News Release
1997-57
October 16, 1997
Health information and claims processing service awarded to First Canadian Health Management Corporation Inc.
Ottawa - Health Minister Allan Rock, Alfonso Gagliano, Minister of Public Works and Government Services, and Jane Stewart, Minister of Indian Affairs and Northern Development (DIAND) today announced the awarding of the contract for the Non-Insured Health Benefits Health Information Claims Processing Service (HICPS) to First Canadian Health Management Corporation Inc.
First Canadian Health Management Corporation Inc., formerly known as 3378551 Canada Inc., is based in Manitoba. It is a joint venture between the Tribal Councils Investment Group of Manitoba Limited, a prominent Manitoba investment company with a record of successful investments, and Aetna Health Management Canada Inc., a leading group benefits provider.
The awarding of this contract, valued at more than $45 million over a five-year period, represents a major success of the Government of Canada Procurement Strategy for Aboriginal Business. The new contract will also provide First Nations and Inuit peoples with a state-of-the-art service which will contribute to better health practices and will enhance their ability to take control of their own health programs.
This is the highest dollar value contract to be awarded since the launch of the Procurement Strategy for Aboriginal Business in April 1996. The Strategy is intended to boost economic development in the aboriginal community as a means to self-sufficiency and self-government. The use of the Procurement Strategy in awarding this contract parallels Health Canada's policy of transferring the resources for health programs and services to First Nations and Inuit control at a time and pace of their choosing.
"By offering First Nations and Inuit communities the means to control and manage parts of the Non-Insured Health Benefits program, this contract is a good example of how the application of the Procurement Strategy for Aboriginal Business provides an economic opportunity to an aboriginal company," said Mr. Rock.
"It gives me great pleasure to award this contract on behalf of Health Canada's Medical Services Branch," said Alfonso Gagliano, Minister of Public Works and Government Services. "The quality of the bids received in response to the public tender call clearly demonstrates the interest that exists among Canadian aboriginal companies to do business with the Government of Canada. This contract will ensure that First Nations and Inuit peoples receive quality health care support at the best possible price."
"I am pleased that the awarding of this contract will create jobs and economic growth in aboriginal communities," said Minister Stewart. "Today's investments are tomorrow's dividends. Doing business with aboriginal peoples is good business, and strong alliances and partnerships between aboriginal and non-aboriginal people benefits all Canadians."
"This is truly a good day for First Nations peoples in Canada," said Phil Fontaine, National Chief of the Assembly of First Nations. "This contract that has been awarded to an Aboriginal business presents a major, tangible economic development opportunity. This partnership will provide quality and timely service to First Nations but will, more importantly, provide much needed jobs to our people and also demonstrate that we can manage such programs as efficiently and effectively as non-aboriginal enterprises. We are truly encouraged that this major development represents a new era in self-sufficiency for First Nations and I am very pleased," added National Chief Fontaine.
"We are confident that the partnership between Aetna Health Management Canada Inc. and the Tribal Councils Investment Group of Manitoba Limited will enhance aboriginal peoples' capabilities to deliver health care services themselves and have a profound impact on the quality of health care delivery to aboriginal people," said Philip Dorion, chairman of the Tribal Councils Investment Group of Manitoba Limited.
"We are looking forward to a long term partnership with Aetna Health Management Canada Inc. in serving the health needs of aboriginal people," said Marvin Tiller, President and Chief Executive Officer of the Tribal Councils Investment Group of Manitoba Limited.
In response to concerns about prescription drug misuse, the new service contains a number of enhancements which will respond and will result in an improved health outcome for First Nations and Inuit peoples. These include, for example, service enhancements such as Point of Service (POS) adjudication, which captures and adjudicates health claims immediately, and the Drug Utilization Evaluation (DUE) program, which alerts pharmacists to harmful drug interactions or potential drug misuse. These features will lead to improved prescribing and dispensing habits and, it is hoped, will alter prescription drug consumption and potential abuse patterns.
The new contract will offer First Nations and Inuit organizations more flexibility in taking over the management of the Non-Insured Health Benefits program. In addition, the new contract has provisions for tighter monitoring of expenditures under the Non-Insured Health Benefits program and is consistent with the Auditor General's recommendations in his recent report on First Nations health.
The First Canadian Health Management Corporation Inc. will begin processing health claims on July 1st 1998. The awarding of this contract will provide employment opportunities for First Nations peoples over the next five years.
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Media Inquiries:
Monette Haché
Health Canada
(613) 957-1803
Lynne Boyer (819) 997-8404
Indian and Northern Affairs Canada
Lucie Gagné (819) 997-5421
Public Works and Government Services Canada
Jean LaRose (613) 241-6789 Ext.251
Assembly of First Nations
E-mail : jlarose@afn.ca
Alan McLeod
First Canadian Health Management Corporation Inc.
(204) 947-1916
Public Inquiries:
(613) 957-2991
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