Procurement

1
Procurements Role in Business Continuity
Planning

• By
• Gregory Maynard - SLCSD
• Contributors
• Nora Laudermilk West Palm Beach, FL
• George Zsidisin Michigan State University
• Robert Combs Chandler, Arizona
• Others

2
Presentation Goals

• Provide A Background
• Provide Ideas
• Cause you to THINK

3
What is the business of your organization?

• City, County or State
• Public Services
• Public Safety
• Public School, College or University
• Education
• Student/Faculty Safety

4
What is your organization doing to insure that it
will be around to provide these services?

• Planning

5
Business Continuity Planning

• What is it?
• It is having the processes, procedures,
  escalation paths and backup support plans in
  place to ensure that the organization continues
  to operate should an interruption and/or crisis
  occur.

6
Critical Elements of Continuity Planning

• Top management commitment
• Ongoing Preparedness
• Risk Assessment
• Speed and Responsiveness
• Other Considerations

7
Top Management Commitment

• Directives communicated to employees
• Commitment of Resources
• Assigned Accountability and Authority
• Established Measurement Metrics
• Dissemination of Information
• Adopting Policies and Procedures

8
Ongoing Preparedness

• Mandatory Training
• Briefings
• Drills
• Reviews and Update of plans
• Situations change
• People come and go

9
Risk Management

• Examine Likelihood Potential
• Manmade Terrorism, Power Outages, Chemical
  Hazards
• Natural Floods, Tornadoes, Draughts,
  Earthquakes, Winter Blizzards
• Health Avian Flu, Anthrax, SARS
• Infrastructures Buildings and Locations
• Suppliers Their ability to survive and perform
• Create a matrix

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Risk Matrix





8
9
5
10
7
7
9
4
8
6
5
3
6
7
8
2
4
7
5
6
Likelihood
3
4
1
2
5
Probability
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Speed and Responsiveness

• Separate Plans
• Emergency Response
• Disaster Recovery
• Flexible Responses
• Agile Contracting
• Simplified Procedures
• Mutual Agreements of Understanding
• FAR

12
Other Considerations

• Employee treatment
• Manual Operations vs. Automated
• Financial and Legal Impacts
• Political Impacts

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What should be in it?

• Chain of Succession
• Pre-delegation of Emergency Authorities
• Emergency Action Steps
• Designation of Emergency Operating Centers (EOCs)
• Designation of Alternate Work Sites and EOCs
• Safeguarding Essential Records

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Contents Continued

• Alert and Warning Procedures
• Emergency Public Information
• Protection of Resources, Facilities and Personnel
• Training and Exercises
• Recovery Priorities
• Web Site www.fema.gov/plan/ehp/response.shtm

15
Continuity Planning Process Review

• Step 1 Analyze Risk
• Identify
• Do Impact Studies
• Develop Mitigation Strategies
• Step 2 Prepare Plans and Train
• Step 3 Test the Plans
• Step 4 Evaluate and Modify
• Step 5 Repeat the Process

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Any Questions ?

• Freeway Crash Fire 5/07

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What is our role in continuity planning?

• That Depends!
• On What Step?
• Planning(Mitigation Preparedness)
• Response
• Recovery

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PLANNING - HAVE YOUR OWN PLAN .

• Everyone should be involved
• Talk about it
• Practice it
• Remember, there is a reason we should have
  earthquake fire drills.
• When the water is rising,
• is not the time to look
• for a sandbag vendor.

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Items To Be Addressed In Planning

• Workers/Employees and Their Families
• Facilities and Data
• Status and Backup
• Continuity of Business
• Inventory of Building Contents
• Damage
• Replacement
• Customers and Suppliers
• Disaster - Public Information

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Disaster Manual

• Procedures
• Emergency Employee Information
• Agreements with Other Purchasing Agencies MOU
  (PREP)
• Procurement Card Information, Generic Vouchers
• Warehouse Listing
• Vendor Listing
• Vendor Emergency Information
• Contracts and Price Agreements
• FEMA Documents
• State Resources
• Purchase Order Log
• Maps by City County

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Other Tools

• Contracts
• Disaster Debris Removal Disposal Services
• Heavy Equipment Rental
• Mold Remediation (Industrial Hygiene Services)
• Generator Other Equipment Rentals
• Roof Repair and Replacement
• General Construction Building Repair
• Ice (in Summer) Blankets (in Winter)
• Rental of Portable Toilets
• Repair and Replacement of Fencing

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Other Contracts

• Optional Contracts
• Canal Cleaning
• Food Catering
• Tent and Chair Rental
• Rental of Roll Off Trash Containers
• Warehouse stock of safety supplies
• Bottled Water
• Prescriptions
• Transportation bus, taxi, other
• Laundry supplies or services
• Mobile phones or phone cards
• Hygiene kits
• Plastic wrap

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Other Tools

• Special set of purchase orders
• P805600
• E800001
• Listing and phones of key contractors and vendors
• Equipment rental, food, water, etc.
• Printout of all vendors by commodity
• List of essential personnel and cell phones
• Your Staff
• Key Agency Staff
• Key contracts, notify (time permitting)
• Debris, call and place on alert
• Monitoring, generators, equipment rental, etc.

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More Things to Consider

• MOU with other agencies local distant
• Rent refrigerated trucks
• Have 2 days before storm and fill to capacity
  with bagged ice and food, time permitting
• Final warehouse/stock inventory
• Counts and Dollar Amount
• Listing of other Purchasing Agencies
• NIGP - Utah Chapter Directory
• EdPAC Directory
• Contracts and Price Agreements
• Copies in Binder
• Pre-printed Vouchers to give to displaced persons
• Inventories of what is in your building
• Copies in Binder
• For Insurance and replacement purposes
• Personal items too!

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Communication Plan

• Radios
• COWs
• Cell sites On Wheels
• Three mile radius
• Place strategically
• Single most important item that will fail

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POs, Procurement Cards Vouchers

• Manual P O system
• Vouchers
• Medical needs
• Transportation needs
• Procurement Cards (P-Cards)
• Secured until disaster or used daily
• Raise limits
• Keep list at home or a secure place
• Bank numbers

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Training Exercises

• You must practice
• Training Exercises will bring out your
  shortcomings and help you gain confidence.
• The Process Outline

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The Exercise Development Process

• ORIENTATION Key players review plans
  procedures, ask what if.
• DRILL Test equipment personnel
• TABLETOP Key players react to a scenario group
  problem solving
• FUNCTIONAL Evaluate a function Measure
  resource adequacy
• FULL-SCALE large scale, top to bottom use of
  equipment personnel, multiple agencies involved.

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EVALUATION

• Review what worked and what did not.
• Make corrections.
• Prepare for the next exercise.

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Response -

• Stay Calm
• Check to see that you and others are ok help
  those needing assistance.
• If able, put your
• plan into effect.
• Check your phones
• Contact suppliers
• Respond to requests

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FEMA GUIDELINES

• Procurement must follow FEMA guidelines in order
  to ensure reimbursement from the federal
  government by
• Retaining original receipts and documentation
• Making no contract or purchase contingent upon
  federal reimbursement
• Making emergency p.o. or contracts site
  specific
• Rent or lease equipment instead of buying
• Document in detail all oral requests
• Require that all bid, performance and payment
• bonds are issued

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FEMA GUIDELINES Continued

• Encouraging contractors to support local economy
  by including a provision that requires
  contractors to use materials and supplies and
  hire laborers to the extent possible within the
  disaster area.
• Utilizing contracts for removal of debris or
  wreckage on fixed price or unit price

Know the Rules!
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FEMA CATEGORIES

• Category A Debris Removal
• Category B Emergency Protective Measures
• Category C Road Systems
• Category D Water Control Facilities
• Category E Building and Equipment
• Category F Utilities
• Category G Parks, Recreational, and Other

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Disaster Related Charges

• Was it damaged as a direct result of the
  disaster?
• Is this needed as a direct result of the
  disaster?
• Was the health, safety or welfare of people at
  risk?
• What was damaged? Item, asset , serial number,
  etc.
• When was it damaged?
• Why is this needed/ Power shortage, flooding,
  etc.
• Example
• Incomplete Floodwaters washed away a 20 foot
  section
• of road embankment.
• Complete Floodwaters washed away a
• 20L x 5W x 10H section of earthen embankment
  along a secondary two-lane asphalt paved road,
  resulting in
• travel being restricted to one lane.

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RECOVERY

• Any activity to return vital life-support systems
  to minimum operating standards and such activity
  designed to return life to normal or improved
  levels
• Crisis Counseling
• Debris Removal
• Reconstruction
• Loans and Grants
• Rebuilding

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• DOCUMENT
• DOCUMENT
• DOCUMENT
• Before, During and After

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Review
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Decisions

• Remember that the most important decisions you
  will make with regard to an emergency are the
  decisions that you make before it happens.
• Thank You