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Robert Combs Presentation on Procurement - 5-12-09
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Robert Combs Presentation on Procurement - 5-12-09

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Transcript

  • 1. Invitation for Bid ● Goods and services. ● Formal solicitation with specifications. ● Award to low responsive, responsible bidder. ● May include options to renew, price adjustments.
  • 2. Request for Proposal
    • ● Not for routine goods and services, but allowed. More complex acquisitions.
    • ● Evaluate and award on a points matrix
    • Cost………………. . . . . . . 25 points
    • Experience…………….. . . 25 points
    • Delivery / completion……..30 points
    • Training…………………… 20 points
    • Total
  • 3. RFP Evaluation
    • ● Suggest minimum of three on panel;
    • Purchasing, operating dept., other dept.
    • ● Individuals evaluate, total scores.
    • ● Skewed scores merit discussion.
    • ● May award on first evaluation.
  • 4. RFP Evaluation / Negotiation
    • ● If many offerors, pick top 3 – 5 and request
    • Best and Final Offer (BAFO).
    • ● Negotiate with top rated offeror. Everything is negotiable.
    • ● Negotiations successful? Award.
    • ● Not successful? Try next best vendor.
  • 5. Request for Qualifications and Experience (aka SOQs)
    • ● Generally for Professional Services:
    • Engineers, architects, financial service providers, medical personnel, clergy, surveyors, auditors, computer,
    • Attorneys?
    • ● Seeking best qualified and experienced for the task.
    • ● Select best qualified / experienced, then negotiate cost.
    • ● Negotiations successful? Award.
    • ● Not successful? Try next best provider.
  • 6. Direct Select Method
    • ● Generally for consultants and professional service providers.
    • ● Allowed in COC Ordinance # 287, App. A
    • ● Generally a good practice for low cost projects, to achieve standardization, avoid re-learning a project.
    • ● Suggest competition for lower cost on large projects.
  • 7. Request for Information
    • ● Does not result in an award.
    • ● Enables City to gather industry expertise.
    • ● May become basis for a future bid specification or Scope of Work.
    • ● Generates industry interest. Industry is usually happy to cooperate.
    • ● Free, valuable advice!
  • 8. Local Vendor Preference
    • ● Previously declared unconstitutional in Arizona courts.
    • ● AZ Attorney General on school districts: “violates affirmative duty to get the best return for public funds”
    • ● Federal Guidelines (Circular A-102) prohibit preference using grant funds.
  • 9. Local Vendor Preference
    • ● Alternatives:
    • ▶ Vendor outreach program. Generate local interest.
    • ▶ Require at least two local vendor quotes.
    • ▶ City of Goodyear approach: consider sales tax in total of vendor’s bid. Not a preference, but a consideration of total cost and best value.
    • ● Preference Pitfalls:
    • ▶ may discourage competitive bids.
    • ▶ may result in higher bids.
    • ▶ may frustrate staff.
  • 10. Cooperative Purchasing
    • ● Savings generated via volume buying power.
    • ● Save by avoiding the advertisement, bid, evaluation, award process. Create faster delivery for customers.
    • ● Many local, state and national co-ops available: SPO, ADOT, Mohave, GPPCS, U.S. Communities, NACO, BuyBoard, HGAC, TCPN, 1122 Federal program (PD and emergency equip.)
    • ● May also co-op with other entities if agreement has co-op language and similar acquisition.
    • ● Be a lead agency on cooperative purchases.
  • 11. Questions?
    • [email_address]
    • 480-782-2403