Purchasing Directors’ Meeting September 18, 2008

Purchasing Directors’ Meeting September 18, 2008

Purchasing Directors’ MeetingSeptember 18, 2008 • Agenda • Bureau A • Bureau B • Training and Certification • Governance • MFMP • Reminder About Next Meeting Date

Bureau A Contract Updates • Contracts in Development: • Ammunition & Officers’ Equipment. Current STCs expire on 10/01/08 & 12/22/08. • Floor Maintenance Machines. Current STC expires on 11/24/08. • SPA for Pagers & Paging Services. • Contract Expirations: • SPA for Portable Air Conditioners expires 10/02/08. • Solicitations in Development: • Motor Vehicles (expires 09/30/08) • Jim Den Bleyker, 488-8367 • MRO (expires 11/13/08) • Chuck Beall, 487-0635

Bureau A Activity Updates • Energy & Transportation Team: • Aviation Fuel project update • Gasoline & Bulk Fuel: temporary pricing adjustments • Boat Motors: price adjustment for Mercury products • Natural Gas Supply: STC expires December 31, 2008 • Furnishings & Institutional Supplies Team: • Lawn Equipment: price adjustment for Toro products • Dietary Supplements: product updates; Nestle acquisition of Novartis • New Purchasing Specialist: Claudia Cooper • SPAs & Special Projects Team: • Florida Climate-Friendly Preferred Products List (updated 9/11/08) • Reviewing the DMS Departmental contract for Security Guard Services • New HIRE contractor: American Innovation • Investigating GSA Schedule 84 • Investigating the Security Services category

Bureau A Hot Topics • GSA Updates • Disaster Recovery Program • Schedule 84 • Security Systems Category Analysis

Hot TopicGSA Updates – Disaster Recovery Program • February 2007: the GSA Disaster Recovery Purchasing Program made certain products and services (across several GSA schedules) available to states & local governments. • Considerations for Florida included: • Program was only accessible for the purchase of products or services in advance of and after a federally declared major disaster. Not available for daily operations or localized emergencies. • No guidelines from FEMA as to what expenses would be reimbursed. • 5 day right of refusal for orders • .75% Industrial Funding Fee

Hot TopicGSA Updates – Disaster Recovery Program • FEMA has released guidelines for purchasing through the GSA Disaster Recovery Purchasing Program. FEMA Disaster Assistance Fact Sheet 9580.103 • Must have 3 quotes from GSA contractors. • Single sources must be documented according to federal regulations AND your state regulations. • Entity shall seek a price reduction. • Time & materials contracts are limited to 70 hours and may not be eligible for funding. http://www.fema.gov/government/grant/pa/9580_103.shtm

Hot TopicGSA Schedule 84 Update • Schedule 84: Total solutions for law enforcement, security, facilities management, fire, rescue, clothing, marine craft and emergency/disaster response. • June 2008: the Local Preparedness Acquisitions Act (HB 3179) opened all Schedule 84 products and services to states & local governments as part of the GSA Cooperative Purchasing Program. • Currently under interim rule. Final approval and guidelines are expected later this year.

Hot TopicGSA Schedule 84 Update News clip from the GSA web site: “The new law authorizes the GSA Administrator to allow state, local, and tribal governments to buy homeland security goods and services through the cooperative purchasing program. Officials will be able to use GSA’s Schedule 84 to buy items such as: alarm systems, facility management systems, firefighting and rescue equipment, law enforcement and security equipment, and marine craft.”

Bureau A Hot Topic: Security Systems • Thanks to Kathy Hutchins for insight on this category. • Dilemma: Agencies must buy these systems, yet bids, contracts & protests for this category pose security risks and create a huge administrative burden (even for small purchases).

Bureau A Hot Topic: Security Systems • MFMP Sales Analysis • 2006-2007: $6,235,311.13 • 2007-2008: $2,587,239.16 • MFMP Vendor Analysis (top 6) • Sonitrol • Siemens • Honeywell • Simplex Grinnell • ADT • Georgia/Florida Burglar Alarm

Bureau A Hot Topic: Security Systems STC Considerations: • Each location is unique – an overall discount will likely be low. • Preferred providers may not be awarded • New contractors may not be able to service legacy systems. • STC will be a “qualifier” - SOW and quotes will be required

Bureau A Hot Topic: Security Systems Another option: GSA Schedule 84 • Considerations: • Top 5 Florida vendors are awarded. • SOW and quotes will be required (FAR 8.405-2). • .75% Industrial Funding Fee. • Uncertain timeframe for final federal approval for use and ACS approval.

Bureau A Hot Topic: Security Systems • Survey We’re interested in your feedback! We’re offering a survey today – we’ll be glad to collect your response at the end of the meeting, or feel free to submit your survey via email. Contact Donna Smith at 488-8855 or at Donna.Smith@dms.myflorida.com.

Bureau B Contract Updates • New Contracts: • Online Legal Database Services: Lexis/Nexus, Westlaw, Dunn & Bradstreet • Ommet Mbiza, 488-7804 • IT Hardware Network Infrastructure • Mark Foss 488-1086 • Telephony Contract, VoIP and Legacy Maintenance for PBX/Key • Mark Foss 488-1086 (Still under contract negotiations with one vendor) • MAC-OS, Supplemental Award STC #250-040-08-1, PCs Laptops & Monitors • Renewals: • Misc. Property Insurance Policy • Hydrogen Vehicles and Fueling Stations Insurance Policy • Contract Expirations: • Old IT Hardware, July 31st (Printers temporarily to ACS) • BMC Software ACS: Will expire in favor of Software Phase 1 • IBM Software ACS: Extension until Software Phase 1 • Solicitations in Development: • Software Phase 1: Mainframe – Launched Sept. 12 (Lori Potts, 487-4196) • Software Phase 2: Distributed Network – Launch TBD • Software Phase 3: COTS Software – January 2009 • Accidental Death and Dismemberment Insurance Policy • P-Card. Specs received from DFS, agency input week of 9/22 and launch target for October. • Ommet Mbiza, 488-7804

Bureau B Activity Updates • Technology & Telecommunications Team: • Ruggedized Supplement to PCs, Laptops: Award by end of September • Profiling for AV Contract replacement is ongoing • Profiling for Printers (peripherals) • Office Supplies & Equipment, Avis, Pharmaceuticals Team: • Office Depot: DMS IG Office is still conducting an analysis • DHL Zip Code tool online for service reduction • Houston Billing Center was damaged by Hurricane Ike • Printing Services: Just beginning internal/external profile • Surveyed to add foreign language media to the Library STC • Avis CCOC Office: Parking moved to behind 4030 Esplanade Way • Special Services, Property Insurance, PRIDE and RESPECT Team: • IT Staff Augmentation (Project Area 4) to be separate STC from “Project Solutions” under IT Consulting Services (Project Areas 1, 2, and 3) • PRIDE agreement to include Digital Imaging Services (Scanning, microfiche conversion, document destruction)

Training and Certification • Florida Certified Contract Negotiator • Robert V. Maiden, DOH • Rhonda R. Cummings, Collier County • Rene E. Akins, DCF • Hawiane F. Tidwell, Marion County BOCC • Linda J. Roberts, DOT • Gabriel Ocasio-Davila, SFWMD • Karen L. Thomas, Clay County BOCC • Wendy R. Cauthen, DOT

Training and Certification • Florida Certified Contract Manager • Dexter L. Harrell, DJJ • Cheryl Howard, DJJ • Latrice M. Covington, DJJ • Sandra L. Hammerstein, SFWMD • Raleigh R. Close, DFS • Lori L. Potts, DMS State Purchasing • Shannon C. Segers, DFS

Training and Certification • Florida Certified Purchasing Manager • Robert L. Hunter, Seminole County • Diane J.C. LeRay, City of Lauderdale Lakes • Laura I Jennings, AWI • Bridget E. Pell, City of St. Cloud • Gloria M. Garcia-Foote, Seminole County • Wendy Geltch, Polk Community College

Training and Certification • Florida Certified Purchasing Agent • Gloria M. Garcia-Foote, Seminole County • Jessica J. Flathmann, SFWMD • Diane J.C. LeRay, City of Lauderdale Lakes • Laura I Jennings, AWI • Bridget E. Pell, City of St. Cloud • Wendy Geltch, Polk Community College • Lori A. Matthews, DOH

Governance • Single Source Process • Want to ensure compliance with statutes and rules and encourage competitive purchasing whenever possible • State Purchasing’s role is to approve the single source process and not justify the validity of the single source purchase (i.e. whether the purchase is a “true single source”)

Governance

Governance Alternate Contract Source (Two Types) • If State Purchasing finds a contract let by the Federal Government, another state, or a political subdivision that "makes sense" and is a good value for agency use, State Purchasing has the authority to approve that contract as an Alternate Contract Source for agency use • Examples include Office Depot and GTSI • Authorized by s. 287.042(16)(a), F.S.

Governance Alternate Contract Source (Two Types) • State Purchasing also authorizes an agency initiated ACS. This approval is authorized for a single contract transaction. • Agencies must submit PUR 7102 for State Purchasing approval. • The solicitation document must put the vendors on notice that the scope was larger than of that single procurement (IDIQ). There is language required in rule 60A-1.047(5), F.A.C. • “Bid borrowing” is not the same and is not legal. • The criteria for this approval is found in rule 60A-1.047, F.A.C.

MyFloridaMarketPlace Updates Customer Satisfaction Survey Results Training Update System Enhancement Updates Vendor Outreach Initiatives Web Page Updates SPURS Sunset Update Reporting Initiative Questions / Open Discussion MyFloridaMarketPlace

Survey Distribution / Demographics • The Customer Satisfaction survey was sent to 1,414 customers from all agencies currently utilizing MyFloridaMarketPlace • The distribution list included purchasing and F&A customers, targeting the most active system customers with a focus on proportional representation from each active agency • 345 customers responded to the survey (~24% response rate) Respondent Statistics by Audience: Respondent Statistics by Geography: • Tallahassee represented the greatest number of responses by geographical area • More than 70 locations across the state were represented

Survey Distribution / Demographics 76% of purchasing respondents and 71% of F&A respondents used MFMP for more than 2 years

Trending (from 2006-2008)

Key Findings • Overall, Customer satisfaction with MyFloridaMarketPlace is increasing, with a combined ‘Overall Satisfaction’ result for July 2008 of 93% • In comparison to the August 2007 survey, the July 2008 survey showed increases in nearly all areas surveyed • 5% increase in Purchasing Satisfaction: 94% of respondents are ‘moderately to very satisfied’ with the purchasing tool. This is up from 89% in August 2007 • 4% decrease in F&A Satisfaction: 90% are ‘moderately to very satisfied’ with the invoicing tool. This is a change from 94% in August 2007. Specific areas that decreased in satisfaction included responses around ‘Communication Effectiveness’ and ‘CRB Effectiveness.’ MFMP will take steps to address these concerns.

Training Initiative • The DMS MFMP Team began conducting regularly scheduled training in August 2008. These training sessions are free of charge and intended to supplement ongoing training programs already in place at each agency • The following training is being offered monthly, in Tallahassee, through May 2009: • Analysis* • Approver • Invoicing* • New Requester* • Refresher Requester* • Secure Reports* • System Administration • Train the Trainer (under development) • Statewide training sessions are scheduled to be offered in the following cities through FY 08/09 : • Tampa (August 2008) COMPLETED • Ft. Lauderdale (October 2008) • Jacksonville (November 2008) • Orlando (January 2009) • Pensacola (March 2009) • Ft. Myers (April 2009) • Miami (May 2009) * Training sessions to be offered statewide To register for training, please visit the Training Opportunities Web page on the Buyer Toolkit at http://dms.myflorida.com/buyertoolkit

Training Schedule A “hands-on” Train the Trainer session is being developed and slated for delivery February 2009. Our plan includes establishing a workgroup to assist us in creating this training tool. The Train the Trainer session will include: Analysis Experienced Requester Invoicing Secure Reports System Administration The DMS MFMP team has developed a training survey to assess our customers’ needs. The expected date of distribution is October 1, 2008. Our training plan will be adjusted based on the responses received. Agency-specific training may be provided on a case-by-case basis, time permitting. Please contact your Agency Liaison** for additional information ** Please see the next page for liaison information

Agency Liaisons

System Enhancement Update Change Request 44 – Legislature Data Scoping The Legislature is the remaining customer of SPURS and this change request will support the sunset of SPURS activities Customizations are being made to MFMP to scope Legislature procurement and disbursement information so that it is not visible by other agencies in MFMP Legislature will only be able to search and view their records Executive Branch agencies will not be able to search or view Legislature records MFMP Training is scheduled for the Legislature September 15-16, 2008 User Acceptance Training is scheduled for September 22-24, 2008 Legislature is scheduled to “Live” with MFMP by September 30, 2008

System Enhancement Update Change Request 45 – Service Disabled Veterans Business Enterprises Florida House Bill 687 states that service-disabled veteran businesses must be identified in the procurement process Changes will be made to the Vendor Registration, Buyer and eQuote applications so that vendors can be identified as a service-disabled Veteran Business Enterprise Two new business codes will be added to Vendor Registration: W = Service-Disabled Veteran Business Enterprise, Certified Y = Service-Disabled Veteran Business Enterprise, Non-Certified This change will be effective by November 11, 2008

System Enhancement Update CR 36: Make the encumbrance number the direct order (DO) number The first encumbrance number assigned must be greater than the last DO number assigned so that DO numbers will not be duplicated. Once the encumbrance number reaches 999999, alpha characters will be assigned (for example: A00000, A00001, ….). When the encumbered requisition is fully approved and an order is generated, a DO number will be assigned starting with “DO” and then appended with the encumbrance number. Encumbered and unencumbered requisitions will use the same incremental counter to reduce the frequency of creating duplicate DO numbers. This change will be effective in the third quarter of the fiscal year

Vendor Outreach Vendor Teleconferences (Fireside Chats): http://dms.myflorida.com/vendorteleconferences DMS MFMP Team launched the program in May 2008. The intent of this initiative is to assist vendors in knowing how to do business with the State of Florida and to knowing how to use MFMP Past Topics: 06/25: "Keeping Accounts Updated" 07/09: "Solicitations" 07/16: "Solicitations" (repeat of 7/09) 07/23: "Keeping Accounts Updated" 08/20: Transaction Fee Processing & Reporting 8/27/08: Certified Minority Business Enterprise (CMBE) Vendor Overview 9/10/08: Importance of Keeping Accounts Updated

Vendor Outreach Vendor Teleconferences (Fireside Chats): MFMP is excited to announce two additional Vendor teleconference sessions this fall: 10/1/08: Solicitations 10/15/08: Transaction Fee Processing & Reporting For additional information about online training opportunities, please visit the Vendor Toolkit: http://dms.myflorida.com/vendortoolkit

Updates to Web Pages and Tools MFMP (General) New Training division home, with links to both buyer and vendor training opportunities Updated project information, contact information and page archiving Streamlined page navigation for all customers Buyer/Vendor portals off of DMS home page

Updates to Web Pages and Tools Buyer New Buyer home page, complete with Buyer training information New Training Opportunities page, with links to upcoming available trainings around the State Updated Buyer Toolkit, including archiving old documents and files, and updating the Job Aids

Updates to Web Pages and Tools Vendor New Vendor home page, complete with Vendor teleconference series information New comprehensive Vendor toolkit, including a communications bulletin board Updated Vendor FAQs, pertaining to individual common questions

Purchasing Directors’ Meeting September 18, 2008