the clinics will be providing the clinic spaces, is this requirement included so that the contractor can incorporate such a space into the draft location requirements/room drawing specified in the previous sentences in that section?

Yes.

  1. What organization provided the State with Flu immunizations during the 2013 – 2013 Influenza season?

CVS Caremark.

  1. What was the agreed upon final price per Flu shot?

The purpose of this RFP is to determine the market pricing for onsite flu shot clinics. Therefore, what has been paid in the past is not relevant.

  1. Is the contract between the State and your 2012 – 2013 Immunization provider available for review?

Our current contract is with CVS Caremark, our PBM, and it, like all contracts with the State, is subject to the Kansas Open Records Act. So, a vendor could come onsite and review the current contract.

  1. Please provide an evaluation of your 2012 – 2013 Immunization providers performance; operational efficiency, professionalism, SEHP beneficiary satisfaction, etc.Did SEHP experience issues with your previous Flu Immunization Provider?

There are no issues with the services being provided by the current vendor. This RFP is designed to survey the market to see what others are offering and at what price.

  1. Please confirm that the Flu vaccination program will be “Direct Billing” to the Kansas SEHP?

Yes, it will.

  1. Please clarify “Direct Bill Members”billing method; provider bills member or SEHP?

All bills are to the SEHP, not the member.

  1. Will eligible SEHP beneficiaries incur any out of pocket expense that the Flu Immunization provider needs to collect or bill “Direct Member” for? Will the Immunization provider be billing any of SEHP health plans for beneficiaries’ immunization services?

Only covered SEHP members are eligible for the onsite clinics and the cost will be paid by the SEHP.

  1. May we request a census break down of your eligible beneficiaries; active employees, spouse of active employees, direct bill members?

Census data was provided with the RFP as Exhibit 6.

  1. Would dependent children that are not eligible for shots at the worksite be able to receive them at Pharmacy providers?

Children covered under the SEHP have access to flu shots through the medical insurance but must use a network provider of the health plan. The networks of the health plan vendors vary on coverage.

  1. Would the SEHP have interest in Pharmacy based Flu immunization for SEHP beneficiaries that are unable to make on-site Flu shot events?

No. Members covered under the SEHP all have coverage for flu shots through network providers of the medical plan.

  1. Please explain why a Business Associate Agreement is necessary in this situation. (See Mandatory Contract Provisions Section 3.44 and the BAA).

As the flu vaccination vendor for the Health Care Commission, you will be in contact with and will create PHI on behalf of the Commission, which is a Covered Entity under HIPAA.

  1. If necessary, may the BAA be negotiable post award?May the Vaccination Program contract be negotiated post award?

No. All negotiations occur prior to any contract award. Once an award is made, the vendor is expected to sign the contract and BAA immediately upon receipt from the SEHP.

  1. Please explain the requirements that PHI is owned by the State and must be returned or destroyed upon conclusion of the agreement. Health care providers must maintain patient records, which would include PHI, and would also own those records once the patient has been provided services by the provider (See Section 8 of the Sample Contract and references throughout the BAA)

This requirement is found within 42 CFR 164.504(e)(2)(ii)(j).

  1. Please explain the reason for the performance guarantees, (See Section VI. Performance Standards, Guarantees, Liquidated Damages).

The performance guarantees are a standard part of all SEHP contracts for service and are designed to ensure that vendors have a financial stake in the success of the program.

  1. Since this is a work site program, would the State insure and/or be responsible for any third party claims arising due to the negligence of the State (e.g., accidents resulting from a problem at the work site, not cause by any actions by Flu Immunization Provider). (See Section 14 of the Sample Contract, and 10 of the Contractual Provisions Attachment)

Any liability of the State would be dictated by the Kansas Tort Claims Act, KSA 75-6101 et seq.

  1. Section 2 (Deliverables) states that the Commission will pay flu vaccination services invoices in accordance with the Kansas Prompt Pay Act. Can the Commission confirm that the final draft of the Contract will state the payment terms indicated in the “Billing and Payment” section of the Scope of Work on page 26 of 32 (i.e., within three business days of SEHP’s reconciliation of the invoice)?

The Contract will be based on the requirements of the Prompt Payment Act. The SEHP pays its bills timely upon receipt of all necessary documentation.

  1. Section 3 (Performance Standards), in the second to last sentence, refers to the “Lifeline Employee Assistance Program.” Can the Commission confirm that the final draft of the Contract will refer to the flu vaccination program? If not, can the Commission please describe what the Lifeline Employee Assistance Program is and how it relates to the flu vaccination services?

This was a typographical error. Bidders should make the correction on their RFP responses to show “Onsite Flu Shot Clinic” instead of “Lifeline.”

  1. Section 8 (Confidentiality and Access) stipulates that upon termination of the Contract, Contractor must, upon instruction from the Commission, destroy all material derived from data received from the Commission, and Section 9 (Data Ownership) requires that all data created pursuant to the Contract be returned to the Commission prior to final payment. Can the Commission confirm that, should the destruction or return of any of this material be infeasible, the Commission will not require its destruction or return? For instance, local ordinance or regulation, or prudent pharmacy practice, may dictate the retention of treatment authorization forms and other treatment records for a set period of time, making the destruction or return of such materials infeasible.

Per 42 CFR 164.504(e)(2)(ii)(j) the vendor will need to destroy all PHI if/when the contract is terminated. If destruction if not feasible, then the vendor will need to explain why it is not feasible and ensure that the HIPAA required protections will continue for that PHI.

  1. Section 20 (Audits and Access to Records) refers to a “Legislative Post Audit.” Can the Commission please explain what the Legislative post Audit is or refer bidders to a State website or other source with a description?
  1. Section 23 (Option to Renew) provides the Commission with an option to renew the Contract for up to three additional three-year terms. Can the Commission provide details regarding how pricing for these renewal terms (which extend beyond the pricing terms requested in this procurement) will be agreed upon by the parties? For instance, if renewal pricing proposals will be required from the Contractor, by what date would the Commission expect such proposals would be required to be submitted to the Commission and by what date would the Commission anticipate a renewal decision would be made?

Upon request from the SEHP, the vendor would submit renewal pricing information for consideration. If both parties can agree to terms, then the Health Care Commission may vote to extend the contract for an additional time period. The SEHP may elect not to pursue a renewal and instead issue another RFP. This would likely occur during the last year of the contract period.