March 25, 2009 — The Health Resources and Services Administration (HRSA) announced in a March 20 request for proposals that it’s seeking candidates to serve as the 340B Prime Vendor for the next five years.
Interested organizations have until 10 a.m. on April 20, 2009, to submit a proposal, although HRSA reserves the right to select a prime vendor without conducting negotiations “if there is a single technically acceptable and responsive bidder whose business proposal clearly offers the best value” for 340B-covered entities and the federal government. HRSA also reserves the right not to award a contract at all if it cannot find an organization that meets the program’s technical and business requirements.
The Prime Vendor Program was established under the 340B law to help covered entities negotiate discounts below the federal ceiling price and to facilitate distribution of 340B drugs. It has since grown to serve about 7,000 pharmacies nationwide.
Provista, a group purchasing organization formerly known as Healthcare Purchasing Partners International and owner of the current HRSA contractor – Apexus – signed the original PVP contract with HRSA’s Office of Pharmacy Affairs in 2004. Based in Irving, Texas, Provista is jointly owned by VHA, a network of non-profit community hospitals, and University HealthSystem Consortium, an alliance of academic health centers.
All bidders must have in operation a national distribution and delivery system and a price negotiation system, or must demonstrate the ability to put such systems in place. They must also be able provide outpatient drug distribution and drug price negotiation services, and have experience with outreach and marketing to retain and expand membership in the Prime Vendor Program. Other requirements include a background in prime vendor services and an ability to provide services such as vaccines and other products not included in the 340B program.
Bids must be submitted to the attention of HRSA-HSB-PVA-09 at HRSA’s Division of Procurement Management, Contract Operations Branch, 5600 Fishers Lane, Room 13A-10, Rockville, Md. 20857.
The term of the contract will run from September 10, 2009 through September 9, 2014.