Copy of contract released; GMH explains how MedHealth gets paid
By Pacific Island Times News Staff
Guam Memorial Hospital’s contract with MedHealth Solutions provides that the contractor will receive 12 percent for amounts collected above the hospital’s projected monthly collections of $7.2 million, said Cindy Hanson, public information officer at GMH.
“MedHealth's payments are contingent on collections exceeding the estimated projections, at which point it will receive 12 percent of the amounts in excess of that projection as a contingency,” Hanson said.
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According to the contract -- a copy of which was made available by GMH today--- MedHealth will also be compensated “30 percent of any dollar collected for any unbilled, uncollected or denied claims that GMH refers to the contractor for which the contractor obtains payment on behalf of GMH.”
Hanson said GMH contracted MedHealth Solutions in May 2021 “to assist with and enhance GMH’s processes in capturing and collecting patient revenue in accordance with the Healthcare Financial Management Association.”
MedHealth also provides guidance and training to GMH staff to develop the hospital’s capabilities to sustain its revenue cycle management services on a long-term basis, Hanson added.
She said the contract was procured through a request for proposals, which was “thoroughly reviewed and approved by the Office of the Attorney General.”
The RFP was issued on July 10, 2020.
A copy of the contract can be viewed here.