Restructured Higher Education Act 2005
The Restructured Higher Education Financial and Administrative Operations Act of
2005 (Restructuring Act) provided public colleges and universities with more
operational and administrative autonomy in exchange for a renewed commitment
to their public missions.
Higher Ed committed to 12 state goals – “state asks” – by formal resolution in 2005:
• Access
• Affordability
• Academic offerings
• Academic standards
• Student progress and success
• Articulation and dual enrollment
• Economic development
• Research
• Enhancing K12
• Six-year plans
• Finance and administrative
• Campus safety and security
Restructured Higher Ed Act
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Institutions are classified into one of three levels of financial and administrative
operational authority. All institutions enter Level I receive minimum operational
authority.
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Level II criteria were established by the 2008 General Assembly. Level II institutions
receive additional authority in two of three areas – capital outlay, information
technology, and procurement. Institutions enter Level II through a “memorandum
of understanding” with the Governor and, respective cabinet Secretaries.
MOU’s signed with: GMU, JMU, ODU, RU and VMI in 2008, and in subsequent
years with LU, CNU and VCCS (the later two form technology and capital outlay)
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Level III- The highest level of financial and administrative operational authority is
granted through a “management agreement” between the institution’s Board of
Visitors, the Governor, and the General Assembly. Level III institutions have
operational authority in the areas of capital outlay, information technology,
procurement, human resources, and finance.
Master Agreements signed with: CWM, UVA, VT in 2006, and VCU in 2008.
UMW Timeline
• April 2008
• February 2010
DPS Procurement Review.
DPS Interim Review.
“It is recommended that UMW evaluate the level of staffing for the procurement workload”
• November 2011
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August 2012
October 2012
February 2013
April 2013
July 2013
October 2013
Requested/Received $100 K delegated
authority for goods
DPS Review
UMW received satisfactory rating
Request full delegated authority from DPS
UMW granted full delegated authority
with BOV approval, initiated MOU’s
received approval for Tier II status
UMW Journey to Tier II
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Developed Contract Administration training and certification
Quality Assurance: surveys, web forms, enhanced contract renewal process
Launched Procurement Services-administered SPCC cardholder annual training in UMW Global
Monitor/ Track demonstrated savings
Recognized as a leader within state for liberal use of new “reverse auction” method of procurement
Practice opportunity seeking to identify new contracting opportunity
Utilized statewide cooperative contracts where practical
Department Buyers fully certified Virginia Contracting Officer, or higher
Achieved full delegated authority from DGS/DPS
Collaboration with IT for an efficient procurement path for IT purchases
Tracking departmental savings impact, over $660,000. in FY13
Marketbasket comparisons for certain commodities
Realigned staff to assign speciality commodities/major categories
Instituted “fresh eyes” contract review for internal control purposes
Electronic signature procedure
Established small purchase procedures for non-construction professional services
Revised protocol for subcontracting report submissions on contracts over $100K
Improved contract tracking to include sole source and cooperative contracts
Instituted “sweep” notification to assist users meet spcc sign-off timeline
Added online forms/reporting for buyer and vendor surveys
Edited certain standard forms w/ AG input for accuracy
Greater focus on Supplier Diversity efforts
August 2012 DPS Review of 527 Transactions
Governing Rules
• Farewell :
-Agency Procurement and Surplus Property Manual (for
non construction procurement)
-Commonwealth of VA Vendor’s Manual
-Sections of VPPA (for non construction purchases)
• Welcome:
-Rules Governing Procurement of Goods, Services, Insurance
and Construction by a Public Institution of Higher Education of the
COV, Chpt. 4.10 of Title 23 Code of VA
-Purchasing Manual for Institutions of Higher Education and
their Vendors
Competition is the Priority
To the end that the Institution shall obtain high quality goods and services at
reasonable cost, that all procurement procedures be conducted in an open, fair and
impartial manner with avoidance of any impropriety or appearance of impropriety,
that all qualified vendors have access to the Institution's business and that no
offeror be arbitrarily or capriciously excluded, it is the intent of the governing body
of the Institution that competition be sought to the maximum feasible degree, that
procurement procedures involve openness and administrative efficiency,
that individual public bodies enjoy broad flexibility in fashioning details of such
competition, that the rules governing contract awards be made clear in advance of
the competition, that specifications reflect the procurement needs of the
purchasing body rather than being drawn to favor a particular vendor, and that the
purchaser and vendor freely exchange information concerning what is sought to be
procured and what is offered. The Institution may consider best value concepts
when procuring goods and nonprofessional services, but not construction or
professional services. Professional services will be procured using a qualification-based
selection process. The criteria, factors, and basis for consideration of best value and
the process for the consideration of best value shall be as stated in the
procurement solicitation.
Initial Impact
• Non Technology Purchases of Goods/Services
- UMW can exercise cooperative agreements without DPS
approval loop
- No longer required to use mandatory contracts (although
encouraged where feasible)
- Initial changes: VIB / spcc 5 day rule
- Training for Procurement Staff, review/revise documentation
• Technology – VITA approvals no longer required