Contracts, Procurement, and Risk Management (CPRM)

1. Open Forum Contracts, Procurement, and Risk Management (CPRM) Wednesday, November 18, 2009 9:00 a.m.

2. Pandemic Press

3. The symptoms • headache • irritability • muscle aches • nausea • blurred vision • dehydration

4. The cause: The Wine Flu!

5. The symptoms • depression • frustration • helplessness • overwhelmed • disbelief

6. The cause: The Whine Flu!

7. Topics of the Day • Zip Car Introduction: Business Use Overview • Cal Poly Trademark and Licensing Policy • Updated Release Agreements • DVBE/SB Updates • Sustainability • P-Card updates • Cost Saving Review Service • Event Planning updates and reminders • Q & A

8. ZipCar Introduction: Business Use OverviewPresented by Susan Rains

9. GuidelinesBusiness Use Sign-Ups • Cal Poly employees that need to use a ZipCar for State business may be eligible for a Business Use Membership subject to Department approval. • Cal Poly employees requiring a Business Use Membership will submit their names for approval to the appropriate Approving Official. • Department Approving Official will submit approved name(s) with associated speed chart number to Susan Rains, Commuter Services Coordinator, for membership application. • ZipCar will respond with the Business Use Membership info to the new Business Use Member and to the Department Approving Official. • Business use membership is free to Cal Poly Employees.

10. Business Use Membership Guidelinesfor Cal Poly Employees • All Business Use Memberships for Cal Poly employees shall be pre-approved by their department administration. • All payments for ZipCar use on State business will be via a department chargeback process. • Cal Poly employees using a Zipcar under their business use membership shall not use the vehicle for personal use. • Cal Poly does not allow any staff reimbursements for ZipCar usage, whether the usage is business or personal.

11. Business Use Membership Guidelinesfor Cal Poly Employees • Cal Poly employees shall not “hand off” their Business Use Membership card to a student for ZipCar rental for State or personal use as this will invalidate insurance coverage. • Cal Poly employees shall not require students to use their Personal Use membership for any State business as this will invalidate insurance coverage. • The only person that can drive the ZipCar is the account holder for that specific reservation. The user cannot allow anyone else to drive the car during their reserved time • Zip Car members are responsible for: - reporting vehicle cleanliness issues after use (ie: I spilled coffee on seat), - ensuring vehicles are fueled when required, and - reporting any accident/damages as a result of use.

12. ZipCar Business Usage Billing Process • After use of the vehicle, the Business Use Member and the Department Approving Official will receive an e-mail statement from Zip Car. (No payment action is required at this time.) • Upon receipt of the ZipCar monthly billing, Accounts Payable will chargeback each business user’s department via speedchart for their use. • Cal Poly Accounts Payable will make the monthly payment to ZipCar. • The Business User and Department Approving Official should validate the chargeback using the e-mailed ZipCar use statement received at the time of the reservation. • Cal Poly and ZipCar will develop Usage Data Reports for use by the departments.

13. A Reminder About Personal Use Memberships by Faculty, Staff and Students • Students shall not use their Personal Use Membership card to rent ZipCars for use on State business. This includes any requests by faculty or staff which would require ZipCar rental. • Cal Poly employees shall not use their Personal Use Memberships for State business use. • Cal Poly does not allow reimbursements for ZipCar usage, whether the usage is business or personal. • The only person that can drive the ZipCar is the account holder for that specific reservation. The user cannot allow anyone else to drive the car during their reserved time. • ZipCar members are responsible for: - reporting vehicle cleanliness issues after use (ie: I spilled coffee on seat), - ensuring vehicles are fueled when required, and - reporting any accident/damages as a result of use

14. Cal Poly Trademark and Licensing Policy Purpose • Cal Poly Trademark Licensing Program exists to protect and promote the trademarks (names, marks, logos) of California Polytechnic State University. • July, 2009 - Cal Poly partnered with Collegiate Licensing Company (CLC) to assist in the implementation and management of our licensing program.

15. Trademarks

16. Goals of Trademark Licensing Program • Promote and protect Cal Poly marks through implementation of a management system. • Fulfill the legal obligation to protect the marks. • Protect the consumer from deception or from faulty or inferior products and services bearing the University's marks. • Provide fair and equitable treatment of all licensees. • Earn royalties for the benefit of the University.

17. Campus Departments • Must source commercial and consumer products bearing any Cal Poly trademark through a licensed vendor. • Commercial and consumer products include goods for resale, or to be given away. • Items used for promotional purposes (giveaways, etc.) are considered commercial.

18. Official University Business • Print products used for official University business are excluded from the licensing requirement: • Business cards • Letterhead • Envelopes • University publications • Advertising for purposes of institutional and event promotions • Require appropriate use of University marks per Print Graphic Identity Standards on Public Affairs website. www.publicaffairs.calpoly.edu • Print Partners can be found on the CPRM website.

19. Getting Merchandise Produced & Approved • Step One. Check our website for the current list of licensed manufacturers, screen printers, or local retailers. • Step Two. Check the royalty exemption chart and determine if your product is exempt or non-exempt. • The manufacturer will require the exemption status and how the product is being used. • Step Three. If you have decided to have emblematic merchandise produced, supply the licensed manufacturer with your art work.

20. Getting Merchandise Produced & Approved (cont.) • Step Four. The manufacturer will submit the artwork electronically, via the CLC website, for approval by the Trademark Licensing Coordinator. • If the request is not approved, the Trademark Licensing Coordinator will identify required changes before the artwork can be approved. • Step Five. Once approval is received, the manufacturer can complete the order. • Timeframe: 48 hours

21. ROYALTIES • All products are royalty bearing unless shown as exempt on the Royalty Chart. • General rule: A product is generally subject to royalty fees if a University trademark is utilized and the product is for (1) resale and (2) profit, e.g. fundraising, etc.

22. ROYALTY EXEMPTIONS • A product purchased by the University or a University recognized student club or organization for: • Internal consumption. • For sale at cost to their members. • Promotional products given away by these groups are considered products for internal consumption. • Excess product cannot be sold to non-members, but can be given away to non-members. • Advertising rights to use the Marks as granted in corporate sponsor agreements.

23. Contacts • Trademark Licensing website: http://trademark.calpoly.edu • Licensing Coordinator: Kim Shank, x65306

24. Updated Release Agreements • Agreement to accept financial responsibility for personal injury during voluntary activities. • Many versions are in use across campus • Field trips, sports, fun runs, recreation events

25. Updated Release Agreements • Executive Order 1041 – Student Travel Policy • Provides common language for releases • The risky part of most of these activities is the travel to and from the event. • The more specific the better

26. Updated Release Agreements • UNIVERSITY RELEASE AGREEMENT • RELEASE OF LIABILITY, PROMISE NOT TO SUE, ASSUMPTION OF RISK AND AGREEMENT TO PAY CLAIMS • New version on Risk Management web site: http://www.afd.calpoly.edu/cprm/releaseagreements.asp?pid=5

27. Updated Release Agreements • Changes include: • Longer title • Plain language that they “promise not to sue” • Bold text for key phrases • Emphasizes “travel to, from and during” the activity • The form still needs to be customized for specific activities.

28. DVBE Updates • Changes to DVBE Participation(Disabled Veteran Business Enterprise) This past July, California Senate Bill 115 was passed and changed the State of California’s requirement for meeting DVBE goals in public agency contracting.

29. DVBE Requirements • The simple requirement of a “Good Faith Effort” has been removed. • California law now requires that state agencies achieve a mandatory 3% participation of DVBE’s in state contracts.

30. DVBE Definition • In accordance with CSU Policy: “Disabled veteran business enterprise contractor, subcontractor, or supplier,” means any person or entity that has been certified by the Office of Small Business and DVBE Services and that performs a “commercially useful function” in providing services or goods that contribute to the fulfillment of the contract requirements.

31. DVBE Participation In order to satisfy this requirement, Cal Poly will purchase from DVBE suppliers and contractors who meet the 3% DVBE requirement by: • Being a registered California DVBE (see links next page) and committed to performing not less than 3% of the contract dollar amount with its own forces or in combination with those of other DVBE’s; • If not a DVBE, supplier is committed to use DVBE’s for not less than 3% of the Contract dollar amount

32. Resources and Information • Bid Sync: http://www.bidsync.com/DPXBisCASB • Contracts, Procurement, and Risk Management, Leah Kirklin, lkirklin@calpoly.edu, (805)756-5455. • CA Small Business and DVBE Serviceswww.dgs.ca.gov– (916)375-4940 • Compliance News www.compliancenews.com • Networking with DVBE commodity and service providers • Vendor Conferences

33. Sustainability • Cal Poly Earns Top Grades for Sustainability: • GreenReportCard.org has named Cal Poly a Campus Sustainability Leader for 2010 for its ongoing efforts in sustainable campus practices - the only California State University campus to earn the award. • Thanks to Cheryl Mollan, LEED-AP Project Manager, and her team.

34. LEED & Sustainable Purchasing • Cheryl Mollan LEED-AP • Project Manager, Project Administrator for LEED O&M • Email: cmollan@calpoly.edu • Phone: (805) 756-2304

35. LEED O&M • LEED O&M • Leadership in Energy and Environmental Design Operations & Maintenance • Product / Program developed by US Green Building Counsel (USGBC) • Offers 3rd party verification of sustainable practices • 6 Categories and 92 Credits total • Sustainable Sites • Water Efficiency • Energy & Atmosphere • Materials & Resources • Indoor Environmental Quality • Innovations in Operations

36. Materials & Resources • Reduce the quantity of waste while improving the building environment • Materials brought into building- • Sustainable Purchasing through material selection • Materials taken out of the building- • Recycling, Reuse

37. Sustainable Purchasing • Ongoing Consumables- • paper, notepads, envelopes, toner cartridges, batteries, desk accessories • Points per credit increment: 40%, 50%, 60% • Purchases contain: • 10% postconsumer and/or 20% postindustrial content • 50% rapidly renewable material • extracted and processed 50% within 500 miles • 50% Forest Stewardship Council (FSC) certified paper products • Rechargeable batteries

38. Sustainable Purchasing • Durable Goods • Electric-Powered Equipment • ENERGY STAR • Furniture 40% of total purchase • 10% postconsumer and/or 20% postindustrial • 70% material salvaged from off or onsite • 50% rapidly renewable material • 50% FSC certified wood

40. P-Card updates • Status of the CSU RFP

41. Cost Reduction Initiative • These difficult economic conditions challenge us to look for more cost effective use of our available budgets. • Procurement is developing reports to help analyze departmental purchasing patterns. • This info will be used to help departments determine more cost effective purchasing choices.

42. Cost Analysis Service • CPRM will offer their analytic services to departments wishing to find ways to reduce their purchasing $ spent. • We expect to have this service available in Jan. • If you would like to volunteer your department to participate in the initial analysis, please contact Greg Melnyk at 6-5457.

43. Event Planning Updates and Reminders • We have seen an increase in the number of events planned by clubs, student class projects and senior projects where one of the objectives is to raise money. • If Club activities include fund raising, and the $ are destined for club use, be reminded these fund raising activities and fund uses are overseen by Student Life and Leadership and the funds collected are treated as State funds, and their use must follow State guidelines.

44. Event Planning Updates and Reminders • If student class projects or senior projects involve fund raising, and the $ are destined for College/department use, be reminded these fund raising activities and the funds collected must be coordinated through their respective College Advancement offices. • If student class projects or senior projects involve fund raising, and the $ are destined for some other outside use, be reminded the funds collected are treated as State funds, and their use must follow State guidelines. (eg: cannot be used as charitable donations)

45. Shipments arriving from International sources • Requests from campus customers for Contracts and Procurement to arrange customs clearance of goods from international sources seem to be increasing. • We generally find out after the fact (goods arrive at Port of Entry and we need to provide Customs Clearance) without background info. • Goods are sometimes purchased but most often loaned or donated.

46. Shipments Arriving from International Sources • New US Customs and Homeland Security rules require document filing prior to shipment of goods from international sources starting Jan 26th, 2010. • This applies to all goods whether purchased, loaned or donated. • Failure to do so will result in rejected shipments or substantial delays, exams and penalties. • Please contact Contracts and Procurement at least 30 days prior to shipment from international source.

47. Surplus Property And Moving • Internal Reallocation: • Come visit the surplus warehouse. It’s located in building 50J, off of Mt. Bishop Rd on the west side of parking lot H-1 • Visit the on line auctions. Navigate to www.publicsurplus.com . After you have logged in, select California under the Region pull down menu and Cal Poly SLO under the Agency pull down menu. View current auctions. • All auctions with an icon of a key are for internal reallocation. • Internal reallocation lasts for 14 days, then the auction goes up for public sale.

48. Surplus Property And Moving • Creating an account: • 1) Navigate to: www.publicsurplus.com/CA/calpoly/employee • 2) Enter Registration Code: WAGE 93 MANN 75 • 3) Complete the rest of the form and register **Request registration instructions and code by email… surplus@calpoly.edu