purchasing directors’ meeting august 23, 2007. 2 agenda bureau a update bureau b update...

Purchasing Directors’ MeetingAugust 23, 2007

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• Agenda• Bureau A Update• Bureau B Update• MyFloridaMarketPlace Update• MyGreenFlorida Update-EO 07-126• Next Meeting-Thursday October 18, 2007

Purchasing Directors’ MeetingAugust 23, 2007 Agenda

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Purchasing Directors’ MeetingBureau A Update

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• Team 1, Transportation & Energy– Christopher Walker: Motor Vehicles Contract Strategy

• Team 2, Institutional Furnishings & Supplies

• Team 3, MRO & Law Enforcement

• Team 7, SPA & Special Programs– GSA Disaster Recovery Purchasing Program

Bureau A Contract and Project Updates

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Fuel Card: (David Bennett)– Working with TransMontaigne to negotiate discounts for Aviation

fuel. Working with Comdata to create a fleet maintenance reporting system. Working with Comdata to convert DOT fueling sites.

ESCO ITN and New Program: (David Bennett)– Extended the Current ESCO contract to 12/31/07. Working with

DFS and Facilities to create new ESCO contract and Program.

Propane (Liquefied Petroleum Gas): (David Bennett)– Expires 10/31/07. Solicitation was launched in late July.

Responses are due on 8/28/07. Construction, Industrial & Agricultural Equipment: (Christopher

Walker)– Launched ITB 06/25/07; 17 responses were received. Anticipate

new contract in September.

Team 1 UpdatesTransportation & Energy

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Executive Order 07-126

Team 1 is working with DEP and DMS Fleet on threeinitiatives:

1. Approve new vehicles with the greatest fuel efficiency in a given class.

2. Use biodiesel and ethanol fuels when locally available.

3. Determine feasibility of opening state-owned alternative fuel facilities to public and private fleets.


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Motor Vehicles Contract Strategy

• Historic Strategy/Process– Segmented Contracts– Single Award per Specification– Variable Specifications

• Future Strategy/Process– Consolidated Contract(s)– Single Award by Representative Model per Specification– Standardized Specifications– New Naming, Commodity Codes, and Structure Possible– Benefits!

• Efficient Specifications Development and Evaluation Allowing Timely Contracts• Increased Vendor Participation & Increased Competition• More “Green” Vehicles/Options• Increased Choices to Meet your Intended Needs


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Office Furniture & Files: (Brenda Wells)– Reviewed applications from 40 manufacturers for

addition to contract. We expect to post intended awards in September.

Carpet & Installed Flooring: (Brenda Wells)– Reviewing manufacturers for addition to contract.

Expect adjustments in October.

Floor Maintenance Machines: (Mina Barekat)– Expires November 2007. We are recommending

renewal.

Team 2 UpdatesFurnishings & Institutional Supplies

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Hot Topics:

• Welcome Lori Potts!

Purchasing Specialist

921-2520

Team 2 UpdatesFurnishings & Institutional Supplies

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NY H.I.R.E. (ACS): (Mark Lovell)– We will be transitioning management of this contract to

Donna Smith, Team 7.

MRO: (Chuck Beall)– Expires in November. We have recommended renewal.

Next action will be finalized and posted shortly.

Generators: (Chuck Beall)– Preparing follow-up survey to respondents from initial

survey.

Team 3 UpdatesMRO & Law Enforcement

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Emergency Notification Pilot Project: (Donna Smith)– Working with Division of Emergency Management

SPAs in progress: (Gary McGee)– Communication Towers, Maintenance & Repair– Detention Equipment– Portable Air Conditioners

Team 7 UpdatesSPA & Special Services

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Mobile Shredding Services - ACS

• DOR contract• Gary McGee will

manage the ACS.• Now available on the

State Purchasing web site.

Contractor ACS #Accu-Shred A100H

Cintas Corporation

A100D

Gilmore Services A100E

Hill’s Shred Express

A100B

Progressive Document Destruction

A100F

Secure Document Destruction

A100A

Secure On-Site Shredding

A100C

Shredquick, Inc. A100G


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Hot Topics:

• Employment Opportunity

Purchasing Specialist position

Open until filled – contact Ellen Potts for details.


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GSA Disaster Recovery Purchasingwww.gsa.gov/disasterrecovery

• Section 833 of the John Warner National Defense Authorization Act for fiscal year 2007 (Public Law 109-364)

• Opens all GSA Schedules to state and local governments

to facilitate recovery from a major disaster, terrorism, or nuclear, biological, chemical, or radiological attack.

• Intent of this program is to speed recovery from a disaster,

including advance purchases of items necessary within 72 hours after the disaster.


http://www.gsa.gov/disasterrecovery

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Advantages

• Nation-wide vendor base– Access to vendors outside of the disaster area

– Access to multiple vendors per supply or service

• Pre-negotiated contracts save time for items rarely purchased, or purchased only in disaster recovery efforts.

• Vendors are required to accept P-cards for orders up to the micro-purchase threshold.


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Considerations

• Random pricing samples indicate savings of 5-20% on emergency related items.

• Only 61% of GSA vendors have agreed to service the Disaster Recovery program.

• You’ll be competing against FEMA.• GSA vendors have 5 days to accept or reject an order.

– P-card orders must be declined within 24 hours.• GSA does recommend a best value three quote system

– Survey at least three Schedule contractors through the online shopping service GSA Advantage!® or review the catalogs or pricelists of at least three Schedule contractors, and seek additional price reductions where appropriate;


https://www.gsaadvantage.gov/

https://www.gsaadvantage.gov/

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Major Consideration

Advance Purchasing Program:

• Normal purchasing procedures will apply – STCs will take precedence, quote processes, other agency procedures, etc.

• GSA will not monitor purchases, but FEMA can audit your purchases as part of the reimbursement process.

• No clear guidelines in Section 833 nor are there clear expectations from FEMA.

• State Purchasing will have no role in determining whether your advanced purchase may meet FEMA expectations.

• Agencies will assume all risk related to advance purchases.


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Next Steps

• GSA presentation at the Tallahassee NIGP Purchasing Conference– Monday, August 27 at 3:30 PM or– Tuesday, August 28 at 10:45 AM

• Review the GSA Disaster Recovery FAQs

• Agency feedback & ACS [email protected]


mailto:[email protected]

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Purchasing Directors’ MeetingBureau B Update

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Jeff Rackley – Lead Purchasing [email protected]

Jon Yeaton – Purchasing [email protected]

Thomas Ashby – Purchasing Specialist414-6131

[email protected]

Team 4 UpdatesIT & Telecommunications




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• Live Scan Electronic Fingerprint Stations– Negotiations/Presentations have been delayed until Sept.

• U.S. Communities Technology Solutions and Products contracts with GTSI – Only for items and services not already on STCMaintenance is available on GTSI as well. (Handout)

• Verizon Wireless State Term Contract was recently renewed with a 5% reduction based on the PPI. Rate is now .057 per minute. Reminder: Text messaging is not included in base fees unless a bolt-on is used. Data Plan does not include text message.

Bolt–On Per additional Text 100 $2.99 $.02 For Inbound 250 $4.99 $.10 For Outbound1000 $9.992500 $19.99

Team 4 UpdatesIT & Telecommunications

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Earl CamposPurchasing Analyst, Lead Starts 3/16/07Tel: 850.487.6592Email: [email protected]

Fran ShewanPurchasing AnalystTel: 850.488.4946Email: [email protected]

Beverly ButlerPurchasing Specialist Tel: 850.414.6740Email: [email protected]

Team 5

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Air Travel Contract• City Pairs ITB bids opened 8/22/08: No Bids were received.• Outcome of this bid will dictate the approach to travel in general.

DFS is willing to work with us on utilizing a more modern and cost effective approach, possibly online travel services or a bundled service through a full service travel company.

Avis Contract• Negotiating Adding GPS devices to Contract.• In discussion with Avis on compliance with the recent Executive

Order.

Pharmaceuticals • Earl Campos

Team 5 Contract Updates

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New Changes that have occurred:

Prime Vendor Contract 268-000-98-2 ended 8/1/07

MMCAP Contract 268-000-04-1 is currently in effect

What Does This Mean For Agencies?

– Cardinal is still the distributor for pharmaceuticals

– Agencies will realize savings when invoices are paid quickly

– There are a number of Agencies that need to reconcile their invoices with the former Prime Vendor Contract

– State spend is approaching $207 million

– Agencies can sign up for EDI and have invoices paid within 15 days

Team 5 UpdatesPharmaceuticals

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Terms to Know:• EDI – Electronic Data Interchange• DSO – Days Since Order

Contact Jay Francis - Florida MMCAP Coordinator at 850/922.4627x129 [email protected] if you have any questions about the Contract or setting up EDI

Team 5 UpdatesPharmaceuticals

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Ommet Mbiza – 488-7804 – [email protected]

• Promoted to Team Lead

Michael Bailey – 487-0417 – [email protected]

• Promoted to Analyst over Property Insurance, PRIDE and RESPECT contracts

Specialist Position – Candidates currently being interviewed.

Team 6 UpdatesSpecial Programs



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• Computer Assisted Legal Research – renewed for one year

• Purchasing Card Services – Re-procurement based on ASPIRE project suspension – Estimated release of ITN January 08

• Aviation Insurance Contract – Answers to Q&A posted 8/22 bids are due 8/31

• Boiler and Machinery Policy and Auto Policies are up for renewal in September

Team 6 UpdatesSpecial Programs

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Purchasing Directors’ MeetingMyFloridaMarketPlace Update

MyFloridaMarketPlace

State Purchasing Director Meeting

August 23, 2007

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MyFloridaMarketPlace Activity Review

• User Queue Analysis – Change Request #32

• “A” Encumbrance Update

• Failed Purchase Order notification

• Catalog Enablement

• Shared Resource Center (SRC) Move

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MFMP User Queue Analysis – Change Request 32

• Change Review Board Update– Focus for Q1 is the ‘User Queue Report’ enhancement

– Design Approval team approved the design of the report. The report provides insight into the time it takes individual approvers in a workflow to approve system transactions (i.e., Master Agreement Requests, Requisitions, and Invoice Reconciliations)

– The report also categorizes workflow approval times into:• Agency approval time• FLAIR approval time• Audit approval time

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MFMP User Queue Analysis – Change Request 32

Requisition Approval by Agency and Approver

Number of Days to ApproveAgency Approver Type User Approvable 0 1 2 3 4 … TotalTotal 3 1 1 1 2 8

Departmental of Management Services 2 1 1 1 1 6Agency Approver 1 1 1 1 1 5

John 1 1 2PR111111 1 1PR333333 1 1

Jeff 1 1PR333333 1 1

Dan 1 1PR111111 1 1

Brandon 1 1PR111111 1 1

FLAIR Approver 1 1FLAIR 1 1

PR111111 1 1

Data: Avg approval time

• This mock-up provides a ‘general’ sense of what the report will look like

• Note: There will be additional day range columns. Specifically, the Design Approval Team finalized on the following day ranges for columns: 0, 1, 2, 3, 4, 5, 6-8, 9-12, 13-14, and >14

SAMPLE

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MFMP “A” Encumbrance Update

• Agency Address Memo (DRAFT):

FLAIR EDITS FOR MYFLORIDAMARKETPLACE (MFMP) TRANSACTIONS

Effective August 31, 2007, edits will be reinstalled in FLAIR that will prohibit updating encumbrances or payables originating in MyFloridaMarketPlace directly thru FLAIR. These edits were in place until July of last year when they were temporarily suspended due to certified forward problems experienced by some agencies.

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• Impacts of activity in FLAIR against MFMP initiated POs:

– General loss of tracking in MFMP: If changes are made directly to an encumbrance file in FLAIR that information will not be tracked in MFMP.

– Change Order Issues:

• Encumbrance amounts will be impacted: MFMP keeps a "running total" of the encumbrance amount. If a change is made directly in FLAIR, that change does not get accounted for in MFMP. When a change order is initiated and a transaction is sent to FLAIR, MFMP will always try to make encumbrance balances in the two systems match

• Encumbrance transaction may fail: When a change order is submitted to FLAIR, if the matching encumbrance is not found, the transaction will fail.

• Accounting information will be corrupted: If accounting information associated to an encumbrance is changed directly in FLAIR and a user later creates a change order, the change order will overwrite the accounting changes made directly in FLAIR.

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• Potential Disbursement Processing Impacts:– MFMP invoice transactions may fail if the encumbrance has been

released in FLAIR but not recorded in MFMP by processing an IR. The interface will fail and the invoice payment cannot be completed from MFMP.

– Accounting information can be corrupted: The accounting information in MFMP “trumps” the FLAIR file.

• Impairs Reconciliation with FLAIR: With users having the ability to change encumbrance information in both FLAIR and MFMP it prevents encumbrance reconciliation between FLAIR and MFMP.

• Perpetuates inconsistent payment and accounting practices among agencies

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MFMP Failed Purchase Order Notification

• The Customer Service Desk (CSD) identifies purchase orders failed to be sent to the vendor due to problems with the vendor’s contact information (email, phone, fax)

• The CSD will view the vendor contact information and attempt to send via an alternative method (e.g. if previously fax, they will try e-mail, etc.). Unless the vendor has already been flagged for having Invalid Data (ID) the CSD will attempt to send the order via fax or e-mail.

• If the order is still unsuccessfully sent, they will attempt to contact the vendor by phone and get current information from them, send the order and update the vendor’s information in Vendor Registration. – The agency will only receive notification that the purchase order has been

sent successfully if the purchase order had attachments. The agency will be notified in this communication to send the attachments directly to the vendor as they are unable to. NOTE: if there are no attachments then the agency is never notified.

• If, however, the CSD has not been able to contact the vendor the vendor will be marked with Invalid Data and the month and year this is effective. Ex: Geyer Painting Inc. ID: 08/07(001_Geyer Painting Inc. Tallahassee) .

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• The agency is then notified of the unsuccessful transmission of the purchase order and the CSD will cease attempting to contact the vendor to get the purchase order successfully sent.

• The agency is asked to assist in reaching out to the vendor to get them to update their information in Vendor Registration. While the agency can continue to use this vendor, unless the vendor’s information is updated, the purchase orders will continue to fail and the CSD is not required to assist in the transmission of the purchase order.

• An amended process is in development and will be provided to the Change Review Board (CRB) on August 30, 2007.

• A report request has been submitted to capture and report the failed purchase order information and make this available to the agencies. The fields may change dependent upon the CRB vote.

• We need the agencies assistance in reaching out to their vendors and asking them to update their vendor registration information.

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• FAILED PURCHASE ORDERS (Report Request)– Report Purpose: Assist the agencies in knowing what purchase

orders are failing to get to the vendor and why. What the time frame is from the point of failure to the time the agency has been notified the purchase order has successfully been sent.

– Report Fields: • Agency Name • Date PO failed to send

• OBO • Reason PO failed to send

• Vendor FEID • Date successfully sent to the vendor

• PUI • Method successfully sent to the vendor

• Vendor Name • Date agency notified

• DO #

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MFMP Line Item Catalog Enablement Completed

• Mail Processing equipment (Contract Number: 600-760-07-1) – Leasing– Supplies

• Body Armor contract (Contract Number: 680-850-05-1): 8 out of the 10 catalogs loaded as line item

• PRIDE contracts (9 of 11) – Office Furniture (Contract Number: 425-001-05-P)– Metal Lockers (Contract Number: 425-540-95-P)– Cleaning Chemicals & Supplies (Contract Number: 485-000-06-P)– Shelving Metal (Contract Number: 450-130-96-P)– Fencing (Contract Number: 535-000-00-P)– Signage (Contract Number: 550-000-00-P)– Traffic Paint (Contract Number: 630-550-97-P)– Park Furniture (Contract Number: 650-000-98-P)– Mattresses (Contract Number: 850-500-95-P)

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MFMP Line Item/Punchout Catalog Enablement In Progress

• Punchout activities:– VF Imagewear Punchout

– Identification of additional punchout site candidates

• Line Item Catalog Enablement:

– Detention Clothing (Contract Number: 200-050-06-P)- Targeted for next month

– Body Armor contract (Contract Number: 680-850-05-1): Currently working with Gator Hawk Armor, Inc. and Protective Apparel Corporation of America to load their contracts into MFMP

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MFMP Shared Resource Center Move

• MFMP hardware and operations relocating to DMS Shared Resource Center• Relocation will occur 9/14 – 9/16• Testing involves performance, data migration, and functional verifications• Schedule of events:

– 9/14/07 6:00 PM Eastern: MFMP Shutdown– 9/14/07 6:00 PM – 9/16/07 8:00 AM Easter: Server relocation, configuration and

testing– 9/16/07 8:00 AM – 2:00 PM Eastern: Functional verification– 9/16/07 7:00 PM Eastern: Go/No go for production– 9/17/07 7:00 AM Eastern: MFMP return to production

• Communications will be distributed at key points during the weekend• Contingency plan for Monday, 9/17/07 will follow the upgrade approach

– In the unlikely event additional time is needed, Monday will be used – At 2:00 PM Eastern, if conditions persist, MFMP will revert back to Miami Data

Center

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Purchasing Directors’ MeetingMyGreenFlorida Update-EO 07-126

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Governor Crist’s recent Executive Order has committed Florida to becoming a leader in reducing Greenhouse Gas emissions.

Governor’s Justification for EO 07-126• Florida’s 1,350 miles of coastline make it more vulnerable to rising ocean levels and

violent weather• Global climate change is one of the most important issues facing State of Florida this

century• Florida has committed to becoming a leader in reducing greenhouse gas (GHG) emissions

which are changing Earth’s climate (targeting 10% reduction of current emissions by 2012 and 40% by 2025)

• Immediate actions are available and required to reduce GHG emissions in Florida• Florida’s state government is largest employer in Florida, spends more than $1 billion in

annual commodity purchases, and has 16.8 million square feet of office space statewide• Florida state government must led by example in the fight against global climate change

by reducing GHG emissions and demonstrating the economic value of such reductions (e.g., returns to taxpayers through reduced energy costs)

Source: Governor Crist’s Executive Order 07-126, dated July 13, 2007

Executive Order 07-126 Background

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The Governor directed his agencies to undertake several immediate actions...

Source: Governor Crist’s Executive Order 07-126, dated July 13, 2007

Segment Directive Due Date Status

State Purchasing

Develop the Florida Climate Friendly Products List 10/1/07 Started

Incorporate best possible environmental performance in Rental Vehicles STC Started

General

Conduct GHG emissions assessment (for both facilities and fleets) 10/1/07 Started

Incorporate energy consumption and GHG emissions as performance criteria in outsourcing projects business cases

Started

Facilities

Adopt US Green Building Council’s LEED standards (NC and EB) Done

Enter into new leases with Energy Star rated facilities

Develop energy conservation measures and guidelines for facilities Started

Develop and implement a model solar project

Contract with only DEP Green Lodging certified meeting facilities 1/1/08 Started

Fleet

Certify that all vehicles are meeting maintenance schedules 8/13/07 Done

Provide inventory of alternative motor vehicle fueling facilities 10/1/07 Ready

Approve only new vehicles with the greatest fuel efficiency in class

Use biodiesel and ethanol fuels when locally available

Determine feasibility of opening state-owned alternative fuel facilities to private fleet / public

… and encouraged all non-Governor’s agencies to implement these actions to help reduce State Government’s GHG emissions.

Executive Order 07-126 Requirements

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DMS and DEP have formed a project team to address EO 07-126 requirements.

Selected Completed Activities• Developed a detailed project workplan, stakeholders map and communication plan• Conducted initial meetings with key stakeholders to engage their support in addressing EO 07-

126 requirements• Confirmed Greenhouse Gas (GHG) Protocol templates for building the Carbon Scorecard and

collected centrally available fleet and facility data• Worked with DEP to develop assessment criteria to determine existing green standards (e.g.,

Energy Star, Green Seal) can be used by vendors to certify their products as green• Developed and kicked off process with DMS State Purchasing to confirm applicable green

standards for their managed categories and then identify current State Term Contract items that qualify as green (building the Florida Climate Friendly Product List)

• Determined needed enhancements to MyFloridaMarketPlace and Aravo content management tool to accommodate flagging green products / vendors

Andrew CollinsDEP Senior

Executive Assistant

Roz IngramDMS Fleet Division

Director

Dean IzzoDMS Facilities

Division Director

Charles CovingtonState Purchasing

Director

Josh YaffinEO 07-126

Project DirectorJim Bard

MFMP

Jan DeLaneyDEP Environmental

Manager

Executive Order 07-126 Project Team

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DMS and DEP are coordinating the required development of the Florida Governmental Carbon Scorecard for the Governor’s agencies.

Activity Owner

8/1

3/2

00

7

8/2

0/2

00

7

8/2

7/2

00

7

9/3

/2007

9/1

0/2

00

7

9/1

7/2

00

7

9/2

4/2

00

7

10/1

/200

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Confirm specific GHG Protocol templates and required activity data needed to create Scorecard

DEP / DMS

Request and compile activity data from central fleet and facility databases

DEP / DMS

Send compiled data to agencies for validation and completion of missing data

DEP / DMS

Review data and make any corrections to fleet data in EMIS and provide any missing / corrected facility data to DMS

Governor's Agencies

Based on updated fleet and facility data, build Scorecard and submit to Governor’s Office

DEP / DMS

Missing data or that agencies may need to address could include:• Total square footage and occupancy type of any leased fixed space over 3,000 square feet

that the agency directly manages but that is not in FACT (if any)• Electricity usage (in kWh) between July 2006 and June 2007 for state-owned or leased

fixed space that the agency directly manages and pays for electricity (if any)• Fleet fuel usage not previously entered into EMIS for July 2006 and June 2007 time period• Critical fleet information data in EMIS (e.g., fuel type) and FACT (e.g., square footage,

occupancy type)

Developing Carbon Scorecard

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DMS will work closely with DEP to confirm green product standards and then use the approved standards to identify qualifying STC products by end of September.

Consolidate Green Items

into FCFPL and Send to

Governor’s Office

Identify STC Items

that Meet Approved

Green Standards

Determine Green

Standards for

STC Items

DMS Purchasing

Teams

STC Vendors

• Work with vendors to identify / confirm appropriate independent green standards for specific category (e.g., Energy Star, Green Seal)

• Using Aravo tool, request vendors identify current STC catalog items that meet approved green standards and validate recycled item flags

• Facilitate review of standards with DEP. Purchasing Teams are requested to submit proposed standards to Jim Bard as soon as available

• Provide report of green flagged items to Charles Covington for submission to Governor’s Office as the Florida Climate Friendly Products List

Aug 20 – Sep 7 Sep 10 – Sep 21 Sep 24 – Sep 28

MFMP

• Provide input to PA/PS on appropriate green standards for category

• Within Aravo tool, identify current STC items that meet approved green standards and indicate which standard (new fields). Validate recycle flags on catalogs.

DEP • Review and approve standards

Building the Florida Climate Friendly Product List

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To support the consistent and justifiable identification, evaluation and approval of green standards across all categories, DEP has identified four assessment criteria that all standards must meet in order to be approved.

Assessment Criteria for Green Standards Definition

Rating Independence / Enforcement Organization that issues and governs the standard is deemed impartial and independent from the products and vendors being reviewed

3rd Party or Buyer Verifiable DMS, DEP, buyers and public have access to a list of certified products to verify vendors’ claims of meeting standard

Geographically Applicable The standard is relevant to products and services being purchased from vendors in the State of Florida

Reasonable to Deploy Adopting and utilizing the standard in Florida is workable for the vendors, buyers and the State from a process and usability perspective

Assessment Criteria for Green Standards

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Conduct Pilot and

Gather Feedback

DMS State Purchasing will also pilot flagging the identified green items and vendors in MFMP to help users find and select green products and to streamline the ongoing maintenance of the Florida Climate Friendly Products List.

Flag Green Items and

Vendors in MFMP

DMS Purchasing

Teams

MFMP

• Work with STC vendors and MFMP to have green items / vendors flagged in MFMP catalog / vendor punchout site

• Develop process to identify green products to non-MFMP users

• Issue communication to MFMP users about green flag and collect user feedback

• Develop and execute reports

Sep 24 – Oct 26 Oct 29 – Dec 28

• Assist in getting green items / vendors flagged in MFMP catalog

STC Vendors

• Work with DMS and MFMP to have green items / vendors flagged in MFMP catalog / vendor punchout site

• Execute process to identify green products to non-MFMP users

MyGreenFlorida Pilot Approach

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purchasing directors’ meeting august 23, 2007. 2 agenda bureau a update bureau b update...

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