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DMB, Acquisition Services Doing Business with Michigan Services Sean L. Carlson, Director of Acquisition Services Kristi Thompson, Services Division Director

DMB, Acquisition Services Doing Business with Michigan Services Sean L. Carlson, Director of Acquisition Services Kristi Thompson, Services Division Director

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DMB, Acquisition Services

Doing Business with Michigan

ServicesSean L. Carlson, Director of Acquisition Services

Kristi Thompson, Services Division Director

Doing Business with Michigan

ServicesSean L. Carlson, Director of Acquisition Services

Kristi Thompson, Services Division Director

DMB, Acquisition Services

Great time to work with state government

Reforming the way we do business is exciting

Innovative purchasing programs make doing business with Michigan advantageous for vendors

New Approach to Contracting allows for greater access through regionalization

MiDEAL – Michigan Delivering Extended Agreements Locally – allows local units of government to purchase off of state contracts. Instead of one client, vendors have access to thousands.

Acquisition Services

DMB, Acquisition Services

Headlines reflect the strengthsDetroit News – March 9, 2005 Editorial “Ending No Bid Contracts Will Save Taxpayer Dollars”Governing Magazine – February, 2005 Grading the States Issue cited Michigan’s contracting and purchasing as a strength for the state. The study, by the Government Performance Project, states “A distinctive feature of Michigan’s procurement and contracting procedures is its emphasis on ethics…”

Acquisition Services

DMB, Acquisition Services

Acquisition Services

Handle Solicitations for Goods and Services on Behalf of State Agencies

General RuleContracts valued at $25,000 or more are handled through Acquisition Services

Contracts valued at less than $25,000 are handled by agency buyers

www.michigan.gov/doingbusiness

DMB, Acquisition Services

Manage and Oversee a Portfolio of $11.6 Billion Each YearSolicitations in a Diverse Range of OpportunitiesEthics and IntegrityCompetition – Executive Directive 2005-3Inclusion and OpennessAccess for Michigan-based BusinessesBrand New Fuel Contract Awards

Acquisition Services

DMB, Acquisition Services

MRO Services At-A-Glance

977 Total Number of Contracts

Total Contract Value - $212.5 Million

45% of Total Acquisition Services Contracts

5% of Total Dollars/Acquisition Services

DMB, Acquisition Services

MRO Service Contracts

Building Property MaintenanceLawn Care/Grounds* Janitorial Services*Snow Removal*Rubbish Removal*Security Guard Services*Alarms & Surveillance SystemsElevator MaintenancePest ControlHVAC ServicesUtility ServicesEnergy PerformanceWindow Cleaning

Highway Rest Areas*Armored Car ServicesWater & Waste Water TreatmentSoil Prep/PlantingTree & Stump RemovalTimber Sales PreparationRecords ManagementRoad Side SprayingStreet SweepingCatch Basin CleaningEquipment RentalWarehousing

* MRO Regional Project

DMB, Acquisition Services

Top 10MRO Service Contracts

Janitoria l Security G uard

Energy Perform ance W ater T reatm ent

Rubbish Oil & W ell Plugging

Snow Rem oval Records M anagem ent

G rounds Security Services

T OP 10M RO SERVICES

DMB, Acquisition Services

Top 10 MRO Contracts by Category

DMB, Acquisition Services

Top 10 MRO Service Contracts

Top 10

Top 10 Product/Service # Of Contracts % Of Contracts

1 Janitorial Services 373 38.2%2 Rubbish Removal 95 9.7%3 Alarm and Security 67 6.9%4 Snow Removal 66 6.8%5 Grounds Maintenance 45 4.6%6 Security Guard Service 40 4.1%7 Lawn/Mowing Services 37 3.8%8 Elevator Maintenance 26 2.7%9 Timber Sales Preparation 22 2.3%10 Water Treatment 18 1.8%

789 80.8%188 19.2%977 100.0%

Total of All OthersContract Grand Total (#)

Total of Top 10

DMB, Acquisition Services

Top 10 MRO Contracts by Agency

DMB, Acquisition Services

Top 10 MRO Contracts by Agency

Top 10

Agency # Of Contracts % Of Contracts

1 Human Services 212 21.7%2 Secretary of State 160 16.4%3 Transportation 156 16.0%4 Military & Veterans Affairs 91 9.3%5 Corrections 89 9.1%6 Management & Budget 75 7.7%7 Natural Resources 68 7.0%8 Community Health 32 3.3%9 State Police 27 2.8%10 Labor & Economic Growth 14 1.4%

924 94.6%53 5.4%977 100.0%

Total of Top 10Total of All OthersContract Grand Total (#)

DMB, Acquisition Services

Reasons for Regionalizing

Implement a Proactive Approach to ITB Process

Reduce Number of ITB’s (not Contracts) for Multiple Locations in Close Proximity to Each Other for Similar Service(s)

Develop and Implement Specification Standardization for Similar Services regardless of Agency

Provide Growth Opportunities for all Economies of Scale

Reduce Expenses and Create Internal Efficiencies

DMB, Acquisition Services

MRO Contracts by Category

DMB, Acquisition Services

Community Rehabilitation Organizations

50 Contracts606 Contracts

DMB, Acquisition Services

Minority (MBE) / Women (WBE) / Disabled (DBE)

98 Contracts

73 Contracts

437 Contracts 48 Contracts

Q & A

DMB, Acquisition Services

TERRITORY 2 Southwest Lower Peninsula(112 Contracts / 9 Regions)

Laura Hischke, Buyer

TERRITORY 3 Southeast Lower Peninsula(119 Contracts / 12 Regions)

Andre’ Morrow, Buyer

TERRITORY 1 Upper & Northern Lower Peninsulas (110 Contracts / 8 Regions)

Jim Wilson, Buyer

DMB, Acquisition Services

Bid Schedule Example

12 contracts17 contracts11 contracts

4/1/066/1/068/1/06

12/1/052/1/064/1/06

REGION 6REGION 5REGION 4

   

11 contracts14 contracts8 Contracts

2/1/06 Contract10/1/06 12/1/06 Contract

10/1/06 ITB6/1/06 ITB8/1/06 ITB

REGION 3REGION 2REGION 1

DMB, Acquisition Services

Upper & Northern Lower Peninsulas (109 Contracts / 7 Regions)

Laura Hischke, Buyer (Bay, Grand, Southwest & University Regions)

Jim Wilson, Buyer (North, Metro & Superior Regions)

DMB, Acquisition Services

Upper & Northern Lower Peninsulas (31 Contracts / 7 Regions)

Lymon Hunter, Buyer (Regions 1-6)

Andre’ Morrow, Buyer (Regions 1-6)

DMB, Acquisition Services

Upper & Northern Lower Peninsulas (44 Contracts / 6 Regions)

Lymon Hunter, Buyer (Regions 1-6)

Andre’ Morrow, Buyer (Regions 1-6)

DMB, Acquisition Services

Upper & Northern Lower Peninsulas (22 Contracts / Regions 1-6)

Lymon Hunter, Buyer (Regions 1- 7)

Andre’ Morrow, Buyer (Regions 1- 7)

DMB, Acquisition Services

Upper & Northern Lower Peninsulas (5 Contracts / Region 7)

Lymon Hunter, Buyer (Region 7)

Andre’ Morrow, Buyer (Region 7)

DMB, Acquisition Services

Getting Started

Become a Registered State of Michigan Vendor

www.michigan.gov/doingbusinessSelect “Becoming a Business Partner”

Check Bid Website regularlywww.michigan.gov/doingbusiness

Contact Acquisition Services with [email protected]

Additional ResourceProcurement Technical Assistance Centers (PTACs) www.michigantac.org

DMB, Acquisition Services

Visit the DMB table for a general flowchart that shows the steps from registration to awardVisit www.michigan.gov/doingbusiness

To download a copy of today’s presentationTo link to vendor registrationTo review current Invitations to Bid

Final Notes