Lactam polymers has been modified with sodium borohydride (NaBH.sub.4) to
yield lactam polymers bearing hydroxyl functional groups. These
functional groups are useful for the covalent attachment of reactive
groups, fluorescent probes, antimicrobial agents, bioactive factors, and
drugs. The resulting as components for medical devices, specifically
ophthalmic devices and more specifically contact lenses. Hydrogels based
on these polymers are also useful for biomedical applications in the
areas of drug delivery, tissue engineering, and implantable devices.