SSJF Pt I II B 16581 SPO Approved 10 28 20_ bkm ehd.pdf

Sole Source Justification Form

Version 7.01 Page 1 of 5

Bulletin Reference Number 21-416CMS-BOSS4-B-16581

Requesting Agency/University CMS

Sole Source Justification Form - Part I Section I - General Information

Department/Bureau/Section: Central Management Services - Bureau of Strategic Sourcing

Need Identified Date: Feb 24, 2020 Supply/Service Need By Date: Nov 5, 2020

Project Title: JPMC SUP Personal Care Products SS

Vendor: Elm City Rehabilitation Center, Inc.

Provide a description of the supplies or services required: Personal care and hygiene products

Value: Estimated Value of Initial Term, this Change Order or Amendment: 174,200

Will this Sole Source amend a Professional or Artistic Services contract? Yes No

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Type: New Sole Economically Feasible Source

Section II - Proposed Term

One-Time Purchase Term Contract

Estimated Contract Begin Date: Nov 20, 2020

Estimated Contract End Date: Nov 19, 2021

Number of Potential Renewals: 0

Length of Each Renewal in Months: 0

Total Value of All Renewals: 0

If a Term Contract, does the term, including renewals, exceed 12 months? Yes No

Section III - Funding Source Select the type of funding to be used (Check all that apply): State Appropriate Funds Federal Funds Other (Explain):

Section IV - Sole Source Justification

This purchase is economically only available from a single source primarily because it is: (If "Other" explain in one sentence)

In accordance with CPO Notice 2020.01, this is the only vendor approved by the State Use Committee to provide these services.

Are there secondary justification(s) for this sole source? Yes No

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Bulletin Reference Number 21-416CMS-BOSS4-B-16581

Requesting Agency/University CMS

Section V - Purchase History

Has the Agency or University Purchased these supplies or services in the past? Yes No

Term Term From Term To Value Description Contract Number Type

1 Jul 20, 2017 Jul 19, 2020 240,145.32 MC Toothpastes and Toothbrushes SUP PSD4018442 IFB

2 Nov 25, 2015 Nov 24, 2017 252,736.75 MC Barber & Beauty Supplies SUW PSD4018204 IFB

3 Nov 25, 2017 Nov 24, 2019 199,947.6 MC Barber & Beauty Supplies SUW PSD4018204 Renewal

4 Nov 25, 2019 Feb 24, 2020 31,592.09 MC Barber & Beauty Supplies SUW PSD4018204 Amendment

5 Nov 15, 2011 Nov 14, 2013 376,762.31 PSD Barber & Beauty Supplies SUW PSD4017110 IFB

6 Nov 15, 2013 Nov 14, 2014 201,308.43 PSD Barber & Beauty Supplies SUW PSD4017110 Renewal

7 Nov 15, 2014 Nov 14, 2015 147,000 PSD Barber & Beauty Supplies SUW PSD4017110 Renewal

If more than 10, or if other comments, explain:

Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

The objective is to establish a joint purchase master contract for personal care products with a State Use vendor. This contract would allow all governmental units and qualified not-for-profit agencies to purchase these items on an as needed basis. These items are used to aid in the care and personal hygiene of individuals in multiple State agencies and facilities such as Department of Corrections, Department of Juvenile Justice, Department of Veterans Affairs and Department of Human Services.

2. Provide a list and describe in detail the specifications required to satisfy the need:

Deodorants, hair brushes, shampoo/conditioner, nail clippers, razors, toothpaste/toothbushes, lip balm etc.

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

This contract will allow all governmental units and qualified not-for-profit agencies to experience a cost savings from a State Use contract which in turn provides work for persons with developmental disabilities. The pricing submitted for the majority of items is substantially lower than retail which is on average 52% more expensive.

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

This State Use vendor, Elm City Rehabilitation Center, is a not-for-profit entity who is also a rehabilitation workshop for disabled individuals. Historically, Elm City has performed well to provide an excellent source of personal care items at fair and reasonable lower costs on two State Use contracts (Barber and Beauty Supplies as well as Toothpastes and Toothbrushes) while also providing job opportunities for the disabled. In addition, on their most recent contract (4018204), Elm City would renew (11/25/17-11/24/19) at the same prices established in 11/2015 despite the fact that US Bureau of Labor and Statistics would warrant a 5.3% increase. Furthermore, in reference to a 3-month contract amendment extension (11/25/19-02/24/20), Elm City again agreed to extend at the same pricing, although a 2.5% increase was justified.

5. Has the Agency or University considered alternative supplies or services to satisfy their need? Yes No

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Bulletin Reference Number 21-416CMS-BOSS4-B-16581

Requesting Agency/University CMS

5a. If yes, name the alternative vendors whose supplies or services were evaluated:

Both Amazon and Walmart products via the internet were evaluated.

5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Be specific with regard to features, characteristics, requirements, capabilities and compatibility:

A comparison of some retail costs vs the State Use vendor's proposed pricing for same case quantities and same product sizes disclosed the following:

Line 2 : 7" hair brush with 63 bristles, 12/dz, Walmart's price is 59% higher.

Line 9: Denture adhesive, 2.5 oz, 12/cs, Amazon's price is 52% higher.

Line 27: Baby Oil, 14 oz, 12/cs, Amazon's price is 167% higher.

Line 30: 1 triple head electric razor, Walmart's price is 20% higher.

5c. Explain how the market evaluation was conducted?

*This evaluation is to determine available options within a market. If the evaluation is to determine quality or best suited option, this is not the appropriate source selection. Under no circumstances shall the evaluation consist of testing alternative options. These activities must be conducted in a competitive transparent environment (i.e. IFB or RFP).

Internet inquiries for similar products in the same case quantities.

6. Are there resellers or distributors?

Yes No N/A

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

The State Use vendor's proposed pricing is significantly lower than retail. Retail prices on average is 52% higher costs.

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

Yes No

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

The financial impact to the State if not approved and competitively bid will result in higher cost on average 52%. In effect multiple small high retail purchases would add to the State's deficit on top of the unknown and burdensome expenses due to COVID-19. In addition, the State Use vendor would lose contract revenue which in turn would result in of loss of training and job opportunities for the disabled which began pre-COVID-19 due to the unresolved legislative issues regarding State Use vendors and JPMC language.

10. Is there any additional information you would like to add to justify this sole source?

The Chief Procurement Office has authorized this sole economically feasible source directive until new legislation is enacted regarding State Use language in the Joint Purchase Act.

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Bulletin Reference Number 21-416CMS-BOSS4-B-16581

Requesting Agency/University CMS

Section VII

Requesting Department Representative

Requesting Department Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

Date Sep 30, 2020

Printed Name Linda Tribbet E-mail Address Linda.Tribbet@Illinois.gov

Phone Number 217-557-4306

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed)

E-mail Address Ron.Wilson@Illinois.gov

Phone Number 217-557-2412 Date Oct 19, 2020

Printed Name Ronald Wilson

Agency Bureau/Division Head or University Purchasing Director and Not a Designee

SPO Approval and Signature Required

I have reviewed and understand the contents of this Sole Source Justification and agree with the State Agency or University determination.

I have reviewed and understand the contents of this Sole Source Justification and do not agree with the State Agency or University determination. As a result, the State Agency or University must explore other sourcing methods to satisfy their need.

State Purchasing Officer Signature Phone Number 217-299-4919 Date Oct 28, 2020

Printed Name John H.H. Demien, CPPB E-mail Address john.demien@illinois.gov

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Bulletin Reference Number 21-416CMS-BOSS4-B-16581

Requesting Agency/University CMS

Sole Source Justification Form - Part II Section I - General Information

Project Title JPMC SUP Personal Care Products SS

Vendor Elm City Rehabilitation Center, Inc.

Initial Date of Procurement Bulletin Posting Oct 28, 2020

Was a Sole Source hearing held per 30 ILCS 500/20-25?

Yes - Complete Section II and III below (Section II will only be visible when this option is selected)

No - Section II not required, go to Section III below

Section II - Sole Source Hearing Details Hearing Date Nov 18, 2020

Hearing Time 2:00 pm Hearing Location Webex

The State posted to the Illinois Procurement Bulletin a description of the State's need, the justification for the sole source decision, and information regarding the opportunity to submit comments and testify at a public hearing. Notice of the hearing was also posted outside of the hearing room 48 hours prior to the hearing.

No members of the public or other entities testified or provided written comments.

Members of the public or other entities testified and/or provided written comments. See attached.

The public hearing was conducted for the purpose of receiving testimony regarding the sole source determination. The Hearing Officer recommends the following:

The following relevant documents are attached:

Written comments submitted prior to, at or after the Sole Source Hearing

Decision Memo or Written Recommendation of the Hearing Officer

Hearing Minutes (if minutes were recorded)

Other:

Hearing Officer Signature Printed Name Barbara K. Myers

Hearing Officer Telephone (217) 720-7067 Hearing Officer E-mail barbara.myers@illinois.gov

Section III - CPO Approval and Signature Required

Based on my review, I authorize the Agency/University to proceed in accordance with the published Notice referenced above.

Based upon my review, I authorize the Agency/University to proceed with the following Changes.

Based on my review, the Agency/University is not authorized to proceed with this sole source as presented and my recommendation is that it be cancelled.

Other

CPO Signature CPO Phone 312-415-9612

Printed Name Ellen H. Daley Date

CPO E-mail Ellen.H.Daley@Illinois.gov

Version 7.01 Page of Sole Source Justification Form - Part I Section I - General Information Will this Sole Source amend a Professional or Artistic Services contract?

If yes, what was the original contract value?

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Section II - Proposed Term If a Term Contract, does the term, including renewals, exceed 12 months?

If yes, provide a detailed justification including any economic benefit received for agreeing to a multi-year term:

Section III - Funding Source Select the type of funding to be used (Check all that apply):

Section IV - Sole Source Justification Are there secondary justification(s) for this sole source?

Section V - Purchase History Has the Agency or University Purchased these supplies or services in the past?

Term Term From Term To Value Description Contract Number Type Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

2. Provide a list and describe in detail the specifications required to satisfy the need:

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

5. Has the Agency or University considered alternative supplies or services to satisfy their need?

5a. If yes, name the alternative vendors whose supplies or services were evaluated:

5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Be specific with regard to features, characteristics, requirements, capabilities and compatibility:

5c. Explain how the market evaluation was conducted?

*This evaluation is to determine available options within a market. If the evaluation is to determine quality or best suited option, this is not the appropriate source selection. Under no circumstances shall the evaluation consist of testing alternative options. These activities must be conducted in a competitive transparent environment (i.e. IFB or RFP).

5a. If no, why weren't alternatives evaluated?

6. Are there resellers or distributors?

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

8a. If yes, please provide details regarding future obligations and/or needs:

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

10. Is there any additional information you would like to add to justify this sole source?

Section VII Requesting Department Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed) SPO Approval and Signature Required Sole Source Justification Form - Part II Section I - General Information Was a Sole Source hearing held per 30 ILCS 500/20-25?

Section II - Sole Source Hearing Details The State posted to the Illinois Procurement Bulletin a description of the State's need, the justification for the sole source decision, and information regarding the opportunity to submit comments and testify at a public hearing. Notice of the hearing was also posted outside of the hearing room 48 hours prior to the hearing.

The public hearing was conducted for the purpose of receiving testimony regarding the sole source determination. The Hearing Officer recommends the following:

The following relevant documents are attached:

Section III - CPO Approval and Signature Required 9.0.0.2.20101008.1.734229 Ellen.H.Daley@Illinois.gov

Line 2 : 7" hair brush with 63 bristles, 12/dz, Walmart's price is 59% higher.

Line 9: Denture adhesive, 2.5 oz, 12/cs, Amazon's price is 52% higher.

Line 27: Baby Oil, 14 oz, 12/cs, Amazon's price is 167% higher.

Line 30: 1 triple head electric razor, Walmart's price is 20% higher.