The Public Private Partnership will be piloted in four districts of Uttar Pradesh, where the existing district hospital, community health centers, primary health centers and all the sub centers attached are formed as a cluster that is managed and operated by private providers. Private providers would improve the quality and operational effectiveness of the health facilities. Through their expertise in efficient management of hospitals, private providers can provide quality management and implement standard operating procedures to improve various operational aspects of health facilities. Private providers also have the capital to upgrade the facilities and provide value-added specialized services over and above the prescribed guidelines according to the needs of the population; they can expand the clinical services of the health facilities beyond what the government is currently providing.
The existing health care facilities in Allahabad, Basti, Kanpur Nagar and Ferozabad Districts which would be entrusted to the private provider selected in two stage competitive bidding process. The private provider would form a Special Purpose Company (SPC) with the government holding 11% share in the SPC and having one of its nominees on the Board of Directors of the SPC.
Role of Private Provider
- Manage the health care facilities and provide services without any break in continuity of clinical and outreach services, including out-patient services, in-patient services, emergency services, drug dispensing, diagnostic and radiology services
- Upgrade the facilities as per Indian Public Health Standards (IPHS)
- Recruit and manage all human resources for which the provider would be responsible for their liabilities
- Provide all the medical and non-medical equipment, necessary drugs and supplies
- Introduce Information Technology based Hospital Management Information System
- Insure all movable and immovable assets of hospital
- Provide necessary reports
- Add specialized services and increase the bed capacity as specified
Role of the Government
- Provide access and usage rights to the functional infrastructure not including equipment and manpower in the facilities taken over
- Provide the private provider supplies that come as a part of different National Health Programs
- Have the right to introduce additional services beyond the prescribed guidelines keeping in mind the healthcare needs of the population
Monitoring, Incentives and Penalties
The monitoring would be done at two levels by different agencies. The district hospitals would be monitored by state-level health department officials, whereas community health centers and primary health centers would be monitored by the Chief Medical Officer of the district.
The project has built-in incentives in the system, as it allows upgrades and provision of special services which could be charged to patients at rates fixed by government, Additional beds could be created, which can be paid beds.
Few penalties exist that are specific to non-performance or delay in project.