Value in Purchasing

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What is CHV? Why is CHV needed?

• Founded in 2000 under the direction of health
  center leadership, Community Health Ventures
  (CHV) was created by the National Association of
  Community Health Centers (NACHC) to respond to
  the tremendous economic pressures facing health
  centers today. Though a combination of events,
  including the phasing out of cost-based
  reimbursement, greater numbers of managed care
  and uninsured patients, health centers are faced
  with the reality of doing more with less. To
  help health centers reduce their costs and stay
  competitive, CHV negotiates group-purchasing
  agreements to achieve better pricing, service and
  contractual terms for products and services
  health centers used daily.

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Why should health centers consider CHV products?

• Through CHVs group-purchasing agreements,
  health centers not only reduce their operating
  costs but they also exploit new and emerging
  models for health care business.

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How does CHV develop group-purchasing agreements?

• To achieve competitive pricing and contract
  terms, CHV leverages the national health center
  buying strength to negotiate purchasing solutions
  with a select group of strategic partners. These
  strategic partners have a long history of success
  in their respective industries and have shown an
  eagerness to help create programs that promote
  the health center mission.
• As a result, health centers have the tools to
  realize savings that can then be reinvested back
  into patient care or innovative technologies to
  help strengthen management and clinical systems.

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• NACHC is the only national membership
  organization representing all 3,500 Federally
  Qualified Health Centers.
• CHV is the business development affiliate of
  NACHC responsible for developing products around
  health center business.
• The Value in Purchasing (ViP) program is one of
  three programs developed by CHV to date. It is
  administered by both CHV and Healthcare
  Purchasing Partnership International (HPPI).
  Specifically, ViP is a group purchasing program
  for medical, dental and office supplies as well
  as capital equipment.
• HPPI is responsible for negotiating costing with
  manufacturers of product to ensure the lowest
  price. In addition, American Solutions for
  Business is responsible for providing world class
  service in the printing and promotional product
  arena for health centers.

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ViP Printing Services (Categories 1-4 include
letterhead, envelops, business cards, custom
forms 5 color print jobs)
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Savings Translates to Enhanced Care in Your
Community

• With the savings a health center can achieve
  through the Value in Purchasing (ViP) program,
  health centers can enhance the level of service
  provided in their community. With the money
  saved through ViP health centers can develop
  pharmacy assistance programs for impoverished
  clients, hire additional outreach and/or
  administrative staff or hire clinical staff to
  see more patients.
• For example
• 120,000 saved 1 Physician FTE 3,904 new
  visits per year
• 65,000 saved 1 Physician Assistant/Nurse
  Practitioner FTE 2,820 new visits per year
• 40,000 saved 1 Registered Nurse FTE 383 new
  visits per year
• Source NACHC Health Center Compensation
  Benefits Report 2004-2005, National Data
• Americas Health Centers Fact Sheet, 2005