LA GRAD ACT 2.0 PROCUREMENT Faculty Senate October 3, 2011

La Grad Acts Act 741 (2010) - effective: June 29, 2010 Grants increased autonomy and flexibility in exchange for a commitment to meet clearly defined statewide performance goals. Act 418 (2011) - effective: July 12, 2011 Key focus on “Operational Autonomies” Procurement granted 3 levels (Base, Intermediate, and High) High level autonomies include: Authority to participate in a pilot procurement code in lieu of the state procurement code

Grad Act Procurement 5 Institutions qualified at high level –LSU –ULL –La Tech –Southern at Shreveport –McNeese LSU applied to initiate the pilot procurement code.

Pilot Procurement Code Proposed Schedule –System Approval – December 1, 2011 –DOA Approval – January 1, 2012 –Promulgation of Rules – March 31, 2012 –Approval of JLCB – May 31, 2012 –Execution of new Pilot Procurement Code – July 1, 2012 –Go Live for eProcurement – July 1, 2012 –Pilot Procurement Code - July 1, 2012 – June 30, 2015

FY 2011 – Spend Analysis Spend  Total Spend ≈ $320m  Purchase Orders ≈ $275m  PCard Spend ≈ $45m Transactions  Total Transactions ≈ 160,000  Purchase Orders ≈ 12,000  PCard Transactions ≈ 148,000

Pilot Procurement Code Freedom of bureaucratic processes that slow procurement down Procurement acclimated to a Research and Academic Institution More Selection at First Dollar of Spend More Reasonable Competitive Limits Convenience of One Stop Shopping Multi-year Terms

Pilot Procurement Code Combines laws governing procurement of materials, professional services, and data processing –No more separate processes for different types of contracts – Less Confusion –Templates that can be electronically submitted and digitally signed – Simple –More Selection through more Strategic Sourcing – Lower Costs

Pilot Procurement Code NEW Competitive Methods –Reverse Auctions –Best and Final Offers –Solicitation for Offers –Cooperative Purchasing Agreements –Electronic Purchasing (eProcurement)

eProcurement Easier methods to procure by using web- based system Real-time Competition Better Vendor Sources Can continue to use P-Card Spend Analysis Electronic bidding and signatures

Together Pilot Procurement Code and eProcurement Benefits Reduces Operating Costs Hosted Technology Saves Users Time Utilizing Automated Workflow Get More for Less Better Supplier Contracts More Selection by Connecting Users to Suppliers Accessible Contract Catalogs

THANK YOU FOR YOUR FEEDBACK Marie C Frank, MPA, CPPB Executive Director of Procurement and Property Management (225) LSU Purchasing 213 Thomas Boyd Hall Baton Rouge, La