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Sheltered Workshops and Non-Profits Sandra L. Gill, VCO – Division of Purchases and Supply SPECIAL GUESTS Jack Hayek – Department of Rehabilitative Services.

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Presentation on theme: "Sheltered Workshops and Non-Profits Sandra L. Gill, VCO – Division of Purchases and Supply SPECIAL GUESTS Jack Hayek – Department of Rehabilitative Services."— Presentation transcript:

1 Sheltered Workshops and Non-Profits Sandra L. Gill, VCO – Division of Purchases and Supply SPECIAL GUESTS Jack Hayek – Department of Rehabilitative Services Karen Tefelski - vaACCSES

2 Who are they? VPPA § "Sheltered workshop" means a work-oriented rehabilitative facility with a controlled working environment and individual goals that utilizes work experience and related services for assisting the handicapped person to progress toward normal living and a productive vocational status.

3 Who are they? APSPM - Nonprofit Sheltered Workshops and Nonprofit Organizations Serving the Handicapped: A work-oriented rehabilitative facility certified by the Department of Labor (DOL) under Statutory Provision Section 14 (C) Fair Labor Standards Act, with a controlled working environment and individual goals which utilizes work experience and related services for assisting the handicapped person to progress toward normal living and a productive vocational status (§ ). Nonprofit sheltered workshops and nonprofit organizations are also referred to as Employment Services Organizations (ESOs).

4 Code Section § Exemptions from competition for certain transactions. A. Any public body may enter into contracts without competition for: 1. The purchase of goods or services that are produced or performed by: a. Persons, or in schools or workshops, under the supervision of the Virginia Department for the Blind and Vision Impaired; or b. Nonprofit sheltered workshops or other nonprofit organizations that offer transitional or supported employment services serving the handicapped.

5 Code Section § Purchases to be made in accordance with the Virginia Public Procurement Act (§ et seq.) and regulations of Division; exempt purchases A.All purchases made by any department, division, officer or agency of the Commonwealth shall be made in accordance with the Virginia Public Procurement Act (§ et seq.) and such regulations as the Division may prescribe B. The regulations adopted by the Division shall: 6. Establish conditions under which a public body shall demonstrate a good faith effort to ensure that state contracts or subcontracts for goods or services that involve the manual packaging of bulk supplies or the manual assemblage of goods where individual items weigh less than 50 pounds be offered to nonprofit sheltered workshops or other nonprofit organizations that offer transitional or supported employment services serving the handicapped.

6 Code Section § Purchases from nonprofit sheltered workshops of Virginia serving the handicapped. A.The Division shall publish annually a list of materials, supplies, services and equipment which, in the opinion of the Division, would be beneficial to the Commonwealth to procure from a sheltered workshop. The list shall exclude items currently produced by schools or workshops under the supervision of the Virginia Department for the Blind and Vision Impaired or by inmates confined in state correctional institutions. B. Any item or service included on the list required by subsection A may be purchased by the Division from nonprofit sheltered workshops serving the handicapped without competitive procurement, if the Division is satisfied that the items and services (i) can be purchased within ten percent of their fair market value, (ii) will be of acceptable quality, and (iii) can be produced in sufficient quantities within the time required. C. Nothing in this section shall prohibit the Division from amending the list required under subsection A by adding categories to the list after it has been published.

7 APSPM 2.2.c Nonprofit Sheltered Workshops and Nonprofit Organizations. State agencies may purchase selected goods and services from nonprofit sheltered workshops and nonprofit organizations serving the handicapped without competition if the goods or services: (1)are of acceptable quality; (2)can be supplied within the time required; (3)are not produced by schools or workshops under the supervision of the Virginia Department for the Blind and Vision Impaired or by inmates confined in State correctional institutions; and, (4)can be purchased within ten percent (10%) of fair market value. DGS/DPS deems fair market value to be the lowest purchase price paid by the purchasing agency or other governmental entity for like items or services purchased in a similar quantity within the last six months. If this information is not available, then obtain at least one additional quote to determine fair market value. A commodities list of available goods and services provided by nonprofit sheltered workshops and nonprofit organizations of Virginia serving the handicapped is accessible from a link on the eVA home page, Purchase of goods from nonprofit sheltered workshops and nonprofit organizations should be accomplished by utilizing an appropriate agency purchase order. Contracts may be negotiated with individual nonprofit workshops and nonprofit organizations serving the handicapped for nonprofessional services (Code of Virginia, § ). When establishing contracts for goods or services that involve the manual packaging of bulk supplies or the manual assemblage of goods where individual items weigh less than 50 pounds buyers should include the Nonprofit Sheltered Workshop and Nonprofit Organizations special term and condition, Appendix B, Section II.

8 APSPM – appendix B II 61.NONPROFIT SHELTERED WORKSHOPS AND NONPROFIT ORGANIZATIONS: A. Where it is practicable for any portion of the awarded contract to be subcontracted, the contractor is encouraged to offer such business to nonprofit sheltered workshops and nonprofit organizations serving the handicapped. A list of nonprofit sheltered workshops and nonprofit organizations of Virginia serving the handicapped can be found at B. Each prime contractor who is awarded a contract where using a non profit sheltered workshop or nonprofit organization serving the handicapped is a condition of the award, shall deliver to the agency or institution, on or before request for final payment, evidence and certification of compliance. When a portion of the contract has been subcontracted to these organizations and upon completion of the contract, the contractor agrees to furnish the purchasing office, at a minimum, the following information: name of nonprofit sheltered workshop or nonprofit organization serving the handicapped, telephone number, total dollar amount subcontracted, and type of product/service provided. Final payment under the contract may be withheld until such certification is delivered or other appropriate remedies may be assessed in lieu of withholding such payment. * When Used: Use paragraph A. if the solicitation involves the packaging or assemblage of goods where the individual item weighs less than 50 pounds and can be performed by a nonprofit sheltered workshop or nonprofit organization serving the handicapped. Use paragraph B. in solicitations for goods, and nonprofessional services, that involves the packaging or assemblage of goods where the individual items weighs less than 50 pounds when a use of a nonprofit sheltered workshop or nonprofit organization serving the handicapped is a condition of the award (see 2.2 c.).

9 What does it mean? State Agencies Can be used as a source without competition when products or services to be supplied: –are of acceptable quality –can be supplied within the time required –are not produced by Corrections or DBVI –can be purchased within 10% of fair market value Public Bodies Can be used as a source without competition

10 What does it mean? State Agencies Should include special term and condition 61 to encourage the use (subcontract) of nonprofit sheltered workshops and nonprofit organizations serving the handicapped for the assemblage or packaging of goods weighing less than 50lb. Public Bodies Should include a special term and condition to encourage the use (subcontract) of nonprofit sheltered workshops and nonprofit organizations serving the handicapped for the assemblage or packaging of goods weighing less than 50lb.

11 Virginia Department of Rehabilitative Services (DRS) DRS maintains vendor agreements with over 80 Employment Services Organizations We now refer to these organizations as: Employment Services Organizations or ESOs All but 7 of our ESOs are considered nonprofit sheltered workshops or other nonprofit organizations that offer transitional or supported employment services serving persons with significant disabilities. These Organizations are Nationally Accredited through The Commission on Accreditation of Rehabilitation Facilities…CARF

12 What goods and services do they offer? aluminum buy-back center assembly and disassembly auto – detailing bindery services bulk mail preparation ceramics production chair caning cleaning collating, labeling commercial deliveries/shipments commercial/industrial sewing, box stitching component tray washing container sub-processes contract services corrugated boxes and paper products craft work custodial and janitorial services custodial/housekeeping services custom wood crates cutting and sewing data conversion; scanning data entry services deck mops deliveries, door-to-door flyers, door hangers document destruction document management electronics assembly engraving services folding towels food service operation foodservice labor grounds clean-up, janitorial/custodial grounds keeping grounds maintenance hand assembly projects industrial work crew janitorial and custodial services labeling

13 What goods and services do they offer? laundry and linen rental, janitorial services laundry services lawn care lawn maintenance mail and fulfillment services include maintenance, internet capable manual assembly manufacturing corrugated protective pyramid pads for furniture industry mass mailing, labeling, zip sorting microfilming packaging pallets and skids pallets, crates, shipping containers, parking lot and grounds maintenance patch work linen products preparation and bundling product assembly quality control recycling rework, disposable cloth wipes room attendants scanning & imaging sewing shelf stocking shredding shrink wrap services sign making – street and specialty signs silk screening – hats, shirts, bags small assembly soldering, welding – RF and sonic sorting and packaging stuffing, sealing, labeling, zip sorting sub-assembly of metal products testing/inspection, counting warehousing services wicker and wooden containers woodworking wrapping poly bagging

14 DRS Website nn/GenericList.asphttp://www.vadrs.org/essp/dbco nn/GenericList.asp

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20 Why – Legislative Intent? Leverage the state’s acquisition policies and the need for quality products and services while supporting important socioeconomic goal of providing increased employment opportunities for Virginians with disabilities.

21 Benefits for Government Administrative cost savings from streamlined acquisition process Time savings with ease of searching for a qualified and experienced supplier of products or services Paperwork & pre & post award cost savings through development of long-term relationships with quality outcomes eliminating the need to re-compete contracts. Quality services & products from experienced vendors Security Clearances Motivated & Reliable workforce dedicated to customer satisfaction Superior performance and attendance ratings of employees Eliminates constant headaches and high turnover from entry level and low-skilled FTEs New tax revenues from wages of previously unemployed Virginians Ongoing employment supports for contract employees at no cost to the contracting agency

22 Benefits for People with Disabilities Virginians with disabilities achieve greater independence Reduced dependence on Government support Join the ranks of taxpayers Experience the American Dream!

23 Experience of ESOs Employment Services Organizations (ESOs) have a long and satisfying track record of contract experience with federal, state and county government.

24 Experience with the Federal Government Since 1938 for products –Wagner-O’Day Act Since 1974 for services –Javits-Wagner-O’Day (JWOD) Act JWOD in Virginia (FY 04) –2,544 Virginians employed –$91 Million in contract sales 14.4%Products & 86.4% services Approximately 200 contracts + Temp services –$24.69M total wages paid

25 Service Contracts with Federal Government

26 Federal Government Contracts Administrative Services Imaging & Scanning Clerical Services Data Entry Mailroom Operation & Management Document Management Document Destruction Switchboard Operation File Maintenance Forms Publication Storage and Fulfillment Warehouse Operation & Management Shipping & Receiving Call Center Operations Receptionist Services Mail/Messenger Microfilm/Fiche Supply Room Operation Reproduction & Copy Distribution Center Management Dispatch Services Temp Services Fleet Management Vehicle Maintenance Services Electronics Recycling Other

27 Federal Government Contracts Other Services Custodial Services Laundry Services Food Services Mess Hall Operation & Mgmt. Grounds Maintenance Recycling Commissary Shelf Stocking Other

28 Federal Government Partners FBI Bureau of Alcohol & Tobacco HUD Dept of Commerce Defense Logistics Agency Defense Supply Center U.S. Marine Corps HQ Federal Trade Commission Fish & Wildlife Service Food & Drug Admin. Federal Aviation Administration Dept of Energy Dept of Agriculture Agency for Healthcare Research & Quality Federal Aviation Admin Quantico DOE CMS General Services Administration – HQ & Regional Operations EPA DOD + All Service Branches Portsmouth Naval Hospital VA Medical Hospital DOT U.S. Patent & Trademark Office NASA U.S. Customs Dept of Treasury U.S. Mint

29 State Examples of Procurement to ESOs/PWD StatePWD Employed Total Contract Value Maryland1,342$ 31.8 M Indiana1, M Louisiana1, M W. Virginia M Tennessee M Pennsylvania1, M Ohio2, M Oklahoma2, M Texas7, M New York7, M

30 What Other States Purchase Custodial Services Rest Area & Welcome Center Mgmt Temporary Services Grounds Maintenance Photo ID Mailing, Collating/Sorting Data Entry Clerical Services Microfilming/Scanning Document Imaging Call Center Operations Laundry Services (Top Eleven)

31 ESOs Can Meet Your Needs Contact: vaACCSES 6295 Edsall Rd. Ste. 175 Alexandria, VA DRS

32 QUESTIONS? Sandra Gill – (804) Jack Hayek - Jack Hayek - (804) Karen Tefelski – (877)


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