Overview of Cooperative Contracts Program Sherri Parks Director Contracting and Procurement Services Division, DIR

Who is DIR? DIR is the state agency responsible for Key operations Effective planning, implementation and management of a statewide technology infrastructure that supports agency business operations Pooling the purchasing power of government and leveraging it to drive down costs and add value to ICT purchases for state government entities Adopting statewide technology rules and standards that contribute to effective enterprise management of ICT Promoting security and privacy of state data and networks Key operations TexasOnline, the official State of Texas website Data Center Services Telecommunications and IP Network Security ICT Cooperative Contracts Program

ICT Cooperative Contracts WHAT DO THEY DO? Create savings for taxpayers by aggressively leveraging the state’s buying power to lower prices and obtain best value Optimize the purchase of ICT commodities and services Streamlines process for customers Reduces duplicate efforts: all contracts competitively procured Reduces purchasing and contract cycle time: customers issue P.O. directly to DIR vendor Simplifies sales process for vendors Include ICT commodity items as contracted product offerings Hardware and software Technology staffing services Other ICT services with high customer demand (seat management, technology training, etc.) Maintenance

Who are DIR’s Customers? Sales by Channel Sep 07 – Feb 08 * Telecommunications Go DIRect sales of $36 M were distributed to channels via prorated percentage of sales.

What Does DIR Sell? SALES BY COMMODITY TYPE: Sep 07 – Feb 08

ICT Cooperative Contracts – Statistics 290 Total Resellers 140 HUB Prime Vendors 121 HUB Resellers 38% Growth in Last 2 Years (FY05-07) Over $1 Billion Projected for FY08 Customer Base Market Segmentation Analysis 45% Education 29% State Agencies 26% Local Government Sep 07 – Feb 08 ICT Cooperative Contract Sales

ICT Cooperative Contracts – HUB Statistics

ICT Cooperative Contracts – Cost Savings/Avoidance DIR CUSTOMERS/TAXPAYERS Savings calculated as difference between DIR price and price available in other states and from other cooperative contracting programs Additional value (soft costs) not included in calculation Time/salary savings associated with streamlined procurement process Additional services or benefits such as “free training” Improved performance standards and accountability requirements Sep 07 – Feb 08 ICT Cooperative Contract Cost Savings/Avoidance

How to Do Business with DIR HOW DO VENDORS GET ON DIR’S LIST? DIR competitively bids all contracts DIR establishes statewide master contracts with vendors for products or services when sufficient customer demand exists DIR posts requests for offers (RFOs) on the Electronic State Business Daily (ESDB, http://esbd.cpa.state.tx.us/) RFOs are generally posted for 30 days Many contracts include multiple awards Contracts are awarded for a specified term DIR offers more frequent bidding opportunities DIR posts regional RFOs

How to Do Business with DIR HOW DO VENDORS BECOME DIR RESELLERS FOR A SPECIFIC MANUFACTURER/PUBLISHER? Resellers may respond to the posted RFO Resellers can be named as subcontractor by a prime vendor Prime vendors/manufacturers can amend their HUB Subcontracting Plan (HSP) to include additional resellers WHAT ARE THE REQUIREMENTS TO BE A RESELLER? Resellers must be authorized to sell the appropriate manufacturer/publisher’s product

How to Do Business with DIR WHAT’S THE EVALUATION CRITERIA OF THE RFO? Pricing Vendor’s plan for supporting the contract if awarded Quality and thoroughness of response Vendor’s customer references

How to Do Business with DIR DIR WEBSITE Use the DIR website (www.dir.state.tx.us) as a resource for information on existing and future opportunities Bid as prime vendor on contract opportunities as they are posted Work with prime vendors to become subcontractor No DIR contract found? Ask about the New Product or Service (NPS) request form

How to Do Business with DIR DIR STORE Provides searchable access to all Go DIRect contracts Provides valuable information for specific customer groups Describes the Go DIRect process in detail Gives access to current contracting initiatives

Current Contracting Webpage

Future Contracting Opportunities CURRENT CONTRACTING INITIATIVES Posted on DIR’s Web site (www.dir.state.tx.us/store/cci) to improve communications between DIR vendors and customers Lists initiatives by procurement stage Planning RFO Postings – links directly to the posting on the Electronic State Business Daily (ESBD) Evaluation Negotiation Recent Awards Each initiative has a brief description, expected phase completion date, and contact information

Current Contracting Initiatives – Planning Stage (p1) TYPE OF SERVICES/ PRODUCTS DESCRIPTION START DATE RFO RELEASE DATE CONTACT PERSON Enterprise Resource Planning (ERP) Release an RFO to contract with vendor(s) for ERP products and related services Jun-08 Sep-08 Mark Howard Augmenting RFO to Surveillance Equipment and Services Release RFO to augment surveillance equipment and services to add access controls such as card readers Jan-08 Jul-08 Comprehensive Web Development and Mgmt Services Release RFO to contract with vendor(s) to provide website design, development and hosting Joanne Severn Emergency Preparedness Hardware Release RFO to contract with vendor(s) to provide hardware and devices for the purpose of emergency preparedness Nov-07 Shannon Kelley

Current Contracting Initiatives – Planning Stage (p2) TYPE OF SERVICES/ PRODUCTS DESCRIPTION START DATE RFO RELEASE DATE CONTACT PERSON Mobile Police Video Release RFO to contract with vendor(s) to provide mobile video cameras for use in police vehicles Jan-08 Jul-08 Shannon Kelley Microsoft Master Services Agreement Release an RFO to provide a statewide technical services agreement with Microsoft Corporation May-08 Joanne Severn Internet Subscriptions Release an RFO to provide access to a product or service on monthly or yearly or seasonal basis. Oct-08 Kerry Stennett Networking Equipment including Telecommunication Parts and Supplies Rebid networking equipment to allow opportunity for new vendors and products. Vendors with existing contracts will not need to rebid. Mark Howard

Current Contracting Initiatives – RFO Posting TYPE OF SERVICES/ PRODUCTS DESCRIPTION START DATE RFO RELEASE DATE CONTACT PERSON Augmenting Software Products and Related Services RFO DIR-SDD-TMP-126 July 7, 2008 August 8, 2008 Carrie Cooper

Current Contracting Initiatives – Evaluation Stage RFO NUMBER START DATE END DATE CONTACT PERSON Apple-Branded Hardware Products and Related Svcs DIR-SDD-TMP-116 4/8/2008 Q4 2008 Carrie Cooper Deliverables-Based IT Services (DBITS) DIR-SDD-TMP-115 4/12/2008 Q3 2008 Dell-Branded Hardware Products and Related Svcs DIR-SDD-TMP-120 4/15/2008 Emergency Preparedness Software DIR-SDD-TMP-104 7/13/2007 Q2 2008 IBM-Branded Hardware Products and Related Svcs DIR-SDD-TMP-121 4/23/2008 Lenovo-Branded Hardware Products and Related Svcs DIR-SDD-TMP-122 6/3/2008 Regulatory Software DIR-SDD-TMP-110 4/9/2008 Technology-Based Conferencing Products/Svcs DIR-SDD-TMP-118 6/7/2008 Technology Based Training DIR-SDD-TMP-094 7/18/2008

Current Contracting Initiatives – Negotiation Stage RFO NUMBER START DATE END DATE CONTACT PERSON Break/Fix Services DIR-SDD-TMP-096 11/5/2007 Q2 2008 Carrie Cooper IT Staffing Services DIR-SDD-TMP-109 1/11/2008 Q3 2008 Miscellaneous Information Technology (IT) Hardware Peripherals, Components, and Related Services DIR-SDD-TMP-092 10/25/2007 Security Services DIR-SDD-TMP-100 12/3/2007 Technology-Based Recording Equipment, Software, and Services DIR-SDD-TMP-111 2/15/2008

Current Contracting Initiatives – Recent Awards VENDOR START DATE END DATE CONTACT PERSON Enterprise Architecture Multiple Awards 4/16/2007 7/02/2008 Phyllis Benitez Cabling Services 5/13/2008 5/13/2010 Joan Scott Computers 6/6/2007 6/6/2008 Brian Bell Court Case Management Software 5/5/2008 5/6/2009 Managed Services for Information Technology (a/k/a Seat Management Services) 4/24/2008 4/23/2011 Aiko Morales

Significant Re-procurement Opportunities TEX-AN Current TEX-AN contract expires August 31, 2009 Re-procurement will take place fall 2008 through summer 2009 Vision document: www1.dir.state.tx.us/texan/stg1/visiondocument.htmls TEXASONLINE Current contract expires December 31, 2009 RFO release October 2008 Vision document: www1.dir.state.tx.us/tol/rfo/vision.htm

Contracting and Procurement Services Contact Information Sherri Parks, Director Contracting and Procurement Services (512) 463-3580 sherri.parks@dir.state.tx.us www.dir.state.tx.us