Purchasing Directors’ Meeting April 16, 2009

1. Purchasing Directors’ Meeting April 16, 2009

2. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

3. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

4. Purchasing Directors’ MeetingApril 16, 2009 “Doing The Right Thing!”

5. Purchasing Directors’ MeetingApril 16, 2009 Mission Statement: RESPECT of Florida facilitates the placement of individuals with disabilities in competitive employment, using all methods of employment and training to achieve that end. Vision Statement:Individuals with disabilities are enabled by RESPECT of Florida to achieve self-determined competitive employment.

6. Purchasing Directors’ MeetingApril 16, 2009 • RESPECT is a preferential purchasing program established by the Florida Legislature in 1974 through Chapter 413.032-413.037, Florida Statutes. • RESPECT encourages and assists individuals who have severe disabilities to achieve independence through useful, productive, and gainful employment by assuring an expanded and constant market for the products and services they provide.

7. Purchasing Directors’ MeetingApril 16, 2009 • RESPECT is an example of privatized government – no direct state funding is involved. • Funds are generated through the provision of products & services. • Employing people with disabilities reduces their dependency on state tax dollars. • Jobs include electronic assembly, call centers, office work, grounds maintenance, janitorial, packaging, document management & parking meter services.

8. Purchasing Directors’ MeetingApril 16, 2009 • In FY 2007-2008, 44 nonprofit agencies participated in the RESPECT program. • More than 1,350 individuals with severe disabilities were employed last fiscal year. • Respect assists employment centers in the development of new products and services. RESPECT Call Center Creating job opportunities for individuals withdisabilities –

9. Purchasing Directors’ MeetingApril 16, 2009 • RESPECT provides employment opportunities for individuals with severe disabilities who are transitioning to competitive employment. • Movement from RESPECT employment centers to the competitive market is a valued program goal. • RESPECT creates meaningful employment for individuals with severe disabilities when competitive employment is not an immediately viable alternative. Keeping Florida’s Rest Areas Rated #1 In the Country

10. Purchasing Directors’ MeetingApril 16, 2009 BENEFITS OF CONTRACTING WITH RESPECT • Saves time and money by exemption from the competitive bid process • Guaranteed quality service • Limits exposure to low bid, non-performance contractors • Provides you with the ability to negotiate price and specifications • Annual renewals based upon your satisfaction • Assistance in developing scope of service • Reduces contract monitoring, allowing you to focus on other priorities

11. Purchasing Directors’ MeetingApril 16, 2009 • Government saved an estimated $1.1 million in reduced direct subsidies and supports to people with disabilities who were, instead, working in the RESPECT program, in 1997 according to research conducted by A. Stephen Hill & Associates.

12. Meet Eric. He lives independently to pay his own bills.  He is dependable, responsible, and dedicated to his job. As a member of Pine Castle's Self Advocacy Group and Trinity Baptist Church, Eric plays an active part in his community.  Eric has participated in the Pine Castle Adult Day Training Program for more than five years and was recently honored as the RESPECT employee of the year for products.  Many adults who participate in Pine Castle's Adult Day Training Program live alone, like Eric.  Whether they live independently or not, many individuals with developmental or aquired disabilities lack access to health services focused on their unique needs.  Diagnosed with type 2 diabetes in 2008, Eric now monitors his own glucose levels and diet, thanks to a grant from Baptist Health and the encouragement of the nurse at Pine Castle. The Baptist Health grant helped establish the on-site wellness clinic that provides free physical wellness assessments and provides medical management for Eric and other participants in Pine Castle's Adult Day Training Program.

13. Purchasing Directors’ MeetingApril 16, 2009 Purchasing RESPECT products and services Helping RESPECT identify new products and service opportunities Reporting any problems to RESPECT Sharing this information with others Embracing the spirit of Chapter 413, F.S. PARTNER WITH RESPECT TO EMPLOY PEOPLE WITH DISABILITIES BY:

14. Purchasing Directors’ MeetingApril 16, 2009 • Ordering online is easy! Visit www.respectofflorida.org and register your free purchasing account today. • Quality Products • Personal Service • Purchases made by youmake a difference in thelives of individuals withdisabilities!

15. Purchasing Directors’ MeetingApril 16, 2009 • Ordering through RESPECT offers all the amenities of online shopping: • Simple & easyregistration • Email order confirmation • Tracking of shipment • Wide selection of qualityproducts for a great price!

16. Purchasing Directors’ MeetingApril 16, 2009 “Doing The Right Thing!”

17. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

18. Implementation of The American Recovery and Reinvestment Act of 2009 Overview and Introduction April 2009 www.flarecovery.com

19. The American Recovery and Reinvestment Act of 2009Purposes (1) To preserve and create jobs and promote economic recovery. (2) To assist those most impacted by the recession. (3) To provide investments needed to increase economic efficiency by spurring technological advances in science and health. (4) To invest in transportation, environmental protection, and other infrastructure that will provide long-term economic benefits. (5) To stabilize State and local government budgets, in order to minimize and avoid reductions in essential services and counterproductive State and local tax increases. 19

20. OrganizingThe Task The People • Chief Inspector General • Agency Inspectors • General • Director of Open • Government • Chief Financial Officer • Auditor General • Office of Program • Policy Analysis & • Government • Accountability The Governor Working Group Core Team Fiscal Integrity Transparency & Accountability Implementation Team • Agencies • Office of Policy and • Budget • Florida’s Washington • Office • Local Government • Other Stakeholders 20

21. Overview of the Act Division A Appropriation Provisions Division B Tax, Unemployment, Health, State Fiscal Relief, and Other Provisions House Ways and Means Committee House and Senate Appropriations Committees House Energy and Commerce Committee Senate Finance Committee 21

22. Division A Appropriation Provisions • TITLE XII—TRANSPORTATION, HOUSING AND URBAN • DEVELOPMENT, AND RELATED AGENCIES • TITLE XIII—HEALTH INFORMATION TECHNOLOGY • TITLE XIV—STATE FISCAL STABILIZATION FUND • TITLE XV—ACCOUNTABILITY AND TRANSPARENCY • TITLE XVI—GENERAL PROVISIONS—THIS ACT • TITLE I—AGRICULTURE, RURAL DEVELOPMENT, FOOD AND DRUG ADMINISTRATION, AND RELATED AGENCIES • TITLE II—COMMERCE, JUSTICE, SCIENCE, AND RELATED AGENCIES • TITLE III—DEPARTMENT OF DEFENSE • TITLE IV—ENERGY AND WATER DEVELOPMENT • TITLE V—FINANCIAL SERVICES AND GENERAL GOVERNMENT • TITLE VI—DEPARTMENT OF HOMELAND SECURITY • TITLE VII—INTERIOR, ENVIRONMENT, AND RELATED AGENCIES • TITLE VIII—DEPARTMENTS OF LABOR, HEALTH AND HUMAN SERVICES, AND EDUCATION, AND RELATED AGENCIES • TITLE IX—LEGISLATIVE BRANCH • TITLE X—MILITARY CONSTRUCTION AND VETERANS AFFAIRS AND RELATED AGENCIES • TITLE XI—STATE, FOREIGN OPERATIONS, AND RELATED PROGRAMS Division B Tax, Unemployment, Health, State Fiscal Relief, and Other Provisions • TITLE I—TAX PROVISIONS • TITLE II—ASSISTANCE FOR UNEMPLOYED WORKERS AND STRUGGLING FAMILIES • TITLE III—PREMIUM ASSISTANCE FOR COBRA BENEFITS • TITLE IV—MEDICARE AND MEDICAID HEALTH INFORMATION TECHNOLOGY; MISCELLANEOUS MEDICARE PROVISIONS • TITLE V—STATE FISCAL RELIEF • TITLE VI—BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM • TITLE VII—LIMITS ON EXECUTIVE COMPENSATION 22

23. Funding from Recovery ActOver $13.7 BillionDoes not include competitive grants $3.57 B $392.5 M $4.37 B $200 M $1.88 B $33 M $86 M $2.71 B * FMAP is the Federal Medicaid Assistance Percentage (the percentage of federal matching funds) 23 Note: fiscal year amounts may change during appropriations process

24. How Recovery Act Funds Flow Federal Agencies Local Government State Legislature Community Agencies & Businesses Floridians State Agencies 24

25. Funding SummaryDoes not include competitive grants 25

26. Getting the Word Out AboutProcurements Using ARRA $$ • FBO.gov(Federal Business Opportunities) • FlaRecovery.com – As announcements? • MyFloridaMarketplace.com – How to identify? • Other ways? We need your input - 26

27. Division A Appropriation Provisions • TITLE XII—TRANSPORTATION, HOUSING AND URBAN • DEVELOPMENT, AND RELATED AGENCIES • TITLE XIII—HEALTH INFORMATION TECHNOLOGY • TITLE XIV—STATE FISCAL STABILIZATION FUND • TITLE XV—ACCOUNTABILITY AND TRANSPARENCY • TITLE XVI—GENERAL PROVISIONS—THIS ACT Unprecedented level of transparency on expenditures and results. • TITLE I—AGRICULTURE, RURAL DEVELOPMENT, FOOD AND DRUG ADMINISTRATION, AND RELATED AGENCIES • TITLE II—COMMERCE, JUSTICE, SCIENCE, AND RELATED AGENCIES • TITLE III—DEPARTMENT OF DEFENSE • TITLE IV—ENERGY AND WATER DEVELOPMENT • TITLE V—FINANCIAL SERVICES AND GENERAL GOVERNMENT • TITLE VI—DEPARTMENT OF HOMELAND SECURITY • TITLE VII—INTERIOR, ENVIRONMENT, AND RELATED AGENCIES • TITLE VIII—DEPARTMENTS OF LABOR, HEALTH AND HUMAN SERVICES, AND EDUCATION, AND RELATED AGENCIES • TITLE IX—LEGISLATIVE BRANCH • TITLE X—MILITARY CONSTRUCTION AND VETERANS AFFAIRS AND RELATED AGENCIES • TITLE XI—STATE, FOREIGN OPERATIONS, AND RELATED PROGRAMS Division B Tax, Unemployment, Health, State Fiscal Relief, and Other Provisions • TITLE I—TAX PROVISIONS • TITLE II—ASSISTANCE FOR UNEMPLOYED WORKERS AND STRUGGLING FAMILIES • TITLE III—PREMIUM ASSISTANCE FOR COBRA BENEFITS • TITLE IV—MEDICARE AND MEDICAID HEALTH INFORMATION TECHNOLOGY; MISCELLANEOUS MEDICARE PROVISIONS • TITLE V—STATE FISCAL RELIEF • TITLE VI—BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM • TITLE VII—LIMITS ON EXECUTIVE COMPENSATION 27

28. Accountability and Transparency • Transparency and Oversight Requirements • Certifications for infrastructure investments • Reporting requirements on all recipients of funds (other than individuals) • Review by CBO and GAO • Reviews by Federal Inspectors General • Recovery Accountability and Transparency Board • Recovery Independent Advisory Panel 28

29. Chief Inspector GeneralSection 14.32. Florida Statutes • Oversee Accountability Efforts for Governor • Convened Team of Agency Inspectors General • Coordinating with Auditor General and other key accountability officials such as CFO 29

30. Office of Open GovernmentJoAnn Carrin, Director 30

31. GAO Oversight • The U.S. Government Accountability Office (GAO) has been given oversight responsibility by the Congress. • GAO has selected 16 states, including Florida, for special focus during implementation of the Recovery Act. 31

32. GAO Reports(from Title IX of the Act) SEC. 901. GOVERNMENT ACCOUNTABILITY OFFICE REVIEWS AND REPORTS… • IN GENERAL.—The Comptroller General shall conduct bimonthly reviews and prepare reports on such reviews on the use by selected States and localities of funds made available in this Act. Such reports, along with any audits conducted by the Comptroller General of such funds, shall be posted on the Internet and linked to the website established under this Act by the Recovery Accountability and Transparency Board. From GAO staff based on their entrance meetings Reporting Objectives (for GAO’s 1st bimonthly report). (1). How are states and localities planning to spend Recovery Act funds and ensure that such spending is consistent with the stated purposes of the Act? (2). What up-front safeguards (i.e., before the money is spent) as well as ongoing monitoring, audits, and evaluations do the selected states and localities have or are putting in place to guard against mismanagement and waste, fraud, and abuse? (3). What are the selected states and localities reported uses and plans to evaluate the impact of the funds they have received to date? (4). What improvements, if any, could be made to OMB’s guidance to states and local government to make it more clear and complete? 32

33. Timeline for Further Guidance • 2/18/09 – Initial implementing guidance issued by OMB • 4/1/09 – Standard reporting data elements issued by OMB • 4/3/09 –Updated implementing guidance issued by OMB • Includes intent to provide reporting system for use by all recipients • 4/17/09 – Comments from states to OMB re guidance (general) • 5/1/09 – Comments from states to OMB re reporting data elements • October 10, 2009 – First quarterly report due from recipients (in this case covering all expenditures through 9/30/09) • OER, OPB, CFO, Inspectors General, auditors, et al – develop Florida tracking and reporting mechanisms

34. Tracking the $$$$$ Federal Agencies Local Government State Legislature Community Agencies & Businesses GAA or LBC Floridians State Agencies Special Categories - ______ - American Recovery and Reinvestment Act of 2009 34

35. Florida Office of Economic Recovery – 1604 The Capitol 850-487-7914 Don Winstead, Special Advisor to the Governor for Implementation 850-488-5228, don.winstead@laspbs.state.fl.us Linda Fuchs, 850-487-8165, linda.fuchs@laspbs.state.fl.us Karen Zeiler, 850-414-5059, karen.zeiler@laspbs.state.fl.us www.FlaRecovery.com 35

36. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

37. Commodity Sourcing & Contracting BureauContract Updates • Contract Renewals • Tires (through June 30) • Contract Expirations • Dietary Supplements (expires June 26) • Solicitations in Progress • Medium & Heavy Trucks (launched April 6) • Solicitations in Development • Security Officer Services • Tires • Construction, Industrial, Agricultural & Lawn Equipment • Gasoline & Fuel Oil

38. Commodity Sourcing & Contracting BureauActivity Updates Team 1 – Energy & Transportation Team • Motor Vehicles: removed Caruso Dodge from 91 awards. Replaced 87 items with awards to Beck Auto Sales, Maroone Chrysler-Jeep, and Maroone Dodge. • Construction Equipment: rejected price increase requests. Team 2 – Furnishings & Institutional Supplies • Lawn Equipment: short term renewal through August 16, 2009. • Dietary Supplements: updated contractors (Nestle purchased Novartis). No pricing changes, but some product name changes. • Carpet: finalizing next action recommendation. • Air Conditioners: finalizing next action recommendation.

39. Commodity Sourcing & Contracting BureauActivity Updates Team 3 – MRO & Law Enforcement • Finalizing next action recommendations for : Tools, Lawn Care Services, and X-ray & Metal Detectors. • Uniforms: researching options for next action. Customer survey closes April 17. • WSCA MRO: added testing equipment to the MRO agreement. • Drug Screening Services: category survey closes April 30. Team 7 – SPAs and Special Projects • Water and Ice for Emergency Operations: finalizing next action recommendations. • Tissues & Towels: researching options for next action. • Medical & Dental Supplies: latex gloves pricing issues with American Medical Depot. Both contracting bureaus are coordinating response and resolution.

40. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

41. Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau - Contract Updates • Contract Renewals • Multi-Function Copier Devices (see comment below) • Management Consulting Services (recommendation pending) • New Contracts • Microsoft Licensing (LAR) – Software House International • Lori Potts 487-4196 • Solicitations in Development • Client/Server Software • Printing and Multi-Function Copying Devices • IT Consulting Services • Rental Vehicles to include Auto and Truck Rentals • Mail Services (Mail Room) • Quick Copy to Replace SPA • P-Card Services (David Bennett to lead procurement)

42. Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau - Activity Updates Team 4 – Information Technology and Telecommunications • Under negotiations with mainframe software providers • Team 4 will handle IT consulting (will launch very soon) Team 5 – Office Equipment and Services • Evaluating four new library materials vendors • Finalizing negotiations with FedEx for lower rates than current WSCA agreement Team 6 – Property Insurance & Program Services • Interviewing candidates for both analyst positions • Contact Allison Norman until hires are announced 488-7996

43. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

44. Governance • Vendor complaint about MFMP providing competing vendor’s quote • Reminder - the MFMP system automatically defaults to including any attachments uploaded into the system on the purchase order, which is then sent to the vendor • If you do not want all attachments included on the purchase order, “uncheck” the box labeled “include comment/attachment(s) on purchase orders” in MFMP • The checkbox is available on each separate comment/attachment box in order to include some attachments while not including others • Public Records concerns

45. Governance • Legislative update: • Session concludes May 1 • Analyzed 23 bills so far • Overview of purchasing-related bills that passed at the next Purchasing Director’s meeting

46. Purchasing Directors’ MeetingApril 16, 2009 • Agenda • RESPECT – Scott Gaedtke, Executive Director • Spending Stimulus Project – Linda Fuchs, EOG/Florida Office of Economic Recovery • Commodity Sourcing and Contracting Bureau • Technology, Office Equipment and Special Programs Sourcing and Contracting Bureau • Governance • MFMP • Reminder About Next Meeting Date

47. MFMP ― Year-End Review • Delay Purchase Until Orders should be completely approved in MFMP one day prior to FLAIR going down. This should be June 26 or 29 but will be confirmed once DFS issues their Agency Addressed Memo for Fiscal Year Closeout which should be available by the first part of May. • Last year, MFMP was taken down on July 1to complete the “Certified Forward” and “Delay Purchase Until” process • Customers were notified of the system’s availability through e-mail communications • 61% fewer transactions needed manual intervention than in previous years • The 387 transactions needing manual intervention were resolved by July 3, whereas in previous years they took approximately a week

48. MFMP ― Year-End Review • Improvements were made to the MFMP Certify Forward program that processes the DFS Certify Forward file resulting in a reduction of overall run time for that batch program from eight hours to under two hours (32,095 requisition line items were processed in less than two hours compared to 30,324 in eight hours the previous year). • We would like to repeat the process again this year, taking MFMP down on July 1, 2009. • The planning phase of the year-end process began in March, three months prior to the end of the fiscal year • Internal meetings • Updated communications • Weekly monitoring and tracking of the number of delayed purchase orders with a “hold until” date of 7/1/2008

49. MFMP ― Year-End Review • MFMP year-end activities began at 7:00 PM on the night of 6/30/2008 • 12:15 AM - Process held approvables (unencumbered delayed purchase orders) executes generating 2,076 unencumbered orders • 5:00 AM – MFMP Certify Forward process executes updating 32,095 requisition line items in less than two hours (compared to 30,324 in eight hours the previous year) • 6:30 AM – Phase 1 of 3 of the MFMP Hold Until process is launched • 8:31 AM – Phase 2 of 3 of the MFMP Hold Until process is launched • 4:50 PM – Phases 1 and 2 of the MFMP Hold Until process complete sending 10,843 line items to FLAIR • 5:05 PM – Phase 3 of the MFMP Hold Until process is launched • 9:00 PM – Phase 3 of the MFMP Hold Until process is completed generating 6,477 orders within MFMP with a 94% success rate • 10:00 PM – Maintenance window removed allowing users back into the MFMP system

50. MFMP ― Punch-Out Catalogs We currently have the following punch-out catalogs available with others currently in development: • Office Depot • Grainger (both hand tools and WSCA) • Fisher Scientific • Dell – PC’s, laptops and monitors • Dell – Network Infrastructure • HP • Lenovo • VF Imagewear • Most of these vendors eInvoice; however, in order to utilize their eInvoice capabilities you must complete your purchase through the punch-out catalog • Punch-out demo: Invoice vs. eInvoice demo