How to Do Business with Private & Public Colleges and Universities

1. New Jersey Higher Education Purchasing Association Disadvantage Business Development FairJune 17, 2009 How to Do Business with Private & Public Colleges and Universities

2. WELCOME   The members of NJHEPA are grateful for the opportunity to meet with and to share information that may prove helpful in your quest to do business with the various institutions.  Our members consist of both public and private institutions of Higher Education.  While there are differences in the methods that business may be conducted within the various institutions, each institution has a fiduciary responsibility to the faculty, staff, students, and our taxpayers to provide the best service at the best price. Public institutions are governed by State regulations, but we are semi-autonomous.   Our members who are private institutions, while not governed by the State of NJ are governed by their internal regulations, which in many respects mirror those of the public sector.  I think we speak for all of our members when we say that each institution is committed to attracting qualified disadvantaged companies into our growing ranks of vendors; providing opportunities and support.  It is our hope and intention to help you grow in size, profit from the experience both in the business sense and in profit (not too much profit) and therefore provide additional employment opportunities within your communities. And that ladies and gentlemen is the purpose of this Fair.

3. NJHEPA Members • Public Universities & Colleges • Kean University • Montclair State University • New Jersey City University • New Jersey Institute of Technology • Ramapo College • Rutgers, The State University • The College of New Jersey • Thomas Edison State College • William Paterson University • Richard Stockton College • Private Universities & Colleges • Monmouth University • Princeton University • Rider University • Seton Hall University

4. NJHEPA Doing Business with a Public University Prepared By: • Lirse P. Jones – Director of Purchasing William Paterson University • Christine Palma – Associate Director of Procurement Services Montclair State University

5. NJHEPA Disadvantaged Business Development Fair • All Public Universities are: • Exempt from NJ Sales Tax on products and services • Subject to the State College Contracts Law • Publicly Advertised Bids • Public Works Contractors • Prevailing Wage

6. NJHEPA Disadvantaged Business Development Fair • Eligibility to Conduct Business with William Paterson University and Montclair State University applies to most if not all public institutions. Private institutions are not required to meet the listed eligibility requirements, but have their own requirements based on the individual institution. • With the exception of those companies that are banned, barred or suspended from doing business in the state by the State of New Jersey or by the Universities, all companies are eligible to do business with the Universities. Corporations incorporated out of the State of New Jersey must file a Certificate of Authority with the Secretary of State, Department of State.

7. NJHEPA Disadvantaged Business Development Fair • All public Colleges and Universities are agencies of the State of New Jersey. Autonomous in many respects, they must comply with statutes and regulations of the State in its purchasing functions. Purchasing Offices have been authorized to conduct and conclude bidding, negotiations concerning prices and conditions of purchase. • Invoicing: Each College or University is solely responsible for cost that it incurs and has its own Accounts Payable Department. All invoices should be sent to Accounts Payable, not the ordering department. • All vendors providing goods or services should only do so after receiving a purchase order issued by the Purchasing office. Payment can not be guaranteed without a valid purchase order.

8. NJHEPA Disadvantaged Business Development Fair Methods of Purchasing at WPU: • The University generally uses four methods to procure goods and services: • Orders under $5,600 are generally not required to be bid, but can be issued directly to vendors via a purchase order. Departments must obtain competitive prices. • Orders $5,600 up to $9,000 require either verbal or written quotes. Written quotes are required if the value is more than $9,000 but less than $28,300. The issuance of a purchase order authorizes the award of the order. • Orders $28,300 and above are publicly advertised in the Star Ledger. Bidding opportunities are also listed on the State Procurement website: https://www6.state.nj.us/OEG BUISOPP/bo/searchBusinessOpportunities.do. • All State Agencies and Departments post their advertised bids on the State website. • The issuance of a purchase order authorizes the award of the order. • As a state agency the University may, at its discretion, use those contracts entered into by the State of New Jersey or Government Service Administration. By using state and GSA contracts the University is not required to bid for those items listed in the various contracts. • Construction projects are generally processed through the Office of Capital Planning Design and Construction.

9. NJHEPPA Disadvantaged Business Development Fair Methods of Purchasing at MSU: • The University generally uses four methods to procure goods and services: • Orders under $5,660 are generally not required to be bid, but can be issued directly to vendors via a purchase order or a p-card. Departments must obtain competitive prices. • Orders $5,660 and up require written quotes. Departments must obtain competitive prices. The issuance of a purchase order authorizes the award of the order. • Orders $28,300 and above are publicly advertised in the Star Ledger. Bidding opportunities are also listed on the Procurement Services web site: http://www.montclair.edu/procurement/ • The issuance of a purchase order authorizes the award of the order. • As a state agency the University may, at its discretion, use those contracts entered into by the State of New Jersey or Government Service Administration . By using State and GSA contracts, the University is not required to bid for those items listed in the various contracts.

10. NJHEPA Disadvantaged Business Development Fair 1.Public Bid Process: All bids are advertised in the Star Ledger and/or Bergen Record and are listed on the State website: www.newjerseybusiness.gov/opportunities 2. Bid Response: Bid documents state time and place of public bid opening. Must be date stamped in the purchasing office before or at the time indicated on bid. Bid documents that are in the mailroom or in transit, at the time of the bid opening, will not be considered. Last day for questions. Response date and time: Don’t be late. Forms that are required include: Stockholder disclosure, bid and/or performance bonds, Non Collusion Affidavit, BRC, PL 2005 – Chapter 51, Affirmative Action Certificate and signed proposal form. 3. Questions: All questions must be in writing & faxed to purchasing office. No phone calls. 4. Contract Award: State Contract Contracts Law, P.L. 1986, c.43 (C:18:64-52) Goods and services to the responsible bidder whose bid, conforming to the invitation for bids, will be most advantageous to the State college price and other factors considered. Construction - Lowest responsible bidder, whose bid, conforming to the invitation for bids, will be the most advantageous to the State college.

11. NJHEPA Disadvantaged Business Development Fair • Companies doing business with the University must comply with all state regulations. Three recent regulations: • Public Law 2005, Chapter 51 (Formerly Executive Order 134) and Executive Order 117. • Executive Order No. 129 (Out Sourcing) • Business Registration Certification: The University must have on file a copy of your certificate, where the value of any single order or cumulative orders exceeds $4,245 annually. The states website to register for the certificate is: http://www.state.nj.us/treasury/revenue/taxreg.htm

12. - NJHEPA Disadvantaged Business Development Fair • NJ Business Registration Certificate

13. NJHEPA Disadvantaged Business Development Fair - • Public Law 2005, Chapter 51 (formerly EO 134) & Executive Order 117: • Effective October 15, 2004 businesses or individuals cannot be issued contracts, purchase orders, or payments where the value of any single order or cumulative orders exceeds $17,500 or more annually, if that business entity or individual has made political contributions of $300 or more to a gubernatorial candidate’s campaign. • Companies reaching this threshold are required to complete certain documents that are returned to purchasing and purchasing forwards to NJ Department of Treasury. Please visit the state website for details: http://www.state.nj.us/treasury/purchase/execorder134.htm#state • Executive Order No. 129 (Out Sourcing) • Disclose Country where services are performed • No award with services outside the US • Exclusions: • Unique service • Significant and Substantial economic cost factor • NJ Treasurer determines in the best interest of the Public

14. NJHEPA Disadvantaged Business Development Fair • Executive Order 34 established within the Office of Economic Growth a Division of Minority and Women Business Development. The purpose of the Division shall be to administer and monitor policies, practices, and programs that will further the State’s effort to ensure equal opportunity for minority and women owned business enterprises. • To provide opportunity the State has established a website listing all bidding opportunities: www.newjerseybusiness.gov/opportunities.

15. NJHEPPA Disadvantaged Business Development Fair • Construction Projects: • Construction projects are generally processed through the Office of Capital Planning Design and Construction at William Paterson University. • Construction projects are processed through Procurement Services at Montclair State University. • Contractor Requirements: • Must be a Registered Public Works Contractor in NJ at the time of bid • Must be a NJ Registered Business at the time of bid • Must comply with Executive Order No. 129 (regarding foreign goods and services) • Must comply with P.L. 2005, Chapter 51 (regarding political contributions) and EO 117.

16. NJHEPA Disadvantaged Business Development Fair • Bid Requirements for Construction Projects: • Signed Proposal Form • Bid Security (bond or check) 10% of bid • Agreement of Surety (performance & material bonds) • NJ State Business Registration • Public Works Contractor Registration • All other forms required for a public bid

17. NJ HEPA Disadvantaged Business Development Fair • How to become a Registered Public Works Contractor: • Complete the State Application (http://www.state.nj.us/labor/lsse/forms/lsse-2.pdf) • Pay the appropriate fee • Submit the completed application to: • NJ DIVISION OF WAGE AND HOUR COMPLIANCE, CONTRACTOR REGISTRATION SECTION PHONE (609) 292-9464 FAX (609) 633-8591

18. William Paterson UniversitySmall Business Procurement EXPO Capital Planning Design and Construction

19. Montclair State University NJHEPA Disadvantaged Business DevelopmentFair A listing of the members of NJHEPA can be found at: http://www.njhepa.org/roster.htm

20. Doing Business with a Private University By: Don Kuhrt, RPA, FMA, SMA Seton Hall University Don.kuhrt@shu.edu

21. Methods of Purchasing at Seton Hall • Purchasing at Seton Hall is a decentralized process– purchases under $10,000.00 are usually procured through the user department after obtaining a minimum of 2 bids. The procurement office will become involved if a purchase order is required to confirm the actual purchase. • The department can also utilize a Procurement Card for purchases up to $1,000.00 or $2,500.00 depending on the signature authority of the cardholder. • All purchases of goods or services (with or without a contract or lease) greater than $10,000.00 must have at least 2 written bids. • All purchases greater than $25,000.00 must have a minimum of 3 written bids.

22. Procurements Mission • The mission of the Procurement Department is to maintain vendor relations and to assure maximum service at a fair cost to Seton Hall when purchasing goods and services for the University.

23. Purchase of Specific Commodities • The Facilities Management Department – procures Construction, Architect & Engineering Design Services, Utilities i.e. electric and natural gas and other services. • Human Resources Department – procures Employee Benefits i.e. Health Insurance etc. • The Compliance Office – Risk Management • University Council – Legal Services • University Library & Law Library – procure Library Books • IT – Procures software and hardware. Please contact the Procurement Department by “e” mail with additional questions.

24. Preferred Vendors • The University will bestow preferred vendor status upon a vendor as a result of winning a bid. This status is accomplished through the RFP process on an “as needed basis”. • These RFPs tend to be high dollar, multi year agreements (i.e. office supply’s, copiers, furniture, AV equipment etc. ) • Bidding by the department can be waived if the item / service being obtained is from a preferred vendor or a sole source vendor.

25. Purchase Order Process • The originating department will initiate a Purchase Requisition and attach the vendor quotes to the document. • Procurement will verify the approval signatures and budget balance. • If the purchase requisition is accepted? The Procurement Department will place the order with the vendor by either faxing or “e” mailing a copy of the purchase order.

26. Additional Information on Seton Hall University • Can be located at www.shu.edu • Click on “Offices and Services” at the top of the page. • Scroll down to Procurement and click on this to see our policies and procedures. THANK YOU FOR ATTENDING TODAYS FAIR!