1. Annette R. Wright March 27, 2008 REGION IV ENTERPRISE WIDE BLANKET PURCHASE AGREEMENTS (BPA) WITH PRIVATE SECTOR NATIONAL LOGISTICS COORDINATION FORUM March 27, 2008 ANNETTE R. WRIGHT-RIV CONTRACTING OFFICER

2. Annette R. Wright March 27, 2008 AGENDA  BACKGROUND INFORMATION  ENTERPRISE WIDE BLANKET PURCHASE AGREEMENTS (BPA) WITH PRIVATE SECTOR  CLOSING REMARKS  QUESTIONS AND COMMENTS

3. Annette R. Wright March 27, 2008  Region IV Purchase Card Internal Audit Review  Audit Region IV Key Internal Controls for managing Government Purchase Card Program  Cardholders invoices obtained written authorization  Independent receipt and acceptance of goods and services  Split purchase requirements, routine commodity purchases and utilizing preferred vendors  Statutory Requirements and Legislative Mandates Compliances  Findings  Rating Methodology (Key Internal Controls)  Blue-Exceptional, Green-Acceptable, Yellow-Caution, Red-On Fire  Results of data samplings for Key Internal Controls  Lack of written authorization -100%  Independent receipts and Acceptance-100%  Split purchases and Routine Commodity Purchases-98%  Non-Compliant to Statutory Laws 90% BACKGROUND

4. Annette R. Wright March 27, 2008 BACKGROUND cont.  Recommendations  Establish Nine (9) Regional Enterprise-Wide Blanket Purchase Agreements (BPA's) With Private Sector Engagement for Routine P-Card Commodities  Office Products, IT Supplies, Copier/Copier Services  Common contracting vehicles that can be leveraged by users in the Region (GSA Advantage/DHS SSI BPA's Vendors)  Online automation of sales receipts, order acknowledgment, and receipt of shipments (Acceptance of BPA and P-card)  BPA items are Trade Agreements Act (TAA) Compliant 19 U.S.C., JWOD, NIB/NISH  Cost Effective Pricing and Customer Focused Delivery - within 24 hours or same day  National and Regional Footprint of branch locations and distribution points in 48 States (including Puerto Rico and Virgin Islands)  Standard Pricing, Negotiated Terms and Conditions

5. Annette R. Wright March 27, 2008 NEGOTIATED BPA's TERMS  Order and Account Management  Order fulfillment same day or next day delivery  Staging of “Disaster Starter Kits” for high usage items for rapid shipments at no cost to FEMA  Business Reviews to include sales statistics, performance measurements, billing and Independent Business Reviews  Online Ordering (web portal) and document reports to include sales slips, invoices, receipts, order acknowledgement, fill rate, order authorization and shipment notification  Acceptance of p-card or purchase order  Assigned/Designated Account Manager and branch locations in the Southeast Region

6. Annette R. Wright March 27, 2008 NEGOTIATED BPA's TERMS Cont.  PRICING  Extend same aggressive pricing negotiated with DHS existing Enterprise Wide Agreements  Standard GSA pricing plus additional 10% to 30% discount on over 10,000 items  Additional tiered discounts by increased order size (Online orders only)  DISCOUNTS  $150 to $274 = 2% discount  $274 to $499 = 3% additional discounts  $500 to $999 = 4% additional discounts  $2,0000 or greater = 6% additional discounts  40% discount for in-store purchases

7. Annette R. Wright March 27, 2008 NEGOTIATED BPA's TERMS Cont.  STATUORY COMPLIANCE WITH PROCUREMENT LAWS  Guarantee compliance with JWOD Act, Trade Agreement Act, DOD Emall, GSA Advantage, and Non Compliant Product  Social - Economic Programs to develop minority, women and Small Business Segments  Local Community Recovery Act of 2006 (Pending FAR Case 2006-014)

8. Annette R. Wright March 27, 2008 DHS ENTERPRISE WIDE AGREEMENT BPA’s (REGIONAL)

9. Annette R. Wright March 27, 2008

10. CORPORATE EXPRESS BPA for OFFICE PRODUCTS  DR-1745-TN  Tax payer Expense = $23,871.00  Fill Rate  Overall Fill Rate 93.20%  Contract and Non Contract Fill Rate 95.29%  CEXP Catalog Item Fill Rate 96.97%  Catalog Item Fill Rate 100%  Top four (4) Commodities Spend Analysis SUCCESS STORY

11. Annette R. Wright March 27, 2008 NSN/ ITEM NO. ITEMQTYCE 4 WebsiteOPEN MARKET GSA E-BUY PRICING HEWC9352ANHP22 36 eaUnit Cost: $15.88 Unit Cost: $29.99 Unit Cost: $ 17.45 Memory Card, 1GB, SD VER94964 30 ea Unit Cost: $23.56 Unit Cost: $46.99 Unit Cost: $23.83 Hand Sanitizer (3) oz size GOJ960624 192 ea Unit Cost: $2.24 Unit Cost: $3.99 Unit Cost: $3.59 WastebasketRUB29560 48 eaUnit Cost: $9.21 Unit Cost: $14.99 Unit Cost: $9.61 OPEN MARKET v.s. CONTRACT PRICE COMPARISON

12. Annette R. Wright March 27, 2008 DisasterLocationDollars expended for Office Products BPA and P-card Open Market P-card (No existing Contract) 1686Alabama$60,000.00 NY 1687Georgia$39,000.00 NY 1745Tennessee$23,871.00 YN 1746Kentucky$40,000.00 NY DISASTER COMPARISON OFFICE PRODUCTS

13. Annette R. Wright March 27, 2008 CLOSING REMARKS-

14. Annette R. Wright March 27, 2008 QUESTIONS AND ANSWERS