Purchasing Directors’ Meeting
February 19, 2009
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
2
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
3
S.B. 44A (Renegotiation Portion)
Excerpts from S.B. 44A:
…review existing and proposed contracts for the purpose of reducing
contract payments; authorizing agencies to renegotiate contracts;…
Section 1. Notwithstanding any provision of law to the contrary, each
state agency shall review existing and proposed contracts with private
providers and public-private providers in an effort to reduce contract
payments. It is the statewide goal to achieve substantial savings;
however, it is the intent of the Legislature that the level and quality of
services not be affected. Each agency may renegotiate contracts
consistent with this section. The Legislature intends that its substantive
and fiscal committees will review the results of this effort and the
effectiveness of each agency in meeting the goal. This section expires
July 1, 2009.
4
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
5
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
6
Chapter 287, Florida Statutes
Negotiation Process
Quick Look at Invitations
to Negotiate
287.057(3)(a), F.S.
• If an ITB or RFP won’t result in best value, ITN can be used.
• Agency must explain why negotiation may be necessary in order
for the state to achieve the best value.
• Evaluate and rank and then select which to commence
negotiations.
• Award the contract to the responsible and responsive vendor that
the agency determines will provide the best value to the state.
• Award memo - file must contain a short plain statement that
explains the basis for vendor selection and sets forth the vendor's
deliverables and price, and why this vendor offers the best value.
Definition of “Best Value”
287.012(4), Florida Statutes:
(4) "Best value" means the
highest overall value to the
state based on objective factors
that include, but are not limited
to, price, quality, design, and
workmanship.
Procurement Timeline
Bid Development
1 – 12+ months
Competitive Bid
2 – 4+ months
Protest
2 – 4+ months
Relationship Between the ITN, Negotiations
and the Contract
ITN
Contract
Manager
Contract
Negotiation
Observations regarding ITN Negotiations
• Style of Negotiations May Vary
• Concurrent vs. Serial Negotiations
– What does the ITN say?
• Form and Substance
• Flexibility
• Think on Your Feet
The First Negotiation Session
•
•
•
•
•
Introduction
Best value
Expectations
Initial Issue Identification
Concerns
– 119
– 286
• Presentation
• Q&A / Preliminary Negotiations
After the first round…
• Email or other written verification or resolution of
issues
• Subsequent negotiations (in person or telephonic)
– Recorded in full
• Best and final offer
• Memo
Goal:
Achieve the “best value” for the
state.
Related Issues
287.057(17)(b), Florida Statutes
• Certified Negotiator
• Project Management Professional
Public Meetings and Public Records Issues
• Temporary Rebid Exemption
• Trade Secret and Confidential Information
• Recording Negotiations
Final Thoughts
• Ask questions
• Ask for clarification
• Get it in writing (and make sure it ends up
in the final contract)
• Clearly resolve issues and move on to
remaining ones
• Price / BAFO
• Public Meetings - final, fact finding,
strategy (Silver Express)
Disclaimer
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
23
Purchasing Directors’ Meeting
February 19, 2009
•
•
Agenda
Introduction – 44A (Renegotiation Portion)
– State Term Contract for Paper
•
Gwenn Godfrey, Chief, Bureau of General Services,
Florida Department of Environmental Protection
– Renegotiation of Contracts at FDEP
• Tony Garcia, Departmental Purchasing Director,
Department of Management Services
– Renegotiation of Contracts in Departmental Purchasing at DMS
– Negotiation Strategies and Tactics
•
Charles Covington – Hot Topics
•
Reminder About Next Meeting Date
24
Purchasing Directors’ Meeting
February 19, 2009
Next Meeting
March 19, 2009
2:00 – 4:00 pm
25