Procurement of Medical Services

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• Procurement of Medical Services
• Faye Robinson, Category Manager
• Primary Care Contracting Event
• 25 January 2006

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Agenda

• a brief introduction to the NHS PASA and its role
• procurement rules and the services directive
• the APMS procurement guide
• other category activities 2005/6
• challenges for the future

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NHS Purchasing and Supply Agency

• established 1 April 2000
• works on behalf of the NHS
• executive agency of the Department of Health
• centrally funded
• 326 staff
• NHS Logistics Authority

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Role of the Agency
NHS PASA
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NHS non-pay spend 17bn
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Procurement rules

• Public Services Contract Regulations 1993
• The Public Contracts (Works, Services and Supply)
  (Amendment) Regulations 2000
• Council Directive 2004/18/EC will become the
  Consolidated Public Sector Directive in January
  2006
• EC Treaty
• UK Procurement Policy

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Rules governing procurement

• PCT standing financial orders and financial
  instructions (SFOs and SFIS)
• The Public Contracts (Works, Services and Supply)
  (Amendment) Regulations 2000
• Thresholds as from the 1 January 2006
• Part A Supplies and Services 93,898
• Part B Residual Services 136,844
• Rules of aggregation apply and length of contract

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Service directive

• Part B requirements
• Technical specification
• Contract award notices
• Health Social services are part B services and
  therefore do not need to be advertised in EU
• Must comply with principals of regulations

• Part A requirements
• Call for competition in OJEU
• Specified response periods
• Allowable procedures
• Open
• Restricted
• Negotiated
• Criteria for supplier selection
• Eligibility
• Economic and financial standing
• Technical capacity

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Service directive cont

• Part A requirements
• criteria for contract award
• lowest price
• most economically advantageous
• information requirements
• contract award notices
• debriefing of unsuccessful applicants

• Part B requirements
• as per previous slide
• Health Social services are part B services and
  therefore do not need to be advertised in EU
• Must comply with principals of regulations

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EC treaty based principles

• non discrimination
• equal treatment
• transparency
• mutual recognition
• Proportionality
• Part B Services need to comply with EC treaty
  based
• principles
• UK Procurement policy
• seeking value for money in all public procurement

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Procurement cycle activity as recommended in the
APMS guide
Advertise
monitoring performance
PQQ
post award notification
select suppliers
Project team
invitation to submit preliminary offers
evaluation and award
invitation to submit best and final offers
evaluation of preliminary offers
shortlist
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Areas to be addressed

• governance
• business cases
• establishment of project team
• decision and approval making processes
• evaluation strategy for all stages
• resource planning
• competition
• transparency and independence
• ongoing performance management

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Procurement guide
Alternative Provider Medical Services (APMS)
August 2005    
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APMS toolkit

• purpose of the procurement guide
• to provide a comprehensive step by step guide to
  enable a PCT to establish an APMS contract
• has been compiled in conjunction with colleagues
  at the DoH
• contains a policy section but is not a policy
  document
• scope of the guide
• not mandatory but provides best practice
• procurement guidance and legal compliance
• information

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Contents of APMS toolkit

• introduction
• background policy content
• the procurement process flowchart
• service requirements
• risk overview
• EU issues
• evaluation criteria overview
• sourcing potential service providers
• invitation to submit a preliminary offer
• offer evaluations, evaluation of preliminary
  offers
• award of contract
• post award notification
• monitoring performance
• other resources

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APMS toolkit

• comments, feedback and updates
• this is a live document and may be subject to
  amendments following wave 1 pilot programme
• all comments and feedback welcomed please email
  as per contact in the document
• where to find the guide
• Agency website via NHS net nww.pasa.nhs.uk/nhsfor
  um/shared/pct/

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Main areas covered
General medical services (GMS)
Specialist primary medical services (SPMS)
Primary medical services (PMS)
Alternative medical services (APMS)
Continuing care
Intermediate care
Primary care trust commissioning role
Palliative Care
Short term rehab
Mental Health
Temporary Nursing Care
ALD
Long-term care
Older People
Residential care
Young Physically Disabled
Free nursing
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Category business plan PCT activities 2005/6

• gain a level of understanding of the role of PCT
  purchasing to become the agencys centre of
  expertise
• production of a procurement guide for alternative
  provider medical services (APMS)
• production of a purchasing guide for Palliative
  care
• early stage investigation into forensic mental
  health services
• training and education for PCTs of purchasing
  role
• evaluating the requirement for NHS supply
  confederations and procurement hub work in the
  area of purchase of non acute healthcare

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Future challenges

• role of procurement hubs in procuring services
• future role of commissioning
• maintaining transparency
• impartial evaluation
• timescales involved and complying with
  regulations
• increased focus on demonstrating value for money
• development of contract terms and conditions

and all this in a rapidly changing NHS..
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• For further details or information please
  contact
• Faye.Robinson_at_pasa.nhs.uk or telephone 01626
  864698
• also see
• http//nww.pasa.nhs.uk/nhsforum/shared/pct/