State Purchasing Update TACNIGP Conference August 4, 2010

Agenda – General Updates – Governance – Bureau of Transportation, Facilities & Supplies – Bureau of Technology, Office Equipment, Strategic Sourcing & Support Services – Bureau of Services, Supplies, Insurance & Special Programs – Training & Certification Note: MyFloridaMarketPlace Update will be presented at 1:00 PM today in Conference Room A. 2

Presenters – Karen Armstrong, JD, Governance Manager – Ellen Potts, CPPO, FCPM, FCCM, Chief Bureau of Transportation, Facilities & Supplies – Lyle Hackett, Chief Bureau of Technology, Office Equipment, Strategic Sourcing and Support Services – Kelley Scott, JD, FCCN,Chief Bureau of Services, Supplies, Insurance & Special Programs 3

General Updates – State Purchasing Re-organization – Updated Web Sites for State Term Contracts – Recent Comptroller Memoranda Contract Manager Training Requirements – CFO Memo #4 (09-10) Contract Document Requirements – CFO Memo #5 (09-10) Contract Reporting Requirements – Agency Addressed Memo #1 (10-11) Contract Monitoring – CFO Memo #1 (10-11) 4

Presenters Governance Karen Armstrong Governance Manager 5

Governance Chapter , Laws of Florida (a/k/a SB 2386 – State Financial Matters) RULEMAKING to incorporate changes in new law has started. A workshop is scheduled for August 26, 2010 MAJOR CHANGES: Requires all contracts, including purchases from an STC, to have an agreement with scope of work and verifiable units of deliverables. 6

Governance Chapter , Laws of Florida (a/k/a SB 2386 – State Financial Matters) continued… Substantially amended s , F.S., relating to procurement methods. – Creates a new subsection one for all competitive procurement methods. – The requirements for Invitations to Bid, Requests for Proposals and Invitations to Negotiate were revised. – Before using an RFP or an ITN, an agency must document why an ITB is not practicable. 7

Governance Chapter , Laws of Florida (a/k/a SB 2386 –State Financial Matters) continued… New section added: Agencies, as defined in s , F.S., are required to review existing contract renewals and reprocurements in an effort to reduce contract payments by 3%. –The level and quality of services must not be affected. –Each agency shall renegotiate and reprocure contracts consistent with this section. 8

Governance Chapter , Laws of Florida (a/k/a SB 2386 –State Financial Matters) continued… New section added: Agencies required to review contracts for a “preferred pricing clause” – where the state is offered the most favorable price that contractor offers to any client. –Agencies with any contract that contains a preferred pricing clause will require an affidavit from an authorized representative of the vendor. –Affidavit must be submitted by vendor annually. –Failure by vendor to submit an affidavit may be grounds for termination of the contract. 9

Governance Chapter , Laws of Florida (a/k/a SB2386 –State Financial Matters) continued… New section added: –For the fiscal year any entity spending funds in excess of $5 million that are provided in the General Appropriations Act shall give preference, the extent allowed under any state or federal law, to vendors or businesses that have a principle place of business in the State of Florida. –These vendors must also commit contractually to maximize use of state residents, products, and other Florida-based businesses in fulfilling duties under the contract. –Agencies are required to identify and report on contracts subject to this section to the Agency for Workforce Innovation by March 1,

Presenters Bureau of Transportation, Facilities & Supplies Ellen Potts, Chief 11

12 Team 1 – Transportation & Energy P-Card Services –STC: Extended through January 6, –ITN: Two remaining respondents: CitiBank and Bank of America. In technical evaluation stage. Fuel Card Services –STC: contract extended through March 12, –ITN: New contract with Wright Express could be executed as early as this week. Agency Fuel Card Administrators will meet on August 10 to begin implementation discussions. Medium & Heavy Trucks –STC: Expires September 30, –ITB: Solicitation is active. Bureau of Transportation, Facilities and Supplies

13 Team 2 – Institutional Furnishings & Supplies Office Furniture STC –Numerous GSA modifications are in process. Please verify correct pricing via the STC website. –Pricing decreases for Global Industries & The Hon Co. (through 12/31/10). Educational/Institutional Furniture STC –New STC was posted on June vendors. –Price sheets (showing approved price list and discounts) are now available on the STC website. Price lists (showing item pricing) are available through the contractor sites. –Pricing decrease for Global Industries (through 12/31/10). Ice Machines –STC: Renewed through October 29, –ITB: New solicitation will be launched in August. Bureau of Transportation, Facilities and Supplies

14 Team 3 – MRO & Law Enforcement Mail Services ITN –Working to clarify items in Pitney Bowes response. Body Armor –Adding newly approved products that meet new federal requirements. Tools –ITB: posted award to 7 vendors on July 19. Received one protest. –STC: Renewed with Grainger through January 29, 2011, or until award protest is resolved. Bureau of Transportation, Facilities and Supplies

15 Upcoming Solicitations : -Officers’ Equipment (expires 9/2010) -Ice Machines (expires 10/2010) -Motor Vehicles (expires 10/2010) -Floor Machines (expires 11/2010) -Body Armor (expires 2/2011) -Bulk Fuel, Tank Wagon Deliveries (new contract) Bureau of Transportation, Facilities and Supplies

16 Contracts Under Review: -Ammunition (expires 9/2010) -MRO – WSCA ACS (expires 11/2010) -Library Furniture(expires 2/2011) -Batteries (will expire 2/2011 – no replacement contract) -Office Furniture (expires 3/2011) Bureau of Transportation, Facilities and Supplies

Presenters Bureau of Technology, Office Equipment, Strategic Sourcing & Support Services Lyle Hackett, Chief 17

Team 4 – Information Technology Multifunction Products, Printers, Facsimile Equipment, Scanners, Related Software, Supplies and Services –Current contract extended until 11/22/2010 –New contract will be effective early August 2010 and supersede current contract IT Disaster Recovery Services –Awarded 5 Vendors (current contract has 1 Vendor) –New contract effective date estimated for August 2010 –New and current contract will not overlap as previously communicated, due to current vendor’s 7% cost reduction for new contract award 18 Technology, Office Equipment, Strategic Sourcing & Support Services Bureau

Team 5 – Office Equipment, Travel, & Support Services Courier Services –Multiple Award to UPS and FedEx UPS overall cost reduction from current contract pricing FedEx about the same pricing as current contract –8 Local/Statewide Couriers Awarded (Current Contract has 3) At same or better pricing than current contract At least 2 Local Couriers per county statewide to select from 3 Couriers were also awarded statewide (PVX, Blue Streak, Velocity) 19

Strategic Sourcing Services Team: Office Consumables ITN –Negotiations are complete, BAFOs to be received by 8/10/2010. This will be a multiple award with at least three vendors awarded. The vendors who were advanced to the negotiation stage: Gulf Cost Office Products Leitz Office Products Office Depot Staples Food Delivery Prime Vendor Services –Executed ACS 6/28 (Dept. of Corrections, U.S. Foodservice) Mark Hernandez is Contract Manager 20 Technology, Office Equipment, Strategic Sourcing & Support Services Bureau

Upcoming New Solicitations /Contracts: –Radios ITB –Water Treatment Chemicals ITB –Vehicle Maintenance ACS –Auto Parts ACS Upcoming Re-Solicitations: –Mail Processing Equipment ITN Upcoming Renewals: –PCs, Laptops, and Monitors 21 Technology, Office Equipment, Strategic Sourcing & Support Services Bureau

Presenters Bureau of Services, Supplies, Insurance & Special Programs Kelley Scott, Chief 22

Bureau of Services, Supplies, Insurance & Special Programs Team 6 – Services, Special Programs, & Insurance Insurance: –EDPE insurance renewed. 4.8% savings over last year. –Contractor’s Equipment Insurance ITB award. 19% savings over last year. –Nuclear Property Insurance renewed. 6.5% savings over last year. –Ocean Marine Insurance renewed. Same price as last year. –Miscellaneous Property Insurance ITB award. 23% savings over last year. Central Non-Profit Agency RFP –Awarded to RESPECT. Computer Software Training –Renewed with New Horizons for six month extension. –Need agency input on need for these services. IT Consulting Services –Contract number on State Purchasing website updated to mirror contract number in MFMP. 23

Bureau of Services, Supplies, Insurance & Special Programs Team 6 – Services, Special Programs, & Insurance Upcoming Solicitations: Insurance policies under review during next six months ₋Camp—expires August 15, 2010 ₋Aviation—expires September 28, 2010 ₋Boiler and Machinery—expires October 1, 2010 ₋Automobile—expires October 19, 2010 ₋Accidental Death—expires November 1, 2010 ₋Crime—expires January 1, 2011 State Term Contracts under review during next six months –Medical and Dental Temporary Employment Staffing—new contract –Live Capture Electronic Fingerprint Equipment—expires November 28, 2010 –Computer Software Training—expires January 20,

Bureau of Services, Supplies, Insurance & Special Programs Team 7 – SPAs and Special Projects Medical and Dental Supplies –Launched RFP on Tuesday, July 13. Bids due August 18. –Need two evaluators for “Qualifications” portion. –Please contact Donna Smith ( ) if interested. Tissues and Towels –Contract renewal effective August 1, –Achieved additional 4.88% savings through renewal. Pricing updated on the State Purchasing website. Potable Water and Food Grade Ice –Renewed with all vendors. Climate Friendly Products List –Quarterly update complete. Contains 20,860 items. 25

Bureau of Services, Supplies, Insurance, & Special Programs Team 7 – SPAs and Special Projects Upcoming Solicitations: State Term Contracts under review during the next six months: –Medical and Dental Supplies (RFP in progress) – expires September 20, 2010 –Lab and Safety Supplies and Equipment– expires April 30, 2012 –Paper: Tissues and Towels – expires July 31, 2011 –Recycling Services: End of Life Electronics Equipment – expires July 21, 2011 Other agreements under review during the next six months: –Pagers and Paging Services (SPA) – expires September 27, 2010 –Recycling Services, Spent Lamps, End of Life Ballasts and Batteries (SPA) – expires January 7, 2011 –Defibrillators, Related Equipment & Supplies (ACS) - expires December 31,

Training & Certification Christie Wade Training Manager 27

Training Schedule – In Tallahassee Public Purchasing in Florida – August 10-13, 2010 CPPB Review – August 30-31, 2010 CPPO – Review – September 1-2, 2010 Planning, Scheduling and Requirement Analysis – Sept 7-9, 2010 Contract Administration – October 4-6, 2010 Contract Management in Florida – October 7, 2010 Best Practices for Contract and Grant Management – October 8, This course will be at no charge Developing and Managing RFP’s – November 8-10, 2010 Legal Aspects – December 1-3,

Training Schedule – Outside Tallahassee Contract Management in Florida – Winter Park, FL – August 26, 2010 (Full) Best Practices for Contract and Grant Management – Winter Park, FL – August 27, 2010 (Full) 29

Recertification Workshops In Tallahassee Training: Advanced Contract Management Workshop – August 5, 2010 Advanced Purchasing Workshop – August 6, 2010 Advanced Negotiation Workshop – September 13-14, 2010 Outside Tallahassee Training: Advanced Negotiation Workshop- Tampa- September 20-21, 2010 Advanced Contract Manager Workshop-Tampa- September 22, 2010 Advanced Purchasing Workshop- Tampa- September 23, 2010 Advanced Negotiation Workshop- Winter Park- October 4-5, 2010 Advanced Contract Manager Workshop-Winter Park - October 6, 2010 Advanced Purchasing Workshop- Winter Park October 7, 2010 Advanced Purchasing Workshop – Coconut Creek, FL - October 22,

Recertification Requirements Florida Certified Contract Negotiator: –Complete the Advanced Negotiation workshop. Include a copy of your certificate of completion with your recertification application. –Must have led one (1) or participated in three (3) or more federal, state or local government negotiated procurements during the preceding five (5) year certification period and be currently employed in a state or local government position that the job description for the position includes contract negotiations. –Include the attached recertification application. –Submit a copy of your current position description. 31

Recertification Requirements Florida Certified Contract Manager: –Complete the Advanced Contact Manager workshop. Include a copy of your certificate of completion with your recertification application. –Currently employed in a state or local government full time purchasing position for the State of Florida or one of its political subdivisions, or twelve (12) months cumulative experience managing one or more contracts for a Florida state agency or political subdivision. (Submit a copy of your current position description.) –Complete Best Practices for Contacts & Grant Management workshop. Include a copy of your certificate of completion. –Recertification application. 32

Contact Us… Karen Armstrong: or Ellen Potts: or Lyle Hackett: or Kelley Scott: or Christie Wade: or 33