Department of Veterans Affairs Medical Center, A&MMS 90C, 3200 Vine Street, Cincinnati, OH 45220

B -- ANALYSIS OF NURSING HOME POPULATION SOL 539-29-99 DUE 061099 POC Betty Jo Dessauer (513)475-6340 or Judith L. Blasingame (513)475-6336 Request For Proposal # 539-29-99 is a combined synopsis/solicitation for commercial items for The Department of Veterans Affairs Medical Center, 3200 Vine Street, Cincinnati, OH 45220. This synopsis/solicitation is prepared in accordance with the format in FAR Subparts 12, 13, and 15, as supplemented with additional information in this notice, for Analysis of Nursing Home Population. SIC Code is 8732, Commercial Economic, Sociological, and Educational Research, and the small business size standard is $5.0 million. This is an unrestricted synopsis/solicitation and this announcement constitutes the only solicitation. Proposals are being requested and a written solicitation WILL NOT BE ISSUED. Contract award is subject to the availability of funds. Contractor shall provide a price schedule for the whole job. All work shall be completed and reports provided by 9/30/99. 1. Contractor shall perform an analysis of the current Department of Veterans Affairs (VA) nursing facility population housed in VA facilities using three "sample facilities" to collect data. The analysis shall show the Governments projected 1999 cost to care for the entire current Veterans Affairs nursing facility population housed in VA Facilities if it were to be reimbursed under a fully prospective Medicare payment methodology. The analysis shall be based upon the following three "VA sample facilities": Ft. Thomas, Kentucky, Milwaukee, Wisconsin, and Albuquerque, New Mexico. Work includes: a. The calculation of estimated Medicare Prospective Payment Rates for all Resource Utilization Groups (RUGS) III groups for each of the VA Sample Facilities. b. The performance of a comprehensive assessment for each patient of the current VA nursing facility population housed at the VA Sample Facilities (approximately 370 patients), utilizing the Minimum Data Set version 2.0 (MDS 2.0) Resident Assessment Instrument (RAI). c. The determination of a Medicare RUGs III classification for each patient of the current VA nursing facility population housed at theVA Sample Facilities utilizing the MDS 2.0 (completed in Section 1.b above). d. The determination of an average RUGS III acuity profile ("case-mix") of the current VA nursing facility population housed at the VA Sample Facilities. e. The calculation of the average Medicare Prospective Payment Rate for the current VA nursing facility population housed at the VA Sample Facilities. f. The calculation of the projected annual Medicare Prospective Payment for the current VA nursing facility population housed at the VA Sample Facilities based upon section 1.e. above and projected 1999 census for the current VA nursing facility population housed at the VA Sample Facilities. 2. The calculation of the Government's estimated 1999 cost to care for the entire current VA nursing facility population housed in VA facilities if the private sector were to be contracted at current rates adjusted for the acuity encountered in the current VA nursing facility population housed in VA Facilities. This estimate shall be based upon the acuity of current VA nursing facility population housed in the private sector through current contract rates with the private sector and the Sample Facilities. Work shall include: a. The determination of a current Medicare RUGs III classification for each patient of the VA nursing facility population housed in the private sector by the Sample Facilities. b. The determination of the current VA contracted rates for each patient of the VA nursing facility population housed in the private sector by the Sample Facilities. c. The determination of the average weighted VA contract rate for the case mix acuity encountered ("cost-per-case-mix") in the VA nursing facility population housed in the private sector by the Sample Facilities. d. The calculation of the estimated 1999 cost to care for the entire current VA nursing facility population housed in VA Facilities if the private sector were to be contracted at current rates adjusted for the acuity encountered in the current VA nursing facility population housed in VA Centers. This estimate shall be based upon the case-mix profile for the VA nursing facility population housed in VA Facilities by the Sample Facilities identified in section 1.d. above, and the cost-per-case-mix of the VA nursing facility population housed in the private sector by the Sample Facilities identified in section 1 above, and projected 1999 census for the current VA nursing facility population housed in VA Facilities. 3. The performance of a comparison of the projected 'per patient day' cost data developed from 1. above, to the projected 1999 'per patient day' Medicare reimbursement of three similarly situated facilities. a. The calculation of the estimated average Medicare Prospective Payment per patient day ("per diem payment") for the current VA nursing facility population housed in VA Facilities based upon determination for the Sample Facilities developed in section 1. f. above. b. A Comparison of the projected per diem payment for the current VA nursing facility population housed in VA facilities developed in section 3.a. above, to the average 1999 Medicare Prospective Payment per patient day ("per diem payment") for three similarly situated facilities. 4. Other. a. The VA Project Coordinator shall facilitate the development, in conjunction with the Contractor and under the direction and written approval of the Steering Committee which has supervision over this project, specific written material assumptions, and associated policies, procedures and protocols, to be utilized during the analyses performed under this contract. Such Material Assumptions shall streamline the analyses and contribute to the validity of findings in the context under which they will be presented. b. Contractor may represent, perform services for, and be contracted by other clients, including and without limitation, other hospitals or nursing homes, during the performance of this service. However, final report shall be completed and in the hands of the Government September 30, 1999. c. The Government shall furnish or cause to be furnished to the Contractor pertinent financial and operational information and copies of all internal correspondence pertaining to this contract in a timely manner. d. All records and information relating to this project shall remain the property of the Government. Contractor shall have access to all such pertinent and appropriate documents during the period of this project solely for the performance of service under the contract and for no other use. All such records and information shall be returned to Government upon acceptance of the end results by the Government. e. At all times during this engagement and thereafter, Contractor shall maintain the confidentiality of all business, financial, medical records, and information pertaining to the Government and its patients. f. The Government shall not use or disclose to others information that could potentially reveal Contractor's trade secrets except as expressly consented to in writing by the Contractor. The Government shall continue to use any dataprovided during the contract period and the Contractor shall make such data available in a machine-readable format. g. For the purpose of implementing Section 186 1 (v)(1)(1) of the Social Security Act, as amended, and any written regulations thereto, Contractor shall comply with the following statutory requirements governing the maintenance of documentation to verify the cost of services rendered under this engagement: 1) Until the expiration of four years after the furnishing of such services pursuant to this contract, the Contractor shall make available upon written request of the Comptroller General of the U.S., or the Secretary of the Department of Health and Human Services ("Secretary") or their designees, the contract, documents, and records of the Contractor that are necessary to verify the nature and extent of costs associated with these contract services. 2) If Contractor carries out any of the duties of this project through a subcontractor (approved in advance by the Government) with a value of $10,000 or more within a twelve month period, the subcontract shall contain a clause to the effect that until the expiration of four years after the furnishing of such services, pursuant to such subcontract, such subcontractor shall make available upon written request of the Secretary or Comptroller General or their designees, the subcontract, books, documents and records necessary to verify the nature and extent of costs associated with providing these Services. A firm fixed price contract will result from this synopsis/solicitation. The following incorporated provisions and clauses are those in effect through FAC 97-11 and are applicable to this soliciatation; 52.212-4, Contract Terms and Conditions -- Commercial Items; Addendum to 52.212-4 -- 52,252-2, 52.204-6, Data Universal Numbering System (DUNS) Number, 52.215-5, Facsimile Proposals, 52.217-8 Option to Extend Services, 52.217-9 Option to Extend the Term of The Contract, 52.232-18 Availability of Funds, 52.232-33 Mandatory Information for Electronic Funds Transfer Payment, 52.246-25 Limitation of Liability -- Services, 852.233-70 Protest Content, 852.270-4, Commercial Advertising, 852.271-70 Nondiscrimination in Services Provided Beneficiaries, 852.237-7 Indemnification and Medical Liability Insurance; 52.212-5 Contract Terms and Conditions Required to Implement Statutes and Executive Orders, -- 52.203-6 Restrictions on Subcontractor Sales to the Government with Alternate I, 52.219-8 Utilization of Small, Small Disadvantaged and Women-Owned Business Concerns, 52,222-26, Equal Opportunity, 52.222-35, Affirmative Action for Workers with Disabilities, 52.222-36 Affirmative Action for Workers with Disabilities, 52.222-37 Employment Reports on Disabled Veterans and Veterans of the Vietnam Era, 52.225-19 European Union Sanction for Services, 52.239-1 Privacy or Security Safeguards, 52.222-41, 52.224-1 Privacy Act Notification, 52.224-2 Privacy Act; 52.212-1, Instructions to Offerors-Commercial Items; 52.212-2 Evaluation-Commercial Items -- The following factors shall be used to evaluate offers: a. Management Approach (Methodology/approach to contract performance, Quality Assurance and customer service plan), b. Past Performance (Identify at least three Federal, State, or Local Government and private on going contracts that are similar in scope and size, and c. Education (Individual and corporate education, training, and certification). The factors are equal in weight and when combined are approximately equal to price. In addition to submitting evaluation criteria, Offerors must include a completed copy of the provisions at FAR 52.212-3, Offeror Representation and Certifications -- Commercial Items, and VAAR 852.219-70, Veteran-Owned Small Business, and their DUNS Number with their proposal. Facsimile proposals may be sent in response to this synopsis/solicitation to 513/475-6334. Question shall be by way of facsimile to the same number. Offers must be received no later than 2:00 P.M. June 10, 1999. Offers sent via the US Postal Service should be addressed to A&MMS (90C), 3200 Vine Street, Cincinnati, OH 45220. The VA bears no responsibility for data errors resulting from transmission or conversion processes. Posted 05/18/99 (W-SN332828). (0138)

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