Administration Requirements

1. The qualified service provider (QSP)/physician agreement must include a pricing template that comprises the following at a minimum (see Sample Pricing Template)

a. A list of all eligible items to be delivered in the VCUR 2008 physician office system solution (see Eligible Items). Eligible items will be reviewed and approved by the Physician Office System Program (POSP) during the contracting process.

b. A list of all additional items that will be delivered in the VCUR 2008 physician office system solution that are not considered eligible for reimbursement to physicians (if any).

c. One-time costs for eligible items - This cost should be broken out into three cost categories (hardware, software, and services). Subtotals by cost category are required, but not the cost for each line item within the cost category.

d. One-time costs for additional items not eligible for POSP reimbursement to physicians (if any) - Cost for each line item is required.

e.Monthly recurring costs for eligible items - The total monthly recurring cost is required, but not the cost for each line item.

f. Monthly recurring costs for additional items not eligible for POSP reimbursement to physicians (if any) - Cost for each line item is required

2. POSP will reimburse eligible physicians for 70% of each approved milestone invoice as outlined in the table below (for eligible items only).

Milestone	Description	Vendor Invoice Amount	Physician Reimbursement Amount (70%)	Timeframe
M1	Contract Signing	32% of One-Time Costs	No reimbursement	Contract Signing
M2	POSP Approved Project Plan	17% of One-Time Costs	49% of One-Time costs	Within 60 days after M1
M3	Go-Live of Physician Office System Solution	17% of One-Time Costs	17% of One-Time Costs	3 - 6 months after M1 (variable)
M4	Initial Implementation Status Review	17% of One-Time Costs	17% of One-Time Costs	30 days after M3
M5	Final Implementation Status Review	17% of One-Time Costs	17% of One-Time Costs	Review conducted at the end of the warranty period, 6 months after M3
Recurring	Recurring Monthly Payments	Equal monthly invoice amounts through to the end of 5 year contract term, calculated based ont he Total Recurring Cost amount from the physician/vendor contract divided by the total # of months of recurring payments. # of months of recurring payments will be calculated after M3, and will be no more than the # of months after M3 through end of 5 years, and no less than 54 months.	70% of the eligible monthly recurring invoice costs. Total reimbursement of one-time and recurring amounts not to exceed $35,000.	Ongoing starting no sooner than one month after M3 and continuing monthly until 5 years after M1.

 

3. Reimbursement from POSP to the physician for milestone invoices will require:

a. A copy of the QSP invoice that includes:

i. A list of the required eligible items for each milestone as it is achieved (eligible items as pre-defined for each milestone) including hardware, software, and services.

ii. Identification of the physicians who are participating in the physician office system solution, indicating physician approval of the invoice.

iii. Invoices may be submitted in one of the following three ways:

Email (preferred method)

Fax: 780.452.1869

Mail: Suite 300, 12431 Stony Plain Road NW
Edmonton AB  T5N 3N3

b. Confirmation from the physician/clinic of the physicians who are participating in the physician office system solution.

c. Certification from the physician/clinic confirming completion of the deliverables required at each milestone.

d. Certification from POSP confirming completion of the deliverables required at each milestone.

e. Certification from POSP that each of the eligible items identified in the contract have been delivered. This certification of eligible items will take place at Milestone 4 and Milestone 5, and periodically for recurring payments.

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