Notice of intent to Award RFP 491 190000000546

The Michigan Department of Health and Human Services Procurement Office issued Request for Proposal (RFP) No. 190000000546 on December 20, 2018, for comprehensive hospital and healthcare services at the Center for Forensic Psychiatry (CFP). The solicitation was posted on SIGMA VSS with a proposal due date of January 17, 2019, and the notice of intent to award was posted on March 27, 2019. The procurement seeks a contractor to provide full hospital and healthcare services including inpatient and outpatient facility services, physician services, specialty services, and on-site physical therapy. Key requirements include accreditation by The Joint Commission and Centers for Medicare and Medicaid Services, with all physicians providing direct healthcare services required to be privileged by the healthcare provider. The evaluation was conducted by a Joint Evaluation Committee comprising the Acting Psychiatry Director, Hospital Services Director, and State Assistant Administrator, with evaluation scoring on technical merit and value to the State. The contract term is structured as one year with up to four one-year renewal options.

Wellpath, located at 1283 Murfreesboro Road, Suite 500, Nashville, Tennessee, was the sole bidder and received the contract award in the amount of $2,000,000, achieving a technical evaluation score of 98 out of 100. The pricing proposal includes a 12.5% discount on standard hospital rates for participating network providers' inpatient and outpatient facility services and physician services, with the same discount applied to Select Specialties and on-site physical therapy services; non-participating providers are invoiced at full billed amounts. For third-party insured inpatient services, the 12.5% discount applies only if no insurance payment is received, with copayments, deductibles, or unpaid amounts invoiced to CFP without discounts. The proposal includes no administrative fees, one-time costs, or start-up fees. The award is contingent upon State Administrative Board approval. No specific set-aside designations or restrictions on respondent types were noted in the available documentation.