DME Absorbent Products RFR033117~1.doc

Commonwealth of Massachusetts

Executive Office of Health and Human Services

REQUEST FOR RESPONSES FOR A

Preferred Supplier for the Provision of DME Incontinence Products Issued: March 31, 2017 Document Number: 17CBEHSDMEINCONTINENCEPRODUCTSRFR Table of Contents

1SECTION I. Introduction and Overview

1A.

Introduction

2B.

Background

4C.

Contractor Responsibilities

6SECTION II. Definitions

6SECTION III. Response Requirements

6A.

Bidder Qualifications

6B.

Response Requirements

6C.

Business Response

10D.

Programmatic Response

14E.

Cost Proposal

14SECTION IV. Bid Process

14A.

Questions

15B.

Contract Terms

15C.

Instructions for Submitting Responses

16D.

Evaluation Criteria

17E.

Reservation of Right to Reject Bids or Cancel Procurement

17F.

Background on the COMMBUYS Procurement System

18SECTION V. Required Contract Terms and Conditions

18A.

Contract Documents

18B.

Fraud

19C.

Insurance

19D.

Effect of Invalidity of Clauses

19E.

No Third-Party Enforcement

19F.

Equal Employment Opportunity

19G.

Prohibited Activities and Conflict of Interest

20H.

Compliance with Laws

20I.

Assignment

20J.

Independent Contractors

20K.

Force Majeure

20L.

Waiver

20M.

Restrictions on the Use of the Commonwealth Seal

20N.

Corrective Action Plan

21O.

Authorizations

21P.

Addendum or Withdrawal of RFR

21Q.

Public Records

21R.

Incorporation of RFR

21S.

Electronic Communication/Update of Bidder’s/Contractor’s Contact Information

21T.

Debriefing

22U.

Supplier Diversity Program

23V.

Response Duration

23W.

Costs

23X.

Privacy and Security

24Y.

Best Offers

24SECTION VI. Procurement Timetable

25ATTACHMENT 1. Proposal Requirements Summary

26ATTACHMENT 2. Product Descriptions

33ATTACHMENT 3. Cost Proposal

35ATTACHMENT 4. Provider Network

39ATTACHMENT 5. Model Contract

40ATTACHMENT 6. RFR-Required Respondent Certifications

SECTION I. Introduction and Overview A.

Introduction Through this Request for Responses (RFR), the Executive Office of Health and Human Services (EOHHS) MassHealth program anticipates entering into a “preferred wholesale distributor” arrangement, with a single preferred supplier of incontinence related products, hereinafter referred to as the “Contractor or Preferred Supplier,” whereby the Contractor agrees to supply incontinence products, that meet EOHHS’s minimum quality standards, at a discounted rate, for a term of three years, to participating MassHealth Durable Medical Equipment (DME) Providers, including MassHealth Pharmacy Providers who are enrolled with a DME specialty. Any resulting agreement may be extended for up to two (2) years in any increment at EOHHS’ option, upon terms agreed to by the parties. EOHHS has set forth minimum quality standards for incontinence products that must be met by Bidders responding to this RFR. This will ensure that all MassHealth members receive a reliable and quality product and that DME Providers are further incentivized to use the Preferred Supplier to ensure the products they dispense comply with the MassHealth program’s minimum quality standards.

EOHHS anticipates entering into an agreement with a Bidder who offers the best value unit price for products meeting EOHHS’ quality standards, securing a reduced per-unit cost for the MassHealth DME providers who deliver Covered Products to MassHealth members on a fee-for-service (FFS) basis including but not limited to, claims submitted on behalf of MassHealth members enrolled in the MassHealth Primary Care Clinician (PCC) Plan or a MassHealth Primary Care Accountable Care Organization (ACO).

EOHHS expects that this unit rate will be lower than unit rates for comparable products currently available to MassHealth DME providers by leveraging the volume based purchasing capacity of MassHealth DME providers. The contracted pricing offered by the Contractor to MassHealth DME providers will be based on the total unit price for each Healthcare Common Procedure Coding System (HCPCS) code.

EOHHS will name the Contractor as the preferred incontinence product distributor for the MassHealth program and MassHealth DME providers will have the option to purchase incontinence products at the EOHHS-contracted Total Unit Prices. In turn, MassHealth anticipates adjusting its fee schedule for the applicable products to reflect the availability to MassHealth DME Providers of the EOHHS-contracted Total Unit Prices from the Contractor. The Preferred Supplier will be required to enter into agreements or make other arrangements in order to supply the incontinence products to any interested DME provider and to collect payments from any interested DME provider at the EOHHS-contracted prices.

B.

Background The Massachusetts Medicaid program, known as MassHealth, is a joint state-federal program administered by EOHHS. EOHHS is the Single State Agency under titles XIX and XXI of the Social Security Act and federal waivers. MassHealth provides health care coverage to approximately 1.9 million people across a variety of programs.

Current Coverage, Utilization, and Management

MassHealth coverage includes medically necessary diapers or brief-like garments, liners, underpads, and shields used to contain and/or manage symptoms of incontinence. MassHealth covers incontinence related products subject to Prior Authorization (PA). All together total MassHealth spending on incontinence related products represented approximately $15 million in SFY16.

Providers of incontinence products enroll in the MassHealth DME program pursuant to 130 CMR 450.000 and 130 CMR 409.000. DME providers may subcontract for certain services under 130 CMR 409.405. EOHHS generally reimburses for these products on a per-unit basis pursuant to 114.3 CMR 22.00 and each HCPCS code generally has an assigned per unit rate.

For the purposes of this procurement, incontinence related products (Covered Products) are products that fit the definition and description of the HCPCS codes listed in Table 1 below. Also listed for informational purposes only are the per code annual MassHealth spending, counts of unique, unduplicated members receiving such products, MassHealth’s current per unit rates, and the number of units funded annually per code for FFS members. This includes units for members in the PCC program who receive DME benefits pursuant to the FFS rates.

Table 1. Baseline MassHealth Utilization for Fee for Service Populations; Current MassHealth Per Unit Rates

Annual FFS Spending

AAC

+20%

AAC

AAC

C.

Contractor Responsibilities The Contractor chosen as a result of this RFR will be expected to:

1. Ensure that any contracted MassHealth DME Providers will receive all deliveries within 3 business days of the date the order is placed. The Contractor will have inventory or arrangements adequate to ensure all deliveries to any contracted DME providers are shipped within 24 hours of receipt and received within 3 business days.

2. The Contractor shall not require a minimum unit order quantity.

3. The Contractor shall make product options, sizing/fit and minimum quality standards ratings immediately available to any contracted MassHealth DME providers upon request through live customer support during normal business hours, or will be available 24 hours per day, 7 days per week via the preferred supplier’s website. Any contracted MassHealth DME Providers will be able to place orders with the Contractor 24 hours per day, 7 days per week either online, via fax, or through a dedicated toll free phone line.

4. The Contractor’s customer service support shall provide live call support that will be available, at a minimum, during normal business hours of 9am to 5pm (Eastern Time). A complaint resolution process will be in place to address unanswered or unresolved questions and concerns. Email responses to any MassHealth DME Provider shall be returned within 2 business days.

5. The Contractor shall make samples of each Covered Product available to providers, upon their request, free of charge.

6. The Contractor shall maintain an up-to-date list of MassHealth enrolled DME Providers. For this purpose, the Contractor shall coordinate with EOHHS or its agent to periodically obtain a current list of MassHealth enrolled DME Providers eligible to purchase covered products under any contract resulting from this RFR to ensure all eligible providers receive the contracted Total Unit Price rates. The current list is included in Attachment 4. To maintain an up-to-date list of MassHealth enrolled DME Providers, the Contractor shall, at a minimum, update its list of eligible enrolled providers within 3 business days of its receipt of a new list from EOHHS or its agent.

7. The Contractor shall offer a minimum of two (2) products which meet the Commonwealth’s standards for quality for each defined HCPCS code. Prior written approval from EOHHS will be required should the product manufacturer intend to offer less than two products corresponding to a HCPCS code, regardless of whether the reduction in product offering is expected to be temporary, short term, or long term. The Contractor shall guarantee all products against defect. Any products found to be defective will be replaced at no cost to EOHHS or any contracted MassHealth DME Provider.

8. The Contractor shall offer Covered Products in a full range of sizes representing all defined HCPCS codes.

9. Throughout the life of any agreement resulting from this RFR, all Covered Products shall comply with standards adopted and periodically updated by the National Association for Continence (NAFC) and meet the minimum product specifications listed below:

a. No plastic (non-breathable) backed products

b. Rewet rate of <2.0 g

c. Rate of Acquisition (ROA) of <60 seconds

d. Retention capacity of >250 g

e. Presence of breathable zones with a minimum value of >100 cubic feet per minute (cfm)

f. Presence of a closure system which allows for multiple fastening and unfastening occurrences.

SECTION II. Definitions Definitions are set forth in the Model Contract for this RFR in Attachment 5.

SECTION III. Response Requirements A.

Bidder Qualifications

Bidders for this RFR must meet the following minimum qualifications:

1. The bidder must have a minimum of three years’ experience in manufacturing and/or distributing the Covered Products.

2. The bidder must have annual gross sales revenue from Durable Medical Equipment and Medical Supplies, as defined in 130 CMR 422.000 of $50 million, or greater.

3. The bidder must demonstrate to the satisfaction of EOHHS that they currently have a distribution infrastructure within Massachusetts or show the ability to establish a distribution infrastructure within Massachusetts within 60 days of execution of any Agreement resulting from this RFR.

4. The bidder must possess a current, operating, live Customer Service support line and email support that will be used to fulfill this RFR for the duration of the contract period.

Bids that do not meet the above Bidder Qualifications or Minimum Product Specifications in Section I.C.9 may result in the bid submission being deemed nonresponsive.

B.

Response Requirements

The Bidder shall provide documents and narratives which consist of the following:

· Business Response – must contain the completed forms, documents and response text specified in III.C of this RFR.

· Programmatic Response – must contain the Programmatic Response, not exceeding 15 pages in length (excluding required forms) as described in Section III.D of this RFR.

· Cost Proposal – must contain the Cost Proposal as described in Section III.E of this RFR.

C.

Business Response

Bidders are required to submit a Business Response consisting of the following documents:

1.

Cover Letter

The Bidder must submit a Cover Letter signed by an individual with the authority to legally bind the Bidder. The letter must include the Bidder’s name and address. As part of the letter, the Bidder must acknowledge the terms and conditions found in this RFR will apply to any contract resulting from this RFR.

2. Bidder’s General Background

The Bidder shall submit the following:

a. The Bidder’s legal name, trade name, and any other name under which the Bidder does business (if any).

b. The Bidder’s principal address, e-mail address, telephone number, and website URL, if applicable.

c. If the Bidder is other than an individual, identify the type of legal entity (e.g., corporation, partnership, trust), and whether organized for profit or not for profit.

d. A copy of the organizational chart(s) of Bidder and any Material Subcontractor(s) (as defined in Attachment 5).

e. A listing, by name, address, number and percentage of shares or other interest held and any other affiliations with the Bidder, of any person or entity with an ownership or control interest in Bidder. This includes any person or entity that (a) has an ownership interest totaling five percent or more in Bidder; (b) has an indirect ownership interest equal to five percent or more in Bidder; (c) has a combination of direct and indirect ownership interests equal to five percent or more in Bidder; (d) owns an interest of five percent or more in any mortgage, deed of trust, note, or other obligation secured by Bidder if that interest equals at least five percent of the value of the property or assets of Bidder; (e) is an officer or director of Bidder, if Bidder is organized as a corporation; or (f) is a partner in Bidder, if Bidder is organized as a partnership. For purposes of this section, “ownership interest” means the possession of equity in the capital, the stock, or the profits of the Bidder, and “indirect ownership interest” means an ownership interest in an entity that has an ownership interest in the Bidder (including an ownership interest in any entity that has an indirect ownership interest in the Bidder).

f. A listing, by name, address, number and percentage of shares or other interest held and any other affiliations with the Bidder, of any entity in which Bidder has an ownership or control interest. This includes any entity in which Bidder (a) has an ownership interest totaling five percent or more; (b) has an indirect ownership interest equal to five percent or more; (c) has a combination of direct and indirect ownership interests equal to five percent or more; (d) owns an interest of five percent or more in any mortgage, deed of trust, note, or other obligation secured by Bidder if that interest equals at least five percent of the value of the property or assets of the entity; (e) is an officer or director of entity, if the entity is organized as a corporation; or (f) is a partner in the entity, if the entity is organized as a partnership.

g. A copy of the organizational chart of any entity (including any parent organization and related organizations and each of the parents of such parent organizations, if any) with majority ownership or control interest in Bidder or in which Bidder has a majority ownership or control interest, which clearly identifies the Bidder’s placement on the organizational chart.

h. A listing, by name, address, and title, of the officers and directors of any entity with majority ownership or control interest in Bidder, or of an entity in which Bidder has a majority ownership or control interest.

i. The Bidder’s provider status with Medicare or any states’ Medicaid program(s).

3. Subcontractors

The Bidder shall state whether any Material Subcontractors (as defined in Attachment 5) will be used to perform any services under the contract, and if so, shall identify each such subcontractor by corporate or other legal entity name, address, telephone number, website URL, and status as a Supplier Diversity Office (SDO)-certified business or enterprise. The Bidder shall generally describe the roles and responsibilities of each Material Subcontractor. Proposals to use subcontractors for specified services must be designed to avoid any additional administrative burden on EOHHS and do not relieve the Bidder of any legal obligations under any Agreement resulting from this RFR.

The Bidder shall state that, if selected to enter into any Agreement resulting from this RFR, it will enter into any privacy and/or security agreements (including business associate agreements or arrangements pursuant to the HIPAA Privacy and Security Rules with DME Providers, that may be deemed necessary by the providers in connection with the selected Bidder’s performance under the Agreement.

4. Interests Neither the Bidder nor any subcontractor shall have any interest that will conflict, as determined by EOHHS in its sole discretion, with the performance of services required under this RFR. In order to so demonstrate, the Bidder shall submit the following:

a. A description of how the Bidder will assure that no interest will conflict with the performance of services required under the Contract;

b. A statement describing any and all of the financial, legal, contractual and any other business interests of the Bidder and any of its proposed subcontractors, and of its affiliates, partners, parent(s), subsidiaries, and any other related organizations, if any, regarding MassHealth DME Providers and/or vendors participating in other MassHealth programs; If the bidder is a subsidiary of a mutual parent, those relationships need to be described;

c. The names, addresses, and website URLs, if applicable, of any person or entity, if any, with which the Bidder has any direct or indirect financial, legal, contractual or other business relationship, including any Material Subcontractor(s), and such Material Subcontractors’ partners, parents, subsidiaries, and any other entity directly or indirectly related to any such Material Subcontractor, that may create a conflict of interest or the appearance of such a conflict, and a description explaining the exact nature of each such relationship and the possible conflict;

d. A list of any other contracts or agreements that the Bidder has entered into with the Commonwealth that will be in effect at the same time as a Contract that may result from this RFR;

e. A statement describing whether the Bidder or any employee or subcontractor who shall perform work under the Contract has a possible conflict of interest and, if so, the nature of that conflict; and

f. Any other information requested by EOHHS that, in EOHHS’s judgment, is relevant to the Bidder’s financial, legal, contractual or other business interests.

If EOHHS determines that a Bidder possesses a conflicting interest, EOHHS reserves the right to propose or consider any proposal of the Bidder of any measures which would eliminate or mitigate such conflicting interest to EOHHS’s satisfaction.

5. Financial Condition The Bidder must demonstrate to the satisfaction of EOHHS that its organization and any Material Subcontractor(s) are in sound financial condition. The Bidder must also demonstrate to the satisfaction of EOHHS that any significant financial problems are being addressed with appropriate corrective measures. To so demonstrate, the Bidder must, at a minimum, submit the following with regard to the Bidder and all of its Material Subcontractors:

a. Complete, independent, audited financial statements for the Bidder’s and any Material Subcontractor’s last two fiscal years;

b. Interim financial statements for fiscal quarters elapsed since the period covered by the audited financial statements;

c. Proof of an acceptable credit rating (within the last six months) by a recognized credit rating bureau, such as Dun & Bradstreet;

d. A statement as to whether, in the last ten (10) years, the Bidder or any Material Subcontractor has filed (or had filed against it) any bankruptcy or insolvency proceeding, whether voluntary or involuntary, or undergone the appointment of a receiver, trustee, or assignee for the benefit of creditors; and if so, an explanation providing relevant details.

EOHHS may disqualify a Bidder if the Bidder fails to submit the documents required by this section, or if these documents, or other information obtained by EOHHS relating to the Bidder’s and any Material Subcontractor’s financial condition, indicate to EOHHS, in its reasonable discretion, that the Bidder’s or any Material Subcontractor’s financial condition is unsatisfactory. EOHHS reserves the right to request additional financial information from proposed Material Subcontractors. The Bidder shall inform proposed Material Subcontractors of their obligation to provide such information at the request of EOHHS. Failure of a Material Subcontractor to provide such information may be grounds for rejection of the Bidder’s proposal.

6. Supplier Diversity Program The Bidder shall submit a Supplier Diversity Program (SDP) Plan Commitment (SDP Form #1 as described in Section V.U.

7. Required Forms

All Bidders must submit the RFR-required certifications and Commonwealth required forms as described below, executed as appropriate. Unless otherwise noted, these forms are posted on COMMBUYS along with this solicitation.

· Commonwealth Terms and Conditions

· Commonwealth of Massachusetts Standard Contract Form

· Request for Taxpayer Identification Number and Certification Form W-9 (Massachusetts Substitute W-9 Form)

· Contractor Authorized Signatory Listing

· Supplier Diversity Program (SDP) Plan Form #1 – SDP Plan Commitment (described in Section V.U)

· Certification Regarding Debarment and Suspension

· RFR-Required Respondent Certifications (see Attachment 6, which is posted separately as an attachment to the RFR):

· Exhibit 1 — Certification of Qualifications and Readiness

· Exhibit 2 — Certification of Key Personnel

· Exhibit 3 — Certification with Regard to Financial Condition

· Exhibit 4 — Certification with Regard to Subcontractors

· Exhibit 5 — Certification of Non-Collusion Note: Failure to submit all required forms may result the bid submission being deemed nonresponsive.

D.

Programmatic Response Bidders should address their ability to assume all programmatic responsibilities of the Contract as detailed in Attachment 5, and explain and provide all necessary documentation of their ability to meet the requirements in Section I.C, Contractor Responsibilities and Section III.A, Bidder Qualifications. Bidders’ Programmatic Responses shall not exceed 15 pages, exclusive of required forms.

The Bidder shall describe its plans and approach for accomplishing the work requested, including, where applicable, the use of any Material Subcontractors. The information provided shall be in enough detail to enable EOHHS to ascertain that the Bidder understands the goals to be accomplished, and should outline the steps required to accomplish those goals. The Bidder shall submit all required materials, including narrative and attachments as specified in this Section III.D. If a Bidder is unable to provide the information required in a specific submission requirement, the Bidder shall expressly identify which information it is not submitting, and why. The Bidder shall submit the most comparable information it has available, and shall explain in accordance with this section how it will have the capability to perform all Contract responsibilities.

The Bidder shall describe in detail wherever applicable throughout its Programmatic Response, the respective responsibilities, functions and percentage of the total project effort to be assigned to each Material Subcontractor that would perform if the Bidder were awarded the Contract, and how the Contractor will manage and evaluate each subcontracting entity, and how the Bidder’s and the subcontractor’s performance will be coordinated.

Bidders must provide the following information:

1. Bidder History

The Bidder shall provide a brief history of its organization, including:

a. A statement indicating the Bidder’s credentials to satisfy the requirements of this RFR and to supply the Covered Products sought under this RFR to MassHealth DME Providers. The statement must demonstrate that the Bidder meets the minimum qualifications described in Section III.A. Include a statement of how long the Bidder has been a wholesale supplier of Covered Products. To the extent that services have been delivered by the Bidder through Material Subcontractor(s) the Bidder shall so specify.

b. A description of the Bidder’s familiarity with the Massachusetts market for the Covered Products and involvement with the MassHealth program, if any. This shall include the involvement of any related entities or Material Subcontractor(s).

c. A list of all current contractual relationships by Bidder or related entity(ies) with the Commonwealth of Massachusetts, if any, and all those completed within the previous five-year period. The listing must include: (a) the contract name, (b) the contract term, and (c) the name of the contracting state agency, and (d) the name, title, e-mail address, and telephone number of a person who can serve as a reference and respond to inquiries about the Bidder’s involvement with the project.

d. A listing of any sanctions imposed on the Bidder, or any Material Subcontractor or owner holding an interest of 5 percent (5%) or more of the Bidder, including contract terminations, in the past five years.

e. A statement as to whether, in the last five years, any Material Subcontractors or vendors have cancelled contracts with the Bidder or a related entity, and if so, an explanation providing relevant details.

f. A statement as to whether, in the last five years, Bidder, related entity or any Material Subcontractor(s) have cancelled contracts with the Commonwealth of Massachusetts or any other state.

2.

Relevant Experience

The Bidder shall provide, for itself as well as for each Material Subcontractor (if any), a list of all the organizations with which the entity has relevant business experience, preferably involving the wholesale supply of the Covered Products described in this RFR. Experience with Medicaid, Medicare, or other large-scale healthcare operations should be discussed. This list may be limited to the five most recent years, or may be longer, at the Bidder’s option. If the Bidder or Material Subcontractor currently contracts with any state agency or vendor to a state agency other than a Massachusetts agency for a similar role as a wholesale supplier or preferred supplier, the Bidder must include each agency or state vendor. The Bidder shall provide the information below for each such contract/engagement:

a. The organization’s name and business address;

b. The name and title, address, telephone number, fax number and e-mail address for the company contact person knowledgeable about the bidder’s work;

c. A brief description of the contract requirements (including a description of the products and services offered, and the extent to which the contract/engagement included some or all of the Covered Products to be supplied under this RFR;

d. The volume of Covered Products supplied; and

e. The annual amount paid to the Bidder, as well as to any Material Subcontractor, for Covered Products for each year of contract/engagement.

3. Distribution Infrastructure

The Bidder shall demonstrate its readiness to perform the activities required by any Agreement resulting from this RFR by providing the following information:

a. Identify its local office in Massachusetts, if any, or describe its plans, including timeframe, or any steps currently underway to establish a local office.

b. A statement that office space is accessible to all and meets the accessibility standards of the Americans with Disabilities Act and any other applicable local, state, or federal standards.

c. A description of the Bidder’s proposed hours of operation for performing the activities required by the Contract (see Attachment 5, Sections 3.3 and 3.4).

4. Continuity of Operations Plan

The Bidder shall submit a detailed description of how business would be conducted if its principal place of business, Massachusetts area office, and/or systems were unavailable for five or more consecutive calendar days.

5.

Contract Implementation and Management

a. Project Plan (not included in page limit)

The Bidder shall provide a detailed project plan that must include implementation and transition activities as set forth in Attachment 5, Section 4.

b. Staffing Plan (not included in page limit)

The Bidder shall describe its proposed staffing plan to include a description of its Key Personnel (including but not limited to the personnel functions listed in Attachment 5, Section 4), organizational charts, resumes, qualifications of the individuals.

c. Project Management and Ongoing Operations

The Bidder shall provide a comprehensive narrative that describes how it would manage the transition, implementation and ongoing operations to ensure compliance with ongoing Contract requirements and responsibilities.

6.

DME Provider Outreach Plan The Bidder shall describe its DME Provider Outreach Plan in accordance with Attachment 5, Section 4 and include a description of Bidder’s experience providing such outreach in other markets.

7.

Call Center Operations The Bidder shall describe its Call Center operations and the telephone system it will have in place to respond to Provider inquiries in accordance with Attachment 5, Sections 3.3 and 3.4.

8.

Written and Email Correspondence The Bidder shall describe how it will handle written and email encounters, including tracking, response times, and proposed protocols for developing responses, in accordance with Attachment 5, Sections 3.3 and 3.4.

9.

Reporting The Bidder shall discuss in detail its reporting capabilities and ability to provide the reports detailed in Attachment 5, Section 3.6 in accordance with the timeframes and requirements specified therein; its flexibility to generate and provide ad hoc reports; any suggestions for providing additional informatics reports, and any proposed modifications to the standard reports.

10. Additional Information for Programmatic Response Bidders must provide the following information:

1. Product Descriptions (see Attachment 2).

2. Submission of test results through an independent testing facility which describes each product’s performance ratings for the minimum product quality specifications listed (see Section I.C.9).

Bidders may also be required to provide references, only upon request by EOHHS (see Section IV.D). EOHHS reserves the right to request, verify and contact references from any Bidder at any time prior to executing any Agreement that may result from this RFR.

E.

Cost Proposal

Bidders must provide the Cost Proposal (Attachment 3) which includes total unit prices for each HCPCS code. The bid price(s) must reflect all costs associated with providing incontinence products to DME Providers in accordance with the Contractor Responsibilities, including shipping and delivery costs; provider outreach and education; product returns and order management; and EOHHS minimum quality standards, as described in Section I.C. The bid price must reflect the Covered Products’ per unit Total Unit Price that will be available to interested MassHealth DME Providers, net of any discounts, rebates or incentives.

Bids which do not include a Total Unit Price for all products may be deemed nonresponsive.

SECTION IV. Bid Process A.

Questions

Prospective Bidders may submit written business, technical, and contractual questions concerning this RFR, as well as any additional information concerning this RFR, until no later than the date and time listed in Section VI.

Written inquiries shall be sent via email in Microsoft Word or text format only to the RFR contact listed below. Alternate file formats such as .pdf or Excel will not be accepted.

EOHHS shall review timely inquiries and will identify questions for which written answers will be prepared. Any written answers of general interest will be posted on the COMMBUYS website for this procurement.

Bidders are prohibited from communicating directly with any employee or contractor of the procuring department or any member of the Strategic Sourcing Team (SST) regarding this RFR except the RFR Contact specified in this RFR; and no other individual Commonwealth employee or representative is authorized to provide any information or respond to any question or inquiry concerning this RFR. Bidders may contact the contact person for this RFR in the event this RFR is incomplete or the bidder is having trouble obtaining any required attachments electronically through COMMBUYS.

RFR Contact:

Lou DeLena, Procurement Coordinator

Executive Office of Health and Human Services, Legal Unit

1 Ashburton Place, 11th floor, Boston, MA 02108

Phone: (617) 573-1686

E-mail: Louis.DeLena@state.ma.us No other individual(s) at EOHHS should be contacted regarding any aspect of this procurement.

EOHHS will review inquiries submitted through COMMBUYS and prepare written answers to questions, at its discretion. The written answers will be posted on the COMMBUYS website (www.commbuys.com).

B.

Contract Terms

The terms and conditions in this RFR will apply to any contract resulting from this RFR.

In addition to the certifications found in the Commonwealth’s Standard Contract Form, by submitting a Bid Response, the Bidder certifies that the Response has been arrived at independently and has been submitted without any communication, collaboration, or without any agreement, understanding or planned common course or action with, any other Bidder of the commodities and/or services described in the RFR.

All Response and related documents submitted in response to this RFR become public records and are subject to the Massachusetts Public Records Law, M.G.L. c. 4, s. 7, ss. 26, and M.G.L. c. 66, s. 10. Any statements in submitted Responses that are inconsistent with these statutes, the Commonwealth’s Terms and Conditions and Standard Contract Form will be disregarded.

The entire contents of the Bidder's response shall be binding on the Bidder. The specifications and contents of a Contractor’s response, including any supplemental documents, may, at EOHHS discretion, be incorporated into the contract.

C.

Instructions for Submitting Responses

Bidders must submit a complete Response via COMMBUYS no later than the date and time specified in Section VI, Procurement Timetable. See Section IV.E for information on COMMBUYS.

Bidders must register as a vendor in COMMBUYS in order to submit an electronic response through COMMBUYS, as required by the RFR. Registration information and other pertinent information useful for registering and using the COMMBUYS system is located under the heading “Vendor Training Resources” on the COMMBUYS home page (www.commbuys.com).

The selected Contractor will be required to submit a complete hard-copy original of the entire bid, including the required documents executed with “wet” signatures prior to contract execution.

All Responses must be received by the Procurement Coordinator, no later than the Bid Opening (Proposals Due) Date and time indicated in the Procurement Timetable (Section VI) or they will not be evaluated.

IMPORTANT: Bidders must not embed documents in their response; doing so may be grounds for disqualification.

RESPONSES MUST BE SUBMITTED VIA COMMBUYS. See Section IV.F for information on COMMBUYS.

The submission to COMMBUYS should consist of the following three (3) files organized as follows:

· File 1 containing the Business Response, which includes the following:

· Cover Letter (see Section III.C.1);

· All required forms (fully executed as appropriate) identified in Section III.C.2;

· File 2 containing the Programmatic Response as identified in Section III.D and including Attachment 2.

· File 3 containing the Cost Proposal as identified in Section III.E (Attachment 3)

D.

Evaluation Criteria EOHHS anticipates entering into a contract with one (1) Bidder who offers the greatest total value to the Commonwealth. The agency will consider cost and quality standards; however, EOHHS is not required to choose the Bidder that proposes the lowest costs, but will choose the Bidder that offers the best value to the Commonwealth. Bids will be evaluated by a Strategic Sourcing Team or SST. The SST will evaluate Bids as follows:

1. Compliance with Mandatory Submission Requirements: Initially, all Bids will be reviewed to determine compliance with the Business Requirements set forth in this RFR. The SST will evaluate the Programmatic Response of all Bidders that comply with the Business Response for comprehensiveness, feasibility, clarity, effectiveness, and responsiveness to the needs of EOHHS and its DME Providers.

2.

Evaluation of Programmatic Responses: The SST will (1) evaluate each element of Programmatic Responses and the Bidder’s SDP Plan Form #1 commitment in accordance with the criteria described above; (2) give a composite rating of “Excellent,” “Very Good,” “Good,” “Fair,” “Poor,” or “Non-Responsive” for each category of the Programmatic Response; (3) assign an overall rating to each response; and (4) compare the responses to one another.

In addition, EOHHS may consider any relevant information about the Bidder known to EOHHS. In the event more than one Bidder offers similar value to the Commonwealth, the determining factor(s), in descending order of importance, will include:

· References, upon request by EOHHS.

· Distribution infrastructure located within Massachusetts at the time of bid submission.

Bids or portions thereof may be reviewed by other individuals at the discretion of the SST, including non-allied and independent consultants retained by EOHHS now or in the future, provided that the purpose of such review is to provide the SST with an analysis of the Bids.

E.

Reservation of Right to Reject Bids or Cancel Procurement

EOHHS reserves the right to reject a Bidder’s Bid at any time during the evaluation process if the Bidder:

· Fails to demonstrate to EOHHS’ satisfaction that it meets all RFR requirements;

· Fails to submit all required information or otherwise satisfy all Response Requirements in Section III; or

· Receives a rating of “Poor” or “Non-Responsive” in the evaluation of one or more categories of its Business or Programmatic Response.

The SST, in its sole discretion, may determine whether non-compliance with any of the above requirements is insubstantial. In such cases, the SST may, in its discretion seek clarification, and allow the Bidder to make minor corrections.

At the discretion of EOHHS, the procurement may be cancelled at any time prior to execution of a contract.

F.

Background on the COMMBUYS Procurement System

COMMBUYS is the official source of information for this Bid and is publicly accessible at no charge at www.commbuys.com. Information contained in this document and in COMMBUYS, including file attachments, and information contained in the related Bid Questions and Answers (Q&A), is all components of the Bid, as referenced in COMMBUYS, and is incorporated into the Bid and any resulting contract.

Bidders are solely responsible for obtaining all information distributed for this Bid via COMMBUYS. Bid Q&A supports Bidder submission of written questions associated with a Bid and publication of official answers.

It is each Bidder’s responsibility to check COMMBUYS for:

· Any amendments, addenda or modifications to this Bid, and

· Any Bid Q&A records related to this Bid.

The Commonwealth accepts no responsibility and will provide no accommodation to Bidders who submit a Response based on an out-of-date Bid or on information received from a source other than COMMBUYS.

COMMBUYS Subscription. Bidders may elect to obtain a free COMMBUYS Seller subscription which provides value-added features, including automated email notification associated with postings and modifications to COMMBUYS records. However, in order to respond to a Bid, Bidders must register and maintain an active COMMBUYS Seller subscription account.

All Bidders submitting a Response to this Bid (previously referred to as Solicitation) agree that, if awarded a contract: (1) they will maintain an active seller account in COMMBUYS; (2) they will, when directed to do so by the procuring entity, activate and maintain a COMMBUYS-enabled catalog using Commonwealth Commodity Codes; (3) they will comply with all requests by the procuring entity to utilize COMMBUYS for the purposes of conducting all aspects of purchasing and invoicing with the Commonwealth, as added functionality for the COMMBUYS system is activated; (4) Bidder understands and acknowledges that all references to the Comm-PASS website or related requirements throughout this RFR, shall be superseded by comparable requirements pertaining to the COMMBUYS website; and (6) in the event the Commonwealth adopts an alternate market center system, Contractor will be required to utilize such system, as directed by the procuring entity. Commonwealth Commodity Codes are based on the United Nations Standard Products and Services Code (UNSPSC).

The COMMBUYS system introduces new terminology, which bidders must be familiar with in order to conduct business with the Commonwealth. To view this terminology and to learn more about the COMMBUYS system, please visit the COMMBUYS Resource Center.

SECTION V. Required Contract Terms and Conditions

A.

Contract Documents

The agreement (the “Agreement”) resulting from this RFR shall consist of the following documents, in the following order of precedence:

1.

The Commonwealth Terms and Conditions;

2.

The Commonwealth Standard Contract Form;

3.

The Agreement including all exhibits and attachments (see Model Contract attached as Attachment 5);

4.

This RFR, including all exhibits and attachments; and

5.

The successful Bidder’s response to this RFR.

If there are conflicting provisions among the documents that make up the Agreement, the order of precedence as listed above shall apply. The provisions of the Commonwealth Terms and Conditions, the Commonwealth Standard Contract Form and the Statement of Work are mandatory and non-negotiable.

B.

Fraud

The Contractor shall notify EOHHS in writing within ten (10) calendar days if it or, where applicable, any of its subcontractors receive or identify any information that gives them reason to suspect that a MassHealth Provider or Member has engaged in fraud or abuse as defined under 42 CFR 455.2. In the event of suspected fraud, no further contact shall be initiated with the Provider or Member on that specific matter without EOHHS’ approval.

The Contractor and, where applicable, its subcontractors shall cooperate fully with the Office of the Attorney General’s Medicaid Fraud Control Unit (MFCU) and the Office of the State Auditor’s Bureau of Special Investigations (BSI). Such cooperation shall include, but not be limited to, providing at no cost, prompt access and copies of any documents and other available information determined necessary by such agencies to carry out their responsibilities regarding Medicaid fraud and abuse, maintaining the confidentiality of any such investigations, and making knowledgeable staff available at no cost to support any investigation, court, or administrative proceeding.

C.

Insurance

The Contractor shall maintain at the Contractor’s expense, and shall ensure that any of its Material Subcontractors (as defined in Attachment 5) to the Contractor’s performance maintain at their expense, all insurance required by law for their employees, including worker’s compensation and unemployment compensation and public liability and property damage insurance and any other insurance that may be necessary, in the opinion of EOHHS, for its performance under the Agreement, and shall provide EOHHS with certification at the time of contract execution.

D.

Effect of Invalidity of Clauses

If any clause or provision of the Agreement is in conflict with any state or federal law or regulation, that clause or provision shall be null and void and any such invalidity shall not affect the validity of the remainder of the Agreement.

E.

No Third-Party Enforcement The Agreement shall be enforceable only by the parties, or officers or agencies of the Commonwealth authorized to act on behalf of EOHHS or its successors. Nothing in the Agreement shall be deemed to confer benefits or rights to any other parties.

F.

Equal Employment Opportunity

Any contracts entered into by the Contractor shall contain a provision requiring compliance with federal Executive Order 11246, as amended by Executive Order 11375, and as supplemented by regulations at 41 CFR part 60.

G.

Prohibited Activities and Conflict of Interest

The Contractor represents that no person who is an owner, employee, consultant, or subcontractor of the Contractor, has been debarred by any federal agency, excluded from participation in a program under Titles XVIII, XIX, XX, or XXI of the Social Security Act, or subjected to a civil money penalty under the Social Security Act.

The Contractor shall not have any interest that conflicts with the performance of services under the Agreement, or that may be offensive or anti-competitive, as determined by EOHHS, for the duration of the Agreement, it being understood that the sale of similar goods or services to other customers does not of itself constitute such a conflict.

H.

Compliance with Laws

The Contractor shall comply with all applicable statutes, orders, and regulations promulgated by any federal, state, municipal, or other governmental authority relating to its property or its operations under the terms of the Agreement.

I.

Assignment

The Contractor shall not assign or transfer any right, interest, or obligation under the Agreement to any successor entity or other entity without the prior written consent of EOHHS.

J.

Independent Contractors

The Contractor, its employees, and any other of its agents shall act in an independent capacity in the performance of the Agreement, and not as officers or employees of EOHHS or the Commonwealth of Massachusetts.

K.

Force Majeure

Noncompliance with any obligations hereunder or under an Agreement resulting from this RFR due to force majeure, such as acts of God, laws or regulations of any government, war, civil commotion, destruction of production facilities and materials, fire, earthquake or storm, labor disturbances, shortage of materials, failure of public utilities or common carriers, and any other causes beyond the reasonable control of the parties, shall not constitute breach of contract. Dates of performance shall be extended to the extent of delays excused by this Section, provided that the party whose performance is affected notifies the other party promptly of the existence and nature of delay.

L.

Waiver The acceptance of, or payment for, services rendered by the Contractor shall not be construed to waive any requirements of the Agreement, or any of EOHHS’ remedies for failure to fulfill such requirements.

M.

Restrictions on the Use of the Commonwealth Seal

Bidders and the Contractor are not permitted to display the Commonwealth of Massachusetts Seal in their bid package or subsequent marketing materials if they are awarded a contract because use of the coat of arms and the Great Seal of the Commonwealth for advertising or commercial purposes is prohibited by law.

N.

Corrective Action Plan

At any point during any Agreement resulting from this RFR, if EOHHS identifies, in its sole judgment, any deficiency in the Contractor’s performance under this Agreement, EOHHS may develop or require the Contractor to develop a corrective action plan to correct such deficiency. The Contractor shall submit any such corrective action plan to EOHHS and shall, within three business days of the request, implement such corrective action plan only as approved or modified by EOHHS.

O.

Authorizations

Any Agreement resulting from this RFR is subject to all necessary federal and state approvals, which may include,…