Market Engagement Slides - 12 1 17 Audiology

Adult Hearing Services
(Audiology)
Market Engagement Event
12 January 2017
Jack Wagstaff, Head of Integrated Care
Structure of this session…
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Introduction & Context
Current Service Landscape
Service Scope & Clinical Model
Payment & Contractual Model
Process & Timeline
Questions & Feedback
Introduction & Context
• This opportunity relates to the provision of assessment,
fitting and aftercare for adults with hearing difficulties in
North West Surrey
• Procured services will cover the entire NW Surrey
Geography, although the structure of the procurement
may include Locality Level Lots
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363,000 registered population
67,000 people over 65 years old
3 Commissioning Localities
41 GP Practices
ASPH main acute provider with
some flows to RSCH and FPH
Scope of Services
• The scope of services within this opportunity includes direct
adult hearing services- the assessment, supply, fitting, followup and on-going maintenance of hearing aids
• The clinical model is based on the national AQP framework
with minor local variations- this is not an AQP procurement
• The procurement seeks to purchase a higher quality service
that is more accessible and responsive to patient needs while
shifting to a pathway based purchasing model
Clinical Model
• The model specified matches the national AQP framework,
encompassing 5 pathways/packages of service
1. Assessment only
2. Assessment,
unilateral fitting,
follow-up and 3 years
aftercare
3. Assessment, bilateral
fitting, follow-up and
3 years aftercare
4. Annual aftercare
post-3 years
5. Aid replacement
outside of warranty
Change in needs at review. Provider
initiates pathway restart via CCG
Referral Support Service. Tariff 1, 2 or 3
re-apply accordingly
Notable Exclusions
• Complex audiology, advanced diagnostics and
balance testing relating to ENT surgery and the
treatment of wider conditions is excluded from this
exercise
• All paediatric activity is excluded
Payment Model
• Payment is primarily based on the purchase of 3
year pathways for the assessment, supply, fitting
and management of hearing aids under fixed tariff
prices
• These tariff prices include the cost of devices and
all related services
• An annual price is then chargeable for patients
presenting for aftercare beyond the term of the 3
year pathway.
• Single activity prices are payable as follows:
• patients who are assessed and do not require
an aid
• aid replacements outside of warranty
Payment Model- Tariff Prices
Tariff
Basis of Contract / Pathway Element
Price
1
Assessment only
£53
2
Assessment, supply and fitting of 1 aid, follow-up, 3 years aftercare and third year review
£268
3
Assessment, fitting and supply of 2 aids, follow-up, 3 years aftercare and third year review
£370
4
Annual aftercare (following third year review a patient presenting for aftercare will attract this tariff £25
price once in the financial year regardless of the number of presentations)
5
Replacement hearing aid (due to mechanical failure outside of warranty during a period of annual £68
aftercare following the third year review)
The Commissioner estimates the total value of this opportunity to
be approximately £1m per annum.
Contractual Model
• This contract will be let under the terms of the
NHS Standard Contract
• The contract term will be 3 years with an option to
extend once for up to a further 3 years.
Testing of the Specification & Model
• Model in line with contracts successfully let across
the country
• Model in line with national AQP framework and
implementation guidance
• Direct testing with commissioners operating and
expanding this model in their areas
• Pricing in line with national non-mandatory prices
Procurement Process
• Procurement process will take the form of a single
stage open tender with a combined PQQ and ITT
phase
• Contract may be let as a single lot covering the
whole CCG area or multiple lots covering Locality
Geographies
• All documentation and the full bidding process will be
accessible via the Bravo Solution e-tendering portal and
the opportunity will be advertised on Contracts Finder.
www.contractsfinder.service.gov.uk
www.commercialsolutions.bravosolution.co.uk
Approximate Procurement Timeline
Milestone
Approx. Completion Date
Publish full tender documents
30 January 2017
Bids received (4 week completion
window)
20 February 2017
Commissioner Evaluation and
Clarification
20 March 2017
Ratify preferred provider
27 March 2017
Notify outcome and begin mobilisation 10 April 2017
New service commencement
17 July 2017
Questions & Feedback
Some key points:
• Is the service model correct?
• Are the clinical pathways right?
• Does the commercial model present a viable
opportunity to the market?
• Provider views on scale of provision and
procurement:
• Single contract for CCG wide services, or;
• Potential for multiple provider delivery through
locality based geographic lots.