1. Supply-Chain Transparency in procurement of apparel The story of Madison, Wisconsin Kathy Schwenn, CPA – Purchasing Supervisor

2. Where is Madison?

3. Madison,
Wisconsin

5. Home of the State Capitol

6. Home of the State University

7. Home of the Transparent Uniform Contract

8. Early 2000s

9. 2005 City council adopts apparel ordinance
Protect worker rights
Living wage
ILO core labor standards
Compliance with law: wages, hours, working conditions
Women’s rights
Require bidder disclosure
Factory locations and managers
Wages, benefits, normal hours, actual hours for past 3 months
Require monitoring
Work with independent agency
Encourage compliance, not punishment

10.
Agencies purchased separately

11. 2014
Combined 3 agencies: $644,000 in 2016
Fire, transit & police

12. RFP #8300 Bidder disclosures / sliding scale Sweatfree compliance plan
Required prior to submitting a proposal
60% disclosure required to bid
Separate point value for factory location and wage information
Sweatfree compliance plan
For all manufacturers with $25,000 or more annual purchases within the first year of the contract
Rebate to the city – to finance monitoring
$100,001 - $200,000 – 1% rebate
$200,001 - $300,000 – 1.5% rebate
$300,001 and above – 2% rebate
Cooperative contract clause
Other cities may join the contract – same terms

13. RFP #8300 - Results Transparency at the bidding stage
Four bidders provided disclosures – all provided the required 60% disclosure.
Contract with Galls
One year contract with Galls signed in 2015.
Madison exercised the first of two renewal options.
The current contract will expire on 4/16/2018.

14. Lessons & Challenges Lessons
The strategy worked: Vendors respond to purchasing power.
Vendors will do what is in their best interest. Work with them to create this joint vision.
Work towards compliance, not punishment.

15. Lessons & Challenges Challenges
As of yet, no other cities or school districts have joined this cooperative contract.
Collaboration is essential. The city relied on the SPC for:
A panel of experts to vet bidder disclosures to ensure factory locations were accurate
LinkUp database where suppliers under the Madison contract are now visible
The SPC cannot offer:
Factory monitoring

16. Lessons & Challenges Questions
What are good models for expanding collaboration and funding it? For example:
Multi-city collaboration to monitor shared contractors
Multi-city collaboration on future solicitations

17. Contact information Kathy Schwenn, CPA Purchasing Supervisor