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Department of General Services Procurement Division Information Technology Strategically Sourced Contracts Customer Forum.

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Presentation on theme: "Department of General Services Procurement Division Information Technology Strategically Sourced Contracts Customer Forum."— Presentation transcript:

1 Department of General Services Procurement Division Information Technology Strategically Sourced Contracts Customer Forum

2 INTRODUCTION Please Welcome Ron Joseph, Director, Department of General Services Clark Kelso, Corporate Information Officer State of California

3 Session Facilitator Ron Rabun Information Technology Sourcing Contracts Administrator Associate Contract Administrators Marc Anderson, , Steve Kobayashi, ,

4 Question Cards We plan to cover the basic material as quickly as possible. Therefore, we will take a limited number of questions during the presentation. There are question cards in your packets. Please complete these and we will address the questions after the Break.

5 Management Memo REQUIREMENTS FOR THE USE OF STRATEGICALLY SOURCED STATEWIDE CONTRACTS DATE ISSUED: JULY 1, 2005 ISSUED BY: Department of General Services. Excerpt: Utilization of CSSI Contracts Due to the rigorous competitive process under which the CSSI contracts have been awarded: - There are no monetary threshold limits for purchases conducted under these contracts; - Multiple offers are not required; and, - All certified small business or disabled veteran business enterprise purchases made through these contracts are reported monthly by the contract holder and are credited to the purchasing agency. - Departments are reminded that all necessary approvals typically required from oversight agencies to authorize purchases from the respective CSSI contract must be obtained. Purchases Based on an Approved Exemption Any purchase as a result of an approved exemption must be conducted in compliance with the departments approved delegated purchasing authority.

6 Excerpt: I am pleased to inform you that State agencies now have the opportunity to purchase IT personal computing hardware using new strategically sourced contracts that offer a great combination of significant savings, excellent quality and a first for the State of California: common configurations established with the active assistance of the Information Technology Councils Acquisitions Committee. These new contracts feature desktops, notebooks, monitors, printers and peripherals, and are some of the growing number of contracts offered by the Department of General Services California Strategic Sourcing Initiative. It is estimated that California could save $22 million a year on IT hardware purchases using these new contracts. The new IT hardware contracts feature a total-cost-of-ownership approach to contracting, and services and warranties are already included in the contracts various product packages. Our common configurations will save even more money and streamline operations when it comes to IT service and support. STATE CHIEF INFORMATION OFFICER J. Clark Kelso July 8, 2005 To:Agency Information Officers Departmental CIOs Data Center Directors


8 Product Categories PC Goods / Unix Servers / Enterprise Storage PC GOODS (bold is RFP Common Configuration) Desktop computers – Standard, Power-User, Workstation, GIS 2, GIS 3 HP/Compaq and Gateway brands – Suppliers Gateway and Western Blue/HP/Insight Public Sector. Notebooks - Standard, Power-User, Ultra-lite, Tablets, Finger print, GIS. IBM/Lenovo and Gateway Brands PC Servers – 5 Levels of Configurations – Dell Brand – Suppliers are Marketware and Technology Integration Group (TIG) Printers – Desktop Inkjet, Desktop LaserJet, Workgroup Laser, High Volume Laser, Workgroup Color Laser, additional printers in each group, large format, multi-format color, All-in-One (fax, copy, print, scan) Peripherals 8 Catagories; Expansion, Optical Media, Memory, Networking (workgroup access layer), Projectors, Scanners, Power Supply, Other


10 Tape Systems - Tape Devices – small, medium, large-A, large-B. Tape Libraries – small –A/B, medium-A/B, large A-B HP brand, supplier is Western Blue/STA. Mainframe Storage - Entry, Midrange, Enterprise A/B, Hard Drives EMC brand; two suppliers Northrop Grumman and Verizon Disc Storage Open - Entry, Midrange, Enterprise A/B, Hard Drives EMC brand; two suppliers Northrop Grumman and Verizon Storage NAS Server - Entry, Midrange, High End, Dell brand; Supplier is Verizon Storage SAN Fabric – Switch A, B, or C EMC brand; supplier is Northrop Grumman Enterprise Storage


12 Unix Servers SUN Servers – Entry, Midrange, High-End with two configurations each. SUN brand; Supplier is GovStor a certified small business. IBM UNIX Servers - Entry, Midrange, High-End with two configurations each. IBM brand; Supplier IBM Corp. UNIX HP Open System Servers - Entry, Midrange, High-End with two configurations each. Brand is HP. Two suppliers are Technology SAIC and Western Blue/STA

13 Exemption Process Do I need a formal Exemption. Ask? Is the product in a Sourced contract product category? Is the product the brand on the Sourced contract? Is the purchase for remedial maintenance and repair of existing systems? No to any of the above = Exemption For Potential Off-Specification Items Yes, to ALL of the following may support a one-time Off-spec concurrence. Is the product the same brand but different model than is on the Sourced contract? Is same brand, different model but meets or exceeds any of the common configuration specifications? Item is not contained on another existing contract product category? No to any of the above = Exemption Off-Specification concurrences provided on a case-by-case basis supported by a business need. Approvable by the Contract Administrator

14 Website Content Use the Featured links to access IT categories. Websites contain official releases for the Sourced IT Contracts. User Instructions are posted for each specific contract. Supplements are posted to specific contract listing. Current supplemental equipment lists and pricing is posted to the specific contract listing. Approved Off-Spec items will be posted. Contact information is posted. ADA Compliance/Accessibility Standards impact website.

15 Ordering Process All orders of any value require a Standard Form 65, Contract Delegation Purchase Order. Contractor will require Std. 65 and specific data completed prior to accepting the order. CAL-Card is only a payment method. A Std 65 must accompany the order. Orders made ONLY to the Prime Contractor as listed on the contracts web listing. Resale number references are provided on the web.

16 Small and Disabled Veteran Business Enterprise Firms – Off-ramp You may obtain the same brands and models on the contracts from SB/DV certified firms when: –The order is less than $100,000. –You obtain two quotes from certified firms. –The items are the exact same brands and models. –Peripherals are the same Category and Brand. –The order is issued under your IT Delegation. –The order is made to the Certified firm. –Your Delegation Number appears on the order. These orders are done under the IT delegation and is not the terms of the CSSI. Certified firms (subcontractors) may not sell the contract as an order receiving entity. All orders under your delegation and is considered an open market terms or the terms attached to the quotation. Generally, you want to use the States IT General Provisions on any delegation order. Strategically Sourced Contract orders may reference SB/DV participation subcontractors in the body of the order NOT in the vendor area. The order must be made to the PRIME CONTRACTOR ONLY. Contractors are obligated to provide Participation Reports by order or monthly by arrangement.

17 Off Specification Items The bid provides bidders proposal of optional items as a Off-spec offering. The bid/contract terms provides for States sole option to obtaining any Off-spec item. This may occur when the items are: Consistent with the Common Configurations on the specific contract. Provide options, upgrades or accessories to the models and brands already on the contract. Not in conflict with another Contract. The Off-spec offering acceptance can occur: As a One-time Off-spec request and concurrence by the States Contract Administrator. Agency submits request with a brief narrative of the business need and the attached contractors quotation. When there is policy acceptance by the State CIO, IT Infrastructure Subcommittee. When purchasing management approval which concurs with the Contract Administrators recommendation to add items to the Contract Catalog which provides for open ordering. Best pricing negotiation is a component of any Off-spec approval.

18 DGS Admin and CSSI Savings Fees DGS Administrative Fee of 2.48%, pre-tax value. Strategic Sourcing Savings Fee User Instructions provide Saving Fee Estimator item percentage used to calculate the Strategic Sourcing Savings Fee. The Estimator Percentage is multiplied against the price of the respective line item. Defined simply: The fee is 10.5% of the SAVINGS PORTION as determined from the States approved Strategic Sourcing Plan covering the product category The State is still saving 89.5% over the prices historically paid including previous government discounts. Example; An item with a historical price of $100 now receiving a price of $50 is receiving a 50% Sourcing discount. The old price is 100% of the current price, therefore, the Savings Fee Factor is 10.5% because the savings represents 100% of the current price. A detailed Lesson on the Savings Fee Calculations will be held following the question portion of the Forum. Bring you calculators.


20 BREAK - 15 minutes QUESTIONS Please write questions on the card provided and hand to a PD representative.

21 Thank you for attending. Reminder Repeat session to be held June 27 th, 9:00-11:00 am Ziggurat Auditorium Have your friends sign up on the Procurement Division Event Webpage.

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