1. Purchasing and Procurement Training Project
Overview and Update
October 2, 2014
Melanie Buechel, DES
Senior Contracts Consultant
HE Comments by Patty Sikora
October 16, BAR Meeting
Pick a logo for the main page of your presentation. Delete the other logo.

2. Project Purpose and Vision
The purpose of the Procurement Training Project is to develop and implement the curriculum, policy, registration and reporting mechanisms; and necessary supporting technology; if any, to meet the legislative mandates as described in RCWs
The project is broken out into smaller projects: Initial Training Phase, Training Program Development Phase, Foundation Phase, and to be determined Future Phase(s).
The vision of the current Foundation Phase is to meet the legislative mandate by enabling state agency employees who are responsible for developing, executing, or managing procurements or contracts, or both, to complete Department approved training by July 1, 2015.

3. Legislation – RCW 39.26.110 RCW 39.26.110, Training, states:
The department must provide expertise and training on best practices for state procurement.
The department must establish either training or certification programs, or both, to ensure consistency in procurement practices for employees authorized to perform procurement functions under the provisions of this chapter. When establishing training or certification programs, the department may approve existing training or certification programs at state agencies. When establishing programs or approving existing programs, the department shall work with agencies with existing training programs to ensure coordination and minimize additional costs associated with training requirements.
Beginning July 1, 2013, state agencies must require agency employees responsible for developing, executing, or managing procurements or contracts, or both, to complete department-approved training or certification programs, or both. Beginning July 1, 2015, no agency employee may execute or manage contracts unless the employee has met the training or certification requirements or both as set by the department. Any request for exception to this requirement must be submitted to the director for approval before the employee or group of employees executes or manages contracts.

4. Project Timeline Explain steps for developing PP101
Start 12/13/12
Finish 7/1/15
1st Quarter
3rd Quarter
Initial Training Phase (Immediate Needs) 12/13/12 - 4/23/14
Training Program Development Phase 11/18/13 - 6/30/14
Foundation Phase 5/1/14 - 5/13/15
Phase 1 Class Content Development 5/1/14 – 10/14
Phase 2 Class Content Development (Approx) 7/31/14 – 2/15
Procurement Reform Legislation Effective 1/1/13
Training Advisory Group Established 3/23/13
Public Knowledge Engaged 11/18/13
Procurement 101 (Alpha/Interim) 4/30/14
Purchasing & Procurement 101 (Beta) 7/15-17/14
Class Rollout Phase 1 - Go Live (Tentative) 10/14
Class Rollout Phase 2 - Go Live 11/14 through 2/15
Future Phase(s) TBD 7/1/15
Today
Explain steps for developing PP101
Initial draft was reviewed by internal DES – ACCO and MCC volunteers
Project was restructured to include to a much greater extent, the TAG – review, revise, comment and approve “go-live”
Then reviewed with TAG and rolled out a BETA with the Procurement Customer Advisory Group (PCAG) and TAG
Extensive lessons learned and doing a revision for content flow and readability. PP101 should go live, after TAG approval in October.
CM 101 should go live in November.

5. Project Organization Structure

6. Project Phases at a Glance
1 - Preliminary Planning and Visioning
06/2013 – 07/2014
2- Initial Training Phase (Meet Immediate Need)
11/2014 – 6/2014
3- Training Program Development Phase
06/2014 – 02/2015
4- Foundation Phase
Post 07/2015
5- Future Phase(s) – Expansion on Core Training

7. Preliminary Planning and Visioning
Procurement Reform Training Workgroup
One of 18 Different Work Groups Established to Address Procurement Reform Legislation
Group formed May 2012
Recommendations Submitted by Group September 2012
TAG Formation
Representatives from over 20 Washington agencies and Institutions of Higher Ed
March 2013
RFP for Training Development Vendor
Two RFPs released August 2013
October 2013
Public Knowledge Engaged November 2013

8. Initial Training Sole Source / Emergency Contracts / Direct Buy
Class designed for personnel who develop, manage, execute and/or file Sole Source, Emergency or conduct Direct Buy
Agency Contract Reporting
Contract Reporting Training for the initial pilot group and two opt-in phases.
Procurement 101
Interim training covering overview of procurement requirements under chapter RCW – Procurement of Goods and Services
Sole Source, Emergency, Direct Buy - This two hour class is designed for agency and higher education personnel, who develop, manage or execute sole source and/or emergency contracts for goods and/or services. The first hour will provide an introduction to statutory and regulatory requirements and how they apply to agencies' real life contracting needs. The second hour will provide a review of the contract filing process from the initial writing stages to the sign-off process at DES, including a demonstration of the Sole Source Contracts Database (SSCD). Began offering in December 2012
Contract Reporting – The training was designed for the initial pilot agencies with reports due in October 2013 and Opt-in 1 in February 2014, reports due March 30, 2014, and Opt-in 2, with reports due on June 30, Training offered again in July and August 2014 statewide for the first official report due on September 1, Classes will continue to be offered yearly prior to September 1.
Overview of Procurement and Contract Management in the State of Washington -
This 6-hour class is designed for agency and higher education personnel who develop, manage and execute contracts for goods and/or services. The class will provide an overview and introduction to statutory and regulatory requirements under chapter RCW, as well as best business practices, for competitive, sole source, direct-buy and emergency contracts.  Additionally, the training will cover topics, including but not limited to, delegation of authority, the competitive process, conflict of interest, exceptions, exemptions and critical thinking to determine procurement options available, development of statement of work, contract management and monitoring, risk assessment and mitigation, and transparency.
This class did not meet the training requirements under RCW

9. Training Program Development Phase Project Vision
Washington’s Procurement Training and Certification Program ensures that state procurement professionals, contract managers and executive management have the knowledge, skills and abilities to procure goods and services to support the business of state government.
The Program will:
Be adequately funded
Communicate training and certification requirements for specific jobs
Emphasize critical thinking skills and innovation
Provide cost-effective and accessible training
Provide creative and innovative courses
Address adult learning styles
Provide course materials that are easy to access and update
Implement clear and transparent evaluation and testing processes
Be sustainable and maintained over time
Enable agencies to receive appropriate delegation of authority
Allow for a train-the-trainer model and delegation

10. Training Development Phase Needs Assessment Results
Information Gathering
Interviews with DES staff and stakeholders
Visioning sessions with TAG
Focus groups with representatives of various Washington state agencies
Survey of procurement professionals statewide with over 200 responses
Requirements gathering for courses and certification
Gap Analysis: inventory of current training curricula and materials available through DES and other Washington agencies
Survey Results
75% of survey respondents indicated that purchasing or procurement (or both) accounts for over half their job responsibilities
Training topics rated with high priority include:
Complex and Risky Procurements
Basic Procurement Overview
Contract Management
IT Procurements
Scope & Requirements Definition

11. Training Program Development Phase Deliverables
Parameters
Learning Objectives
Scope of Training
Template/Format
DES Standard Look & Feel
Addresses:
Readability
ADA
Course Content & Materials
Presentation (PPT)
Workbook or Resource Guide
Instructor Orientation Guide
Test
Evaluation
Course Evaluation Form
Lessons Learned Session
ADA requirements are ongoing. We are looking for additional assistance to make sure that the training addresses all ADA needs for the learners
Test or assessment

12. Foundation Phase Course Content Development Learning Management System
Phase 1 May – October 2014
Phase 2 July – February 2015
Learning Management System
Registration
Employee Training Profile Information
Testing
Reporting
Course Roll Out
Phase 1
Phase 2
Registration – usually done through the LMS Coordinators or training coordinators for each agency/institution of higher ed but it depends on the individual processes
Patrick is here to talk about getting Higher Ed onto LMS – No cost
Testing
80% pass requirement
Will be allowed to take 2 times – then will have to retake class – continue until pass
Allowed to test-out without taking the class

13. Foundation Courses Other Foundation Courses (Phase 2)
Purchasing and Procurement 101
(Phase 1)
General purchasing and procurement information
Roles and responsibilities
Procurement options and processes
Purchasing processes
Resources
Scope vs. statement of work
Agency roles and responsibilities and strategic alignment
Components of contracts
Contract Management 101
(Phase 2)
Purchasing and Procurement 101 Lite
Risk Assessment and Risk Management
Approaches to Contract Monitoring
Understanding Contract Terms and Conditions
Corrective Action
Communication with Contractors
Employee vs. Contractor
Principles of Public Contracting
Other Foundation Courses (Phase 2)
Small Acquisitions
Executive Management
Procurement Ethics
WEBS
Client Service Contracts

14. Anticipated Future Offerings
IT Academy
Rules, Regulations and Best Practices
Competitive Procurement
Negotiations
Evaluation Strategies and Methodologies
Small and Diverse Business Outreach
Contract Termination
Use of Master Contracts
Performance Based Contracting
More to be determined by DES, TAG and other Stakeholders
Certification for Procurement Professionals
Certification – will align with other certifying entities so that CE is not onerous

15. Required Attendees Broken Down by Typcial Work/Tasks
Procurement Professionals
Purchasing/Procurement Coordination
Supply Chain Management
Advises on procurement law\policy/procedures
Develops procurement documents and contracts
Develops specifications
Vendor cures and terminations
Negotiations
Manages procurement risks
Filing and Reporting
Partners with and advises contract managers
Contract Managers
Initiate procurement need
Develops deliverables and specifications
Ensures budget resources
Partner with Contract office to ensure compliance
Manage risk and Monitor contracts
Communicate with Contractor
Provide technical assistance to Contractors
Executive Management
Ensures Agency compliance with procurement laws/policies and procedures
Authorizes procurement
Requests additional delegated authority and exemptions
Executes contracts or delegates authority
Sometimes manage contracts or participates in procurement activities
Small Purchasers
Conducts small procurement from Master Contacts
P-Card purchases w/in limits of authority
Conducts low risk direct buys
Supplies inventory and stockrooms – office

16. Staff to Course Matrix Core Training
Procurement Professional
Contract Manager
Executive Management
Small Purchasers
Ethics
Purchasing and Procurement 101
Contract Management 101
Executive Management Purchasing and Procurement 101
Small Acquisitions

17. Purchasing and Procurement 101 3 Modules
Module 1 – Purchasing & Procurement Introduction and Roles and Responsibilities
Basics of purchasing and procurement in State of WA
Introduces key purchasing and procurement steps
Roles and responsibilities of stakeholders involved in procurement
The importance of Contract Management
Risk Management for procurements
Briefly review basics on contract ethics
Module 2 – Key Rules and Regulations and Purchasing & Procurement Decisions
Brief history of Procurement Reform
Procurement phases and key decision points
Procurement options
Exceptions and exemptions
Direct buy
Competition
Sole Source and emergency procurements
Amendments
Module 3 – Purchasing and Procurement Processes
Details of purchasing and procurements
How to apply critical thinking to purchasing and procurement
Understanding the importance of competitive procurement
How to conduct competitive procurements
Understanding the importance of transparency in procurement
Purchasing and Procurement 101 – 3 days (no more than 4 hours each) – instructor led webinar
CM101 – the same – facilitated instructor led webinar
Executive management – 2 hours eLearning instructor led webinar, in person, eLearning
Small Acquisitions – 1.5 instructor led webinar, eLearning
Procurement Ethics – 1.5 – instructor led webinar, eLearning

18. Training Plan for Higher Ed
General Discussion Jay Field, TESC Bill Santiago, EWU John Ginther, SBCTC Patty Sikora, GRCC

19. Learning Management System
Patrick Seigler, DES Manager Learning Delivery System

20. Higher Education Sub-Committee
HE submitted several training programs we as procurement professionals are involved in to include NIPG and NAEP.
DES choose the Oregon Model which includes training and certification
HE has reviewed the training and there are some changes we would make to include references to RCW 28B and modify it for our need

21. RCW 28B10.029
(1)(a) An institution of higher education may, consistent with RCW 28B and 28B , exercise independently those powers otherwise granted to the director of enterprise services in chapter RCW in connection with the purchase and disposition of all material, supplies, services, and equipment needed for the support, maintenance, and use of the respective institution of higher education.      (b) Property disposition policies followed by institutions of higher education shall be consistent with policies followed by the department of enterprise services.      (c)(i) Except as provided in (c)(ii) and (iii) of this subsection, purchasing policies and procedures followed by institutions of higher education shall be in compliance with chapters 39.19, *39.29, and RCW, and RCW , , through , and through      (ii) Institutions of higher education may use all appropriate means for making and paying for travel arrangements including, but not limited to, electronic booking and reservations, advance payment and deposits for tours, lodging, and other necessary expenses, and other travel transactions based on standard industry practices and federal accountable plan requirements. Such arrangements shall support student, faculty, staff, and other participants' travel, by groups and individuals, both domestic and international, in the most cost-effective and efficient manner possible, regardless of the source of funds.

22. RCW 28b continued
(iii) Formal sealed, electronic, or web-based competitive bidding is not necessary for purchases or personal services contracts by institutions of higher education for less than one hundred thousand dollars. However, for purchases and personal services contracts of ten thousand dollars or more and less than one hundred thousand dollars, quotations must be secured from at least three vendors to assure establishment of a competitive price and may be obtained by telephone, electronic, or written quotations, or any combination thereof. As part of securing the three vendor quotations, institutions of higher education must invite at least one quotation each from a certified minority and a certified woman-owned vendor that otherwise qualifies to perform the work. A record of competition for all such purchases and personal services contracts of ten thousand dollars or more and less than one hundred thousand dollars must be documented for audit purposes.      (d) Purchases under chapter *39.29, 43.19, or RCW by institutions of higher education may be made by using contracts for materials, supplies, services, or equipment negotiated or entered into by, for, or through group purchasing organizations.      (e) The community and technical colleges shall comply with RCW      (f) Except for the University of Washington, institutions of higher education shall comply with RCW , , and      (g) If an institution of higher education can satisfactorily demonstrate to the director of the office of financial management that the cost of compliance is greater than the value of benefits from any of the following statutes, then it shall be exempt from them: RCW and

23. RCW 28b continued
(h) Any institution of higher education that chooses to exercise independent purchasing authority for a commodity or group of commodities shall notify the director of enterprise services. Thereafter the director of enterprise services shall not be required to provide those services for that institution for the duration of the enterprise services contract term for that commodity or group of commodities.      (2) The council of presidents and the state board for community and technical colleges shall convene its correctional industries business development advisory committee, and work collaboratively with correctional industries, to:      (a) Reaffirm purchasing criteria and ensure that quality, service, and timely delivery result in the best value for expenditure of state dollars;      (b) Update the approved list of correctional industries products from which higher education shall purchase; and      (c) Develop recommendations on ways to continue to build correctional industries' business with institutions of higher education.      (3) Higher education and correctional industries shall develop a plan to build higher education business with correctional industries to increase higher education purchases of correctional industries products, based upon the criteria established in subsection (2) of this section. The plan shall include the correctional industries' production and sales goals for higher education and an approved list of products from which higher education institutions shall purchase, based on the criteria established in subsection (2) of this section. Higher education and correctional industries shall report to the legislature regarding the plan and its implementation no later than January 30, 2005.

24. RCW 28b continued
(4)(a) Institutions of higher education shall set as a target to contract, beginning not later than June 30, 2006, to purchase one percent of the total goods and services required by the institutions each year produced or provided in whole or in part from class II inmate work programs operated by the department of corrections. Institutions of higher education shall set as a target to contract, beginning not later than June 30, 2008, to purchase two percent of the total goods and services required by the institutions each year produced or provided in whole or in part from class II inmate work programs operated by the department of corrections.      (b) Institutions of higher education shall endeavor to assure the department of corrections has notifications of bid opportunities with the goal of meeting or exceeding the purchasing target in (a) of this subsection.

25. Thank you
Questions?

26. OMGosh what does this mean?