THE PHILIPPINE PUBLIC PRIVATE PARTNERSHIP

(PPP) PROGRAM IN HEALTH

UK Healthcare

TEODORO J. HERBOSA, MD

PROFESSOR, COLLEGE OF MEDICINE

UNIVERSITY OF THE PHILIPPINES, MANILA

FORMER UNDERSECRETARY DOH

▪ The Health Agenda of the Aquino

administration identifies Universal Health

Care (UHC) as among its most important

programs.

▪ The plan of the Department of Health is to

improve hospital services delivery of all

DOH hospitals through the involvement of

the private sector through PPP program.

Background

▪ The Department of Health (DOH) reform agenda

for 2010-2016 is anchored on the attainment of

universal health care (UHC) which include the

following:

– UHC Program through a refocused Philippine health insurance

– Construction and rehabilitation of, and support for, public health facilities

– Attainment of Millennium Development Goals 4, 5 and

6 (reduction of maternal, neonatal and infant mortality;

eradication of public health diseases such as

tuberculosis, malaria and dengue, etc.)

Background

▪ The project aims to raise health standards through the upgrading and modernization of the facilities. The project components cover the following:• Construction of new healthcare building and facilities.

• Hospital facilities involves the entire development and identifying the services required, and overall delivery of services.

• Hospital Equipment, furniture & fixtures: Provision of medical equipment including hospital beds, etc.

• Total Computerization. Hospital Information system linked between medical and administrative as well as external stakeholders (Philippine Health Insurance Corporation (Philhealth), Department of Health (DOH), Department of Budget and Management (DBM), etc.).

• Training and Technology Transfer

Project Components for PPP implementation

COMPLETED PPP PROJECTS IN HEALTH

NKTI Hemodialysis Center

• Procured in 2003 under lease agreement for 5 years and was renewed again in 2009

• At present, there are 47 dialysis machines in operation at the new hemodialysis center of NKTI

• Status: Second contract is being implemented; third contract will be for bidding

NKTI PET-CT and Cyclotron Project

• Include building construction in a 230 square meter vacant lot beside the Diagnostic Center of NKTI for housing of the Cyclotron for the production of fluorodeoxyglucose (FDG)

• Supply of equipment and related facilities in the operation of the Positron Emission Tomography (PET) and Computerized Tomography (CT);

BRTTH Picture Archiving and Communication System

• Involves the financing, supply, delivery, operation, commissioning and management of a Picture Archiving and Communication System (PACS) Project.

• Service Management Agreement for 10 years

Northern Samar Pharmacy Project

• Involves the provision of drug and medicines to the Hospital

• Lease Management and Operate of Pharmacy for 10 years

AWARDED/UNDER IMPLEMENTATION PPP PROJECTS IN HEALTH

Modernization of Philippine Orthopedic Center

• PhP5.6 Billion £83.5Million

• 700-bed capacity specialty hospital

• Build-Operate Transfer Contract for 25 years.

• Status: Ongoing procurement of Independent Consultant

Modernization of Bicol Medical Center

• PhP855 Million (£12.7Million)– funded by the government through DOH

• 800-bed capacity hospital

• Design and Build Scheme – ongoing construction

Modernization of Cagayan Valley Medical Center

• PhP305 Million (£4.55 Million) – funded by the government through DOH

• 600-bed capacity hospital

• Design and Build Scheme – ongoing construction

Modernization of Cotabato Regional Medical Center

• PhP696 Million (£10.38 Million)– funded by the government through DOH

• 500-bed capacity hospital

• Design and Build Scheme – ongoing construction

RITM Vaccine Self-Sufficiency Project

• Involves the construction of a vaccine production facility for pentavalent vaccine including a Filling Facility and a facility for animal testing

Regional Cancer Centers

• PhP75 Million (£1.12 Million) – infrastructure funded by the government through DOH

• Of the nine cancer centers, three (BGHMC, NKTI, RMC) has already its Oncology Equipment provided by the Private Sector investor through sharing arrangement under Service Management Contract

• CVMC

• BGHMC

• ZCMC

• NMMC

• VSMMC

• WVMC

• BMC

• NKTI, RMC

• SPMC

East Avenue Medical Center

• Expansion from 700-bed to a 1,000-bed medical center

• Involves the design and construction of 7-storey new building with 2,500 sqm footprint

• Status: Awarded

Modernization of Jose Fabella Memorial Hospital

• Transfer of Jose Fabella Memorial Hospital to DOH Compound

• 9-storey new hospital building with 800 bed capacity.

• Cost of Infrastructure is PhP1.6 Billion (£23.86 Million) and medical equipment is PhP383.25 Million (£5.72 Million) funded by the government

• Status: Design & Project Management awaiting award

Modernization of Eastern Visayas Regional Medical Center

• Involves the expansion and relocation of the hospital to a new site which is also located in Tacloban

• Expansion of bed capacity from 325 beds to 500 beds.

• Various Funding Sources: 2015 Health Facilities Enhancement Program, 2013 Calamity Fund, Japanese International Cooperation Agency (JICA) grant, and Bloomberry Foundation Donation

• Status: For presentation to NEDA ICC Technical Board

PHC Multi-Level Parking Facility Project

• Involves the construction of a Multi-Level Parking Facility at the 2,560 square meter vacant lot allocated by PHC.

• The operation of the project shall be for the period of twenty (20) years from the issuance of Certificate of Acceptance.

PPP HEALTH PROJECTS FOR BIDDING

Regional Cancer Centers

• Provision of Oncology Equipment for CVMC, BMC, WVMC, VSMMC, NMMC, ZCMC and SPMC through sharing arrangement under Service Management Contract for 10 years

• CVMC

• BGHMC

• ZCMC

• NMMC

• VSMMC

• WVMC

• BMC

• NKTI, RMC

• SPMC

Health Information Management System

• It consists of the following: – applications systems development

– interconnections of systems

– internet/network infrastructure upgrade

– hardware acquisition upgrade

– software procurement and acquisition of necessary licenses

• Proposed for Service Management Agreement

Integrated Drug Testing Operations and Management Systems

• The Project is a hybrid of web and offline application system of accrediting drug testing laboratories (DTLs) and drug abuse treatment and rehabilitation centers (DATRCs), and conducting drug testing operations.

• To be implemented on a national scale with at least 1,400 accredited drug testing laboratories through PPP.

• Estimated Project Cost: PhP254.95 Million

• Service Management Agreement for 10 years

Philippine Blood Diseases and Transfusion Center

• 250-beds specialty hospital

• Proposed for Operations & Maintenance contract via PPP

• Ongoing bidding for building III

National Center for Geriatric Health

• Proposed for Operations & Maintenance contract via PPP

• Expansion of its services aimed at providing world-class super specialty care by providing affordable and quality healthcare services and research and training facilities.

Picture Archiving and Communication System

• Involves the financing, supply, delivery, operation, commissioning and management of a Picture Archiving and Communication System (PACS) Project.

• Service Management Agreement for 10 years

• CVMC

• BMC, BRTTH

• NKTI, RMC

• R1MC, ITRMC, MMMC

• BGHMC

BMC •

•

• VSMMC

•ZCMC

WVMC

•CRMC

SPMC•

PROJECTS IN THE PIPELINE

Tri-Medical Complex

• Involves the modernization and integration of the three medical centers proposed to be located in the San Lazaro Compound: The Dr. Jose Fabella Memorial Hospital, the Jose Reyes Memorial Medical Center, and the San Lazaro Hospital

• Estimated Project Cost: Php 11-15 Billion (£164- 223.7Million)

Conceptual Design for the Dr. Jose

Reyes Memorial Medical Center

Conceptual Design for the San Lazaro

Hospital

Conceptual Design for the Jose

Fabella Memorial Hospital

Vicente Sotto Memorial Medical Center

▪ The Modernization of the VSMMC involves an increase in bed capacity from the current 800 beds to 1,400 beds, and would entail the construction of a new multi-storey building and provision of modern medical equipment to accommodate the expansion while ensuring the continuation of the hospital’s services.

▪ Estimated Project Cost: Php 5.77 Billion (£86Million)

Gov. Celestino Gallares Memorial Hospital

• Expansion in bed capacity from 250 beds to 500 beds

• To be transferred in Barangay Malayo, Municipality of Cortes

• Estimated project cost is PhP 2.2 billion (£32.8M), comprises of design and construction of a new 6-storey main hospital building with a total floor area of 30,000 square meters, and procurement of state-of-the-art medical equipment.

Philippine Children’s Medical Center

• Expansion of beds from 275 to 500 beds

• Involves the construction of 12-storey building with private wards and 8-storey medical arts building within the PCMC Lot

• Status: Under Business Case development

Region 1 Medical Center

• Expansion of beds from 300 to 600 beds

• Involves the construction of a 12-storey main building and 6-storey medical arts building

• Estimated Project Cost: Php 1.4Billion (£20.9M)

Western Visayas Medical Center

• Increase bed capacity to 1,000 from the current level of 450 beds.

• Involves the construction of a 6-storey Medical Arts Building, a 5-storey Diagnostic Complex, and a Cancer Center.

• Estimated Project Cost: Php 1.5Billion (£22.38M)

Zamboanga City Medical Center

• Increase bed capacity to 600 from the current level of 400 beds.

▪ Involves the construction of a 5-storey structure, transfer of administrative offices, and preservation and renovation of the old building with historical value.

▪ Estimated Project Cost: Php 926 Million (£13,8M)

Bicol Regional Teaching and Training Hospital

• Descriptions: It involves the construction of a 5-storey structure for hospital wards.

• Estimated Project Cost: Php 1.3 Billion (£19.39M)

• Status: Under Business Case development

Medical Arts Building

• The MAB Projects provide affordable and sufficient doctors’ offices for the hospitals; lure top level medical practitioners to render service in government hospitals; and provide additional revenues.

• Proposed in 15 hospitals: CVMC, R1MC, ITRMC, MMMC, BGHMC, NKTI, RMC, BMC (Batangas), BRTTH, BMC (Bicol), WVMC, VSMMC, ZCMC, CRMC, SPMC

• CVMC

• BMC, BRTTH

• NKTI, RMC

• R1MC, ITRMC, MMMC

• BGHMC

BMC •

•

• VSMMC

•ZCMC

WVMC

•CRMC

SPMC•

Radiation Oncology Center

• Provision of medical equipment (Linear Accelerator, Mammogram, CT Scan, MRI, Cyclotron, PET-CT)

Diagnostic Equipment

CT Scan

X-Ray Machine

MRI MachineMammogram Machine

Potential Projects in the Pipeline• Modernization of National Center for Mental Health• Philippine Heart Center in Bicol• National Rehabilitation Medicine Center• Quirino Memorial Medical Center• Lung Center of the Philippines – Hemodialysis, IT, and Aerospace

Medicine Projects• UP Manila Parking Building Project• Medical Oxygen Plant • Cavite Provincial Hospital (General Emilio Aguinaldo Memorial

Hospital)• Caloocan City Medical Center• LGU Pili Maternal Child Care Hospital• Modernization of Dr. Fernando B. Duran Sr. Memorial Hospital

(Sorsogon)• Eastern Samar Provincial Hospital• Leyte Provincial Hospital• South Cotabato Provincial Hospital• Surallah District Hospital

LUZON Projects

1. Modernization of National Center for Mental Health

2. Philippine Heart Center in Bicol3. National Rehabilitation Medicine Center4. Quirino Memorial Medical Center5. Research Institute of Tropical Medicine -

Vaccine Production Center Project6. National Center for Geriatric Health7. Lung Center of the Philippines –

Hemodialysis, IT, and Aerospace Medicine Projects

8. UP Manila Parking Building Project9. Medical Oxygen Plant 10. Cavite Provincial Hospital (General Emilio

Aguinaldo Memorial Hospital)11. Caloocan City Medical Center12. LGU Pili Maternal Child Care Hospital13. Modernization of Dr. Fernando B. Duran Sr.

Memorial Hospital (Sorsogon)

LUZON Projects

1. Eastern Samar Provincial Hospital2. Leyte Provincial Hospital

MINDANAO Projects

1. South Cotabato Provincial Hospital2. Surallah District Hospital

• Quality hospital care services are provided to patient that will ensure better health outcomes.

• Services will promote efficiency in medical care, effective treatment of medical cases and promotion of good health.

• Reliable, immediate and convenient patient care will be expected.

• Technical training for medical and paramedical staff will be enhanced contributing to improved retention and future recruitment of additional staff.

Health Benefits

THANK YOU

Department of Heath

Center of Excellence on Public Private Partnerships in Health (DOH-CEP3H)

Address: 3rd floor, National Kidney and Transplant Institute Diagnostic Centre, East Avenue, Quezon City 1001

Email: doh.cep3h@gmail.com

Telephone: (+632) 981-0300 loc. 3463, 3464