-The Buyers Network May 1997

Diane Holley, Editor

The Buyers Network is published monthly by the Purchasing Division of the WV Department of Administration to promote better value in public purchasing.

Welcome to the May Issue of The Buyers Network

Articles in this issue:

David Tincher Appointed as Purchasing Division Director

DEP's Susie Teel Honored as the Agency Procurement Officer of the Year

Issues of Today and Tomorrow

Life Cycle Costing: What Does it Mean?

Purchasing Division Participates in the 18th Annual EXPO Show

Have You Returned Your Conference Evaluation Yet?

Department of Administration Provides Training to Bosnian Government Officials

1997 Spring Purchasing Conference
Goal Achieved! One-Stop Training Program Offered to Participants

Surplus Property Implements Two Projects to Enhance Service to their Customers

Current Statewide Contract Activity

Solutions Center Offers a Taste of Various Automation Systems

NIGP Forum Set for August

Questions...Just Ask!



David Tincher Appointed as Purchasing Division Director

Effective April 22nd, David Tincher became the new director of the Purchasing Division. Cabinet Secretary Jim Teets of the Department of Administration announced his selection based on Tincher's experience and knowledge of the state's purchasing process.

As director, he will oversee the various programs and services provided by the Purchasing Division, including acquisition and contract administration, travel management, surplus property, fleet management, consolidated publishing facility, inventory management, and automation...to name only a few.

A graduate of the former Morris Harvey College, Tincher began working at the Purchasing Division 19 years ago as part of the buying staff. He served as assistant director from 1986 to 1990, at which time he was named director of the Administrative Services Section.

"I'm excited to began tackling the challenges facing the Purchasing Division," Tincher said. "I have shared many ideas with Cabinet Secretary Teets, which I would like to see implemented throughout the Division. Working together with our staff, I am anxious to see these ideas transform into real improvements that can be realized by our customers."

In next month's issue of The Buyers Network, Purchasing Director David Tincher will share his future plans and objectives for the Purchasing Division.

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DEP's Susie Teel Honored as Agency Procurement Officer of the Year

Susie Teel, procurement officer for the Division of Environmental Protection, has been recognized as the recipient of the second annual Agency Procurement Officer of the Year award. The announcement was made during the spring purchasing conference at Canaan Valley Resort & Conference Center.

Susie has worked in the field of procurement primarily in three positions since 1987, as a clerk, then as an assistant procurement officer with the WV Department of Energy, and, in her current position, as procurement officer for the Division of Environmental Protection.

Her supervisors and peers refer to her work ethic as professional. "She takes her work very seriously and considers multiple aspects to each problem in order to develop the most accurate services," according to a co-worker. "Susie goes the extra mile to not only develop her own skills, but those of other procurement personnel in the agency."

Originating a "purchasing group" of agency personnel, Susie has developed and presented training programs targeted at educating and sharing information among the staff. She hold monthly procurement meetings, usually off site in order to create a more relaxed, team building environment to discuss major issues.

As a member of the original TEAM Focus Group, she has continued to work aggressively on the TEAM purchasing tool and has successfully enabled DEP to be progressive in purchasing automation.

Susie continues to enhance her position by developing many new skills and abilities. She attends national purchasing conferences where innovative and vital issues are discussed. She also attends many technical, managerial, and interpersonal training courses to improve her computer, management, communication, and presentation skills. Outside of her agency responsibilities, Susie has also served in various capacities, including president, of the West Virginia Chapter of the National Institute of Governmental Purchasing.

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Issues of Today and Tomorrow

Life Cycle Costing: What Does it Mean?

Life Cycle Costing is a technique often used by the Purchasing Division in the procurement of certain commodities. All of us use this technique on a daily basis, possibly without even realizing it.

At the grocery store, we may purchase a more expense brand of laundry detergent because more loads can be cleaned using a smaller amount of detergent.

When buying a car, we are usually interested in fuel economy, reliability, and availability of service and parts...in addition to the actual purchase price of the car.

Even if you are not already familiar with Life Cycle Costing, these examples illustrate the basis behind this technique. When we purchase a product, there are times when we need to evaluate all of its costs. These costs could include installation, maintenance, energy, and disposal. Although this technique appears complex, the concept is quite simple. By necessity, Life Cycle Costing forces us to look at the item in the long term.

This technique is important today to the state because of rising operating costs of equipment which we purchase. The cost of purchasing equipment is somewhat less compared to the price of maintaining and using the equipment. Life Cycle Costing enables the state to calculate in advance the hidden costs which are not reflected in the purchase price. Often, an item that has a high purchase price will have much lower overall costs than the apparent bargain which comes in at low bid.

Obtaining reliable data for Life Cycle Costing analysis can be a problem, especially from manufacturers who are not familiar with this technique or are fearful that the data will be misinterpreted and damage their potential sales. However, since this technique has been used for many years, most vendors, especially those offering high quality products, are now using Life Cycle Costing as a marketing tool.

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Purchasing Division Participates in the 18th Annual EXPO Show

Various organizations and companies displayed their products and services at the 18th Annual EXPO, sponsored by the West Virginia Contractor's Association, WV Utility Contractors Association, WV Society of Professional Engineers, and the American Institute of Architects. The Purchasing Division joined over 200 firms who maintained an exhibit to offer literature and assist companies in being competitive for state government business. Back to the Top



Have You Returned Your Conference Evaluation Yet?

After each conference, participants are requested to complete an evaluation form, targeting not only the organization of the conference, but the individual workshop sessions.

The analysis of cumulative responses are vital in continuing to improve our training efforts. As a result of your response, the workshop sessions have been modified as well as the registration process.

Many participants completed and returned their evaluation form at the conclusion of the conference; however, if you did not, please take a few moments to complete this evaluation form and return by May 10th to:

Diane Holley
Purchasing Division
Building 1, Room E101
1900 Kanawha Blvd. E.
Charleston, WV 25305
FAX: (304) 558-4115

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Department of Administration Provides Training to Bosnian Government Officials

As reported in last month's issue of The Buyers Network, government officials from Bosnia visited the West Virginia State Capitol in March and April as part of a customized short-term technical assistance training program, titled Fiscal Federalism for Bosnian Officials, offered by the Center for International Understanding (CIU) at Bluefield State College.

The Purchasing, Finance and Information Services & Communication (IS&C) Divisions within the Department of Administration joined together to present these officials with an overview of the financial picture of state government, including program budgeting, capital budgeting, automation and reporting systems, accounting, public purchasing, and the promotion of public participation in the budget process.

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1997 Spring Purchasing Conference

Goal Achieved! One-Stop Training Program Offered to Participants

Need information on general purchasing procedures?...What about the recent changes to the state inventory process?...Need an update on the new Purchasing Card Program?...What requirements must I follow in leasing property?...

Where do you go if you need information on EVERYTHING? You should have attended the 1997 Spring Purchasing Conference, April 14-17, at Canaan Valley State Resort & Conference Center, along with over 250 other state purchasing personnel.

The purpose of this training effort is to blend a wide range of purchasing-related information at one location. "Each agency purchaser has different needs," according to Curt Curtiss, Acquisitions & Contract Administration Director. "We organize our conferences in such a manner that something is offered to everyone, from the novice to the experienced public purchaser."

Over 20 different topics were available to the participants in workshop formats. The Purchasing Division could not have offered this variety of information without the help of our staff and outside agency presenters. Allow us to take a moment to thank all of our presenters for sharing their expertise in their respective fields:

Advanced Purchasing, Curt Curtis; Basic Purchasing, Charlyn Miller; Board of Risk & Insurance Management, Joe Maddox; Consolidated Publishing Facility, Wilbur Thaxton; Internet for Purchasing Professionals, Janice Boggs, Carolyn Saul; Inventory Management, Jo Ann Dunlap; Leasing Equipment, Diana Stout; Maintenance, Emergency & Sole Source, Ron Price; Policies & Procedures, Evan Williams; Prison Industries, George Hampton; Procurement of Computer Hardware/Software, Mike Morris, Sue Lore; Purchasing Card, Dick Estill; Real Property Leasing, Tammy Goad; State Retirement Benefits, Jim Sims; Surplus Property, Ken Frye; TEAM Automated Purchasing System, Dan Miller, Barbara Haddad; Travel Management, David Tincher; WVARF, Mike Pauley; WVFIMS, Rick Pickens, Shawn Carper.

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Surplus Property Implements Two Projects to Enhance Service to their Customers

The term, customer service, can sometimes raise the eyebrow of a skeptical customer. They've heard it all before...However, the staff of the West Virginia State Agency for Surplus Property (WVSASP) takes their responsibilities in serving their customers very seriously. They have recently implemented two projects with their customers in mind.

A toll-free telephone number has been implemented to make doing business with their agency pleasant, easy and inexpensive. The telephone number is 1-800-576-7587.

Customers are encouraged to use this number for questions or requests. As a toll-free number, there will be no cost incurred by the customer calling from a long distance location. Customers within the local calling area should not use this toll-free number, but continue to contact our agency by calling 766-2626.

Another service which is being piloted is the repair and refurbishing of personal computers. These initial units are limited to computers which have been retired by state agencies. Unfortunately, some agencies turn in computers with parts removed. They may feel that they are saving the state money; however, in many cases, by removing the part, it completely disables the computer. Without the expertise to repair that computer, it is rendered essentially worthless.

WVSASP has signed an agreement with an individual to repair surplused computers, three days a week. Obviously, the availability of good, usable computers is on the rise. The cost for these computers are approximately $200-$300 each, with a 30 day warranty.

These are the two most recent attempts that WVSASP has made to improve their level of customer service. Working together with their customers, the Surplus Property Program will continue to perform in the manner in which it was designed...to offer governmental agencies and nonprofit organizations good, usable property at low, affordable prices.

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Current Statewide Contract Activity

Information and dates (as of April 15, 1997) included in this Current Statewide Contract Update are subject to change. If you need additional information, please contact the appropriate state buyer.

Contracts Awarded

Contract: DEBT
Description: Collection Service
File: 31
Effective Date: 05/01/97
Vendor: Aman Collection Service, Inc. - Equipfac Credit InfoService -
General Recovery Service of WV - Windham Associates

Contracts to be Bid or Under Evaluation

Contract: PLS-BGS
Description: Can Liners
File: 22
Bid Opening: 04/23/97
Under Evaluation: Yes Contract: MH-TOOLS
Description: Mechanic Hand Tools
File: 22
Bid Opening: 05/21/97
Under Evaluation: To Be Opened Contract: LWN-MTN
Description: Lawn Maintenance
File: 22
Bid Opening: 05/07/97
Under Evaluation: To Be Opened Contract: CM
Description: Copy Machines
File: 33
Bid Opening: 03/04/97
Under Evaluation: Yes Contract: G RAIL
Description: Guardrail and Posts
File: 33
Bid Opening: 04/22/97
Under Evaluation: Yes Contract: THERM
Description:Electronic Thermometers
File: 33
Bid Opening: 04/02/97
Under Evaluation: Yes Contract: TM
Description: Travel Management Services
File: 31
Bid Opening: 01/29/97
Under Evaluation: Yes

Contracts Renewed

Contract: CALC
Description: Desktop Calculators
File: 42
Effective Date: 03/01/97
Vendor: Canon Contract: BEDDING
Description: Mattresses, Boxsprings, and Pillows
File: 42
Effective Date: 04/15/97
Vendor: Chestnut Ridge - H. Goodman - Sealy - Shirlike Contract: ENVLOP
Description: Envelopes
File: 42
Effective Date: 05/01/97
Vendor: Mail-Well Envelopes Contract: TYPE
Description: Typewriters
File: 42
Effective Date: 05/01/97
Vendor: Swintec Contract: CLRM
Description: Classroom and Meeting Room Furniture
File: 42
Effective Date: 05/15/97
Vendor: Virco Contract: SYSFURN
Description: Modular Systems Furniture
File: 42
Effective Date: 03/01/97
Vendor: Contemporary Galleries - Capitol Business - Contract Business - Interiors Contract: LABELS
Description: Computer Pin-Fed Labels
File: 42
Effective Date: 10/01/97
Vendor: Adolph Sufrin Contract: CATH
Description: Catheters and Related Items
File: 31
Effective Date: 04/01/97
Vendor: C.R. Bard Contract: OSTOMY
Description: Ostomy Products and Accessories
File: 31
Effective Date: 04/01/97
Vendor: Hollister, Inc. Contract: LS
Description: Chemical Glassware
File: 31
Effective Date: 04/01/97
Vendor: Fisher Scientific

Contracts to be Reviewed

MAY

DWMS
Dictating Equipment OIL
Lubricants and Oils EL-TOOLS
Portable Electric Hand Tools LWN-MTN
Lawn Maintenance Equipment BUCKETS
Buckets WTC
Water Treatment Chemicals MH-TOOLS
Mechanic Hand Tools CC
Travel Management Charge Card

JUNE

WIPING
Wiping Cloths RECMGT
Records Management TEMP
Temporary Services CARPET
Carpet & Rugs MV
Motor Vehicles DC BATT
Dry Cell Batteries PC
Police Cruisers DRESS
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Solutions Center Offers a Taste of Various Automation Systems

During the 1997 Spring Purchasing Conference, the Purchasing Division hosted a Solutions Center, highlighting three statewide systems which affect the purchasing process.

Dan Miller, Automation Manager for the Purchasing Division, coordinated this effort to provide conference participants with hands-on demonstrations of the TEAM automated purchasing system, the purchase order encumbrance module of the West Virginia Financial Information Management System (WVFIMS), the Fixed Assets System, and surfing instructions for the Internet.

Assisting Miller in maintaining the Solutions Center were Barbara Haddad, Rick Pickens, and Carolyn Saul (Information Services & Communications Division); Shawn Carper and John Smolder (Financial Accounting & Reporting Section); and, Janice Boggs and Jo Ann Dunlap (Purchasing Division).

Many of the visitors at the Solutions Center completed an automated survey which encouraged feedback on the various systems demonstrated as well as the effectiveness of the Solutions Center.

"I'm very pleased to see the Solutions Center grow from a TEAM-oriented demonstration to a broader event, including WVFIMS and the Internet," according to Miller. "With this growth, more people have become involved and contributed to its success."

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NIGP Forum Set for August

The 52nd Annual National Institute of Governmental Purchasing (NIGP) Forum will be held August 15-20, 1997 at Fort Lauderdale, Florida. For more information, please contact E.R. Roon, CPPO, Local Chair of the 1997 Forum, at (954) 761-5140.

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Questions...Just Ask!

Are you unsure of certain purchasing procedures? ... Do you need to know what printing services Consolidated Publishing Facility provides? ... Do you have a question regarding travel requests? ... Would you want to know what surplus property is available?... If you need information concerning any function within the Purchasing Division, complete the form below:

Name:

Organization:

E-Mail Address:

Telephone:

Need Information About:



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