60A-1, Fla. Admin. Code A brief overview of 2004 Rulemaking Changes

About This Presentation: ► Not intended to be exhaustive coverage of rules and rulemaking process, only a summary of the “Top Ten” changes. ► Current text of the code can always be reviewed at (scroll down to Chapter 60 and click. A large.pdf file will open.)

Table of Contents ► A. Introduction ► B. Top Ten Changes  1. Eligible Users  2. STC Usage; Exceptions  3. New RFI and RFQ rules  4. Default [60A-1.006(3)]  5. SPA Program  6. New Single Source forms  7. New Emergency form  8. New Non-Compliance form  9. New Alt. Contract Source request form  10. New PUR 1000 and 1001

Introduction – 2 Guiding Principles ► 1. Update rules to reflect current statutes. ► Examples:  defining “eligible user”  Addressing RFIs  Addressing RFQs ► 2. Re-organize and focus on “single subjects.” ► Examples:  60A Purchasing Categories  60A Legal Advertisements  60A Interagency Planning and Cooperation

60A-1.005, Eligible Users ► HB 1977 made statutory changes that required DMS to define this phrase by rule.  60A Eligible Users. The following entities are eligible users: (1) All governmental agencies, as defined in Section , F.S., which have a physical presence within the State of Florida; (2) Any independent, nonprofit college or university that is located within the State of Florida and is accredited by the Southern Association of Colleges and Schools. Specific Authority (12) FS. Law Implemented (12) FS. History–New

60A-1.044, State Term Contracts; Usage and Exclusivity; Exceptions ► Contains items formerly found in 60A-1.008(3)(a), (4), and (5). ► Summarizes , F.S. regarding mandatory agency usage of State Term Contracts. ► Also retains the exceptions agencies may claim when they desire to purchase from a vendor other than an STC vendor. ► Subsection 2 also contains a mere encouragement to vendors to offer STC pricing to 501(c)(3) organizations (charities, etc).

60A-1.042, Request for Information 60A-1.043, Request for Quotes ► These concepts also added to Chapter 287, FS by HB 1977 two years ago. ► New 60A provides basic authority for agencies to issue RFIs when gathering information. ► New 60A encourages RFQs in all multiple-vendor situations.

Default ► Still found in 60A-1.006(3), F.A.C. ► Process is summarized as follows:  First letter represents a “warning shot.” Gives vendor notice of breach and reasonable time to cure.  If breach continues, second letter advises vendor of breach and that agency will re-procure. Letter also contains amount of re-procurement and a notice of Ch. 120, F.S. rights.  Vendor can only “rehabilitate” itself by paying the re- procurement costs and providing assurances to agency that causes of default have been fixed. ► Non-DMS agencies may notify us of default events, and we can “suspend” the vendor.

60A-1.025, State Purchasing Agreements ► SPA program replaces old SNAPS II program. SPA program driven by users’ needs, not driven by vendors’ desire to get a “hunting license.” ► Agencies and other eligible users use new PUR 7721 to make a SPA request. SPA team attempts to place a contract with a provider for the requested goods or service. ► Agencies and users encouraged to review existing SPA contracts – increased usage may result in even greater savings; SPA agreements with exceptional usage may be eligible for State Term Contract status.

60A-1.010, Single Source… ► Rule re-written to clarify certain matters. ► Three new forms:  PUR 7776 used by the agency when announcing its intent to enter into a single source  PUR 7777 used to request approval from DMS, when necessary (value greater than Category 4)  PUR 7778 used to post final notice of award. ► Forms are all available electronically; ideally, forms are submitted, reviewed, and stored electronically – no need for a Single Source file-room at DMS.

60A-1.009, Emergency Purchases ► Rule re-written for clarity. ► New form PUR 7800 used to notify DMS of purchases. ► Form should be ed to DMS whenever possible, for electronic archiving. ► (Note: Old PUR 7006 has been removed entirely. New forms replace all previous uses.)

60A and PUR 1010 ► This rule is combined from old rules (notably the old version of 60A and the old 60A (15).) ► Agencies must notify DMS if they begin receiving services in the 30-day window prior to signing a contract. ► Agencies must use the new PUR 1010 to notify DMS. The form, along with all others, is available online, and can easily be filled out and ed to us.

60A-1.047, Alternate Contract Sources ► This rule expands the Alternate Contract Source concept significantly. ► New rule summarized as follows:  Agencies submit PUR 7102 to request an ACS.  DMS may approve the request, for either a single purchase or multiple purchases.  DMS may independently identify ACS opportunities and approve them (“quasi-state term contracts”)  DMS will post approved ACS contracts online, so that agencies can review.  In order to accommodate additional cooperative purchasing, agencies are encouraged to include the specified language in their contracts.

60A and PUR 1000 & 1001 ► Saving the best for last… ► All previous Bidder Acknowledgement forms are obsolete. ► All solicitations (regardless of type) must include PUR 1001 “Standard Instructions” and PUR 1000 “Standard Terms and Conditions.” continued next page continued next page

60A and PUR 1000 & 1001 ► On PUR 1001 – Instructions.  Agencies must add materials to the General Instructions. Rule requires “additional materials specific to each particular solicitation, including but not limited to contact information, a solicitation timeline, a location for the public opening, evaluation criteria, required information regarding renewal of the contract, and any other necessary information.” continued next page continued next page

60A and PUR 1000 & 1001 ► On PUR 1000 – General Terms and Conditions  Rule requires agencies to include this form but also allows agencies the flexibility to attach "Special Conditions" that provide more terms or even supercede the PUR form, if necessary.  An example: Paragraph 34 of PUR 1000 requires a Contractor to maintain "commercial insurance of such a type and with such terms and limits as may be reasonably associated with the Contract." This may be a reasonable paragraph on it own, but an agency is free to attach Special Conditions that specify more detailed insurance requirements. continued next page continued next page

60A and PUR 1000 & 1001 ► Under this amended rule, the basic framework for a solicitation looks something like this:  PUR 1001 (General Instructions) and agency- specific Instructions  PUR 1000 (General Contract Terms) and agency-specific Contract Terms  Technical Specifications or Scope of Work  Other (Required Forms, etc)

More Rulemaking Information ► Some minor rulemaking still in progress  More changes to 60A-1.015, insurance  Clarifying the tie-bid rule, 60A  Attempting to replace the “old” 60A-1.002(5) regarding negotiation when fewer than two responsive bids are received ► Workshop Tuesday, August 24, 2 p.m. at State Purchasing, Suite 101

Comments, Questions ► We welcome your constructive comments regarding these changes, or any other changes you feel are necessary.  We can’t “unmake” these changes, but future rulemaking is possible if warranted.  Rich Brown already maintains a “wish list” of future items to address, typos to correct, formatting issues, etc. ► us. Please put the phrase “60A-1 Rulemaking” in the Subject.