chapter #3 of nigp-the institute for public procurement ... · then get ready for a great evening...
TRANSCRIPT
1| M i s s o u r i A s s o c i a t i o n o f P u b l i c P u r c h a s i n g
Dear MAPP Members:
I look forward to seeing you at our MAPP Spring Conference on May 13-15
at the University Plaza Hotel and Convention Center in Springfield, MO.
There is an exciting line-up of speakers, in particular, former Police Chief
James Bacon of the City of Nixa. Former Chief Bacon will be discussing
procurement fraud committed by a public works employee who was creat-
ing fictitious companies, invoicing and receiving payments. It should be
very interesting and a great learning opportunity (to catch fraud, not
commit fraud☺).
Just a reminder about the change of governance model with NIGP, moving
away from region representatives. We will now have Chapter Ambassa-
dors and the ambassadors will not be assigned by region, but can run for
these positions from any area. The Chapter Ambassador goes out and
visits with chapters and also speaks at chapter conferences. Ambassador
Applications are due by April 17th. Link to Chapter Ambassador Applica-
t i o n : h t t p : / / w w w . n i g p . o r g / e w e b / d o c s / V o l u n t e e r s /
ChapterAmbassadorFINALJanuary15.pdf
NIGP members will receive an e-mail in the near future on how to vote for
the Ambassadors. The candidate biographies are on the NIGP web site
and we are encouraged to read them prior to voting. As of this writing, I
noticed we have one MAPP member running so far, our own Russell
Pankey, CPPO, CPPB, MAPP Board Member. Be sure to vote!!!
The NIGP Forum this year is in Kansas City, MO August 1 – 5, 2015.
What a great opportunity to attend a national conference. MAPP will have
some scholarship opportunities available (registration fee only) and there
will also be an opportunity to sign up to work 8 hours and receive a re-
duced conference rate. To receive information about volunteering to re-
ceive the reduced rate, contact Cathy Simonds at [email protected].
Please feel free to contact me or any MAPP officer or board member with
new ideas for conferences, any concerns or how you can become more
active in MAPP. We welcome your ideas and feedback.
Sincerely,
Melinda Bobbitt, CPPO, CPPB
MAPP President, 2015
By Melinda Bobbitt, CPPO, CPPB MAPP President, 2015
SPRING UPDATE
President’s Corner
Chapter Member of:
Chapter #3 of NIGP-The Institute for Public Procurement Spring, 2015 Vol. 45, Issue #5
In This Issue...
President’s Corner……………..1
Calendar & Events……………..2
News……………………………...12
Writers: Melinda Bobbitt, Kara Daniel, Cale Turner, and Jim Tillman
We support education as a means to continually furnish excellence in our ranks. We
promote ethical, efficient and cost effective procurement
practices for the promotion of integrity and best value for our
public stakeholders.
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NIGP Procurement Month Events:
From March 1st through March 31st all
NIGP Members who Ngage on Nsite will
be entered into a random drawing to
receive a FREE Apple iPad Mini!
Video Message from NIGP President Don
Buffum—Procurement Month 2015
http://youtu.be/E8JgFH46evk?
list=UUkxiqE6Evk84HD2BbSAkutQ
Calendar & Events
March is Procurement Month! MAPP encourages you and your
entity to celebrate the role you play in public procurement.
From NIGP:
March is Procurement Month. It’s a time to celebrate with pride
the role of the public procurement profession. When we cele-
brate Procurement Month, we acknowledge an elite group of
professionals that have made a difference in governmental effi-
ciency and effectiveness. This month provides the opportunity to
help educate elected officials, administrators, taxpayers and
vendors about the procurement process and the admirable work
you perform every day.
The underlying theme for all activities during Procurement
Month is the promotion and recognition of the field of Public Pro-
curement. Your colleagues have organized everything from offi-
cial government resolutions to playful scavenger hunts, trivia
games, networking games to a chocolate coined crash course in
basic procurement. Please forward event photos, proclamations,
activity descriptions to [email protected]. Enjoy…It’s all about
you!
Procurement Month. March 2014. NIGP: The Institute for Public
Procurement. 9 Feb 2015 http://www.nigp.org/eweb/
Dynamicpage.aspx?webkey=194b85e5-3df7-4ba0-a2b9-
f56ed356ab18
NEWSLETTER ANNOUNCEMENT MAPP is in need of articles for Family Matters, Editorials, and News sections for upcoming Newsletter
issues. Thank you for your support!
Please contact Kara Daniel [email protected], MAPP Newsletter Publisher for more information.
PROCUREMENT MONTH
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Calendar & Events
We have an exciting program planned this year for our Spring in Springfield Annual Conference. We
have planned two and a half days of worth wild training and enjoyable events. The theme this year is
―Procurement: Making a Difference”. It is dedicated to all the public procurement professionals in the
State that “Make a Difference for their Agencies and their Communities. Yes, we REALLY DO MAKE A
DIFFERENCE! In many cases, we are also the ones that “Make IT Happen” through our efforts.
I hope you will join us in this celebration of the State Public Procurement community and the value we
give to our agencies. We have some excellent training sessions planned which are very relevant to the
things we are doing today, or want to do in the future. We also plan to mix this with some enjoyable
networking opportunities in the evenings.
About our Program
We have some dynamic and informative speakers planned for the conference, starting with Tammy
Rimes our Keynote Speaker. If you have not heard Tammy speak before, trust me, you are in for a
treat. For those who have, you know what I mean. Tammy was the Purchasing Agent for the 9 th largest
City in the nation. She talks about ―Taking Your Passion and Creating Your Dream Life”. She will share
with you the 8 steps outlined in her book, ―Drink Fine Wine…Ride Fine Horses – Living the Life of Your
Dreams.”
Last year Tammy was awarded the Carlton N. Parker Award for Outstanding Service which is the most
prestigious award given by the National Procurement Institute for contributions to the public procure-
ment profession. This session is followed up with a real life crime story told by Chief James Bacon. You
will not want to miss this. Could this happen to you ? We will learn firsthand on what can happen in the
procurement process and hopefully some of the signs we can look for to stop it from happening to us.
Please join us at the MAPP Awards luncheon where we recognize the Best of the Best for their contribu-
tions to MAPP and our profession. We also have some excellent breakout sessions planned. Here you
can chose to learn more about procurement fraud through a question and answer session with Chief
Bacon, or learn more about one of the primary tools we use in our profession, Developing Invitation for
Bids, or you may want to know more about talking to the press and difficult audiences by attending Al-
ligator Presentations: How to Speak to Tough Procurement Audiences.
The Entity Breakout sessions are next. The City/County is one group, all State Agencies is another
group, and Educational Institutions is another group. Besides discussing hot procurement topics of each
group, we will be discussing How Procurement Makes a Difference in our Organization. We will also
have a quick recap of highlights in the Breakout sessions.
The next day after breakfast, Darren Henderson will be leading a great session on Vendor Notification
and eProcurement systems. Eric Heaps will then follow discussing the important aspects of online auc-
tions every procurement official needs to know. These sessions give us a great view of the modern day
tools and resources we can utilize to build efficient and effective procurement systems.
MAPP CONFERENCE LETTER By: Jim Tillman, CPPO, CPPB, C.P.M.
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Calendar & Events
About the Reverse Vendor Fair
The Reverse Vendor Fair starts with a Box Lunch with our vendors. The entities will have the tables/
booths and the vendors will do the visiting. This is a great time to meet new vendors and see our old
vendors. Bring lots of business cards. We also have some great workshops for our vendors beginning
with ―Selling to Government‖. This session will help guide vendors on what to look for and expect when
selling to public agencies. Another great workshop during the Reverse Vendor Fair is “How to become
M/WBE Certified”, by Celeste Metcalf who is the Director of the Office of Equal Opportunity. Please plan
on attending our Reverse Vendor Fair.
Then get ready for a great evening social and networking event by joining us for Casino Night. Hor d’oeu-
vres are served and a cash bar is available. This will be great time to have some fun, relax, and unwind,
and also test your luck.
Back to the Conference
On Friday, the last day, we have saved the best for last. Ron Holifield, a former City Manager, will be
discussing Procurement’s Role in being a Servant to the Public. His inspiring message will tell us of the
upcoming challenges and opportunities we have for serving our agencies and communities. Lastly, Jimmy
Kinser will close out the conference with a session on Navigating the Competitive RFP Process. Jimmy
has taught procurement at Missouri State University and is currently a Purchasing Supervisor with City
Utilities of Springfield. Please join us and have some fun learning. We have an excellent Spring Confer-
ence planned. See you there. Learn, Laugh, Cry, and be Thankful
Procurement: Making a Difference (May 13 – May 15, 2015)
Springfield, Missouri
MAPP Conference Letter Continued
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Calendar & Events
University Plaza
333 S. John Q Hammons Pkwy
Springfield, MO 65806
MISSOURI ASSOCIATION OF PUBLIC PURCHASING
2015 SPRING CONFERENCE (May 13 – 15, 2015)
Procurement: Making a Difference
Registration for MAPP Members arriving on Tuesday evening will be held in the hotel lobby Tuesday, May 12, 2015 from 5:00 p.m. — 7:00 p.m.
7:00 a.m. – 8:15 a.m. Breakfast Buffet Illinois 8:15 a.m. – 8:30 a.m. Welcome Session Colorado Welcome Presentation of Colors/Pledge of Allegiance MAPP President: Melinda Bobbitt, CPPO, CPPB
MAPP Conference Chair: Kimberly E. Hopkins-Will, CPPO, CPPB 8:30 a.m. – 10:00 a.m. Keynote Speaker Tammy Rimes Colorado Take your Passion and Create Your Dream Life! 10:00 a.m. – 10:15 a.m. Break Lobby/Ballroom 10:15 a.m. – 11:15 a.m. Speaker Former Police Chief James Bacon Colorado Looking "backwards" at Procurement Fraud 11:15 a.m. – 12:00 p.m. Business Meeting Colorado 12:00 p.m. – 1:30 p.m. Awards Luncheon (Buffet) Illinois 1:30 p.m. – 2:30 p.m. Learning Breakout Sessions Choose to attend one of the following:
Report of Procurement Fraud (continued) Q & A with former Police Chief James Bacon Kansas A
******************************************** Purchasing: Developing Invitation for Bids Speaker Russell Pankey Kansas B ******************************************** Alligator Presentations: How to Speak to Tough Procurement Audiences Speaker Tammy Rimes Kansas C
7:00 – 8:30 a.m.; 9:45 - 10:00 a.m.; 3:15-3:30 p.m. - Conference Registration Lobby/Ballroom
AGENDA MAY 13th (WEDNESDAY) Time Event Location
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Calendar & Events
University Plaza
333 S. John Q Hammons Pkwy
Springfield, MO 65806
MISSOURI ASSOCIATION OF PUBLIC PURCHASING
2015 SPRING CONFERENCE (May 13 – 15, 2015)
Procurement: Making a Difference
2:30 p.m. – 3:30 p.m. Don Buffum, CPPO, NIGP President Do you want a Public Procurement Profession? Are you ready to invest in it? 3:45 p.m. – 4:15 p.m. Entity Breakout Sessions: Question: How does Procurement Make a Difference in your Organization? Choose to attend one of the following: City/County Kansas A Moderator: Russell M. Pankey, CPPO, CPPB Purchasing Manager State Kansas B Moderator: Andrew McNeill, CPPB Senior Procurement Agent
Education Kansas C Moderator: John Hribar, CPPB, Senior Buyer 4:15 p.m. – 4:30 p.m. Break Lobby/Ballroom 4:30 p.m. – 5:00 p.m. Entity Breakout Sessions Recap Colorado 5:00 p.m. – 7:00 p.m. Happy Hour Live Hotel Lobby/Bar University Plaza Mixer. Alcohol and appetizer sampling provided by UP. Cash bar available. Dinner on own. 7:00 p.m. Hospitality Suite (Networking) Poolside Suite 120
AGENDA MAY 13th (WEDNESDAY), CONTINUED Time Event Location
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Calendar & Events
University Plaza
333 S. John Q Hammons Pkwy
Springfield, MO 65806
MISSOURI ASSOCIATION OF PUBLIC PURCHASING
2015 SPRING CONFERENCE (May 13 – 15, 2015)
Procurement: Making a Difference
AGENDA MAY 14TH (THURSDAY) Time Event Location
7:00 a.m. – 8:15 p.m. Conference Registration Lobby/Ballroom
7:00 a.m. -8:15 a.m. Breakfast – on your own Breakfast provided for hotel room guests 8:15 a.m. -9:00 a.m. Speaker Darren Henderson Colorado Vendor Notification Systems and eProcurement Systems 9:15 a.m. – 10:00 a.m. Eric Heaps Colorado Important Aspects of Online Auctions Every Procurement Official Needs to Know 10:15 a.m. – 11:45 a.m. Entity Set Up for Reverse Vendor Fair Kansas/Oklahoma/Illinois 12:00 p.m. – 3:00 p.m. Reverse Vendor Fair Kansas/Oklahoma/Illinois
Box Lunch Provided to Delegates hosting a booth at RVF to represent their agency @ 12:30 p.m.
1:00 p.m. – 1:45 p.m. Vendor Workshop Allen Waldo Arkansas Selling to Government 2:00 p.m. – 2:45 p.m. Vendor Workshop Speaker Celeste Metcalf Arkansas How to become M/WBE certified 3:00 p.m. – 3:30 p.m. Entity Breakdown from RVF 3:45 p.m. – 4:45 p.m. Board Meeting Arkansas 5:30 p.m. – 8:00 p.m. Social Activity (Networking) Illinois Join us for Casino Night hor d’oeuvres provided cash bar available.
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Calendar & Events University Plaza
333 S. John Q Hammons Pkwy
Springfield, MO 65806
MISSOURI ASSOCIATION OF PUBLIC PURCHASING
2015 SPRING CONFERENCE (May 13 – 15, 2015)
Procurement: Making a Difference
AGENDA MAY 15th (FRIDAY) Time Event Location
7:30 a.m. – 8:15 a.m. Conference Registration Lobby/Ballroom
7:00 a.m. – 8:15 a.m. Breakfast – on your own Breakfast provided for hotel room guests 8:15 a.m. – 9:45 a.m. Speaker Ron Holifield Colorado Public Servants Procurement’s Role 9:45 a.m. – 10:00 a.m. Break Lobby/Ballroom 10:00 a.m. – 11:30 a.m. Speaker Jimmy Kinser Colorado Navigating the Competitive RFP Process 11:30 a.m. – 12:00 p.m. Conference Wrap-Up Colorado
www.mappi.org
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Calendar & Events
MAPP Members:
Visit: www.mappi.org to register/download a
registration form!
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Calendar & Events
Cooperative Purchasing Frenzy By Cale Turner, CPPB Purchasing Agent, City of Columbia
In August of 2014, I attended the NIGP Forum in Philadelphia. It was an excellent conference, however
one thing was noticeably different from the last time I attended an NIGP Forum (St. Louis 2009). In
2014, instead of individual vendors hosting booths at the product exposition, it was cooperative entities
hosting ROWS for all their vendors associated with the certain cooperative. Not only were the vendors
selling their product, they were also trying to sell the cooperative they were affiliated with. Every day it
seems like there is a new cooperative popping up, so I went out to the NIGP site to get a better feel for
the cooperative purchasing programs they recognize. Here are the most predominant they have listed:
Buyboard
Capitol Region Purchasing Council (CRPC)
Educational & Institutional Cooperative Purchasing (E&I)
Go Green Communities
H-GAC Cooperative Purchasing Program
Kansas City Regional Purchasing Cooperative (KCRPC)
National Cooperative Purchasing Alliance (NCPA)
National Intergovernmental Purchasing Alliance (National IPA)
National Joint Powers Alliance (NJPA)
Public Sourcing Solutions
The Cooperative Purchasing Network (TCPN)
U.S. Communities Purchasing Alliance
Western States Contracting Alliance (WSCA)
As public buyers, we have all been through the drill with the cooperative entities knocking down our door
to try and get us to utilize their contracts. Often times I am left wondering are we really getting a good
deal or are we just submitting to the hype surrounding some of these entities. I did a little more digging
on the NIGP site and found a position paper on this topic, Cooperative Procurement Great Value (Great
Confusion). The position paper does a good job of identifying the advantages and limitations of coopera-
tive procurement as follows:
Advantages: Cooperative procurement is a form of strategic sourcing. That is, combining or
―aggregating‖ the spend of several public bodies with competitively sourced suppliers to maximize buying
power. Cooperative contracts leverage value-added pricing, vendor service levels, and advantageous
contract terms. Typically, larger entities serve as a lead public body and all participating entities realize
reduced transaction and administrative costs, workload, and processing time. With the large, aggregate
volume represented by the potential users, cooperative contracts provide the governmental purchaser
access to quality products good at competitive, ―most favored‖ prices, while also offering beneficial deliv-
ery and contract terms.
Limitations: The limitations of engaging in cooperative procurement include: contract pricing that may
not be optimal due to the inability of the public body to accurately predict order quantity and timing; less
flexibility in the requirement to conform to the specifications and material terms of the base contract;
possible decline in opportunities for local, small or disadvantaged suppliers; and the temptation to ―shop‖
or be influenced by brand familiarity rather than the product’s inherent capacity to meet the defined re-
quirements. Finally, purchasers may find that a single large purchase by their own entity can be more
aggressively priced than a cooperative contract. For these reasons, market research and due diligence
should be performed, on a case-to-case basis, before deciding to use a cooperative contract.
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Calendar & Events Cooperative Purchasing Frenzy Continued.
The position paper goes on to identify four steps an entity should follow when evaluating cooperative
programs and contracts:
Step 1: Internal Review:
• Assess the impact of using either an independent or aggregator solution for the requirement:
o identify foreseeable demands on procurement operations;
o identify human and budgetary resources available to meet those demands;
o analyze all costs associated with conducting an independent source solicitation;
o analyze all costs associated with using a cooperative solution; and
o evaluate the quality, price, and availability of cooperative contract opportunities for the
requirement.
Step 2: Cooperative Program Review:
• Review a cooperative program’s business model, legal business type and business practices for
compliance with local cooperative purchasing legislation and policy.
• Assess the cooperative program’s ease of use and access; ongoing contract management and
administration practices; regular program and/or contract audits.
• Determine whether the cooperative contract was competitively awarded. (VERY IMPORTANT -
ASK THE QUESTION, YOU WILL BE SURPRISED HOW MANY ARE NOT COMPETITIVELY
BID/AWARDED)
Step 3: Cooperative Contract Review:
• Evaluate whether the use of an aggregator cooperative contract is appropriate:
o compare available cooperative contracts for the required product or service; and
o conduct market research.
• Analyze specifications, price, terms and conditions, and other factors such as:
o contract utilization fees;
o shipping terms;
o distribution availability in your area;
o minimum quantity or spend requirements; and
o volume discounts or rebates
• Review the cooperative contract for conformance with all applicable laws and best practices,
with sensitivity to local preference and Small, Women or Minority-Owned Business Enterprise pro-
grams.
• Determine whether the requirement is consistent with the material terms of the contract and the
scope of the contract award.
• If any additional local terms and conditions are required, ensure they do not conflict with the
scope of the contract award, and incorporate them through an addendum or purchase order prop-
erly approved by both parties.
• Contact the cooperative lead government agency to verify contract application and eligibility.
Step 4: Fiduciary Responsibility and Contract Compliance:
• Regularly audit invoices to ensure pricing and specification compliance with the cooperative con
tract, notifying supplier of any discrepancy.
• Notify lead agency and cooperative program representatives of any ongoing supplier deficiencies
or contract discrepancies.
To conclude, the decision to use a cooperative solution should reflect a deliberate assessment of cus-
tomer needs, competition, contract pricing and terms, and compliance with all the entities relevant stat-
utes/ordinances. Expediency alone is a flawed rationale. As public buyers, we must utilize this tool in a
manner that optimizes its best attributes and not mistakenly assume it is ―the right tool for every job.‖
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2015 MAPP Board Swearing In
News
Communications Chair – The MAPP Board would like to announce the appointment of
City of Springfield (MO) Buyer Kara Daniel to the position of Communication Chair. Previ-
ous communication chair Amy Robbins has accepted a new position with the University of
Missouri and resigned from her board position to fulfill her new duties. MAPP would like to
thank Amy for her contributions over the years to MAPP and her hard work spent on the
Newsletter. Congratulations Amy on your new position!
Program Chair – City of Springfield (MO) Purchasing Agent Jim Tillman, CPPO, CPPB,
C.P.M. has accepted a new position with the Broward County Purchasing Dept. in Fort
Lauderdale, FL. MAPP would like to thank Jim for his contributions to the MAPP over the
years and his dedication to planning the spring conference. Congratulations Jim on your
new position! City Utilities of Springfield (MO) Buyer Kimberly Hopkins-Will CPPO,
CPPB (currently serving as Continuing Education/Scholarship Chair) will fill the current un-
expired term through the spring conference. Kim will be charged with finalizing the plans
for the 2015 Spring Conference and Reverse Vendor Fair.
Program Chair – The MAPP Board would also like to announce the appointment of City of
Independence (MO) Purchasing Manager Russell Pankey, CPPO, CPPB, as the new Pro-
gram Chair for MAPP for 2016. Welcome to the board!
PLEASE JOIN US IN SENDING WELL WISHES TO BOTH AMY AND JIM IN THEIR
NEW ENDEAVORS AND WELCOMING OUR NEW BOARD MEMBER RUSS!
MAPP Board Member Updates
Photo submitted by MAPP Board. Pictured from left to right: Melinda Bobbitt, MAPP
President, Wade McDonald, MPA, Public Affairs/Research and Specifications Chair, John
Hribar, CPPB, Vice-President, Russell Pankey, CPPO, CPPB, Program Chair