Session Laws

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. The board of trustees of the Glover Memorial Hospital Aid Association, Inc., with the approval of the board of selectmen of the town of Needham, may enter into agreements on behalf of the town and said hospital with any individual, private corporation, partnership or other entity to provide, jointly, medical services within the town or any adjacent municipality, or to engage in any activity or undertaking necessary or incidental thereto. Any such agreement may be for such period, not to exceed five years, as may be determined by the board of trustees with the approval of the board of selectmen. No such agreement shall provide for any subsidy or obligation for the payment of any money by the town thereunder to any person except for payments representing fair consideration for services rendered by, or goods received from, such person.

SECTION 2. No agreement shall be executed under the provisions of this act unless the chief executive officer or administrator of the hospital shall have issued a request for proposals in accordance with the provisions of this section. Prior to issuing such request, the hospital administrator shall undertake such studies as are necessary to determine the economic feasibility of the terms and conditions, including selection criteria, to be set forth in the request, and shall prepare a written analysis of the anticipated benefits and costs to the hospital and the town of the proposed joint provision of medical services or other such activities, as compared with other alternative means of providing such medical services or other such activities. Not less than two weeks before soliciting proposals, the hospital administrator shall submit to the board of selectmen and the board of trustees the request for proposals and all studies and written analysis relating thereto.

The request for proposals shall include:

(1) all criteria that will be utilized for the evaluation of proposals, together with a statement that such evaluation shall be based solely on said criteria;

(2) all items or categories of information which must be included in the proposal, and a format for submitting such information;

(3) a statement of those terms and conditions which shall not be subject to negotiation;

(4) a statement that any agreement may incorporate by reference the proposal of the selected person; and

(5) a statement that any agreement shall include a provision for remedies on behalf of the town and the hospital in the event the selected person defaults on any of its terms.

Notice of the request for proposals shall be published at least once, not less than two weeks prior to the time specified for the receipt of proposals, in a newspaper of general circulation in the town. Such notice shall be posted for at least two weeks on the principal official bulletin board of the town and in a conspicuous place at the hospital until the time specified for receipt of proposals. Said notice shall provide a general description of the services desired and shall indicate where, when and for how long requests for proposal may be obtained.

Taking into consideration the financial terms of the proposals and the evaluations based on the criteria set forth in the request for proposals, the hospital administrator, with the approval of the board of selectmen and the board of trustees, shall determine the most advantageous proposal. He may negotiate revisions in the proposal selected. He may reject any and all proposals if he determines that rejection is in the best interests of the town and the hospital.

If the hospital administrator selects a proposal which did not offer the lowest cost to the hospital, he shall state in writing the justification for such decision. The hospital administrator shall maintain a written record of evaluations and negotiations undertaken pursuant to this act, and shall retain such record with the proposals.

SECTION 3. If the financial interest or commitment of the town and the hospital under an agreement authorized under this act is equal to or greater than that of the other parties, in the aggregate, all applicable laws and by-laws relating to procurement of supplies, services or real property, or the disposal of supplies or real property, shall apply to any such procurement or disposal. If the financial interest or commitment of the town and the hospital is less than that of the other parties, in the aggregate, such laws and by-laws shall be applicable to the extent such procurement or disposal is undertaken by or for the town or the hospital.

SECTION 4. No agreement shall be executed under the provisions of this act until a statement, signed under the penalties of perjury, has been filed with the town clerk by each other party to the agreement, giving the true names and addresses of all persons who have or will have a direct or indirect beneficial interest in said agreement. The provisions of this section shall not apply to any stockholder of the corporation the stock of which is listed for sale to the general public with the securities and exchange commission, if such stockholder holds less than ten percent of the outstanding stock entitled to vote at the annual meeting of such corporation.

SECTION 5. Section one through four shall take effect as of July first, nineteen hundred and ninety.

SECTION 6. This act shall take effect upon its acceptance by the town of Needham.