HCPS FL Logo Business
Action Item
DATE: Tuesday, March 18, 2014
TO: School Board Members
FROM: MaryEllen Elia, Superintendent
SUBJECT / RECOMMENDATIONS
Approve the Blanket Purchase Agreement with The HON Company (HON) Utilizing the State of Florida Division of Management Services (DMS) Furniture: Office and Files Contract #425-001-12-1 (Business Division)
EXECUTIVE SUMMARY
For years the district has standardized on HON furniture for a variety of chairs, teachers' desks, and office furniture.  We are requesting the Board approve a one-year blanket purchase agreement with HON to maximize the discounts offered for HON office furniture.

Knowing the volume of annual furniture purchases, we contacted HON to continue to secure a more favorable percentage discount.  HON has offered aggressive discounts under a blanket agreement that stipulates the district will purchase a minimum of $1,000,000 (based on list price) over the period of April 1, 2014 through March 31, 2015.  These are the deepest discounts available, ranging from 58.2 percent to 74.5 percent.  This agreement allows all schools and departments to receive the higher discount percentages regardless of the purchase order amount.  In the event the district fails to meet the annual purchase minimum, HON may choose not to extend the agreement beyond March 31, 2015; however, we expect to satisfy the purchasing requirements of the blanket agreement.

In accordance with the Florida Department of Education (FLDOE), Purchasing Policy 6A-1.012(5), as required by Section 1001.42(10)(j), F.S., the district school board shall receive and give consideration to the prices available to it under rules of the Department of Management Services, Division of Purchasing.

STRATEGIC OBJECTIVES
• Align financial resources to support the district’s strategic goals • Demonstrate best financial practices
FINANCIAL IMPACT (Budgeted:  Yes)
Year-to-date expenditures are $363,201 for 2013/2014, and $584,200 for the fiscal year 2012-2013.
EVALUATION
Contract administration or evaluation is performed by the Project Manager (end user) and Procurement Officer, who function as a team.  Reviews are conducted face to face, typically quarterly, or by utilizing an online vendor performance report.  Prior to soliciting a new contract, the Contract Administration team must first give consideration to the specifications and supporting data of the expiring contract.
SUBMITTED BY:  Kenneth Gerhart, Senior Procurement Officer, Procurement Department
Jean Bowman   Gretchen Saunders
General Manager, Procurement Department
(813) 272-4374
  Chief Business Officer
(813) 272-4270
    A 6.06
Hillsborough County Public Schools (Florida) * Mtg.#20140318_629 (Board Meeting) * Section A Item# 6.06