1. 1 IT Services Through the Invitation To Qualify (ITQ) Procurement Process Paul Bluhm ITQ Program Manager

2. 2 Agenda ITQ Redesign Background IT Services ITQ Contract Statistics Current ITQ Contract – #ME2081366 Transition Service Provider Transition New Contract Terms and Conditions Service Category Comparison IT Services ITQ Contract Old & New Procedures Proposed ITQ Contract Timeline On-line Review of ITQ Web Site

3. 3 Disclaimer Any information provided in this presentation is subject to change. It is a work in progress.

4. 4 ITQ Redesign Background Revision of contract terms and conditions. Projects versus body shop type of work. Vendor labor rates increasing on web site while industry rates are declining. Competition not required for projects under $100k - 89% of total projects for FY02/03

5. 5 ITQ Redesign Background (con’t) Some projects using ITQ were larger than expected – need more oversight for these projects. Include maintenance as part of any software development project. Need to make agency IT strategic plan information available to vendors. Too many service categories.

6. 6 IT Services ITQ Contract Statistics

7. 7 Qualified Contractor Statistics FY01/02 430 Qualified Contractors 144 Contractors Were Awarded Contracts (33%) FY02/03 526 Qualified Contractors 129 Contractors Were Awarded Contracts (24%)

8. 8 Master IT Services ITQ Usage Total Dollars Spent By Year

9. 9 Master IT Services ITQ Usage Purchase Orders By Dollar Amount

10. 10 Current ITQ Contract #ME2081366 Transition All work must be completed by 6/30/04, unless granted a waiver. All other work must be transitioned to new ITQ contract or some other procurement method. OIT/DGS will assist agencies to address specific project transition issues. Potential extension for existing projects only – no new work through this ITQ.

11. 11 Service Provider Transition 12/30/2003 - Current ITQ contract open enrollment will end with the December cycle. Plan to have new contract qualification procedures available on web site well in advance of new contract start date. Vendors must re-qualify for new ITQ contract for each new service category.

12. 12 ITQ Terms & Conditions Changes Major changes: –Background Checks –Disputes –Ownership Rights –Sensitive Information (HIPAA) –Ordering Procedures –Vendor Performance Evaluations –Limitation of Liability –Inspection and Acceptance –No options to renew contract Editorial changes to most provisions

13. 13 Service Category Comparison Old New Computer Programming Computer System Analysis Support Consulting Services - Biometrics Consulting Services – Financial Consulting Services – Operational Computer Programming & Systems Analysis Support Biometric Services Consulting Services

14. 14 Service Category Comparison Old New Consulting Services – Organizational Consulting Services – Planning Consulting Services – Research & Analysis Consulting Services – Research Services Data Capture Services Consulting Services – continued Deleted – New Sourcing Contract

15. 15 Service Category Comparison Old New EDMS Consulting EDMS Programming EC/EDI Consulting EC/EDI Programming GIS Consulting GIS Programming Help Desk & LAN Support Internal Premise Voice Wiring Support EDMS Services eGovenment/EDI Services GIS Services Deleted – New Sourcing Contract Deleted – New Telecom Contract

16. 16 Service Category Comparison Old New Internal Premise for Residence Voice & Data Wiring Support IT Training Assessment IT Training Classroom IT Training Media- Based IT Training Other Training Services Deleted – New Telecom Contract Merged Merged into other Training Service Categories IT Training Classroom IT Training – Non- Classroom Training

17. 17 Service Category Comparison Old New LAN Development/ Upgrade LAN Integration Telecommunications Temporary IT Staffing Resources Wireless Antenna Support Services Deleted – New Telecom Contract Deleted – New Sourcing Contract Deleted

18. 18 Service Category Comparison Old New Wireless Networking Deleted – New Telecom Contract CRM Services Security Services Continuity of Government

19. 19 IT Services ITQ Contract Old & New Procedures

20. 20 ITQ Procedures Comparison Old New Current contract expires 6/30/04. Provisions for 1-year renewal. Decision pending. Agency use would be very limited. No maximum project cap. Software maintenance not allowed. New 5-year contract begins 7/1/04. No renewal periods. Project cap – not to exceed $5 million. Initial maintenance must be part of all software development projects.

21. 21 ITQ Procedures Comparison Old New Maximum price contracts based on hourly rates and prices of materials. Work included projects and ongoing services – help desk support, data capture, etc. Fixed price contracts based on deliverables, negotiated rates and/or scope. Work limited to projects – start and end dates and work based on deliverables.

22. 22 ITQ Procedures Comparison Old New Open Enrollment – Vendors can qualify at any time during life of contract. Unlimited number of vendors can qualify for each service category. Open Enrollment – Vendors can qualify at any time during life of contract. Unlimited number of vendors can qualify for each service category. Reserve right to close to new vendors at a later date.

23. 23 ITQ Procedures Comparison Old New Vendors can submit any cost items desired. Cost Items are maximum prices. $100k competition threshold. Minimum of 3 solicitations Vendors may be required to submit cost breakdowns with project proposals. Project costs negotiated based on agency requirements and time constraints. $25k competition threshold. Minimum of 5 solicitations

24. 24 ITQ Procedures Comparison Old New Software maintenance not included. Service Provider evaluations on ITQ web site. Publication of agency projects not required. Initial maintenance required for software development projects. Service Provider evaluations through Contractor Responsibility Program. Agency required to publish agency strategic plan via agency web site.

25. 25 Proposed ITQ Contract Timeline 1/05/04 - Deployment of new ITQ Contract on web site - Vendor qualification for new ITQ contract begins - Begin training seminars for vendors. 6/01/04 - Begin training seminars for agency personnel. 7/01/04 - Effective date of new ITQ contract.

26. 26 Master IT Services ITQ Contract Questions?

27. 27 Master IT Services ITQ Process