Purchasing & Procurement Oversight Committee Agendas & Minutes

PURCHASING & PROCUREMENT OVERSIGHT COMMITTEE (PPOC) IDA Conference Room – 6th Floor – Ruppert Sargent Building Meeting Minutes – March 21, 2012 Call to Order – Michael Graves, Chairman, called the meeting to order at 12:30 p.m. Committee Member Attendance: A roll call was taken by Jessica Spencer: Members Present – Michael Graves, Chairman; Willie Brown, James Crocker, Martin Cross, Eugene Johnson, Crystal Kleiber, Dave Pearson, Teresa Walker, George Wallace and Lauren Yee, Vice Chairman. Members Absent – Eddie Deerfield, with notification. Staff and Citizen Attendance: Legal Representation: Karen James, Deputy City Attorney Staff Present: Jessica Spencer, Arnelia Hancock, Karl Daughtrey, Victor Hellman, Denise Howard, Suzy Scott, Doris McRae, Tony Reyes and Debbi Brightbill (recorder) Staff Absent: Pete Peterson Guest Speakers: Andy Jackson – Global One Logistics; and Larry Wright, Certification Officer with the Department of Minority Business Enterprise (DMBE) Citizens in Attendance – Edwin Boone (Sunshine Carpet & Upholstery Cleaning) Approval of Minutes: The minutes of the February 15, 2012 meeting were unanimously approved as submitted. Call for Agenda Changes – Mr. Graves asked if there any changes or additions to the agenda. There were no requests for changes or additions. Old Business Committee Membership Roster – Ms. Spencer stated the PPOC membership roster was included in the members’ meeting package and the information provided is now accurate according to information provided by the Clerk of Council. Committee Membership – HRHA – At the February meeting, the PPOC approved adding an additional PPOC position to accommodate an HRHA representative if they desired to participate. Ms. Spencer recently communicated with the City Manager regarding HRHA’s interest to participate but has not heard back yet from her. Ms. Spencer will update the committee next month. Ms. Spencer recently met with Ron Jackson, HRHA Director, to discuss potential collaboration on programs. They administer similar programs such as an Entrepreneurship Program for residents in HRHA’s units interested in starting small businesses. They also have a program called “Section 3”, a federally mandated program requiring a percentage of dollars be awarded to disadvantaged businesses or businesses that have hired low-income public housing residents. Upon Mr. Jackson’s suggestion, she will meet with other HRHA staff regarding this program. Ms. Spencer will seek information on the criteria required for businesses to be added to this list. Hampton Finance Report Update: Due to a request at the February meeting, Ms. Howard prepared and distributed a new MBE/WBE VENDORS report comparing four quarters of 2010 and 2011 purchase orders. Comments on February Minutes: Mr. Brown referred to the minutes of the February 2012 meeting, page 4 under the “Procurement Report” section: “Mr. Peterson replied it is quite expensive for smaller businesses to commit to a bid process since requirements include documentation, certifications, permits, possible designs, etc.” Mr. Brown asked if any of that expense could be eliminated or could the small businesses be helped with this process? Ms. Spencer replied she was not sure how costs could be reduced or eliminated since everyone must comply with the bid requirements. Procurement distributes forms to everyone interested in bidding. These forms outline the documentation that must be submitted with their bid. She stated she was not sure if Mr. Peterson was referring to costs associated with Hampton’s procurement process or Virginia’s EVA process which will assess a 1% fee to an awarded contract. Mr. Brown asked that Hampton’s solicitation criteria be presented to the Committee at a future meeting, maybe next month. Ms. Spencer notified Ms. McCrae of Procurement of Mr. Brown’s request. Disparity Study – Ms. Spencer informed the Committee of the new deadline for bids to be submitted for the new Disparity Study. The bid will now close March 22, 2012. Mr. Johnson asked the reason for the deadline extension. Ms. Spencer replied one of the companies wanting to bid made a request to extend the deadline. Mr. Daughtrey added the request was because the company stated they did not have enough time to complete the bid requirements based on the original deadline. He said the request was considered and a new deadline was approved. Mr. Johnson asked if this was a normal practice. Mr. Daughtrey replied this type of request will be approved in some cases to insure the City receives as many solicitations as possible. Summary to City Council - Mr. Brown inquired about the status of Ms. Spencer, with the assistance of Mr. Graves, preparing a report summary for City Council. Ms. Spencer replied she had not yet drafted this report. Although Council members will continue to want details, a report summarizing the quarterly information will be developed. Mr. Brown reminded Ms. Spencer that credit card information has also been requested. New Business Public Works Director - Ms. Spencer welcomed Tony Reyes, the former Base Commander of Ft. Monroe. Mr. Reyes became Hampton’s Public Works Director in January. 2 Global One Logistics – Ms. Spencer introduced Mr. Andrew Jackson, owner of Global One Logistics, a distributor of industrial materials and supplies. Mr. Jackson shared information about his minority- owned business located in Hampton. Focusing on infrastructure and facilities management, they closely work with customers, such as Langley Air Force Base, to understand their mission and work to help them reduce operating costs. Global One prides itself in being a “partner” with their customers. DMBE Representative – Ms. Spencer introduced Mr. Larry Wright, Certification Officer for the Dept. of Minority Business Enterprise who now maintains an office on Tuesday, Wednesday and Thursday each week from 8:00-5:00 on the 6th floor of the Ruppert Sargent Building. Mr. Wright shared he is the person who manages the state’s SWaM program and handles program challenges. He also handles compliance issues at the state level. MBE Insight Newsletter: Ms. Hancock stated a copy of the MBE Insight Newsletter was included in the members’ meeting package. She asked everyone to review the newsletter and contact her if revisions needed to be made. The newsletter will be finalized and distributed in April. Mr. Brown asked who receives a copy of the newsletter. Ms. Spencer replied everyone in Hampton’s Small Business Directory and various organizations and partners with the City. It is also posted to the web site and copies are placed in the Hampton libraries and community centers. Small Purchases – Ms. Spencer stated a copy of this report was included in the members’ meeting package. It represents City departments’ small purchases for the 2nd quarter of FY12. Adjustments are still pending upon responses from some departments about the utilization data listed. Ms. Spencer is waiting for those to be updated. The format will be revised to better match the other reports presented by the City Finance Department. These numbers do not include credit card purchases. Announcements: The next meeting will be held on Wednesday, April 18, 2012. It will be held in the IDA Conference Room, 6th floor, Ruppert Sargent Building, 1 Franklin Street, Hampton, VA 23669. Public Comments: Edwin Boone, Sunshine Carpet & Upholstery Cleaning– Mr. Boone stated he has been coming here three years and nothing has changed. He was awarded a couple of small jobs last year. This has become a very slow process, like a worm. He shared the only thing he sees that could change, since “you’re all set in your ways”, is to change the Mayor and City Council. Get out and vote and make something happen in the city of Hampton. Otherwise everyone will be dead and gone with another Disparity Study five years from now. Adjournment: There being no further business, the meeting was adjourned at 1:05 p.m. Copies forwarded to: Mayor Molly Joseph Ward James A. Peterson, ACM Michael Graves, PPOC Chairman Vice-Mayor George E. Wallace Karen S. James, Deputy City Attorney Lauren Yee, PPOC Vice-Chairman Councilman Christopher G. Stuart Karl S. Daughtrey William Brown Councilman Will Moffett Jessica Spencer James Crocker Councilman Ross A. Kearney, II Arnelia Hancock Martin Cross Councilman Donnie Tuck Doris McRae Eddie Deerfield School Board Member, Dave Pearson Denise Howard Eugene Johnson City Manager, Mary Bunting Victor Hellman Crystal Kleiber Suzanna Scott Teresa Walker 3