The novel coronavirus is affecting our daily lives in ways we have never experienced before. At TAG, Inc., we are dedicated to helping ease these pressing times in any way we can. We ARE here for you.

One way we wish to do this is by bringing the latest from P2P teams including Contracting, Supply Chain, and Accounts Payable to you.

Recent Industry Highlights

Reprocessing of N-95 Masks and Face Shields

Medline, Inc. has started reprocessing used N-95 masks and face shields using an FDA-approved process to return the items back to hospitals for reuse. The process includes a thorough examination of each mask and shield to ensure they are still fully functional as well as the sterilization of each piece of equipment. The items that make it through the examination will be 100 percent safe to use and meet all of the FDA and regulatory requirements of a new mask.

Vendors get Creative Extending a Helping Hand

Vendors and manufacturers inside and outside of the industry continue to find new ways to produce and/or donate supplies, facilities, and resources in our country’s time of need.

A few vendors doing their part:

• HENRY offers their fleet of vehicles in the Northeast to hospitals for mobile testing centers.
• AB-InBev begins the manufacture of one million bottles of sanitizer to donate to hospitals worldwide. The FDA issues exceptions on regulations of producing sanitizer during this time.
• TESLA, Ford, and GM collaborate with vendors such as 3M and General Electric to transform their manufacturing facilities to produce masks and ventilators in short supply.
• Bayer, Novartis, Mylan, and Teva supply tens of millions of chloroquine tablets, a drug used to fight malaria.

Mexican Mask Supplier Inflates Cost of Masks by 1207%

While the US government has restrictions in place to prevent equipment suppliers from price gouging during the pandemic, the short supply has some health systems and hospitals reaching across borders for supplies. Phoebe Putney Health System encountered a supplier in Mexico selling N-95 masks for $7 each, a large jump from the regular price 58 cents each.

Missouri Attorney General Warns Against Price Gouging

While the FDA lifts some guidelines on manufacturing necessary supplies to fight COVID-19 price gouging has become a reality. While Supply Chain is wrapped up spending their time finding the necessary supplies, it is becoming increasingly difficult to track prices compared to their contracted rate. If your Supply Chain finds vendors that are price gouging, report the actions to your state’s Attorney General, like Missouri Attorney General Eric Schmitt, as they continue to enforce laws forbidding this practice. NOTE: Be prepared to thoroughly audit your own pricing once this pandemic passes to recover potential overcharges.

There is no doubt that these times are unprecedented and call for healthcare systems and vendors to join forces to tackle COVID-19. We’ll keep you updated on the latest affecting Supply Chain and AP in the weeks to come.