Method of Supply Analysis Overview & Action Plan

1. Method of Supply Analysis Overview & Action Plan Fire Equipment, Supplies, and Services Acquisition (FESSA) Analysis Team USDA Forest Service Acquisition Management Updated as of 7/21/2005

2. FESSA Topics • NAPA Report Overview • Summary of NAPA’s Recommendations • Congressional Direction • Forest Service Action Plan Overview • Forest Service Action Plan Milestones • Communication • Forest Service Focus Areas • Current Status • Next Steps Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

3. NAPA Report Overview • Study entitled Containing Wildland Fire Costs: Improving Equipment and Services Acquisition • Published in September, 2003 • NAPA estimates that land management agencies could save 10+% on fire-related acquisitions over a five-year period • Report describes study methodology, success stories, findings, and recommendations. Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

4. NAPA’s Recommendations Findings • Other agencies have used method of supply analysis to save money. • The wildland fire agencies lack a strategy for analyzing method of supply. • A permanent staff is required to conduct this effort. Recommendations – Analyze the following opportunities: • An interagency approach to wildland fire-related services, such as fuels reduction and rehabilitation and restoration activities • National contracts, such as the national mobile food service contracts • Cache system • Ordering supplies from GSA BPA’s • Acquiring new technologies, such as GIS • Fire facilities construction centralization • Incident car rentals • Non-fire incident support Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

5. Congressional Direction • The Committee notes that findings from a report by the National Academy of Public Administration state that the Forest Service and the Department of the Interior could substantially reduce wildfire suppression costs by employing “method of supply” analysis processes to their procurement activities. The report cites examples where other Federal agencies have reduced procurement costs, identifies numerous activities within the wildland fire fighting organization where savings could be achieved, and notes the Forest Service culture and decentralized procurement organization as being barriers to achieving such savings. The Committee expects the Agency to apply method of supply analysis to its wildfire suppression procurement activities. To support this effort, [application of method of supply] the Committee directs the agency to increase its procurement capacity by staffing no less than five additional and dedicated procurement officials to this effort with the goal of reducing wildfire preparedness and suppression procurement costs by at least 10 percent over the next 2 years. Recognizing that most cost savings will occur in the suppression category, the Agency should fund this investment in increased capacity from wildfire suppression funds. The Agency is expected to keep the Committee informed of its progress in implementing this direction. Language from FY 2005 Appropriation, P.L. 108-447 Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

6. = Management Commitment Points FS Action Plan Overview Validate As-Is & Prepare Business Cases Start-Up & Planning Develop As-Is Design To-Be Implement To-Be Obtain approvals from interagency staffs and governing bodies Form implementation teams Develop project plans and milestones for rollout Complete Forest Service FESAA core team & ID SMEs Access electronic data sources Review prior studies and current initiatives Develop Planning materials Begin interagency coordination Secure consultant support Three focus areas: National contracts Regional / GACC contracts, incl. EERAs Fire caches Describe fire acquisition roles & processes Begin to utilize SME network Wide review of As-Is documents Develop business cases for change Develop project plans for To-Be analyses Provide report on potential of all NAPA demos Identify interagency leading practices High SME involvement in designing solutions Leverage consultant expertise in private sector practices Build on past recommendations and efforts Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

7. FS Action Plan Milestones Task Estimated Completion by • Develop Planning Materials Aug, 2005 • Identify SMEs Aug, 2005 & Ongoing • Hire All Team Members Sept, 2005* • Describe As-Is Processes and Methods Nov, 2005 • Validate As-Is and Prepare for To-Be Jan, 2005 • Develop Project Plans Feb, 2006 • Design To-Be Processes and Methods Ongoing, with first project by May, 2006 • Implement Results Ongoing, as To-Be projects are completed • Communications & Coordination Ongoing * Filling both vacancies is critical to meeting future deadlines. Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

8. Communication – A Key to Success • Formal correspondence: • AQM / FAM letter announcing FESSA effort • Quarterly updates (Congress, other interested parties) • Controlled correspondence transmitting key deliverables • Data calls? • Informal correspondence: • Email updates and requests for information • Circulation of draft deliverables • Team room (created) • K:/ drive space for FESSA documents (created) • Web site? • Interagency communications: • Monthly meetings • Utilize DOI SME network • Share draft deliverables • Coordinate actions / next steps Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

9. Focus Area Overview • National Contracts • ex: Airtankers, showers, food service, helicopters, retardants • Regional & GACC contracts, including EERAs • ex: Rental vehicles, equipment (dozers, tenders, engines), communications (cell, internet, fax), helicopters • Fire Cache • 11 locations (9 FS, 2 BLM) • ex: PPE, tents, tools, radios, batteries, etc. GACC Contracts National Contracts Regional Contracts Incident Support EERAs Cache GSA Schedule Items Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

10. Current Status • Hired one FESSA team member (Mgmt Analyst – June, 2005) • Vacancy announcement for 2 Procurement Analysts will be published on USAJOBS in the next few weeks • Collected documentation of past reviews • Internal (FS, interagency) • NWCG / WFLC Reports • GAO Audits • OIG Audits / Reviews • Held initial meeting with DOI-OWFC to discuss coordination of the FESSA effort • Set-up and obtained access to incident business mgmt databases (I-Suite, EERA, ROSS) • Identifying and meeting with SMEs • Identifying parallel efforts that may impact or overlap with FESSA analysis Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

11. Next Steps • Complete FESSA Analysis core team • Complete project planning documents: • Charter • Program Management Methodology • Timeline and Milestones • Initial correspondence to FAM / AQM • Continue to identify and interview SMEs, including those involved in similar efforts • Identify and obtain training on databases • Begin to develop the As-Is organization Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis

12. Points of Contact • Forest Service • Ron Wester, AQM, (703) 605-4665 • Sarah Clore, AQM, (703) 605-4669 • Department of the Interior • Barb Loving, OWFC, (202) 606-3108 Fire Equipment, Supplies and Services Acquisition (FESSA) Analysis