Light Duty Auto Parts WSCA Contract

1. Light Duty Auto PartsWSCA Contract May 18, 2010

2. Sourcing Team • Eileen Tardiff, California (Contract Admin.) • Bob Riola, California (Subject Matter Expert) • Susanna Hernandez, Arizona • Adrian Ruger, Utah • Jason Soza, Alaska • Tony Opalka, Idaho • David Reynolds, Oregon • Douglas Richins, WSCA (Advisor)

3. Brief Scope • All parts are for Light Duty vehicles • All parts covered are after-market parts • Items covered under this contract are “necessities”, not “nice-ities” • Examples of “nice-ities” would be paint, floor mats, seat covers, car fragrance, etc. • Contract expires December 31, 2012 • There are 2 one (1) year options to extend

4. Procurement Process • Fully compliant with California Law • Market research meetings were conducted with potential bidders • Conducted multiple meetings with the Sourcing Team • Notice of Procurement was released to all States • Collected intent-to-participate forms from states

5. Alaska Arizona California Colorado Hawaii Idaho Louisiana Maine Minnesota Nebraska Nevada New Hampshire North Dakota Oregon South Dakota Tennessee Utah Vermont Intent To Participate

6. Procurement Process (2) • RFP Release Date – September 16, 2009 • Proposal Submittal Date – November 4, 2009 • Proposals Received from 5 Suppliers • Multi-Phase Evaluation by Sourcing Team • Contracts Awarded to 4 Suppliers • Contract Start Date – April 30, 2010

7. 18 Awarded CategoriesSourcing team chose 1 comparable item per each category to evaluate; allowed for different discounts by category, creating opportunity of better competition within each category • Heating and Cooling (engine) • Lamps and Lighting and Mirrors • Oils and Lubricants (regular and synthetic) • Pumps (fuel and water) • Suspension, Shocks, Struts and Steering • Wipers and Washers • Winter Accessories • Air Conditioning • Alternators and Starters • Batteries • Bearings, Ball and Roller • Belts and Hoses • Brakes • Electrical and Ignition • Emissions and Exhaust • Engine and Drive Train • Filters (Oil, gas, air and trans) • Gaskets and Seals

8. Evaluation Criteria 2 Part Evaluation • Technical and Administrative (based on California law) – pass/fail • Cost - minimum percentage offered in each category - parts were chosen from 4 different fleet vehicles - one item per category, per vehicle - evaluated same item for 4 different fleet vehicles - items were totaled per vehicle where the competitive range was determined - all bidders within 20% of the competitive range received an award

9. Evaluation ComparisonAwards to any supplier within 20% of the computed average(Percentages are in parenthesis next to supplier name) O’Reilly: Crown Vic: $ 1385.11 Silverado: $ 1493.10 Impala: $ 1784.92 Caravan: $ 932.81 Total: $ 5595.94 Within 20%: 2.74% Autozone: Crown Vic: $ 1515.72 Silverado: $ 1582.85 Impala: $ 1506.82 Caravan: $ 922.25 Total: $ 5527.64 Within 20%: 1.48% B.O.R.A.S.: Crown Vic: $ 1231.17 Silverado: $ 1421.01 Impala: $ 1521.70 Caravan: $ 1043.30 Total: $ 5127.17 Within 20%: - 4.22% NAPA: Crown Vic: $ 1727.46 Silverado: $ 1799.99 Impala: $ 1639.41 Caravan: $ 1206.50 Total: $ 6373.36 Within 20%: 17.01% Computed Average :$5,446.92

10. Awardees NAPA Auto Parts B.O.R.A.S. aka Bucks Off Road and Automotive Supply O’Reilly Auto Parts (and all operating names such as Shucks, Kragen, etc.) AutoZone

11. Contract High Points • Discounts available to all participating states • Supplier to carry complete inventory available in the 18 specific categories from any make or model vehicle • Detailed usage reporting (depending upon state requirements) • Must offer lowest sale price within the nation if cheaper than the contract price • Dedicated contract websites • Offered discounts are the minimum • Short delivery times via retail store or delivery

12. Easy to Use Contract • Each supplier has a specific website for the WSCA contract with a private login – available from the supplier once your PA is in place • All Pricing will be listed on the webpage with the discount • Recommend that users “shop” each supplier so you get the best price for the part needed • Parts may be bought using P-Card, or by PO which is billed to the department • All suppliers offer delivery, in-store purchasing and on-line purchasing (see RFP for specific details)

13. Things to Understand… • Discounts are off of their price listed which could be extremely different from each other; each supplier develops their own list price; important to have suppliers compete for fair pricing • Some parts may have delivery charges depending upon whether the part is a stock item or something which needs to be ordered (i.e. engines, OEM parts) • Although this contract has a wide variety of categories for auto parts, not all vehicle items can be purchased on this contract (i.e. floor mats, seat covers, paint, etc.) • You may call suppliers and try to negotiate a lower price for quantity purchases or high dollar items…remember, the percentage bid is the minimum percentage off of each of the supplier’s price

14. State of California Web Site and Contact • State of California User Guide and Contracts http://www.pd.dgs.ca.gov/masters/Auto+parts.htm • California Contact Eileen Tardiff – Lead State Contract Administrator (916) 375-4390 or eileen.tardiff@dgs.ca.gov • WSCA webpage http://www.aboutwsca.org/contract.cfm/contract/w28-2008

15. WSCA Website and Contacts • http://www.aboutwsca.org/contract.cfm/contract/w28-2008 • Contact: - Kathryn Offerdahl, WSCA/NASPO Cooperative Development Analyst - Paul Stembler, WSCA/NASPO Cooperative Development Coordinato shared email address:wncoopdt@gmail.com

16. Next Steps • Each Participating State needs to execute a Participating Addendum with selected contractors • Participating Addendum Process

17. Where’s the Information • WSCA Website: aboutwsca.org - Auto Parts Webinar Power Point Presentation - Sample Participating Addendum - WSCA Agreements Per Supplier - Completed Individual State Participating Addendums

18. Through the Participating Addendum, States May… Limit Awardees Include unique required Terms and Conditions Add an administrative fee Request state-specific reporting or requirements

19. Participating Addendum Process

20. PA Process All 50 states and The District of Columbia have executed the NASPO Cooperative MOA, allowing them to be eligible to use any WSCA-NASPO cooperative Master Agreement 2014 WSCA-NASPO PA Process 20

21. Opportunities for Participation Three Options for Participation State signs a Participating Addenda for entire state Every legally eligible entity in the state can participate State signs a Participating Addenda for non state entities Every legally eligible entity that is not a STATE agency can participate State does not sign a Participating Addenda Political subdivisions wishing to participate may contact the WSCA-NASPO Cooperative Development Coordinator (WNCDT) who will contact the STATE CHIEF PROCUREMENT OFFICIAL asking for approval for that entity to sign their own Participating Addendum. Entities may be given approval on an individual basis or State CPO may give approval to all entities within the state to execute their own Participating Addendums. WSCA-NASPO PA Process 21 2014

22. Participation Opportunity #1 • Step by Step: • Participating Addendum templates are available on each Master Agreement page on www.wsca-naspo.org • States may have submitted Intents to Participate during solicitation, this will provide the information for contractors to contact states interested in signing a Participating Addendum. • States may also contact contractors directly to begin Participating Addendum process. • State Chief Procurement Officials (or designated representative) will be the signatory on the Participating Addendum. They will also be the WNCDT point of contact throughout the process. • State completes the draft Participating Addendum for each contractor and then forwards the draft to the contractor. Negotiations will be handled directly between state and contractor. Upon agreement, the state sends a final copy of Participating Addendum to the contractor for signature. • Contractor signs Participating Addendum and sends back to state for signature. • State sends fully executed copy to both contractor and WNCDT at PA@wsca-naspo.orgExecuted Participating Addendum will be maintained in a repository. 2014 WSCA-NASPO PA Process 4

23. Participation Opportunity #2 • Step by Step: Same Process as Opportunity #1 • Participating Addendum templates are available on each Master Agreement page on www.wsca-naspo.org • States may have submitted Intents to Participate during solicitation, this will provide the information for contractors to contact states interested in signing a Participating Addendum. • States may also contact contractors directly to begin Participating Addendum process. • State Chief Procurement Officials (or designated representative) will be the signatory on the Participating Addendum. They will also be WNCDT point of contact throughout the process. • State completes the draft Participating Addendum for each contractor and then forwards the draft to the contractor. Negotiations will be handled directly between state and contractor. Upon agreement, the state sends a final copy of Participating Addendum to the contractor for signature. • Contractor signs Participating Addendum and sends back to state for signature. • State sends fully executed copy to both contractor and WNCDT at PA@wsca-naspo.org • Executed Participating Addendum will be maintained in a repository. 2014 WSCA-NASPO PA Process 5

24. Participation Opportunity #3 Step by Step: Participating Addendum templates are available on each Master Agreement page on www.wsca-naspo.org An email request should be sent to PA@wsca-naspo.org from entity (email may also be sent from contractor). The email needs to provide the following details: main point of contact from entity, full name of entity, phone number, email address and physical address. WNCDT will email State Chief Procurement Officer requesting approval for the entity to execute a Participating Addendum. WNCDT will email both contractor and entity with the permission from Chief Procurement Official to proceed to complete the Participating Addendum. Entity completes the draft Participating Addendum for contractor and then forwards the draft to the contractor. Negotiations will be handled directly between entity and contractor. Upon agreement, the entity sends a final copy of Participating Addendum to the contractor for signature. Contractor signs Participating Addendum and sends back to entity for signature . Entity sends fully executed copy to both contractor and WNCDT at PA@wsca-naspo.org Executed Participating Addendum will be maintained in a repository. 2014 WSCA-NASPO PA Process 6

25. PA Process Flow Chart 2014

26. Sample PA’s are located on the WSCA-NASPO Website under each master agreement portfolio. Executed Participating Addendum will be maintained on www.wsca-naspo.org and in a repository. Participating states and entities will be identified on the map of the USA on each Master Agreement page on www.wsca-naspo.org Contractors are encouraged to create and maintain state and/or entity specific web pages on their main Master Agreement website. Final Steps 2014 WSCA-NASPO PA Process 26

27. Thank You Please let WSCA-NASPO know if we can be of any assistance: Tim Hay, WSCA-NASPO Cooperative Development Coordinator thay@wsca-naspo.org (503) 428-5705Paul Stembler, WSCA-NASPO Cooperative Development Coordinator pstembler@wsca-naspo.org (651) 206-3858 * WSCA-NASPO Point of Contact for these Master Agreements. 2014 WSCA-NASPO PA Process 27