DATE: March 11, 2014
TO: Board of Supervisors
SUBJECT: ENHANCING PROCUREMENT OPPORTUNITIES FOR LOCAL BUSINESS (DISTRICTS: ALL)
The County of San Diego contracts with public, private, and non-profit vendors that provide vital goods and services to residents throughout the region. Through the County’s BuyNet procurement website, the Department of Purchasing & Contracting executes a competitive solicitation process that received a 2013 Achievement in Excellence in Procurement Award from the National Procurement Institute. The County is proud to contribute to the regional economy through streamlined procurement practices, innovative partnerships and award-winning programs.
Under current policy, the Department of Purchasing & Contracting allows a 1% preference for companies that are headquartered and/or have employees within the San Diego region. It is in the best interest of the San Diego County region to optimize the local preference to a level that will maximize contracting opportunities for local businesses and ensure that the County taxpayer receives the best quality and value for products and services. Businesses owned or operated by disabled veterans should also be considered for opportunities similar to those afforded to local businesses.
The County can take a leadership role in promoting best practices in purchasing by hosting a conference for other public agencies that are interested in collaborating on future procurement opportunities. Leveraging resources and making the County’s BuyNet advantages known to other government entities would expand local contracting efforts and assist partnering jurisdictions in achieving economies of scale.
SUPERVISORS DAVE ROBERTS AND GREG COX
- Direct the Chief Administrative Officer to research the impact of increasing the local business preferences from the current 1% to a rate that is most beneficial to County taxpayers and to the economy of the region, and to review relevant policies, certifications, and applicable legal requirements; and to assess the impact of adding a disabled veterans preference; and report to the Board within 120 days.
- Direct the Chief Administrative Officer to host a regional conference before December 31, 2014 that introduces our BuyNet best practices and facilitates opportunities for government agencies to leverage procurement actions among each other to achieve economies of scale.
There is no fiscal impact as a result of this action.
Business Impact Statement
Advisory Board Statement
San Diego County’s Department of Purchasing and Contracting (DPC) has been recognized by National Procurement Institute for its organizational excellence in public procurement by receiving The Achievement of Excellence in Procurement award continually for the past 13 years. This prestigious award is earned by those organizations that demonstrate excellence by obtaining a high score based on standardized criteria. The criteria are designed to measure innovation, professionalism, productivity, e-procurement, and leadership attributes of the procurement organization. DPC’s mission is to provide the most effective and efficient delivery of quality goods and services to County departments, ensuring that San Diego County taxpayers receive the best value for procured goods and services.
The County procures goods and services in excess of $1 billion annually. Currently, San Diego County gives local businesses a 1% preference in specified procurements.
With approval of these recommendations, the Chief Administrative Officer will research and propose potential changes that might increase the local preference to an amount that would provide an economic benefit to local businesses and expand the region’s revenue base while maintaining value for the taxpayer.
Additionally, considering the scope and volume of County procurements, other government agencies may benefit by cooperatively purchasing goods and services with the County of San Diego when it is efficient and cost-effective to do so. In order to achieve economies of scale and to enhance procurement opportunities within San Diego County, DPC would host a regional conference for government procurement officials before the end of the calendar year.
The County’s BuyNet system is used to publicize the County’s needs for procuring goods and services and is available 24-hours a day for vendors to view open solicitations, submit electronic responses, view current and past responses, and search earlier solicitations. By presenting the best practices of BuyNet to other government agencies in San Diego County, local businesses and governments will both jointly benefit from increased visibility and coordination of procurement opportunities.
Linkage to the County of San Diego Strategic Plan
Supervisor, Third District
Supervisor, First District
AGENDA ITEM INFORMATION SHEET
REQUIRES FOUR VOTES: [ ] Yes [X] No
WRITTEN DISCLOSURE PER COUNTY CHARTER SECTION 1000.1 REQUIRED [ ] Yes [X] No
PREVIOUS RELEVANT BOARD ACTIONS: N/A
BOARD POLICIES APPLICABLE: N/A
BOARD POLICY STATEMENTS: N/A
MANDATORY COMPLIANCE: N/A
ORACLE AWARD NUMBER(S) AND CONTRACT AND/OR REQUISITION NUMBER(S): N/A
ORIGINATING DEPARTMENT: Supervisor Dave Roberts
OTHER CONCURRENCE(S): Department of Purchasing and Contracting