eMARS User Group Meeting March 17, 2011

1. eMARS User Group MeetingMarch 17, 2011 Go Cats! Go Cards! Go Cards! Go Eagles!

2. Agenda Opening Remarks Ed Ross Smart Government Initiative Don Speer EO1/LOI/RFP Recap Don Speer Fixed Assets Jennie Wolfe Recent eMARS Issues Rachelle Wilkins KHRIS Data Rachelle Wilkins eMARS Upgrade Rachelle Wilkins The New Face of eMARS Barbara Aldridge-Montfort Financial Management Service Barbara Aldridge-Montfort Misc Items Barbara Aldridge-Montfort Q & A

3. Smart Government Initiative (SGI)Procurement Work Group

4. IT Contract Renegotiation • Renegotiate or rebid information technology contracts to achieve savings through the following means: • Ask vendors to reduce billing rates or commodity prices by an appropriate percentage, depending on the contract • To Date: AT&T has agreed to make significant payments to the Commonwealth (instead of providing discounts) on two statewide master agreements ($2 million savings) • Renegotiated Wireless contract - AT&T has sent payments to the Commonwealth totaling more than $367,000 • Renegotiated Kentucky Information Highway contract – AT&T has sent a payment of more than $492,000 • More than $1.2 million expected over the next two years

5. IT Contract Renegotiation - Cont • Review existing task orders to determine if the use of contractors for systems’ design and development services is appropriate. • Commonwealth spent approximately $34 million on 340 such contractors in FY10.

6. Temporary Workers • Agencies should be required to establish task orders with vendors that outline specific work duties and defined lengths of work established for all temporary workers • Agencies should have to justify all temporary labor workers that have been in the same department or position for more than two years

7. Janitorial Services • Contracts for janitorial services and supplies should be re-examined with the following recommendations: • Require the vendor to provide cleaning products and supplies • Reduce the frequency of floor care and pay for such service only when requested • Use inmate labor where practical/feasible • Develop a new solicitation for Janitorial Supplies Master Agreements to be used by agencies that have a need to provide their own products and supplies • Consolidate service contracts based on building proximity

8. Janitorial Services • The Cabinet for Health and Family Services (CHFS) reviewed their facilities statewide and reduced the number of Janitorial MA’s from 170 to 28 or a savings of about $350,000 annually • 14.3% savings by consolidating janitorial contracts for all CHFS owned or leased buildings • Unlikely that a smaller cabinet with fewer locations could achieve double digit percentage savings without a coordinated effort across several cabinets

9. Reverse Auctions • Utilize the reverse auction method of procurement when appropriate • Issue a competitive procurement to establish a Master Agreement with a vendor to conduct reverse auctions • Realized savings for other states using this method of procurement is 25 to 40 percent of commodity expenditures

10. Personal Service Contracts (PSC) • The Commonwealth spends in excess of $1.2 billion annually in PSCs • The cost of the services should be the primary evaluation factor in selecting a PSC vendor whenever appropriate • OPS should train agencies on the best practices for evaluating bid responses and procurement negotiations • Eliminate the requirement that a PSC terminate at the end of the biennium to garner greater savings for longer contracting periods • Eliminating this requirement for commodity and non-professional services has shown 5 to 10 percent savings

11. “Exceptions” Process • Adjust the Administration’s “exceptions” process under which the Finance Cabinet reviews procurements of all agencies in excess of $1,000 • Finance will delegate to the agencies the review of their own expenditures < $25,000, except: • IT • Printing • Fleet • Postal Services • Leases • Building Maintenance & Renovation • Agencies required to maintain an internal review process to provide data for compliance and audit

12. Office Supplies • The Commonwealth currently spends $14 million annually on office supplies (81% going to Cardinal Office Supply). • Recommendations to maximize the purchasing power for office supplies include: • Vendors should discontinue printing the office supply catalog • Commonwealth would receive approximately $30,000 in the year it is discontinued • Future savings would come from lower contract prices

13. Office Supplies • Agencies should review their copier contracts before ordering toner cartridges • Cartridges are included in the lease agreement, in most cases • Agencies should implement a recycling program for toner cartridges • Estimated savings of $95,000 per year • Agencies should set copiers to default to the 2-sided print setting • Agencies should print only the cover page and affected line items for all internal files on new contracts, modifications and renewals • OPS should review additional commodities to determine what items may be removed from the office supply master agreement • UK expects to save between $600,000 and $1.4 million annually through a similar process

14. EO1/LOI/RFPRecap

15. EO1 Process Changes Thresholds - changes for all types of requests except those managed by FAC Approvals- some types of requests will have other agency approvals before the EO1 document will go to final Action status changes- some types of requests’ action status will automatically change to approved

16. EO1- Type of Request The type of request field will drive the rules for the process changes so it is imperative that agencies make the correct selection. This field has been changed to a pick list instead of a drop down list.

17. EO1s = > $1000 No changes in process below Construction Services Postal Services and Equipment * Printing * Real Property Leases Vehicles * IT Hardware, Software, Services, Maintenance, Task Orders ARRA- Federal Stimulus * These types of requests will have a FAC office as the final approval. Upon approval, the action status changes to “Pending Review” and the EO1 will be placed on the agenda for the weekly meeting.

18. EO1s >= $25,000 EO1s >= $25,000 will follow the current process Memorandum of Agreement (MOAs) Grant Agreements University Agreements Temp Labor Task Order (Non-IT) Other Services, Non-Professional Furniture Equipment (Not IT) Other Goods

19. EO1s < $25,000 • Each agency is responsible for reviewing & approving EO1s < $25,000 • Memorandum of Agreement (MOAs) • Grant Agreements • University Agreements • Temp Labor Task Order (Non-IT) • Other Services, Non-Professional • Furniture • Equipment (Not IT) • Other Goods • The action status of EO1s < $25,000 will change to “Approved” upon final approval by the agency • The approved EO1 should be attached to the header of the initial procurement document • FAC will audit to ensure agencies are compliant

20. Important Reminder The approval of an EO1 means the items or services have been authorized to begin the procurement process. Agencies must procure these items or services according to procurement policies and procedures, administrative regulations, and statutes.

21. PSC – Letter of Intent (LOI) Agencies shall use the EO1 document to file the LOI with FAC Agency shall file a LOI with FAC for PSCs >= $10,000 Select “Personal Service Contract” from “Type of Request” pick list to route to OPS Select “Architectural & Engineering PSC” from the “Type of Request” pick list to route to DECA LOI shall be submitted no less than Two (2) weeks prior to the intended RFP issue date LOI will be reviewed and final approval given by FAC Agency is responsible for all approvals on PSCs < $10,000 NOTE: The agency is still required to have the Cabinet Secretary or designated agency head sign off on the expenditure. An original, signed by the Cabinet Secretary or authorized agency head, must be maintained at the agency level, unless the agency head applies an electronic approval in eMARS. Records will be audited for compliance.

22. (LOI) Purpose and Justification The “Purpose and Justification” field of LOI (EO1) must contain the following: Description of needed service Brief explanation of why the service cannot reasonably be provided by a state agency or state university Estimate of planned amount of work involved Estimate of contract cost per fiscal year-including anticipated amendments Agency contact person, if other than the requestor on the document If additional space is required a Word document may be attached to the header Enter “Additional information attached at the Header” in the “Purpose and Justification” field

23. Request for Proposal (RFP) ALL RFPs for PSCs, regardless of the dollar amount, shall be submitted to FAC for review prior to issuance When appropriate, cost shall be the primary evaluation factor in the awarding the contract Scoring criteria shall be communicated to the prospective offerors in the RFP Procurement Type must be changed to: 17 Personal Service Contract Will route to OPS for final approval 3 Architectural & Engineering Will route to DECA for final approval

24. Request for Proposal (RFP) The RFP shall be submitted to FAC at least 7 days prior to the intended RFP “Let Date” (published date) The agency shall enter the approved EO1/LOI Document Number in the Document Comments DO NOT attach the EO1 to the RFP header Upon approval by FAC the RFP will be posted to the Vendor Self Service (VSS) website

25. Additional Info More details on processes for EO1s, LOIs and RFPs, can be found in the presentations located: http://finance.ky.gov/business/procurementservices/procurementhowto.htm

26. Fixed Assets

27. Physical Inventory is Underway • Due Thursday, May 26, 2011 • Print and use report from infoAdvantage – Fixed Assets – Equipment (CAFR) • Give the auditor’s office 10 days advance notice of the date you plan to conduct the inventory • Inventory procedures and Document Samples are on the Office of the Controller Web site at: http://finance.ky.gov/ourcabinet/caboff/OOC/inventorycontrol.htm

28. Due by May 26 • Information due to the Office of the Controller by May 26 • Certification memo signed by the Property Officer and Fiscal Officer • Fixed Assets – Equipment CAFR report printed from infoAdvantage • Mark with F or M • Document log showing all Fixed Asset documents processed during the inventory period

29. SGI Vehicle Inventory • Newly required fields within the Component Line for vehicle FA’s • Surface Area – County code of vehicle assigned • Manufacturer – Make of the vehicle • Model Number – Model of the vehicle • Plat Number – Model Year of the vehicle • Serial Number – VIN number of the vehicle • Tag Number – License Plate Number on vehicle • Description Field Two – Gross Vehicle Weight • Description Field Three – Fuel Type of vehicle • Description Field Four – “Take Home” vehicle ? • Description Field Five – Class of vehicle determined by insurance

30. Component Line

31. SGI Vehicle Inventory • Property Officers will be contacted by Kim Moore, Office of the Controller • Please DO NOT make any changes until contacted by Kim • Spreadsheets will be utilized to make changes on existing eMARS documents • Once changes are in place each agency will be responsible for entering this information on future documents

32. Recent eMARS Issues

33. Recent eMARS Issues • Production delay - “Blinking” - VCUST Sections Freezing • IE8 recommended browser • Still researching with CGI and COT • infoAdvantage data not updated 3/8/2011 • Error in nightly cycle • Data corrected the following evening

34. Recent eMARS Issues • ePAY • Unavailable on 3/11/11 12:00 am until 12:30 pm • Problem with connection between ePAY Gateway server and FIS (ePAY merchant services provider) • Unavailable 8:20 pm (3/15) until 10:20 am (3/16) for agencies outside state network/firewall • Firewall issues • infoAdvantage – “An error occurred while trying to locate infoAdvantage Portal….” • Resulted from time change • Clear Cache - Instructions for IE8 and IE7 can be found on the eMARS News and Alerts Page http://mars.ky.gov/alerts/marsnewsalerts.htm • Contact CRC if you still have issues

35. KHRIS Data

36. KHRIS infoAdvantage Data • New Class (folder) within PER Universe (Personnel) • Sub-classes include • KHRIS Personnel Data • KHRIS Payroll Data • KHRIS Position Data • KHRIS Personnel Data Archive • Data Fields have been modified to match KHRIS data structure • Class scheduled for March 24, 1:00pm at KYTC Auditorium • Contact your Training Team Lead (TTL) for registration • Registration is limited to those who have access to personnel data

37. eMARS 3.9 Upgrade Update

38. 3.9 Upgrade Update • 3.9 Training going on currently • 3.9 Beta software to be installed in mid-April • 3.9 Beta Testing will begin late-April through mid-June • 3.9 Kentucky “Shakedown” testing will begin after year-end close out • Anticipated Go-Live April 2012

39. The New Face of eMARS

40. Logging In • Larger Font • No overlap of text and picture

41. Basic Navigation

42. New “Archetypes” • More contrast in text • New color scheme

43. Navigation Bar • Bigger Font • More contrast • Highlight for active bar • Collapsible!

44. Navigation Icons • Icons (and text) instead of text only • New “About” link • “Jump to” feature • Must know full Page Code • Pick List available

45. Document Navigation • Document Navigator • Sections of the document only • Collapsible! • Document Title Bar • Key Information • Quick Links

46. Accordions • Maximized – only see current section • Best for data entry • Expanded – current section expanded, others collapsed • Good for reviewing • Collapsed – all section on one line (below)

47. Tab View vs. List View • Tab view vs. List view • Tab View avoids scrolling vertically • List View still provided “classic” view • Documents default the Tab View

48. Document Navigation - Buttons • Display buttons will vary based on: • Status – Is the document in “Edit” mode? • Location – What section are you working? • Show Details setting – Is there one line or many? • Buttons are carefully placed: • Section-specific Buttons • Document Buttons – always in view

49. Federal Management ServiceFMS

50. Financial Management Service (FMS) • Reciprocity agreement between Commonwealth and U.S. Treasury • U.S. Treasury (Financial Management Service) will intercept federal payments if vendor owes funds to Commonwealth • Commonwealth will intercept state payments where vendor owes funds to the U.S. Treasury • Only payments currently eligible for intercept will be subject to intercept by U.S. Treasury 50