HEAL NY Phase 11 Capital Restructuring Initiatives 3

HEAL NY Phase 11 Capital Restructuring Initiatives #3 Applicant Conference May 15, 2009 1: 00 – 3: 00 PM Governor Nelson A. Rockefeller Empire State Plaza Concourse Meeting Room 6 Albany 1

Competitive Procurement ¡ Requirements of State Finance Law ¡ Adherence to procedures governing information to potential applicants 2

Goals of Phase 11 RGA ¡ Right-sizing of the health care delivery system ¡ Elimination of duplicative health care services ¡ Promotion of ambulatory care ¡ Reduction in the rate of increase of health care spending. 3

Eligible Applicants ¡ General hospital ¡ Active parent or co-operator of a hospital ¡ Established Article 28 network 4

Major Fundable Activities HEAL Phase 11 ¡ Substantive Collaboration ¡ Reduction of excess inpatient capacity (staffed). ¡ Restructuring to strengthen ambulatory and outpatient care. 5

Substantive Collaboration ¡ Merger ¡ Shared Governance Established Network l Active Parent l ¡ Shared Services in legally binding agreements 6

Major Eligible Costs ¡ ¡ Capital costs to reconfigure infrastructure of hospitals for downsizing/consolidation. Equipment expense and capital acquisition costs associated with downsizing/consolidation. Legal fees for new organizational arrangements. Costs of facility closure. 7

Public Work ¡ Articles 8, 9 and 10 of the Labor Law l Prevailing Wages ¡ Article 15 -A of the Executive Law 8

Anti-trust Concerns ¡ Process for active DOH supervision of project activities to ensure compatibility with State health policy goals. 9

Basis of Awards ¡ Responsiveness to the goals and objectives of the RGA ¡ Proposed activities are reasonable, cost-effective and financially feasible. 10

Basis of Awards ¡ Numerical Score l 75% Technical l 25% Financial ¡ Derived through uniform scoring criteria ¡ Minimum score of 65. 11

12

Technical Application ¡ Ensure that no cost information is included in the Technical Application. 13

Application - Executive Summary l. A brief summary of the proposed project and how it will address the goals and objectives of the RGA. 14

Technical Application ¡ Describe community need, project activities and objectives, project timeline, continuation, project team and mechanism for monitoring and feedback. ¡ Not to exceed 15 pages, including executive summary. 15

Community Need Documented Community Need l Health Status Indicators l PQI’s l Providers and utilization l Insurance Status l Other 16

Financial Application ¡ Project Budget ¡ Project Expenses and Justification l Provide a detailed discussion of the reasonableness of each budgeted item. 17

Financial Application ¡ Project Fund Sources l Identify and describe other sources of funding for the project, if any. l Matching funds are not required. 18

No Substitution ¡ HEAL funds may not supplant other funds. 19

Competitive Procurement ¡ No negotiations or adjustments to project or budget once submitted. 20

Application Submission ¡ Separate Technical and Financial l Two originals, signed l Four hard copies l Three flash drives with files in a pdf format. ¡ By 3: 00 p. m. July 1, 2009 21

Application Submission ¡ Technical and Financial Applications in separate packages. 22