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MOA to outline fee schedule for TMC assessment of CHC
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Posted on May 14 2012
The memorandum of agreement that would allow the Philippine-based The Medical City to study the operations of the Commonwealth Healthcare Corp. is a “work in progress,” according to press secretary Angel Demapan yesterday.
Demapan said that Gov. Benigno R. Fitial has instructed Attorney General Edward T. Buckingham to work with TMC on the assessment project, which is part of the governor’s plan to privatize the public hospital.
TMC officials led by Margaret Bengzon, president and chief executive officer of Guam Regional Medical City, met with Fitial, Lt. Gov. Eloy S. Inos, Commonwealth Healthcare Corp. officials, and other island leaders last Thursday.
TMC, which is currently building a $220-million private hospital in Guam, will be doing the CHC assessment for six weeks.
Demapan said that as an “interim” step, TMC was presented with a potential fee structure involving the assessment project, which started on Thursday.
According to Demapan, the CNMI will “have no obligations for payments or reimbursement of any kind” if TMC’s six-week assessment leads to a product that remains unused by the Commonwealth.
Once TMC completes the assessment and is selected as a contract provider, then the Commonwealth will also not be obliged to pay or reimburse TMC for the assessment project, said Demapan.
On the other hand, if the assessment results in a product that will be used substantively by the CNMI and a different contractor is selected for medical services management similar to the findings and recommendations of TMC, the Commonwealth will pay TMC $150,000 or the actual value of the product as determined by the CNMI, whichever is less, for the assessment service.
Demapan noted that they are now looking for available grant opportunities to support this expected expense.
Healthcare Corp. board chair Joaquin Torres said he is pleased that the corporation is not spending a penny on TMC’s assessment. He described as fair the three fee conditions.
“If they do the assessment and we do not utilize their services after assessment, they are entitled to compensation. My opinion is that it’s fair and reasonable,” he added.
