Att K - Scope of Work - rtp.docx

Attachment K; Statement of Work Statewide Pharmacy Services for the Indiana Department of Correction

RFP 27-88787

1.0 Summary

The Contractor will serve as the State’s direct, prime contractor for comprehensive statewide pharmacy services for all 21 correctional facilities operated by the Indiana Department of Correction (IDOC). Services will be delivered through a centralized, high-volume central-fill (mail-order) pharmacy model with next-business-day courier delivery to all IDOC facilities, supported by facility stock and starter/emergency medication supplies and a Contractor-arranged local backup pharmacy network for urgent needs. The scope encompasses end-to-end service delivery: sourcing and purchasing of medications; prescription processing and dispensing; packaging; distribution and delivery logistics; clinical pharmacy services; formulary management and non-formulary authorization; controlled substance; technology, EHR integration and reporting; returns and reclamation; quality assurance; and administration.

The primary objectives are safe, timely, constitutionally adequate medication services and materially reduced, stabilized total pharmaceutical spend achieved through clinical pharmacy practice, utilization management, and specialty cost recovery rather than dispensing volume.

2.0 Background

IDOC operates multiple facilities across the state, including minimum-, medium-, and maximum-security prisons, as well as specialized housing units and intake facilities. The population served includes adults and juveniles requiring medical, psychiatric, substance use, and chronic disease care. Medications are administered through medication line/cart (nurse-administered) passes as well as a Keep-On-Person (KOP) model. Pharmacy services must support IDOC’s mission to maintain public safety and provide constitutionally required healthcare in a secure environment, in compliance with all applicable standards and regulations, including the Indiana Board of Pharmacy, DEA, FDA, HIPAA, PREA, CDC, U.S. Preventive services task force, IDOC Health Services directives, NCCHC, and ACA standards, meet all applicable local, state and federal laws. Contracted healthcare vendors provide IDOC’s medical and behavioral health services; the Contractor shall coordinate with these vendors and with IDOC as described in this Statement of Work. In the event of a conflict between vendor standards and IDOC policy, IDOC policy shall prevail. If this RFP sets requirements that exceed ACA, NCCHC or other guidelines, this RFP shall take precedence. The IDOC Health Care Directives for both incarcerated adults and incarcerated youth are included in the Appendix to this RFP as Exhibit 1 and 2, respectively. The ACA dates of accreditation and re-accreditation for IDOC facilities are set forth in a chart attached to this RFP and Attachment H-ACA plan.

Agency Overview/Current Services The IDOC is seeking a comprehensive pharmacy services vendor that provides end-to-end pharmacy services to approximately 25,000-28,000 incarcerated individuals over the term of the contract resulting from the RFP. These incarcerated individuals are incarcerated in eighteen (18) adult correctional facilities and three (3) youth facilities located throughout the state of Indiana. A complete list of the IDOC facilities along with the incarcerated population of each facility is included in this RFP as Attachment E- IDOC Facility Bed Counts.

Two (2) of the adult facilities, New Castle Correctional Facility (NCCF) and the Heritage Trails Correctional Facility (HTCF) are managed privately by the GEO Group; however, the Vendor shall be responsible for providing pharmacy services for individuals in these facilities.

A list of IDOC facilities with addresses and populations is attached to this RFP as Attachment D-Facility Addresses. This list includes restricted housing beds.

3.0 Minimum Qualifications (Pass/Fail)

To be eligible for award, a Respondent must demonstrate, in its Business Proposal and through verifiable references, that it meets the following minimum qualifications as of the proposal’s due date. The State will verify these qualifications through references, licensure records, and independent means. The experience of individual personnel while employed by entities other than the Respondent shall not be considered. Failure to demonstrate any minimum qualification will result in disqualification.

· At least ten (10) years of continuous experience providing comprehensive pharmacy services to correctional facilities or systems;

· For the three (3) years immediately preceding the proposal due date, simultaneous and continuous provision of correctional pharmacy services, including scheduled courier delivery, to at least one (1) correctional system comprised of six (6), or more geographically separate facilities operated by or for a single government entity;

· Current service to at least three (3) statewide or large-scale correctional systems (state DOC, federal, or comparable), including at least one (1) state department of correction served as the direct, prime pharmacy services contractor (not as a subcontractor to a medical services vendor);

· A combined correctional average daily population (ADP) served at least 20,000 across current clients, including at least one single system with an ADP of 10,000 or more;

· Ability to obtain and maintain all required Indiana Board of Pharmacy permits (resident or non-resident), DEA registrations, and controlled substance registrations prior to the first day of service; and

The Contractor shall provide end-to-end pharmacy service delivery from prescription processing at the prescribing provider’s order to the point of delivery of patient-specific and stock medications at IDOC facilities, at which point facility healthcare staff administer or issue the medications. The State has determined, informed by RFI 27-87786 and the prevailing practice in comparable statewide correctional systems, that a centralized, high-volume central-fill pharmacy with next-business-day courier delivery — supported by facility stock, starter/emergency supplies, and a local backup pharmacy network — is the preferred service model for IDOC. On-site dispensing pharmacies at IDOC facilities are not required. Respondents proposing alternative models must demonstrate equivalent or superior continuity, accuracy, accountability, and cost performance.

4.2 Medication Ordering & Prescription Processing

The Contractor shall provide:

· An electronic platform that receives medication orders from IDOC providers and interfaces bidirectionally with IDOC's current EHR (NextGen) and any future or replacement EHR adopted during the contract term, at no cost to the Department — orders entered by providers shall transmit electronically to the Contractor's pharmacy system without manual re-entry, with dispensing and fill status returning to the EHR, and with all interface development, testing, maintenance, and modification costs borne by the Contractor. See the Compliance Requirements for additional information.

· Pharmacist screening of every order prior to dispensing for medication interactions, allergies, duplicate therapies, excessive dosage, formulary status, and early refills (prospective DUR);

· An alternative ordering pathway (dedicated telephone and facsimile lines) and a documented downtime process to ensure continuity of service during any ordering system outage; and

· 24/7/365 availability of a licensed pharmacist for emergency and non-emergency consultation, order clarification, and first-dose review.

4.3 Delivery & Distribution Logistics

The State does not require same-day delivery from the Contractor’s central-fill pharmacy. Routine delivery shall be on the next business day, structured as follows:

· For purposes of this SOW, a business day means 8:00 AM to 5:00 PM Eastern Time, Monday through Friday, excluding State‑recognized holidays. Orders received and confirmed by 3:00 PM Eastern shall be required to be delivered by the end of the next-business-day. Orders confirmed after 3:00 PM Eastern shall be required to be delivered by the end of the second business day.

· Routine (clean) orders received by the Contractor’s published daily cut-off time shall be processed and shipped the same business day and delivered to the facility no later than the next business day, such that medications are available for administration before the start date and time specified on the provider’s order;

· Scheduled deliveries a minimum of five (5) and up to six (6) days per week (Monday through Saturday), with routes and frequency proposed by facility, including rural locations;

· All delivery costs are the responsibility of the Contractor, and the Contractor bears risk of loss until delivery is accepted at the facility;

· A shipping manifest accompanying every delivery; systems to track deliveries, verify receipt, document discrepancies, and maintain chain of custody, with all delivery discrepancies investigated and resolved within twenty-four (24) hours;

· Secure distribution of controlled substances with documented chain of command and reconciliation at each transfer point;

· Contingency planning for weather delays, transportation limitations, and facility lockdowns, including a written emergency operations plan (general emergencies; emergencies unique to IDOC such as riots, facility shutdowns, and mass casualty events; and emergencies unique to the Contractor such as courier outages, shortages, and system failures), finalized within sixty (60) days of the first day of service; and

· Solutions that accommodate secure entrances, property protocols, and restricted-access environments.

4.4 Urgent (STAT) Medications & Backup Pharmacy Network

Urgent medication needs shall be met through the combination of facility stock, starter/emergency medication supplies (Section 6.0), and a Contractor-arranged local backup pharmacy network. The Contractor shall:

· Identify and contract with local backup pharmacies serving each IDOC region within thirty (30) days of contract commencement;

· For any medication obtained through a backup pharmacy, charge IDOC only the amount actually invoiced to the Contractor by the backup pharmacy, passed through at cost with no markup, administrative fee, handling charge, or other surcharge. Courier and delivery charges associated with backup pharmacy use shall be billed to IDOC on the same pass-through basis, at the amount actually invoiced and with no markup. The Contractor shall provide supporting documentation of all such invoiced amounts upon request.

· Provide a monthly electronic report of all urgent medication events, including backup pharmacy utilization.

4.5 Backordered & Unavailable Medications

When an ordered medication cannot be fulfilled within the required timeframe due to manufacturer or wholesaler shortage or stock unavailability, the Contractor shall promptly notify the ordering clinician (or authorized alternate) to determine whether a substitute is acceptable or the medication should be backordered, shall recommend a therapeutically equivalent alternative where one exists, and shall bridge supply through stock or the backup pharmacy network so therapy is not interrupted. The Contractor shall report recurring backorders and shortage-driven substitutions to IDOC and the P&T Committee and shall proactively manage market shortages and recalls under documented procedures.

· A thirty (30) day supply shall be dispensed for most solid oral dosage forms, inhalers, nasal sprays, suppositories, topicals, ophthalmics, injectables, and liquid medications; medications with shorter shelf life or high-cost medications qualifying for shorter supply shall be maintained on a continuous-supply basis;

· Dispensing of refills shall be timely to avoid breaks in therapy; dispensing of stock medications shall maintain facility PAR levels;

· Generic and therapeutically equivalent substitution shall be performed per Section 9.0;

· Compounded medications (sterile and non-sterile) shall be limited to situations where commercially available dosage forms are unavailable; total parenteral nutrition shall be procurable when needed;

· The Contractor shall procure and deliver vaccines to IDOC facilities; and

· The Contractor shall provide all supplies necessary for pharmaceutical services.

5.2 Packaging & Labeling

Medications shall be packaged in unit-dose blister cards (one unit per bubble for oral solids) individually labeled to ensure accuracy, patient safety, and optimum return credit, and shall support medication passes, restricted movements, and cell-side administration. Each card/label shall include: patient name; DOC/booking identifier; facility name and address; date; medication name, strength, and dosage; directions for use (available in Spanish and other languages as needed); prescription number; lot number; prescribing provider; quantity; initials of the dispensing pharmacist; warnings; pharmacy address; a two-part label with peel-off tab for refills; and a barcode unique to each prescription usable for receiving, dispensing, and returns. Tamper-evident unit-dose packaging shall be used where clinically or operationally stated.

5.3 Stock & Over-the-Counter Medications

Frequently prescribed and over-the-counter medications, as determined jointly by IDOC and the Contractor, shall be provided as facility stock and billed as such, with customizable package sizes, quantity limits, and stock lists to eliminate waste and prevent accumulation; a documented process (e.g., sign-out sheets or electronic tracking) shall record stock usage.

5.4 Keep-On-Person (KOP) Program Support

The Contractor shall support IDOC’s KOP program with appropriate packaging, structured eligibility criteria support (absence of diversion risk, chronic stable condition, documented adherence), real-time tracking within the Contractor’s system, KOP issue and reorder lists by facility and housing unit, and disposal of returned KOP medications at no charge.

5.5 Medication Storage

The Contractor shall supply locking medication storage carts (durable, lightweight, movable) for each facility as specified by IDOC and shall be responsible for maintenance, repair, and replacement.

6.0 Emergency, Starter & Bridging Medications

· The Contractor shall supply and maintain all emergency medications housed in clinic areas and emergency carts/bags, and shall inspect these inventories quarterly to confirm par levels, dating, and packaging integrity;

· The Contractor shall supply starter/first-dose medication supplies, as determined with IDOC, sufficient for immediate administration where treatment cannot be delayed (including intake and after-hours starts).

7.0 Controlled Substances

· All prescribed controlled substances shall be dispensed in blister cards (or equivalent unit-dose accountability packaging), except where unit-dose packaging is not commercially available or is precluded by the dosage form (e.g., liquids, inhalers, topicals) or manufacturer stability requirements, in which case the medication may be dispensed in manufacturer bottles or bulk packaging with equivalent accountability controls applied and notice to IDOC; perpetual inventory, control sheets, and reconciliation shall be compliant with DEA and Indiana Board of Pharmacy requirements.

· The Contractor shall be operationally and financially responsible for the disposal and removal of expired and unused controlled substances, including on-site destruction where permitted;

· The Contractor shall conduct quarterly audits of control medication handling and report findings to IDOC; and

· Diversion safeguards shall include early-refill surveillance, fill-date monitoring, pattern analysis, and pharmacist oversight.

· Retention shall be in accordance with the Indiana Archives and Records Administration retention schedules.

8.0 Clinical Pharmacy Services

The Contractor shall provide an embedded clinical pharmacist model and shall demonstrate current capability to deliver each of the programs listed below. Which programs are deployed, and the scope and sequence of deployment, shall be determined in consultation with IDOC. Programs include:

· A minimum of three (3) full-time clinical pharmacists dedicated exclusively to IDOC — including Board-certified pharmacotherapy specialists, one of whom shall serve as Director of Clinical Pharmacy Services and count toward the minimum — assigned to support IDOC facilities (on-site presence, scheduled facility visits, and/or tele pharmacy as proposed), participating as members of the healthcare team, performing chart reviews with medical vendor staff, and available for clinical consultation on complex cases.

· Clinical pharmacy supports the full range of therapeutic areas encountered in the IDOC population, including chronic disease management, psychiatric care, and complex or specialty medication regimens, including injectable and long-acting injectable medications;

· Disease-state management programs, currently operational with documented outcomes, addressing at minimum: serious mental illness and psychotropic stewardship; diabetes; HIV; hepatitis C, including tracking and reporting of treatment outcomes; anticoagulation management; antimicrobial stewardship; and geriatric/hospice care;

· Medication therapy management (MTM) and comprehensive medication regimen reviews, with recommendations to optimize therapy and discontinue clinically unnecessary medications;

· Medication reconciliation and transitions-of-care support across all points of transition, with reconciliation documented in the medical record;

· Clinical pharmacy care plans for high-risk or high-cost patients, providing medication management recommendations, assessments, and monitoring plans documented in the patient's medical record;

· Prospective DUR on new prescriptions before dispensing and retrospective DUR to identify systemic prescribing trends and target educational interventions, with adherence monitoring through refill data, MAR review, and disease-state targets;

· Identification, prescriber notification, and documentation of potential and actual adverse medication reactions;

· Participation in collaborative practice agreements with providers, within the bounds of applicable law, to support therapeutic substitution and disease-state protocols;

· Education support for patients with complex regimens or high-risk medications; and

· Staff education: regular in-services for facility healthcare and designated IDOC staff, including new-medication education, high-risk/look-alike-sound-alike medication training, and education in response to medication errors, near-misses, or sentinel events.

The Technical Proposal must include documented clinical outcomes from comparable correctional clients for each program above (e.g., spend reduction, A1c control rates versus published benchmarks, SVR12 rates, cost trends), which the State may verify with the reference client.

9.0 Formulary Management & Non-Formulary Authorization

· The Contractor shall develop, maintain, publish (quarterly), and enforce an IDOC formulary, structured generic-first in every therapeutic class where a clinically equivalent generic is available, reviewed with recommended changes presented to the P&T Committee quarterly;

· Unless otherwise specified by the P&T Committee, the Contractor shall substitute generic medication when available and a brand medication is not specified as required; on a monthly basis, the Contractor shall review medications with new or existing generic equivalents and report brand/generic utilization and savings opportunities to the P&T Committee;

· Every non-formulary request shall be reviewed by a clinical pharmacist through whole-regimen clinical screening (allergies, disease states, interactions, duplicate therapy, laboratory parameters, verification of formulary treatment failure) — with all non-formulary requests resolved within twenty-four (24) hours of receipt and at least ninety percent (90%) reviewed the same business day. Facilities shall be notified of non-approved requests with documented clinical rationale and recommended alternatives, and requestors shall retain a documented right of appeal to designated medical leadership. The process shall be documented and reportable through the EHR;

· The Contractor shall produce a non-formulary exception report including medication name and strength, date of service, patient name, prescribing provider, disposition, and cost;

· Therapeutic interchange shall be performed under P&T-approved protocols, with documentation of the interchange, rationale, prescriber agreement, and patient monitoring;

· Preferred drug list enforcement with real-time monitoring of prescribing patterns and prescriber engagement when preferred agents are bypassed;

· Prescriber education and engagement designed to reduce non-formulary volume over time through clinical evidence, guideline review, and cost-benefit analysis, rather than solely gatekeeping; and

· Pharmacoeconomic forecasting and budget management, including anticipation of patent expirations and generic launches, identification of new therapeutic entrants, medication budget scenario modeling, and transparency into supplier agreement changes that may affect IDOC costs.

10.0 Pharmacy & Therapeutics (P&T) Committee Participation

The Contractor shall participate in quarterly IDOC P&T Committee meetings (and regional or ad hoc meetings as reasonably requested), with the Contractor’s clinical leadership presenting clinical programming, interventions, and educational programs, preparing written minutes, and providing detailed data and recommended action plans. P&T reporting shall include, at minimum: overall medication costs; non-formulary medication use by cost and quantity; HIV and hepatitis C associated costs; psychotropic costs; per inmate per month (PIPM) cost trends; drug costs by disease state; top 50 medication use; brand-to-generic conversion opportunities; practice guideline review; recommendations for cost-effective and quality-enhanced medication use policy; pharmaceutical forecasting; and analysis of STAT medication usage. The Contractor shall additionally participate in at least one monthly operations meeting with IDOC health services leadership and, where applicable, interdisciplinary meetings with IDOC’s other healthcare contractors.

The requirements in this Section apply to the Contractor's core pharmacy operating system:

· Bidirectional, real-time integration with IDOC’s EHR (currently NextGen) using industry-standard services and protocols (e.g., HL7), including electronic prescribing, order transfer without manual re-entry, refill requests, and non-formulary documentation; the Contractor is responsible for all interface costs, now and if the State’s EHR changes;

· Integration with IDOC offender management data (admissions, transfers, releases, housing changes) so that patient location and status changes flow to the pharmacy system automatically;

· 24/7/365 availability of core systems with a minimum ninety-eight percent (98%) uptime;

· Barcode support for receiving, dispensing, administration support, and returns; and

· Security and privacy compliance with HIPAA and applicable State standards (see Section 21.0), including encryption of data in transit and at rest, U.S.-based hosting, and protection of confidentiality of records.

· See Compliance Requirements section for additional details.

12.2 Reporting & Data Transparency

The Contractor shall provide a three-tier reporting architecture: (1) a real-time, web-based pharmacy management information dashboard accessible to authorized IDOC personnel at all facilities, with utilization and billing data, intuitive filtering, and visualization; (2) structured scheduled reports (monthly and quarterly, on a schedule at IDOC’s discretion); and (3) ad-hoc/on-demand reporting, with custom queries generated within twenty-four (24) hours of request to support audits, accreditation, or clinical investigations. Raw underlying data shall be provided upon request in an analyzable format. Standard report content shall include:

· Medication cost, quantity, and trends, viewable by patient, facility, and prescriber, for medication name, therapeutic class, disease state, and formulary status;

· Population health reports (patients on multiple medications for a single condition, medications spanning multiple conditions, and combined behavioral/physical health regimens) and provider-level prescribing pattern reports;

· Requests for and disposition of non-formulary medications; newly available generics; utilization of backup/local pharmacies for urgent orders; medications supplied at release; returns and credits; PIPM trends; and usage by volume, cost, class, disease state, and provider;

· Pharmacy returns/credit recovery.

13.0 Returned Medications, Reclamation & Disposal

· All expired and unused medications not in patient possession shall be returnable to the Contractor, and the Contractor shall drive a legally allowable reclamation program offering credit to IDOC, with a documented process for identifying refundable returns, issuing and tracking credits (reported monthly), and disposing of unusable or nonrefundable medications;

· Liquid medications, topicals, specialty and refrigerated items are excluded from return unless otherwise agreed;

· The Contractor shall dispose of returned KOP medications at no charge;

· The Contractor shall provide a disposal system compliant with all federal, state, and local waste regulations, including on-site destruction of controlled substances where permitted;

· Unit-per-bubble blister packaging shall be used to maximize reclamation credit (Section 5.2).

14.0 Medications Upon Release

· The Contractor shall provide a thirty (30) day supply of medications to sentenced individuals upon release;

15.0 Quality Assurance & Continuous Quality Improvement (CQI)

· The Contractor shall maintain a written CQI plan including completed medication utilization reviews, process and focused audits, inspection findings, and a quarterly executive summary presented at IDOC’s quarterly CQI meeting;

· The Contractor shall inspect facility medication areas quarterly (storage conditions, refrigerator temperature logs, controlled substance handling, records and accountability, outdated/discontinued/recalled medications, formulary use, sharps accountability) with findings reported to the CQI and P&T Committees;

· The Contractor shall complete a quarterly controlled substance inventory and report findings at the CQI meeting;

· The Contractor shall advise IDOC and the medical vendor’s Medical Director of any quality issues as soon as possible; and

· The Contractor shall maintain quality assurance, incident review, diversion prevention, error reduction, and medication security policies, and shall cooperate with IDOC audits, accreditation surveys (NCCHC/ACA), and litigation support requests.

16.0 Policies & Procedures

IDOC shall approve the Contractor’s policies and procedures. The Contractor shall review and update its policy and procedure manuals every twelve (12) months, provide a signed annual statement confirming the review, and furnish all revisions to IDOC. Policies and procedures shall address, at minimum: administrative matters; pharmacy services; purchasing and procurement; packaging and delivery; dispensing; discharge planning; P&T Committee support; infection control; medication room inspections; inventory control; utilization management and peer review; EHR use; HIPAA; non-formulary approval; 340B program management (when established); backup pharmacy ordering; shortages and recalls; medication error reporting; CQI; and reclamation and disposal.

17.0 Staffing

· The Contractor shall identify a single point of contact (dedicated account/contract manager) responsible for all aspects of contract management.

· The Contractor shall identify a single point of contact designated as a Clinical Pharmacy Director.

· The Contractor shall designate a Clinical Director — a licensed clinical pharmacist — to serve as IDOC’s primary clinical interface, co-chair or support the P&T Committee, and attend all scheduled contract meetings;

· The Contractor shall provide clinical pharmacists supporting the programs in Sections 8.0–10.0, identifying FTEs, credentials and facility assignments, with a dedicated clinical pharmacist assigned to each facility or facility cluster;

· The Contractor shall maintain an updated on-call clinical pharmacist schedule for after-hours coverage;

· All staff entering IDOC facilities shall complete IDOC security clearance, credentialing, and training requirements and shall wear picture identification while on IDOC premises; and

· The Contractor shall generate a monthly staffing report identifying assigned staff, coverage, and vacancies.

18.0 Implementation, Transition & End-of-Contract

Implementation

· The Contractor shall provide a detailed implementation plan that includes, at a minimum, an integrated schedule with milestones and dependencies; a project organization and staffing plan; a requirements traceability matrix; issue and risk management processes with escalation paths; a communication plan for stakeholder engagement; a quality management plan with standards and acceptance criteria; training and deployment plans; and descriptions of approved tools and collaboration platforms to achieving full statewide service, without interruption of patient therapy, by the first day of service. The plan should address at a minimum: transition of prescription records and open orders from the incumbent; formulary adoption and P&T standup; EHR integration tested and operational at go-live; facility onboarding and in-service training schedule; licensure and DEA registrations; provider license/DEA data gathering to avoid prescribing delays; starter/emergency kit placement; and contingency arrangements;

· The Contractor shall assign an implementation project manager to be on-site and serve as the point person for IDOC during transition;

· The State places significant value on proven, currently operational clinical, distribution, and reporting programs deployable without a development phase; Respondents must identify any elements requiring development, customization, or pilots, with timeline and risk; and End of Contract Transition and Turnover

· The Contractor shall develop a turnover plan within six months of Contract execution, detailing activities for transferring responsibilities, non-proprietary components, data, and operational documentation to the State or its agent. The turnover plan shall be mutually maintained throughout the term of the Contract. The Contractor shall maintain mutually agreed upon staffing levels during turnover and commence training and shadowing four months prior to contract end for staff who will assume operations. The State will approve the designated Turnover Manager. The Contractor shall provide a knowledge transfer checklist (for example procedures, contacts, training materials) and deliver a data disposition certificate confirming deletion or return of State data within six months after contract completion unless otherwise agreed.

19.0 Project Timeline and Ongoing Deliverables

The timeline below reflects year one. Ongoing deliverables will follow similarly in subsequent years.

Within 15 days of contract execution

20.0 Key Performance Indicators

The State will use Key Performance Indicators (KPIs) to measure performance and outcomes of the Contract. The specific KPIs and their targets will be defined and agreed upon by the State and the Contractor during the initial phases of the requirements under the Contract. At a minimum, on time delivery at quality standards of the scope provided within the budget set forth in the Contract will each be measured. Additionally, the State will collect a modified Net Promoter Score from customers to this Contract at its discretion. Low ratings on the modified Net Promoter Score or failure to meet any other KPIs may be deemed, at the discretion of the State, to constitute default under the Contract.

The Contractor shall meet, and report monthly against, the following minimum performance standards. The State may include liquidated damages or fee-at-risk provisions tied to these standards in the final contract.

21.0 Cost Structure & Cost Management

The Contractor’s pricing and cost management shall conform to the requirements of this RFP (Cost Proposal), including drug product pricing against IDOC’s utilization market basket, a fixed per-inmate-per-month services fee by service category. The Contractor shall additionally provide:

· Drug cost containment strategies including formulary management and generic utilization, with quarterly reporting of realized savings;

· Sourcing and purchasing medications through the states MMCAP program

· Transparency into price lists and the value achieved through cost-control measures;

· An annual reconciliation of all cost-avoidance commitments, guarantees, credits, and returns.

22.0 Compliance Requirements

Statewide IT Policies, Procedures, and Standards The State has robust and comprehensive security standards that permeate all levels of the organization. The Indiana Office of Technology (IOT) has been tasked with establishing and maintaining these security standards. The security standards include assessing security risks, developing, and implementing effective security procedures, and monitoring the effectiveness of those procedures. If the proposed solution involves information technology-related products or services, all such products or services are to be compatible with any of the technology standards found in the Statewide IT Policies, Procedures, & Standards (https://www.in.gov/iot/policies-procedures-and-standards/) that are applicable, including the assistive technology standard. The Contractor will be required to sign a Non-Disclosure Agreement (NDA) to access the more sensitive standards and policies. The Contractor should review the Statewide IT Policies, Procedures, & Standards and ensure their proposed solution meets all standards therein.

Data Exchange The State has robust and comprehensive data transmission standards that operate enterprise wide. The IOT established and maintains these standards, which support IOT’s data exchange and API-led strategies for the State. The Contractor’s solution must support the State’s standard API and file transfer methods to facilitate secure data transmission. The State’s standardized data transmission technologies are the MuleSoft API Management and Go Anywhere Managed File Transfer (MFT) services. See https://www.in.gov/iot/policies-procedures-and-standards/applications-standards/.

Authentication The proposed solution is expected to integrate with Access Indiana. The IN.gov Program (https://www.in.gov/inwp/ ) is tasked with implementing a single sign-on authentication mechanism and Identity Provider for online applications for the State of Indiana, referred to as Access Indiana. The benefits of a standard authentication solution, integration strategy, integration process, and more can be found at Access Indiana Authentication (https://www.in.gov/inwp/applications/authentication/).

Security Incident Response The Contractor shall provide incident response process documentation covering ticketing, escalation, timelines for State notification, and reporting of resolved incidents including root cause analysis and lessons learned for major incidents.

Business Continuity/Disaster Recovery (BC/DR) The Contractor shall maintain and share with the State a Disaster Recovery Plan, and shall make available to the State all amendments, changes, or modifications to its Disaster Recovery Plan. The Contractor shall, in coordination with the State, maintain a specific Business Continuity Plan dedicated to operating State systems for which it is responsible in the event of a disaster, as well as a specific Continuity of Operations Plan dedicated to the Contractor’s organization itself. Over the course of the contract, the Contractor shall make updates to their Business Continuity-Disaster Recovery Plan on an annual basis to ensure that staffing and procedures are up to date. All said updates shall be shared with the State in a timely manner.

Equipment Requirements If equipment is needed to access the State’s network, the Vendor must reimburse the State for all equipment and access related costs, as outlined in the current Indiana Office of Technology Services Catalog. Contractor personnel shall accept and comply with the Information Technology Resources (ITR) User Policy; non‑compliance may result in access revocation. All rates are subject to annual adjustment and reissuance on July 1 of each fiscal year.

Artificial Intelligence (AI) Policy The State of Indiana has adopted an enterprise-level policy governing the use of Artificial Intelligence (AI) within state government. The State of Indiana AI Policy is issued and monitored by the Office of the Chief Data Officer (OCDO), in cooperation with the Chief Privacy Officer (CPO) and the Management Performance Hub (MPH). In complement the AI Policy, the State Agency Artificial Intelligence Systems Standard outlines the rationale behind the AI Readiness Assessment process required for the implementation or any use of AI by a state agency. The standard outlines the requirement for the submission of a Readiness Assessment Questionnaire prior to implementation or use of an AI tool or system. Any proposed solution meeting these requirements must support the State’s AI Policy and follow the AI Readiness Assessment Process. See https://www.in.gov/mph/AI/ for more detailed information. Review and completed Attachment [X] – Artificial Intelligence for more detailed information.

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