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Meetings
BRCPC
The next BRCPC meeting will be 2:00 P.M., Thursday December 4 , 2008 in the BMC offices in Canton.
PUBLIC SCHOOLS GROUP
The next public schools group meeting will be January 15, 2009, 9:30 A.M. in the BMC office.
Subcommittees
Energy
Office Furniture
Public Schools
Public Works
Energy
The subcommitee was chaired by Deborah Henderson, Director of Purchasing, Harford County Government, and the natural gas procurement by Steve Myer, CPPB, Senior Buyer, Baltimore County Government,
The BRCPC Energy Board's efforts during 2007 focused on implementation of the innovative managed portfolio approach for natural gas supply procurement as well as ongoing oversight of the electric supply portfolio. In addtion the Board began review and investigation into new approaches for procurign energy.
The new natural gas program was developed to provide more price risk managment flexibility, lower costs and provide direct access and control over natural gas storage and dedicated pool structure resouces. Improved price risk management flexibility is schieved through sound commodity purchase strategies of time diversity and price targets, Lower costs are achieved through improved transparency and the assumption of managed risk. Direct access to traditional supplier resources of natural gas storgage and dedicated balancing pools further enhance risk management and lower cost objectives. Discovery inteviews were conducted with the assistance from BRCPC's energy consultant, South River Consulting, with major commercial natural gas suppliers and the local natural gas distribution company to develop and confirm that the market could support the new strategy. A natural gas service provider, Constellation Energy Gas Division, was selected through a rigorous bid process and the participating natural gas accounts were enrolled in the new program effective July 1, 2007. Based on the results to date, the new program is estimated to save 12 % or $1.86 million in natural gas supply costs during fiscal year 2008 when compared to the previous procurement approach.
The Board continued its ongoing oversight of the managed portfolio approach for electric supply. For the program's first full year ending June 30, 2007, the electric supply cost was $.0796 KWh which resulted in $30.1 million savings when compared to the local electric utilty's standard offer service and $ 11.7 million of savings when compared to the prior retail fixed rate procurement approach, Fiscal year 2008 portfolio resutls to date are currently under budget.
Investgations have begun by the Board on looking into new cost effective ways of procuring energy from renewable sources. This work includes evaluating long term power purchase contracts directly with renewable developers and from the juristidictions themselves. Direct purchases are facilitated by utilizing the electric supply portfolio's dedicated wholesale subaccount upon which the current participating jurisdiction electric account reside. The Board is in discussion with the North East Maryland Waste Disposal Authority (NMWDA) to look at purchasing power generated from facilities overseen by NMWDA. NMWDA is a quasi goverment agency established by the State of Maryland to assist local jurisidictions on managing waste management resources including planning, design and financing.
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Office Furniture
The subcommittee was chaired by Darla Herbold, CPPO, Purchasing Administrator for the Howard County Government.
The subcommittee facilitated the re-bid of the regional office furniture contract that expired December 31, 2007. The contract has been historically lead by the Ciry of Baltimore and this year Howard County Government volunteered to lead the procurement for the region. The subcommittee included Amber Butcher (Baltimore County) CeCe Clement (Howard County Schools) Wiliiam Hubbard (Anne Arundel County Schools) Shelly Liby (Howard County) Jack Nichols (Baltimore County Schools) Stacy Rappold (Harford County) Richard Raulie (Harford County Schools) Pamela Sams (City of Baltimore) and Susan Zeigler (City of Balrimore).
The subcomittee met as a group several times starting in March 2007 to review and update the specifications. The estimated annual value of the contract for all participants combined is $10 million. A draft of the revised specifications was issed to potential vendors and a pre-solicitation was held on April 26, 2007 to obtain input from the vendor community on ways to further improve the new solicitation. Following the review of the vendor suggestions, a new solicitation was issued July 2, 2007.
The specifications require that all manufacturers' list prices remain firm against any increase for one year from the effective date of the contract. Thereafter, it is the contractor's responsibility to notify Howard County in advance on any anticipated price changes by the manufactuer. Requests for list price increases must be accompanied by bona-fide documenatation reflecting the change. Increase will be limited to the actual cost increase to the manufacturer.
The specifications further required prices for design services remain firm against any increase for one year from the effective date of the contract. Prior to commencement of subsequent renewal periods, Howard County will entertain a request for escalation in accordance with the current Consumer Price Index at the time of the request or up to a maximum 5 % increase on the current pricing, whichever is lower.
The new solicitation allowed for bidders to insert manufacturers not already on the list provided by BRCPC, thereby allowing for new manufacturers to be added to the contract; a feature that did not previously exist, Another new feature is that the BRCPC Furniture Subcommittee reserves the right to add new manufacturers at its sole discretion. Requests to add new manufacturers are to be directed in writing to the BMC Regional Coordinator. Factors to be considered in adding new manufacturers include the product lines offered, the need for a manufacturer by mulitple entities, etc. Howard County, as the lead, in cooperation with the BRCPC Furniture Subcommittee will negotiate discounts for new manufacturers.
The delivered and installed discounts include one original and design revisions. Additional revisions shall be charged at the design services hourly rate in the contractor's bid. Delivery terms are F.O.B. Destination, Inside Delivery.
Sixty-one bids were opened on August 15, 2007 and 50 awards were made to dealers and manufacturers representing hundreds of manufacturers. The new contract period is January 1, 2008 through December 11, 2010, with five one-year renewal options.
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Public Schools
The subcommittee was chaired by John Miller, CPPO, Director of Puirchasing, Harford County Public Schools and consista of Anne Arundel, Baltimore, Carroll, Harford, Howard County and Baltimore City Public Shools.
This active group meets regularly tbroughout the school year and had another very busy and productive year. The group includes members from the Washington Area Coucil of Governments (Montgomery County Public Schools) and the Eastern Shore Purchasing Consortium (Wicomico County Public Schools). They exchange information and attempt to creat additional co-op opportunities within the state.
Howard County Office Furniture Bid
School representatives served on the bid evaluation committee for the regional Office Furniture Contract. The bid has always been handled in the past by Baltimore City Government but this year it trasitioned to Howard County Government, Due to the size and scope of the procurement, a tremendous amount of staff time was devoted to the effort by a cross-section of procurement staff.
Paper Bid
Continuing the success of the first reverse auction in Fiscal Year 2004, the bulk paper bid was handled by Anne Arundel Public Schools, through a reverse auction process. The result was cost savings in the face of upward price pressure.
Electricty and Natural Gas Procurement
Several school groups participated in the BRCPC procurement of natural gas and electricity and attended the regular meetings of the Energy Board.
Customer Service Principles
Anne Arundel Public Schools created a draft of Customer Service Principles, which would be agreed to by all BRCPC partiicipants. The purpose of the effort is to achieve standards and guidance wihch all will agree that set specific customer service goals that will be followed by those agencies that take the lead role on group procurement. The effort will help achieve efficiencies, improve cooperation, as well as emphasizing the importance of customer service among the various member agencies.
Heating Oil Bid
Baltimore County Public Schools took the lead on the procurement of heating oil. This was a very sucessful procurement that many schools and public agencies participated in. It enabled partricipants the flexibility to float prices benchmarked to an OPIS (Oil Price Information Services) index or lock in prices on NYMEX (New York Mercantiile Exchange) futures.
House Bill 31
The school group took a very proactive stance to encourage the State Legislature to vote down House Bill 31-Government Efficicncy and Streamlining Operations during the special session of the Maryland Legislature. The Bill would require counties, municipalites, school districts and other designated government agencies to publish notices of procurement and, more troubling, to conduct procurements through EMaryland Marketplace which is a unit of the State Department of General Services. The school group generated a position paper concerning how the Bill would adversely impact governments and school districts. The Bill was deferred until the Legislature reconvenes in January, 2008.
E-Procurement Puchasing System
Baltimore Couny Public Schools, through the efforts of Rick Gay, Procurement Director and the Maryland DC Association of School Business Officers (ASBO) have created an on-line electronic catalog puchasing system. The internet platform, which resides on the ASBO web site, enables all school disctricts in Maryland, including non-public, to access deeply discounted contracts issued by various school districts by primarily Baltimore County Public Schools. Smaller school disctricts can especially benefot by taking advantage of economies of scale and receiving deeper discounts on commonly used schoool requirements. This E-Procurement capability also allows for the posting of bids, RFP's and awards and is done at no cost to the participating districts.
Food Commodity Group Procurement
Through the initiative of Baltimore County Public Schools, Anne Arundel Public Schoola and Baltimore City Public Schools, an agreement was entered into with Co-Exprise Inc. to become part of a large aggregation of school districts in Pennsylvania, Virginia and Washington DC, in which they will partiipate in a reverse auction strategic sourcing process for various food commodities. This aggregated group continues to expand with the anticipated inclusion of school disctricts in Texas and Delaware. Through the agreement, Co-Exprise Inc will develop and provide a sourcing strategy that will utilize their market place expertise to obtain the best pricing and deepest discounts on food supply requirements. The spend for Anne Arundel, Baltimore City and Baltimore County is in excess of $25 million annually. It is anticipated that the large savings will encourage other school districts in Maryland to participate as their current contracts expire. The initiative reflects best practice procurement that leverages technology and public dollar aggregation to schieve large dollar savings to the participating school districts.
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Public Works
The subcopmmittee was chaired by Steve Myer, CPPB, Senior Buyer, Baltimore County Government.
The group continued their bi-monthly meetings in 2007, discussing various potential new regional contracts and reviewing existing ones for improvement. The group includes active participation by Anne Arundel, Baltimore, Carroll, Harford and Howard counties. They agreed to extend contracts where continued need was forecast. Procurements were conducted for new contracts for the following:
Term contract for ultra violet lamps used in waste water treatment. Anne Arundel County was the lead jurisdiction with Carroll County as a participant. Anne Arundel has completed the bid and samples evaluation process and is preparing to award the contract.
Term contract for vehicular batteries. Baltimore County was the lead jurisdiction with Howard County, Carroll County, Anne Arundel County and Harford County as pariicipants. After reviewing a sample. the term contract was awarded to Best Battery.
The Maryland State Department of General Services procured regional contracts for rock salt and Baltimore County, Howard County, Anne Arundel County , Carroll County and Baltimore City participated. A term contract was awarded to International Salt for the central Maryland area.
Term contract for field lighting construction services. Baltimore County was the lead jurisdiction with Howard County, Harford County, Carroll County and Anne Arundel County as participants. An award of contract is forthcoming to two primary contractors: Eastern Sales and Engineering Company Inc and Lighting Maintenance Inc.
Term contract for pump around services. Anne Arundel County is the lead agency with Baltimore County as a participant. Anne Arundel is preparing the bid solicitation package which involved developing evaluation test scenarios for different types of pump around requirements. Pump around services are utilized when a sewer system force main needs repair and the seweage flow must be maintained by temporary surface pumping.
Joe Barrington, Carroll County's Chief of Utilities, has attended several meetings and suggested different cooperative opportunities such as water meters and infrared reading services for electrical equipment at pumping stations and pumps.
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BMC Contact Person: Harry H. Bain, CPPO, C.P.M., Coordinator, Regional Purchasing Baltimore Metropolitan Council Baltimore Regional Cooperative Purchasing Committee 2700 Lighthouse Point East, Suite 310 Baltimore, Maryland 21224-4474 Telephone: 410-732-0500, Ext.1007 Facsimile: 410-732-8248 E-mail: hbain@baltometro.org .
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Last Updated ( Monday, 17 November 2008 )
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