ESBD_384444_1734729395683_Addendum 1 RFP 774-194166068 Collection Agency MPIP FINAL 12.20.2024.pdf

Collection Agency MPIP

RFP # 774-194166068

Addendum 1

Questions Submitted to TTUHSC El Paso Responses

Request for Proposal (RFP) # 774-194166068

Due Date: January 24th, 2025 at 12:00 P.M. MST Proposals must be time stamped by the Texas Tech University Health

Sciences Center at El Paso Purchasing Office before the hour and date specified for receipt of proposals.

Document Available at: https://www.txsmartbuy.gov/esbd/774-194166068

And https://bids.sciquest.com/apps/Router/PublicEvent?CustomerOrg=TexasTech (Registration Required) https://www.txsmartbuy.gov/esbd/774-194166068 https://bids.sciquest.com/apps/Router/PublicEvent?CustomerOrg=TexasTech

The following responses to participant questions are fully incorporated into the Request for Proposal # 774-194166068.

Question 1

What is the date by which you will answer these questions?

Answer 1

January 7, 2025 until 4:00 P.M. MST. Please refer to RFP page number 7, section 2.3.

Question 2

When is the anticipated contract start date?

Answer 2

Please refer to RFP page number 8, section 2.4.

Question 3

When is the anticipated award date?

Answer 3

Please refer to RFP page number 8, section 2.4.

Question 4

Are bidders permitted to deviate in any way from any manner of quoting fees you may be expecting?

For example, if there is a pricing page in the RFP, can bidders submit an alternate fee structure? If there is no pricing page in the RFP, do you have any preference for how bidders should quote fees or can bidders create their own pricing categories?

Answer 4

Please refer to RFP page number 23, section 6.1.

Question 5

Please describe your level of satisfaction with your current or recent vendor(s) for the same purchasing activity, if applicable.

Answer 5

TTUHSCEP does not provide this vendor information.

Question 6

To what extent will the location of the bidder’s proposed location or headquarters have a bearing on any award?

Answer 6

US Only

Question 7

How are fees currently being billed by any incumbent(s), by category, and at what rates?

Answer 7

Net 17% - 18% for first placements

Question 8

What estimated or actual dollars were paid last year, last month, or last quarter to any incumbent(s)?

Answer 8 estimated $8,000 to $10,000 monthly

Question 9

What is the total dollar value of accounts available for placement now by category, including any backlog?

Answer 9

8 million to 12 million all self-pay

Question 10

What is the total number of accounts available for placement now by category, including any backlog?

Answer 10

5,900 to 6,200 all self-pay

Question 11

What is the average balance of accounts by category?

Answer 11

$250.00

Question 12

What is the average age of accounts at placement (at time of award and/or on a going-forward basis), by category?

Answer 12

60 days

Question 13

What is the monthly or quarterly number of accounts expected to be placed with the vendor(s) by category?

Answer 13

Monthly average 4,000 invoices

Question 14

What is the monthly or quarterly dollar value of accounts expected to be placed with the vendor(s) by category?

Answer 14

Monthly average of $700K to $1 Million

Question 15

What has been the historical rate of return or liquidation rate provided by any incumbent(s), and/or what is anticipated or expected as a result of this procurement?

Answer 15

Rate has varied between 3.1% and 4.5%

Question 16

Can you please indicate what inbound and outbound contact methods, beyond phone calls or letters (such as email and text), would be permitted by the scope of work?

Answer 16

Email & text

Question 17

What day will the accounts be placed?

Answer 17

Accounts are place the first 4 Tuesdays of each month

Question 18

Is the first placement (referenced in the fee schedule) for self-pay accounts in the pre-collection/pre-bad debt or early-out phase?

Answer 18 pre-bad debt

Question 19

What is the average monthly patient self-pay volume (in dollars and accounts)?

Answer 19

• What is the monthly or quarterly dollar value of accounts expected to be placed with the vendor(s) by category? Monthly average of $700K to $1 Million

Question 20

What is the recovery rate for self-pay accounts?

Answer 20

• What has been the historical rate of return or liquidation rate provided by any incumbent(s), and/or what is anticipated or expected as a result of this procurement?

• Rate has varied between 3.1% and 4.5%

Question 21

What is the average balance of the self-pay accounts?

Answer 21

• What is the average balance of accounts by category? $250.00

Question 22

Is this currently being outsourced?

Answer 22

No

Question 23

How many FTEs are working this business?

Answer 23

4 FTE’s

Question 24

What billing system is used?

Answer 24

Athena IDX

Question 25

What day will you place Insurance accounts?

Answer 25

No only self-pay

Question 26

Will all payors be included in placements? If not, which payors are excluded?

Answer 26

-NA-

Question 27

Are these accounts currently being worked inhouse or by a vendor?

Answer 27

-NA-

Question 28

What is the average monthly volume (in dollars and accounts)?

Answer 28

-NA-

Question 29

What is your current recovery rate?

Answer 29

-NA-

Question 30

What is the breakdown of your payor mix?

Answer 30

-NA- Only Self-pay accounts for this RFP

Question 31

We are reviewing the insurance requirements outlined in the RFP, specifically the provision for $1,000,000 in Commercial Automobile Liability coverage. As our organization does not utilize company-owned or operated vehicles for business purposes, we wanted to confirm whether this coverage is a mandatory requirement or if it might be waived under these circumstances.

Answer 31

Please refer to RFP page number 16, section 5.2.

Question 32

We are currently unable to report Texas Tech accounts to the three major credit bureaus, which impacts our ability to collect from consumers who do not respond to collection letters or phone calls.

With the new RFP, will we be permitted to report consumer accounts to credit agencies? Please note that we will remove the item from their credit report once the account is paid in full.

Answer 32

We can not report to credit bureaus. This is an institutional mandate.

Question 33

If a patient makes a direct payment or if insurance is applied within seven days of an account being placed with CRI, we receive an email requesting the cancellation of that account. We now email validation notices on the same day the account is uploaded, which prompts consumers to call both our office and your billing office immediately. If we have worked on an account for Texas Tech, what is the time frame for canceling the account once your billing office receives a direct payment?

Answer 33

We still will want to work with the 7 day rule.

Question 34

Will we still be required to return accounts at 6 months from date of referral when they are not on a payment plan?

Answer 34

We are willing to consider a larger window up to 9 months.