Special Edition: Changes to Procurement
Fundamentals and Planning/Strategy (Part 2 of 6)
This special edition of the
State Bureau of Procurement Newsletter offers highlights and need-to-know
information about the change to the new SPM Manual. This is the second part of
a series of special editions that will run over the next month. In this edition
we are focusing on the notable changes in policies that are now in the
100-Series (Introduction and Procurement Fundamentals) and 200-Series (Planning
and Procurement Strategy). This newsletter features the most notable changes;
for more information about changes made to all policies, see the SPM Reform Summary,
found on the ‘Other Resources’ accordion of the new SPM website.
What’s in 100-Series, Introduction and
section of the Manual provides an introduction to key procurement concepts,
definitions and thresholds. Fundamental information related to the core
principles of public procurement in Wisconsin, ethical guidelines, required
systems and coding structures and delegation can be found in the 100-series.
There are ten (10) policies in the 100-Series.
PRO-101: State Procurement’s New “Dictionary”
definition is critical to the understanding of a standalone policy, all
official terms and definitions found in procurement law or rule have been moved
into one new master reference policy, PRO-101, Procurement Definitions and
Thresholds. PRO-101 also contains all the monetary thresholds that apply to
procurement processes so in the event of future changes in these amounts, those
changes will be made in only one central place. Use PRO-101 like a reference
dictionary on an as-needed basis.
Reminder: Post Your Continuing-Use and
Cooperative Contracts on VendorNet
updated all references to procurement systems, removing reference to systems
that have been decommissioned. In the new PRO-103, Procurement Systems and
Bidders Lists, agencies and campuses are reminded to post contract information
to VendorNet for any contract that is for continued use (i.e., not a one-time
purchase) or have cooperative purchasing as an option.
New Form for Procurement Recordkeeping &
related to procurement recordkeeping, retention and access can be found in
PRO-105. This policy clarifies what constitutes a complete procurement file for
competitive solicitations and RFIs, and also clarifies that drafts are not to
be considered part of the final, official procurement file. Most importantly
this new policy comes with a newly required form for agencies and campuses to
use for their recordkeeping purposes, DOA-3840: Procurement Recordkeeping
Checklist. Effective September 16, 2019, complete this form and keep it with
your procurement record for best judgment, simplified bids, and Requests for
Bid (RFB); Proposal (RFP); and Information (RFI). The most current versions of
all official forms will remain on the VendorNet Forms
tab. Questions or feedback about forms changes can be sent to Terri Hagstrom or by phone at (608) 266-5669.
Public Procurement Principles Now in Policy
procurement training classes, we talk a lot about the importance of ethics and
the high standards of Wisconsin public procurement to promote competition,
integrity, consistency and openness. We have also clarified rules related to
prohibited endorsement, testimonial or promotional activities with suppliers,
in line with the importance of impartiality in State procurement. We codified
those standards and principles in the form of policy; see PRO-108 and 109.
What’s in 200-Series, Planning and Procurement
section of the Manual covers the various methods of obtaining pre-solicitation
approvals and the tools available to agencies to properly plan for procurement
activities. Specifically, policy about contractual services, procurement plans,
RPAs, life cycle costing and sustainability practices in procurement are
included among other topics. There are ten (10) policies in the 200-Series.
Enhancements to Procurement Plan Form and
plan policy, PRO-201, and the form used to submit procurement plans, DOA-3720,
have changed significantly. Specifically:
Agencies no longer need to send a proc plan when buying directly from the federal government (intergovernmental).
Agencies need to submit a proc plan if they are doing a bid that is largely for commodities but has a service component with an estimated value over $50,000.
If an agency intends to award a contract that will be open to other agencies, and/or if an agency is requesting that a contract have extended period status, you must identify that on the proc plan form.
Proc plans for high risk IT or telecom solutions (i.e., valued over $1 million) must include a technical contact and an agreement to follow IT procurement policy PRO-508. This specific requirement does not apply to UW campuses.
One-Stop-Shop for Contractual Services
special requirements for contractual services procurements, as required under
§16.705, Wis. Stats. and administrative code, are discussed in policy PRO-204,
Contractual Services Procurement. Some have reference to other policies that
cover the topic in more detail (e.g., Cost Benefit Analysis). This policy
contains requirements related to American services, protest/appeals,
documenting a justification of need for services, maintaining independence and
avoiding employer/employee issues, background checks and the importance of a
contract administrator among others. This policy also reiterates the
requirement for agencies to send a copy of all protest response decisions,
regardless of outcome, to the Department of Administration.
New Tools for Running Request for Information
(RFI) and Similar Events
PRO-207, we have clarified the parameters for running a Request for
Information, and added reference to other pre-sourcing methods that are
available for agencies to use to test the market and get supplier feedback
before an official bid or RFP is posted (e.g., draft RFP for vendor comment).
In addition, we have posted new tools on the PRO-207
SPM webpage, including an updated sample RFI, another sample RFI specific to IT
solutions and a template cover letter to use when posting a draft solicitation.
Procurement Has a Role in Sustainability
policy, PRO-209, creates an umbrella term (“sustainability”) to refer to the
various responsibilities of agency and campus procurement offices to promote
purchasing of recycled or recovered materials, minimizing solid waste
generation through procurement activities and revising specifications and bid
processes to promote these goals. Reference to other policies related to
energy-efficient equipment and using lifecycle costing are also contained in
Coming Soon! SPM Special Edition Series, Part
SPM special edition of the newsletter will focus on the notable changes we made
in the 300-Series (Competitive Solicitations). The Bureau is also collecting
written questions and will post answers in the form of a SPM Frequently Asked Questions
document in the near future. As you review the new website and policies, please
send any questions to email@example.com.