Sarasota County Procurement Turnaround Story from Collapse to Recovery Ted Coyman, CPPB Procurement Official Sarasota County

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Joanna Fleming
6 years ago
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1 Sarasota County Procurement Turnaround Story from Collapse to Recovery Ted Coyman, CPPB Procurement Official Sarasota County

2 Why say collapse? County fraud and abuse under a procurement umbrella No Procurement Official No staff credentials Backlog of 256 solicitations No contract management Staff decimated 263 NIGP audit deficiencies Daily negative press coverage Out of control P-Card program Angry vendors, tax payers and staff contacting the press and elected officials

3 What the press was saying Sarasota 'takes the cake' for purchasing problems County purchasing target of criminal investigation Sarasota County workers' credit card abuse rampant County workers bypassed bidding rules Sarasota County workers lose jobs over credit cards

What we set out to do Procurement Improvement Program - track and address 263 audit deficiencies Procurement Oversight Committee made up of key Business Unit (BU) managers Overhaul and implement new;

4 What we set out to do Procurement Improvement Program - track and address 263 audit deficiencies Procurement Oversight Committee made up of key Business Unit (BU) managers Overhaul and implement new; - Procurement Code - Procurement Manual - Contract Management Program - P-Card program - ecommerce platform - Staff competencies and credentials Work off the backlog of 256 solicitations Change our public image Vendor and Business Unit outreach program Ethics & Compliance

5 Procurement Code American Bar Association (ABA) Model Procurement Code 12 County peer comparison 7 Subject mater experts from other municipalities Procurement Oversight Committee Legal review by council NIGP recommendations New language in all areas

6 Procurement Manual User friendly for both Procurement and the customers we serve; Collaboration with our customers on the content (BU s and Vendors) Hyperlinks to 54 new Standard Operating Procedures (SOPs) 17 hyperlinks to updated and revised forms Incorporates the new on-line NIGP dictionary of terms Links to the Florida Statutes, Sun Biz, DBPR, and other sites Comprehensive roll-out and communication plan

7 Contract Management Established Administrative Agents Established Fiscal Agents and set financial caps Placed suspension and debarment language in the Procurement Code Trained over 125 contract Administrative Agents Created a web location to capture performance reporting Developed 12 key metrics to measure vendor performance under contract

8 Twelve (12) Key Metrics Customer Service - Excellent customer service to county staff and the public Contract Deliverables - Supplies goods and services outlined in the agreement Delivery Schedule Maintains the agreed schedule and avoid delays Quality Provides the highest level of quality goods and services Billing and Invoicing Accurate invoices matching the work performed Project Management Demonstrates the ability to stay on top of their process

9 Twelve (12) Key Metrics (continued) Subcontractor Management Professional relationship with subcontractors Equipment and Resources Best available equipment in performing the work Materials Management Best Practice in handling and storage Cost Control Holds and manages costs to avoid exceeding budget projections Maintaining Technical Requirements Monitors quality control of products and process Safety Standards Staff trained and properly equipped to perform the work safely

P-Card Program From a $2M individual charge and over 400 cards with little oversight To a reeled in program with 255 cards and people afraid to use them Sales dropped from $17M down to $7M per year -

10 P-Card Program From a $2M individual charge and over 400 cards with little oversight To a reeled in program with 255 cards and people afraid to use them Sales dropped from $17M down to $7M per year - Increased single transaction from $3,000 to $5,000 - Shifted 44% of the PO work load to the P-Card - Reduce our costs ($80/PO vs. $20/Charge) - New P-Card manual and user training - Strengthened our relationship with Bank of America - Capitalize on the rebate (was $124,000 down to $30,000)

New ecommerce Platform eprocure is now the county portal for commerce Vendor registration 2,000 in 12 months and still growing One time submittal of registration forms; E-Verify, Local Vendor

11 New ecommerce Platform eprocure is now the county portal for commerce Vendor registration 2,000 in 12 months and still growing One time submittal of registration forms; E-Verify, Local Vendor Preference, etc. Communications channel to Procurement not with elected officials or Business Units Collecting vendor feedback on strategy development, link to Survey Monkey Sourcing software to augment Looking at more options not stuck in a box

Staff Competencies and Credentials Goal to quickly raise staff credentials Logged over 1,000 training hours in the last 12 months Vacancies created opportunities to add staff with

12 Staff Competencies and Credentials Goal to quickly raise staff credentials Logged over 1,000 training hours in the last 12 months Vacancies created opportunities to add staff with credentials New team members with certifications; CPPB s, CPPO, CPM & FCCM Each staff member has a testing timeline with set test dates Increased the budget to fund aggressive training and testing

13 Vendor Outreach Regular monthly vendor training and enrollment sessions Attended our first Reverse Trade Show; a gold mine to recruit vendors Regular speaking engagements with local Chamber of Commerce, Rotary, Building and Trade Associations Remote vendor sign-up sessions to be held at fire stations and libraries Dedicated telephone and support for eprocure vendor registration Sourcing software will reach additional vendors by channel and category

14 Workload Prioritization Work off the backlog of 256 solicitations Staff assigned by Business Unit and attend their staff meetings Business unit leaders set their priorities each month College intern tracks each solicitation on a GANTT chart 30 major solicitations on the street at any given time

15 Workload Prioritization GANTT chart - accomplishments and sticking points become readily apparent North Jetty Park Restroom and Concession Construction Scope Development 7/31/12 8/14/12 8/28/12 9/11/12 9/25/12 10/9/12 10/23/12 Document Construction Advertising Evaluation Award Contract Development Approval PO Duration (days) 7 day intervals

16 Change our Public Image Developing a positive story every 8-10 weeks Regular news releases use social media; Face Book, Twitter, County Website Publicize internally and externally all gains and successes, no mater how small Embrace the media; know your local reporters and their styles Advertising must be both regular and steady for it to pay off and it does Speak at Rotary, the Chamber of Commerce and with building and trade groups

Ethics New Office of Ethics and Compliance Full time Ethics Officer former detective Internal reporting system for Procurement to capture Business Unit issues Training of

17 Ethics New Office of Ethics and Compliance Full time Ethics Officer former detective Internal reporting system for Procurement to capture Business Unit issues Training of staff and new hire ethics orientation Publications and reminder posters around the County New 24 hour Fraud Hot Line Focus is now on risk mitigation through awareness training

18 Why say recovery? 12 months later look at us now! New Procurement Code New Procurement Manual New Ethics Program Backlog is gone New Contract Metrics New P-Card program ecommerce platform done Staff credentials are up Vendor outreach a success; and growing NIGP audit recommendations

19 Look what the press is saying now!

21 Sarasota County gets good marks on ethics By CARRIE WELLS Published: Thursday, November 29, 2012 at 10:19 p.m. Last Modified: Thursday, November 29, 2012 at 10:19 p.m. SARASOTA COUNTY - Last year s purchasing scandal, which led to the arrest of one county employee and the firing or forced resignations of a dozen others, apparently has a silver lining.

22 Contract rules for Sarasota County get overhaul By CARRIE WELLS Published: Wednesday, September 26, 2012 at 9:35 p.m. Last Modified: Wednesday, September 26, 2012 at 9:35 p.m. SARASOTA COUNTY - The rules for how Sarasota County officials hire and manage private contractors, once so lax they were mocked by national experts, are getting a sweeping rewrite that took shape on Wednesday.

23 Lead by example Look at other role models Engage your customers Take care of your staff Create your image Control the conversation Focus on strategy Get out of your box

24 Thank You! eprocure.scgov.net

Maximizing $avings Through Innovative Procurement Methods

Maximizing $avings Through Innovative Procurement Methods 1301 East 2nd Street, Sanford, FL 32771 (407) 665-7112 Office bcohen@seminolecountyfl.gov Betsy J. Cohen C.P.M., CPPO, CPPB January 4, 2016 BACKGROUND: