OFT & OGS PSG “IT” Procurement

1. New York State Purchasing Forum May 20-21, 2003 George E. Pataki Governor Michael McCormack Director Kenneth J. Ringler Commissioner OFT & OGS PSG “IT” Procurement

2. Information Technology Services Procurement Options Presented by: Sylvia Casper Team Leader, IT Services sylvia.casper@ogs.state.ny.us Forum 2003

3. Procurement Options under the Backdrop Contracts for IT Services • Formal Mini-bid • Fast Track • Discretionary Purchases Forum 2003

4. Formal Mini-Bid • Required for most IT Services requirements > $50,000 • Consulting • Systems Integration • Training • On-Going Maintenance & Support • Prior Approval required from the Office for Technology (OFT) if expected to exceed $50,000 • Must solicit all applicable pre-qualified Contractors • Guarantees work for awarded Contractor(s) Forum 2003

5. Fast Track • Streamlined process for consulting services only (staff augmentation) • based on hourly rates • up to 18 months • IT positions (Project Managers, Programmer Analysts, Specialists) • Must solicit all applicable pre-qualified Contractors for requirements > $50,0000 • Prior Approval required from the Office for Technology (OFT) if expected to exceed $50,000 • Guarantees work for awarded Contractor(s) Forum 2003

6. Discretionary Purchases • For service requirements < $50,000 • When < $15,000 • Purchase direct from any pre-qualified Contractor • Between $15,000 and $50,000 • Purchase direct from NYS Small, Minority, or Women Owned Business Contractors OR • Solicit from a minimum of 3 pre-qualified Contractors • Guarantees work for awarded Contractor(s) Forum 2003

7. Another NEW Procurement Option -Why? • Over 570 active contracts as of May 2003 • Hundreds of Contractors pre-qualified for any specific service and category of expertise (380 under Consulting: Application Development-PC) • Agencies may receive over 100 resumes in response to a Fast Track solicitation to fill one IT position Forum 2003

8. Goals and Objectives • Create a new procurement option to streamline the use of the backdrop contracts • Reduce the number of Contractors that agencies must solicit for specific tasks • Reduce the time to conduct the procurement process • Provide a more manageable and controlled process to acquire IT services on an as-needed basis Forum 2003

9. An Overview • What are Multiple Award Standby Agreements (MASA)? • When are MASA the right option? • How are they established? • How do I use them? Forum 2003

10. What Are MASA Awards? • Unique subset of the backdrop contracts established as a result of a Mini-Bid • Minimum of 3 Awards • Work is not guaranteed to all MASA awardees • Tailored to a specific agency’s needs • Assignments are offered to the MASA as they arise during the term of the agreement • Up to 3 year period Forum 2003

11. When Should I Use the MASA Option? • Consulting Services • Based on hourly rates • For agency specific IT Positions • Instructor Led Training • Based on per student rate • For 1, 2, 3, 4, 5 day courses Forum 2003

12. Getting Started • Analyze your anticipated needs • Prior Approval required from the Office for Technology (OFT) since requirements are expected to exceed $50,000 • Recommend discussing with OSC prior to initiating MASA Forum 2003

13. Guide to Creating the MASA Project Definition (PD) • Overview of environment and platforms • List of specific titles mapped to 12 backdrop contract Mandatory Job Titles • Request Best & Final hourly rates for proposed job titles for Consulting or per student rates for Training • Define evaluation criteria; technical and cost • How many contracts and for what duration? • How will the tasks be assigned? Forum 2003

14. A Closer Look……… The Evaluation Criteria – WhatRepresents Best Value? • Overall capabilities and strength of the Contractors • Years in business • Number of full time employees • Depth and breadth of Contractor’s pool of consultants • Scope and experience of Contractor with similar type and scope of services required Forum 2003

15. How Many Awards? • Minimum of three • Maximum? • Enough to meet your needs • Not so many that administration is difficult • One or many types of requirements • Focus on various systems/programs • Focus on skillsets and expertise Forum 2003

16. MASA particulars:Method of Assignment – 4 options • In MASA Project Definition, define the method of assignment (choose only one): Option 1 = Firm that receives the highest “Total Composite Score” will be ranked #1; remaining awards ranked in descending order Option 2 = After “Best Value” evaluation, firm with the lowest cost will be ranked #1; remaining awards ranked in descending order Option 3 = Each time an assignment is issued, all awardees will be offered the opportunity to submit better pricing than original MASA pricing Option 4 = Predominant method is Option 1 or 2 with the ability to use Option 3 for specific circumstances (detailed in the PD) Forum 2003

17. MASA particulars:The Assignment Notification • Use e-mail to send out Assignment Notification • Bidder can respond by e-mail for Options 1 and 2 • Bidder responds by mail for Option 3 and Option 4 when better pricing requested since cost statement must be originally signed Forum 2003

18. MASA particulars:Role of OSC • OSC will pre-audit: • the MASA awards • Option 3 • Option 4 when better pricing is requested • OSC will post audit: • Option 1 • Option 2 Forum 2003

19. MASA particulars:Contractor Performance • Poor Performance by MASA awardee: • Can remove the awardee for the remainder of term • Remaining MASA awardees move up in rank • If remaining MASA awardees can satisfy the needs of agency – leave as is • If replacement is necessary, if within first 12 months • Offer MASA to next ranked bidder • Agrees to go to bottom of ranking • If replacement is necessary, if beyond first 12 months • Cancel all MASA awards and re-issue MASA Project Definition Forum 2003

20. MASA particulars:The Contract Encumbrance Request-AC340 • If Option 1 or Option 2 • The largest percent of funds allocated to #1 ranked firm • If Option 3 • Establish MASA with $0.00 (zero dollars) • Encumber funds as assignments are awarded • Re-allocation of funds • If assignments awarded to other than #1 MASA, disencumber/encumber to transfer funds from #1 MASA to other MASA Forum 2003

21. MASA particulars:Procurement Record & Required Documentation • To establish MASA awards: • Same documentation as is currently required for any formal mini-bid To award Assignments under Options 1 and 2: • Detailed procurement log • If going to other than #1 MASA, explanation of events To award Assignments under Option 3 or Better Pricing under Option 4: • Same documentation as is currently required for any formal mini-bid Forum 2003

22. Make this page a Favorite!! http://www.ogs.state.ny.us/purchase/snt/awardnotes/73012S960275can.htmClick on Guidelines, Forms, Templates for all Procurement Options for details Forum 2003

23. Download Zip File for any Procurement Option Forum 2003

24. PSG ContactsSylvia Casper: E-mail: sylvia.casper@ogs.state.ny.usTeam Leader Telephone # 518-473-8079Rodney Luft: E-mail: rodney.luft@ogs.state.ny.us PO 1 Telephone # 518-486-6836 Cheri McCullough: E-mail: cheri.mccullough@ogs.state.ny.usKeybd Spec1 Telephone # 518-486-2775 Fax # 518-486-6867 • We are here to Help. Forum 2003

25. QUESTIONS? Forum 2003