1998 Outstanding Program Award Nominations

The following programs were nominated for the NASCA Outstanding Program Awards. Winners were announced in August at the Annual Meeting in St. Paul, Minnesota.

For more information on the NASCA Awards Program contact nasca@csg.org or call (859) 514-9152.

Alaska: Workplace Alaska

Workplace Alaska, an online recruitment and hiring process, was developed as an alternative to Alaska's previous hiring system. Agencies wanted a system that was flexible, paperless, inexpensive, and would allow managers with program knowledge and program accountability to evaluate applications. Using Workplace Alaska and the intranet, the hiring manager completes an on-line Job Request form, describing basic position information such as location, salary, and bargaining unit; advertising needs and length of recruitment; a brief summary of job duties; and questions related to desirable applicant characteristics. Once complete, the department's human resources office reviews the Job Request form and approves it online. Recruitment officially begins when the Division of personnel receives the approved Job Request from online and posts the vacancy to the internet.

Individuals seeking employment visit Workplace Alaska at http://notes.state.ak.us and review vacancies as they occur. Interested applicants complete two forms - an Applicant Profile, essentially an electronic resume, and a Job Qualification Summary, which asks specific questions about the applicant's qualifications for the position. Workplace Alaska sends this information directly to the hiring manager's intranet in-basket. After the interview process has been completed, the hiring manager also performs the disposition over the intranet.

Workplace Alaska is a computer-based Lotus Notes application on an NT Server. Applicants make use of their own computers, computers at state Job Services Offices, public libraries, and local schools. Since the implementation of the prgram, the Division of Personnel has reduced its full time staff by five for a savings of $250,000.

Alaska: Anchorage Pioneers' Home Care Teams

The Anchorage Pioneer's Home (APH) is a 228-bed state-run long-term care facility serving elderly Alaskans who have Alzheimer's Disease/Dementia. It began seeing major changes in its mission, customers, and an increasing demand for services with diminishing fiscal resources. In addition, its organizational structure was plagued by ineffectual communication and excessive conflict. In response to these concerns, the organization was restructured and self-directed care teams were developed.

These cross-functional teams consist of nurse aides, an activity staff person, one to three housekeepers, dietary personnel, a physical therapy staff member, and a maintenance worker, or, all the employees who work on all shifts who work with the same residents. A 4-shift-a-day schedule rather than the typical three-shift-a-day schedule facilitated this 24-team concept yet used the same number of employees. The new schedule resulted in 53.75 fewer hours worked per week, which translated into a $90,000 savings in personnel costs for FY97. The care teams have also proven to be cost effective in reducing employee injuries as well.

This restructuring project is unique in both government and health care settings because every position is either a team member or team support. The focus on nurses and managers has shifted to focusing on the front liners and the hierarchical structure has been eliminated. The teams interview, hire and evaluate their members, meet with resident's families, and create care plans based on the needs and preferences of residents, tasks traditionally performed by nurses and managers.

Arizona: State of Arizona Telecommuting Program

Telecommuting is a powerful management option that allows selected employees to work at home, or a state office location closer to home, one or more days a week. The State of Arizona's original interest in telecommuting arose out of the search for solutions to common issues facing many areas in the United States today: traffic congestion, air pollution, and energy consumption. However, early investigation revealed that telecommuting is a powerful management tool that increases employee productivity while reducing the cost of employee turnover.

The State of Arizona Telecommuting Program has grown in three distinct phases, culminating with the governor's mandate that all state agencies (in Maricopa County) have 15 percent of agency employees telecommuting by December 31, 1998. A thorough evaluation of the State Telecommuting Program was conducted after six years of program development; it revealed that some of the many benefits included increases in productivity, employee morale, and job satisfaction. The State's comprehensive evaluation in 1996 indicated the high potential for the growth of the telecommuting program, with a large percentage of employees willing and able to telecommute.

California: Request for Proposals - Master Contract 7004 for Debt Collection Services

This RFP was designed to make it easier for State and Local Government agencies throughout California to be able to select and hire a Debt Collection Firm without having to run separate bids each time they need such services. All bids were evaluated against a predetermined rating schedule, and only those bids that received 70 percent of the required points had their sealed costs opened. The Master List that resulted from this RFP will last for three years, with the State having the ability to extend it for two more one year terms. When a State or Local agency decides to obtain the services of a Debt Collection Firm, they are able to consider the firms that offered the best rates first, before making their final selection.

There is a special provision in the Master Contract, allowing the Agencies to develop a mini-proposal to have the prequalified collection agencies requote on, should state agencies wish to take that extra step. In this step, bidders can offer even better rates than those submitted in their Final bid if they so choose. Therefore, the State and Local agencies can only benefit by such action, as the debt collection firms have already guaranteed their rates with their Final bid.

This project is directly relevant to other State and Local Agencies as it was created specifically to help them in the debt collection efforts. While not created for Federal Agencies, DDS Procurement has heard that the federal government has considered incorporating some of the aspects in their future bids.

California: Marketing Real Property

The State of California through the Department of General Services, Real Estate Services Division, created an Asset Planning and Enhancement Branch (APEB) with one of the objectives to maximize the value of unused state property prior to sale. The APEB has been involved in a wide variety of projects since its inception, including site reviews, regional planning, Statewide Property inventory database verification, coordination of leasing activities, major developmental projects, and responding to various legislative mandates and reporting requirements.

The state previously sold its property in an "as is" condition, which maximized protection to the state, but sold property at a significant discount that allowed buyers to create value prior to any user occupying the property. The new APEB program organizes a team of state staff, consultants, and prospective buyers to work jointly as the "middlemen" prior to the state selling the property. The objective is to capture the value that other parties previously created after the state sold the property and retain the value to the state in the form of higher land prices.

The value enhancement traditionally performed by land speculators or developers is determined in a series of environmental, engineering, and other studies. These studies position the state to market the property with a reasonable expectation for approval of a use that generates significant land value. At the same time, this preliminary work allows the state to intelligently select a buyer who knows it is more likely to 1) be effective in increasing the state's ability to obtain the needed entitlements and 2) simultaneously provide the financing for infrastructure to harvest as much of the land value as possible.

California: Electric Vehicle Testing and Leasing

The California Department of General Services has recently developed two Master Services Agreements (MSA) where state and local agencies can lease electric vehicles. The MSAs were the culmination of a combined effort between several public and private entities to offer alternative fuel vehicles (AFV) that reduced harmful emissions and were convenient to drive.

California State Government has made a long-term commitment to acquire AFVs, including ones that operate on methanol, propane, compressed natural gasoline, or electricity. In the few months since electric vehicle leasing has been offered, ten governmental entities have signed on. An agency that joins the program will save time and money, up to 300-400 hours of staff time and $15,000-$20,000 of saved expenses, that would have been devoted to developing requests for proposals, working with potential bidders, etc.

Most state governments have long-range goals of cleaner air and reduction of vehicular emissions. A critical part of achieving these goals involves citizens (including state employees) switching to alternative fuel vehicles. This program demonstrates one method to raise consciousness about electric vehicles and make leasing of the vehicles relatively simple. This program is relevant to other governments with similar "clean air" goals and it can be easily replicated.

California: Internet Project Tracking System

The Office of Public School Construction (OPSC), under the Department of General Services, administers the funding for several school facilities programs, the main program being the State School Building Lease-Purchase Program. Information on over 4,800 applications for construction of new school facilities and the modernization of existing school facilities in various stages of approval is stored in a master database. The database includes statistical, fiscal, and approval information for each project.

In March 1998, this database information was made available on the Internet from the OPSC web page, and billed as the new "Project Tracking." Much of this information was previously made available via a modem "dial-up" to our office, which was archaic, slow, and not user-friendly. Now, anyone with access to the internet can view specific information on any school facility project funded by the State of California. Security concerns have been mitigated in the new Project Tracking system by the placement of an SqL server on the external side of a protective firewall.

In the future, added features to Project Tracking will include: incorporation of project information for other OPSC programs; direct links to project specific information relating to the California Department of Education and Division of State Architect requirements and approvals; sharing of information via the internet among agencies; and the ability of users to generate ad-hoc reports from OPSC information on the Internet. Project Tracking will free up staff to spend more time assisting its client school districts in filing and processing applications through the various stages of approval.

California: Central Stores Reengineering

More than two years ago, the State of California embarked on a project to discontinue the redistribution of products through its Central Stores warehouse. This effort was driven by the determination that the redistribution of products was an outer rim product and no longer one of Procurement Division's "Core Business Products" and that substantial savings could be realized by contracting with private suppliers for direct shipment.

The initial phase concentrated on office supplies and resulted in the award of a contract with annual savings of $9 million; the next phase concentrated on janitorial and related supplies with annual savings of $4 million. Central Stores is now able to concentrate its efforts on materials management and the transfer of its "knowledge" to other state agencies. In less than three years, Central Stores has transitioned from a process based, transaction oriented operation to one that is knowledge based and information sharing.

The Central Stores reengineering effort is an example of identifying a product that was determined not to be "core" to our business, discontinuing it, and redirecting it to the private sector at substantial savings and efficiency to the public.

California: Public Safety Radio Strategic Planning Committee

In the State of California, lack of effective and reliable radio communications is impeding State public safety agencies' abilities to perform their most elemental mission: the protection of life and property. California's ten largest public safety agencies operate and maintain largely independent radio systems to accomplish their missions, but lack of interoperability, channel congestion, aging equipment, and limited functionality are crippling these systems.

The Public Safety Radio Strategic Planning Committee was established to work with the Department of General Services' Office of Public Safety Radio Services in developing a strategic plan which would address these critical issues as well as enhance the public safety community's ability to successfully carry out its mission. The Committee prepared and released Partnering for the Future: A Strategic Plan for California's Public Safety Radio Communications which describes the need to improve public safety radio systems, provides an overview of various alternatives for the future, and outlines a process to implement the plan over the next 15 years.

The Strategic Plan ultimately will provide a means to successfully carry all State public safety agencies well into the 21st century. Implementation of the Strategic plan would save the State approximately $1 billion over the next 15 years.

California: Calendaring, Case Management, and Timekeeping & Billing App.

The State of California Department of General Services, Office of Administrative Hearings (OAH), employs 40 full time and 30 Pro Tempore judges in four regional offices spread all over California to decide approximately 6,000 cases a year. It became apparent that a method was needed to accurately track the progress of the cases from the date of filing to the date of decision with significant milestones in the process. Other functions were also needed - more detailed billing information for customer agencies; a means to access timely and accurate information for performance measures; and a process to automate a number of functions regularly performed by judges and support staff to enhance our efficiency.

The Department developed a "dream" automation model, including a case tracking system, automated calendar, automated time and billing system, decision templates, an electronic legal research system, and a data base of our own decisions accessed by a relatively sophisticated search engine. The new system has been successful; the benefits include: one centralized depository of data for all of OAH's regional offices; increased data integrity; local or statewide reports available to everyone; complete OAH business history available; ability to view Hearing Calendar without calling into regional office or viewing hard copy original; and an automated billing system that is accurate and timely.

This application is relevant to any other government agency that has calendaring and billing needs, and it could be easily replicated.

California: CAL-Card

In an effort to reduce the time and costs associated with traditional purchasing, the State of California, Department of General Services implemented a purchase card program known as CAL-CARD in 1994. This program continues to bring recognition to the Department as a world class leader, and demonstrates a better, more streamlined way for government to make purchases that saves time and money.

The CAL-Card program is maintaining rapid and significant growth, as state and local government agencies take advantage of this purchasing method which cuts administrative time, effort, and cost. This competitively awarded contract replaces the burdensome, paper intensive, purchase order process with the ease of a widely accepted VISA credit card. In fiscal year 1997/98 alone, the Procurement Division anticipates a savings in excess of $14 million in reduced processing time and costs by the use of CAL-Card. This is based on a savings of $24.49 per transaction, with 580,000 CAL-Card transactions projected for the fiscal year.

While purchase card programs have been implemented in other states, what sets the CAL-Card program apart from others is the program's tremendous growth and participation of local governments, including cities, counties, universities, community colleges, schools and special districts. The negotiating power of the state results in benefits to all CAL-Card participants, which include free cards and a 40 day payment term. In a recent customer satisfaction survey, CAL-Card was voted the most popular Procurement Division program, with an overall satisfaction rating of 97%.

California: Capitol Area Planning and East End Office Development

The State of California is a major land owner in downtown Sacramento, owning over 40 blocks adjacent to the State Capitol Building and Capitol Park. The Department of General Services (DGS), working closely with local government, the community, and other interested parties, recently directed a number of notable planning efforts for this property that will contribute significantly to state asset management goals and local redevelopment efforts.

These activities resulted in legislative authorization to construct a landmark state office complex (1.47 million gross square feet) at the east End of Capitol Park. The new state buildings will complement the existing State Capitol complex, provide long term cost savings ($199 million) to taxpayers, and improve program efficiencies for state tenant agencies through consolidation of their existing fragmented office locations. Additionally, the East End project supports the City of Sacramento's downtown development goals, provides an economic stimulus for local businesses, and acts as a catalyst for the development of new housing in the area.

California: Customer Account Management (CAM) Program

Today, government faces challenges that require meeting customers' service needs quickly with high quality and cost effective business system solutions. The State of California, Department of General Services (DGS), is changing the game to meet these challenges. In these days of outsourcing, consolidations, and the " un-mandating" of government agencies, the need to be customer-focused, results-driven, and competitive is mandatory.

Based on customer feedback and the realization that effective customer relationship management is the key to success, the Office of Information Services within DGS recognized the need to reinvent itself from a reactive product-focused organization to a proactive customer-focused service organization. The Office introduced the Customer Account Management (CAM) Program to provide DGS' customers one-stop shopping for acquiring its products and services.

Our customers overwhelmingly embrace the CAM Program. It has increased the number of projected purchases from Master Agreements and the CA Multiple Awards Schedule from $361 million to over $500 million. The cost avoidance (savings) to State and Local governments is estimated to be $51 million annually. Other benefits include: providing the DGS' customers the long-term relationship they need and want; fulfilling the DGS' mission with a necessary customer service function not provided elsewhere; and providing a dossier on DGS customer needs in order to cure performance deficiencies.

California: Advertising Program

The California Office of State Publishing (OSP) now offers state agencies the opportunity to obtain advertising for their governmental publications. To assist with this service, OSP helps agencies find advertisers, oversees preparation of the advertisements, coordinates billings to advertisers, and prints the final publication that includes the advertisements.

OSP's Advertising Program is a significant effort in three major ways: the advertising program constitutes a public-private partnership where each party receives benefits; the advertising program also introduces a new revenue source for government; and the advertising program is an efficient way to disseminate information. Although OSP's Advertising Program has only been active a few months, every customer so far has saved money. As OSP and the advertising firm gain experience, we believe that the average savings will be 75% or more.

OSP's Advertising Program is a feasible concept for other state governments. Within every state there are agencies that generate publications with a wide distribution, which means there are numerous potential advertisers.

California: Career Management and Career Supervisory Assignment

To recruit and retain highly qualified managers and supervisors, The California Department of General Services developed a new management/supervisory classification system that would allow DGS to select from a reasonable number of qualified candidates and make hiring commitments within a short time. The new system is also more flexible, more responsive, and provides financial incentives for outstanding performance.

In 1995, DGS initiated a pilot project to consolidate 23 management classes into a single class series entitled "Career Management Assignment", and consolidate 56 supervisory classes into a single class series entitled "Career Supervisory Assignment." Effective January 1998, we converted our effort to a five year demonstration project. Under this project, we advertise management and supervisory vacancies, by position, on an open or promotional basis and hire from a qualified pool of candidates. This is a major departure from our current recruitment system. We also use an exciting three-tier compensation system tied to pay-for-performance agreements, which allows us to reward exceptional performers without the limitation of "time in grade." Our new recruitment approach and our new financial rewards have energized our management and supervisory culture.

California: Natural Gas Services Program

The Natural Gas Services Program (NGS) was born from the deregulation of natural gas supply and services in California. The Program is an innovative, cost-effective approach to acquiring natural gas supplies and services for the State of California and participating local agencies throughout the State. Through a unique team effort between two Department of General Services' Divisions, the Program has become one of the largest public sector gas procurement programs in North America.

Program services are highly sought after by customers and include: procurement and contract management for public sector gas supplies; liaison with gas utility companies; regulatory review and consumer advocacy; invoice consolidation and quality control - one bill per month, prepared and reviewed by Program staff; clear, clean audible "paper trail" for all gas purchases; and natural gas metering options and conservation consulting services.

The Program has grown significantly during the last year and now has over 105 public sector customers, buying over 120 million therms of natural gas this year, worth over $36 million dollars, and saving NGS customers over $4 million dollars in hard costs compared to previous purchasing methods. In addition, the Program pays for itself through a fee charged to its customers based on actual natural gas usage. Due to the Program's popularity, rapid growth, and cost-control management, these fees have been reduced over 50% in the last three years and additional fee reductions are anticipated. The NGS team has accomplished all this even though participation in the Program is entirely voluntary.

Delaware: Delaware Helpline

In 1990, the Delaware Helpline Program was established as a partnership between the United Way of Delaware and the Delaware Health and Social Services department as an information service for health and human service needs. Both organizations had been providing separate information and referral services to the public which resulted in duplication of service. After coordinating these two services and developing goals for a new program, Delaware Helpline provided a statewide, toll-free comprehensive information and referral service from 1990 to 1997.

In 1995 the Delaware Helpline was reviewed along with other State toll-free numbers and it was proposed that the Helpline be expanded to serve as a state government hotelmen or information service. The new service gives callers a single point of access to Delaware state government offices; assists callers in finding community services to alleviate a problem or fulfill a need; and acts as a resource for problem resolution.

Delaware Helpline is unique. We know of no other similar programs in other states. The program is new and creative because it is a partnership between Delaware state government and a non-profit agency with each partner providing staffing and funding for the program. In addition, the Delaware Helpline is a two-tiered program combining a state government information hotline with an establishe d Information and Referral service. Helpline currently handles an average of over 1600 calls a day.

Georgia: Motor Vehicle Services

During this year Georgia's Department of Administrative Services (DOAS) Motor Vehicle Program has increased customer value and efficiency of the Contact Maintenance Program, Fuel Management Program, and the Alternative Fuels Program.

The improvements made to the Contract Maintenance and Fuel Programs have saved state agencies time and money. In January 1998, implementation of a pilot maintenance program began. By eliminating Field Purchase Orders (FPO), the state should see a savings $750,000. This is in addition to the elimination of FPOs in the tracking of maintenance activity and data entry. This past March DOAS implemented the Fuel Management Program. In the near future the fuel information will be forwarded to the maintenance vendor to be integrated with the vehicle maintenance history. This information is captured through a universal gas card that is accepted at more than 170,000 vendors nationally. The savings to the State of Georgia is 18.4 (gasoline) and 24.4 (diesel) per gallon at commercial fuel sites.

During the last two years the Alternative Fuels Program has saved state agencies $111,000 by coordinating and informing state agencies of manufacture and energy rebates. The Alternative Fuels Program has also established a partnership with the local electric utility company to provide five electric powered vehicles to be used to conduct state business.

Georgia: Surplus and Supply

Surplus redistributes surplus federal and state property to state agencies, political subdivisions, and non-profit health and education organizations. A well managed surplus program can save these organizations thousands of dollars annually. The efficiency of the surplus program was recognized during the biannual GSA Federal Audit. Surplus received a "No Findings." In comparison, the 1995 audit revealed over 34 findings in four categories, ranging from program participants eligibility files not being updated to inventory discrepancies.

Improvements in the surplus program have been made in notifying customers of available property, fixed-price vehicles, reduction in overhead, automation and partnerships. Creative partnerships have been formed to support our mission to redistribute property. A contract has been established with a vendor to pick up property from state agencies when it is not feasible for the property to be disposed of on site. Partnerships have also been formed with the federal government to store their surplus vehicles on site and to incorporate the auction of these vehicles with our state auction process. Processing and storage fees are charged to the federal government to offset the cost to Surplus. To ensure excess storage capacity is utilized, surplus stores property for state agencies and charges storage fees when appropriate.

The combined success of this series of new initiatives has resulted in an overall reduction in operating expenses from the beginning of the fiscal year thru March 1998 by $141,255.

Georgia: State Purchasing Program

State Purchasing has been actively involved in updating its role as the centralized purchasing authority for the state. This effort commenced with the implementation of the November 1995 DOAS Action Plan and continued with passage of the Purchasing Reform Act of 1996. State Purchasing has since accomplished numerous objectives. Small value purchasing authority has been decentralized. Dollar limits have been increased on purchases requiring competitive bids. Consortiums, electronic access, and a purchasing card system have been developed.

Future plans include encouraging the use of electronic commerce, providing training for SBS employees and emphasizing professional certification, changing purchasing laws, improving the protest process, RFP/Best Value Approach education, vendor education, and simplify/modernize purchasing processes.

Georgia: DOAS Microcomputer, Peripherals, and Software Interactive Website

The Microcomputer and Peripherals Statewide Contract has been administered by Department of Administrative Services (DOAS) State Purchasing for over 10 years. This contract allows eligible procurement offices to buy products and services without having to administer their own competitive bids for each purchase. There are over 80 microcomputer vendors who were awarded the right to sell their products on these contracts. During the year the contract allows vendors to change prices and add new products as technology advances.

The challenge in the past has been the distribution of product and pricing information to those people who need access to the information. To solve this problem. the Client Server Solutions Team developed an application which would be responsive to both the participating vendor needs and provide rapid updates on the products and services available for the public procurement offices all over the state. Use of the Internet was emerging and the cost of connections for participants is relatively inexpensive and widespread. After interaction with an advisory group or potential vendors and replication testing, the Microcomputer, Peripherals, and Software Interactive Website was launched into production in September 1997.

This application was designed and implemented with a minimum of investment and in a period of less than six months. This new vendor-interactive website has succeeded and lends itself to the emerging desire of the State of Georgia, our vendor partners, and most importantly, our customers to conduct business electronically due to its ease and widespread availability.

Georgia: Return-To-Work: A Disability Management Program

The Department of Administrative Services (DOAS) Workers' Compensation team, developed the Return-To-Work (RTW) Program to assist employees on workers' compensation. Establishing a good disability management and "Return-To-Work" program reduces Workers' Compensation costs and the associated human costs to injured employees. For every dollar spent on a Workers' Compensation claim, one half is attributed to lost time from work. The State of Georgia handles 10,000 claims per year and currently spends approximately $50 million in direct Workers' Compensation costs, which does not include indirect costs ranging from $2 - $7 for every dollar spent, depending on the degree of benefits and the number of employees absent on disability.

The goal of the RTW Program is the safe and expedient return of employees to transitional or regular employment. Medical research has shown that people recover more quickly if they remain active and return to their normal activities as soon as possible, avoiding isolation and the mind set of disability. The RTW program also helps employees maintain their earnings, health insurance, and other benefits that may be jeopardized by an extended absence. In addition, it can help maintain job security and retirement plans.

Because there was no structured effort in place previous to the program, consultants estimated that RTW can potentially reduce the direct and indirect costs by 25-30% over the next 3-5 years. This represents millions of taxpayers' dollars that can be used to reduce the overall state budget or redirect funds to better serve the citizens of Georgia.

Georgia: Discipline Without Punishment

Discipline Without Punishment is a program that meets both the goals of solving employee performance and conduct problems and enhancing team, customer, and supervisor/subordinate relationships.

The focus of this innovative program is on future performance. It supplies supervisors with a set of tools that directs them through a structured and systematic problem-solving approach to confront and solve work related problems. The emphasis on Discipline Without Punishment is on correcting the problem rather than punishing the employee. A technique is employed that simultaneously preserves the individual's respect and dignity while dealing with the issues of concern for the supervisor.

The result of introducing this program has been an observable and demonstrable change in employee performance and work behaviors. Discipline Without Punishment creates an acceptance of responsibility for performance problems by the employee with an accompanying commitment to attain consistently positive performance. The program has also tremendously clarified the roles and responsibilities of all involved in the disciplinary process and has helped to specify what measure is most appropriate when dealing with the myriad of issues that come up within the work place. It is indeed a model program that has greatly improved both productivity and relationships throughout the agency.

Kansas: State of Kansas BPC Program

The Division of Accounts and Reports formed a Task Force in September 1995 to study the feasibility of a Business Procurement Card (BPC) for "small dollar" purchases of commodities and non-inventoriable equipment. It was obvious that significant effort was being expended for these small dollar purchases since approximately 80% of these types of purchases were $500 or less, yet they accounted for only 5% of the total dollar value of items purchased by agencies. To reduce administrative costs and excess paperwork, we decided to implement a pilot program using BPCs to address this issue.

Many tangible and intangible benefits have been derived through the use of the BPC, including: simplified purchasing and payment processes; reduced number of accounts payable transactions; continued compliance with existing state statutes and purchasing regulations; and the opportunity for state managers to review purchasing data on a daily basis. However, the biggest benefit derived from the program is the ability to provide faster and more timely and efficient service to our customers, our taxpayers.

We have calculated an average cost of $30-50 per transaction, resulting in a savings of $568,000 during the implementation period. Although the total cost savings might seem to be low when compared to other larger states, the proportion of savings compared to total costs should be considered, plus the fact that we are only starting the BPC program.

Kansas: Temporary Services Program

Over the past several years, Kansas state government has reduced its workforce, with continued reduction planned for future years. This reduction in force particularly impacts agencies during peak workload periods. In response to agencies' staffing needs, the Division of Personnel Services partnered with other state agencies to develop the Temporary Services Program, which was implemented in March 1996.

Instead of hiring temporary employees on the state's payroll, agencies can opt to use designated temporary service companies, often at a lower cost than the state's normal starting wage. The program enables agencies to quickly adapt to fluctuating workloads and benefits their customers - Kansas taxpayers - by providing continuity in services at cost-effective rates. Analysis of costs associated with workers compensation, unemployment benefits, and wages demonstrated a significant savings during the program's first year. The cost benefits and overall positive response from agencies resulted in an expanded program in October 1997.

Kansas: Information Technology Employee Retention Program

The Kansas Department of Administration provides central support for state agencies. In 1996, state agencies experienced exceptionally high turnover among information technology professionals. In some state agencies the rate exceeded 33%. Three reasons are attributed for the high turnover rate: Year 2000 repair problems, which have increased IT salaries; a shortage of college graduates to fill IT positions; and technology changes which have made many platforms obsolete.

In order to retain critical IT staff during this period of crisis, the Department of Administration in cooperation with IT leadership in Kansas government developed a comprehensive personnel retention program. Features of the program include: skills based bonuses for mission critical market sensitive IT skills; project bonuses up to 10% of an employee's base salary for performing on mission critical projects; special project contracts for IT professionals that commit training and salary increases for periods of two to five years; a hiring bonus of $3000 available to recruit individuals with market sensitive skills; and installation of telecommunications networks and equipment in employee's homes to allow repairs to be done without a return to the office.

From a total benefit perspective, the project net savings after bonus recovery was $53,400 per year for a financial return of 15.7%. This financial return rate is in addition to the savings of keeping trained staff on critical repair and system build projects. The value of these financial and qualitative benefits more than justifies the initiative. Clearly, this has been one of the most successful programs implemented by the State of Kansas to retain highly valued and skilled employees at a time of national crisis brought on by the Year 2000 computer problem.

Louisiana: LA STARS Initiatives

The Louisiana STARS Initiatives (Strategic Transition aimed at Accountability, Results, and Services) is a business plan demanding governmental efficiency, accountability, results, and responsiveness to the people. STARS envisions a Louisiana government which is run like a successful business. It should provide better service to its citizens; benefit from excellent employee training and human resource functions; utilize smart technology practices; benefit from sound purchasing and procurement practices; and consistently take advantage of cash management and investment opportunities.

State departments have began several initiatives in conjunction with LA STARS. These include: the Louisiana Customer Services Catalog, State Park Centralized Reservation Service; Kiosk Welcome Centers; Employee Recognition Program, and a Department of Education Computerized Management System. The LA STARS plan will continue to thrive and gain momentum as long as there remains strong support behind it. The Governor, the Legislative leadership, and numerous private organizations have committed themselves to the success of the project.

Louisiana: Statewide Roofing Program

Roofs in state-owned buildings were failing prematurely statewide due to lack of maintenance and repairs. Not only did each user agency lack the resources and expertise to recruit and evaluate bids and inspect the work of roof repair contractors, but on a site-by-site basis, the reputable roofing contractors were generally not interested in submitting bids on minor repair work. Some roofs were being replaced that could have been repaired and some necessary replacements were put off for years due to lack of funding.

A Statewide Roofing Program was developed that would inspect and maintain all state owned low-sloped roofs, thus realizing their maximum life-cycle and minimum yearly costs. Each low-sloped roof was then evaluated regarding condition and anticipated date for replacement. Having the pool of funds in the Statewide Roofing Program allows immediate response to problems; previously, each agency had to submit budget requests and wait for funding.

The program will result in a perpetual annual cost-savings of $3.5 to $4 million. There is also the indirect benefit of savings each time a roof leak is repaired or avoided. Roof leaks can potentially cause millions of dollars in damage to the structures, contents, and finishes in buildings, as well as lost productivity and liability lawsuits.

Maryland: Operation Reboot

The State of Maryland has developed a long-term relationship with the National Cristina Foundation and as a result developed a computer donation project. Over the years this partnership has contributed to schools, school systems, and community-based organization over $30 million dollars worth of computers, software, peripherals, and other equipment.

A State computer repair facility, a storage-only warehouse, and several pick-up vans are part of this project; computer repair workers are voluntary staff. The expansion of the Cristina-Maryland Program will be called Operation Reboot-Maryland Technology Reuse Partnership. This program will expand the hours of operation; expand Army partners as regular computer repair technicians in the project; coordinate computer donations with Maryland's business community; build awareness about the program; determine which school systems are most in need of equipment; and develop another repair facility. Another tier of this program that should be further investigated and phased in involves the expansion of the program with an added training feature.

Maryland: Electronic Correspondence System

This program was developed to provide the Governor's Office as well as other state agencies with a system to respond to constituents' mass of bulk mailings in an expeditious manner.

The Governor's Office or other State Agencies initially receives the letters from the constituents and drafts a response from the Governor. The letters are then forwarded to Maryland department of General Services. We in turn enlist temporary data entry clerks to create a data base of the names and addresses for mailing. After the data base has been created and put on a diskette, it is sent electronically via a media server along with the letter from the Governor to our Digital Publishing System. When it receives this information, letters are individualized and printed at 600 DPI with the name, address, and salutation of the person to whom the letter is intended. The letters are printed and then processed at our Mail Distribution Center.

This program has provided the State of Maryland with a system that allows mass or bulk mailings to be handled in a cost effective and an expeditious manner. It has been operational for 10 months and has generated over 130,000 pieces of mail, saving the State $46,000.

Michigan: Vehicle Information On-Line Access System (VIOLA)

Vehicle and Travel Services (VTS) provides and maintains 11,000 vehicles for all 18 departments throughout the State of Michigan. Program responsibility included acquisition, disposal, maintenance, and fuel for this diverse state vehicular fleet. To recover the costs of operating the fleet, VTS charges users fees based on the fleet assignments and miles driven . To assist in the administration of the fleet, VIOLA was created.

VIOLA is an intranet application that allows departments to access and modify their vehicle records. Departments are able to change the driver and account information, distribute the charges for a vehicle among many accounts, and input vehicle mileage. All of this is processed on-line in real time. VIOLA eliminated the need for creating and submitting paper documents which were keyed into the billing system. It also allows the department to utilize the most efficient and effective reporting system for their operation.

While work still remains, the current benefits of the system are dramatic in terms of the availability and accuracy of the data. Along with the ability to access fleet information in real time, departments are using the system to update departmental, accounting, and driver information, making it more accurate. In certain cases redundant manual processes have been eliminated. Key punching efforts have also been reduced by 75%.

Michigan: Vehicle and Travel Services Automated Fuel Card Program

The Department of Management and Budget, Vehicle and Travel Services (VTS) privatized its fuel purchase program in FY97. Prior to this program, VTS provided drivers with State of Michigan credit cards that were accepted at gas stations throughout the State. These stations would submit invoices directly to the State for payment. Individual gas purchase tickets were keyed into a computer system to track costs and audit charges. Then, a voucher was created for vendor payment. Finally, odometer entry for each vehicle was recorded manually onto a usage form and then keyed into the vehicle billing system. This work included keying more than 40,000 purchase transactions, 75 direct vouchers, and 10,000 odometer entries per month. The manual keying alone required more than 4 full time employees. There were productive times spent in each department to process mileage information, and mileage information was not always up to date.

In FY97, a private company, Voyager, began to provide fuel card services under subcontract with Wheels, Inc., the state's vehicle leasing contractor. The Voyager credit cards capture gallons purchased, cost, and odometer information when a State vehicle is fueled. The credit cards are widely accepted throughout the State. VTS receives one invoice per month. The refueling data is sent electronically to VTS thereby eliminating the manual and redundant keying for both gasoline and mileage.

Michigan: Purchasing Card and Quick Purchase Program

Based on the Department of Management and Budget, State Purchasing Office's 1995 evaluation of purchasing segmentation, we set out to achieve the following for low dollar purchases: reduce the State's administrative expense; simplify the procurement process for vendors and guarantee payment on time; automate the general ledger and payment process; and expedite the procurement process. For medium dollar purchases, we needed to create a procurement process that focuses on value-added activities, increase business with Michigan vendors, and expedite the procurement process. We also needed to shift purchasing expertise and time to large dollar contracts and acquisitions.

For low-dollar purchases, a Purchasing Card Program was developed. FTE for procurement activity has been greatly reduced. Vendors' overhead has been reduced by eliminating the purchase order process, invoicing, and collection activities. Registration is not required by the vendor to do business with the State, and the State is more accessible to a larger pool of small vendors. Full payment automation will be implemented by the end of 1998. The obtaining of supplies and services by cardholders has also been expedited.

For medium-dollar purchases, a Quick Purchase Program was created. Increased purchasing expertise is providing the best products at the best price. Pricing opportunities for contracts state-wide and within geographic areas are being realized through central review. More purchase orders are being awarded to local vendors. The elimination of our previous requirement of 3 bids has saved vendors time and effort. The average requisition is completed with an order placed on a more timely basis. More Quick Purchase requisitions are also being completed within a few days. In addition, the efficiencies realized in the above programs have left more FTE and time to concentrate on large dollar purchases and contracts.

Minnesota: Connecting Minnesota

Connecting Minnesota is a new public/private partnership agreement that will bring high-speed fiber optic communication to significant portions of greater Minnesota and add to existing communication network capacity in the Twin Cities metro area. Deployment of additional fiber optic capacity throughout Minnesota will greatly enhance economic development, educational opportunities, and government efficiency. A statewide network will make emerging technologies such as electronic commerce, desk-top video, full motion video for medical applications, intelligent vehicle highway systems, and other technologies more readily available.

The private sector team of International Communication Services and Universal Communications Network and the Stone and Webster firm will build and maintain a fiber optic network along some two thousand miles of state highway right-of-way and lease the system capacity to providers of telecommunications services. ICS/UCN will operate the network as a communications carrier, not as a telephone company. This partnership will expand high-speed, state-of-the-art communication capacity to Greater Minnesota, which is critical to recruiting and retaining businesses. Other benefits include: participation of University of Minnesota campuses in Internet 2, home pages for all K-12 schools, and more opportunities for national and international trade. The potential savings for public customers of telecommunications who will be using the free long distance capacity could range as high as $5 million annually.

Minnesota: Compass Benchmark Study

The InterTechnologies Group (InterTech) is a major bureau within the Department of Administration that delivers the core computer operations for State of Minnesota agencies. As a part of the value management for InterTech, in 1996 Compass America conducted a benchmark study to determine how the business decisions and processes compared to top-performing organizations. Compass representative reported that InterTech compares very favorably with top-performing organizations, nationally and internationally. Their study findings emphasize that the pursuit of further efficiencies and savings at InterTech will depend on the cooperation of the state's information technology community.

The decision to use this process to evaluate the strengths and opportunities of this business unit based on objective criteria gave InterTech a realistic view of where to focus strategic efforts to maximize value, and supported the continuation of processes that are demonstrably successful. The fiscal benefits are clearly spelled out in the calculations of savings and potential savings; what is also valuable, but implied, is the confidence gained from an independent assessment. This confidence is important to the morale of the workers, to our customers, and to the Governor and legislators.

Minnesota: Northern States Power/ State of Minnesota Energy Retrofit Program

Minnesota lawmakers enacted legislation in 1991 that provided a framework for funding and administering state conservation efforts. Under this legislation, the state works with utilities such as Northern States Power Company (NSP) to make energy-efficient improvements in state-owned or leased buildings. Energy conservation saves money and helps the environment by delaying the need for new power plants. In 1992, the State of Minnesota and NSP created a program to fund conservation improvements at state facilities. The Energy Retrofit Program is a cooperative effort between the State of Minnesota and NSP to perform energy-saving retrofits in state buildings. Eligible projects must have an estimated simple payback period of 10 years or less.

Under this program, NSP provided complete conservation retrofit services to the State of Minnesota, including program management and reporting. To finance each retrofit project, NSP provided no-interest loans to participating state agencies. NSP funding was available up to $3 million each year for five years. In 1994, NSP Gas joined the program, allowing NSP to perform mechanical energy-saving retrofits at sites where NSP provides both electric and natural gas service.

The results of the program have been excellent: $28.26 million of construction costs; $2.8 million in electric and gas rebates from NSP to state agencies; annual cost savings to the State of more than $4.4 million; and all projects have finished earlier than scheduled and within budget. Finally, the beneficial effects of the environment in our state are extremely impressive; this program has significantly reduced the levels of pollutants in our atmosphere.

Missouri: Missouri PC Prime Vendor Contract

Until recently, the mechanism for the purchase of PCs in Missouri State government consisted of the bidding and issuance of a statewide contract for a specific technology for a fixed price for a fixed period of time. When this system proved to be inflexible to changing technology requirements, a project team was formed for the purpose of conceptually changing the way Missouri purchases technology.

Among the outcomes of the resulting PC Prime Vendor Contract are: 1) a single vendor serving as the "single point of contact" for all PC and PC related hardware, software, maintenance, support, and training; 2) agencies can choose a variety of brand name products; 3) PC offerings should be from the Gartner Tier 1/Tier 2. 4) Prices and product offerings automatically change with the market. 5) A product and services catalog with current products and prices on the Web. 6) Software training available in key population centers throughout the State.

This project provided not only direct benefits to the State in actual dollars savings and time savings, but in fact has served as a trendsetter for other State contracts. The Prime Vendor Contract is the first in which a vendor is required to provide information on the web and the first in which all State agencies are encouraged to use the Web to conduct State business. It is also the first contract to require a vendor to sell to State government employees. It also establishes an oversight committee , consisting of both State and Vendor personnel, that emphasizes quality.

Missouri: Missouri Customer Focus/Satisfaction Initiative

The Missouri Customer Focus/Satisfaction Initiative in collaboration with the Strategic Planning Efficiency Initiatives is changing the way state programs/ products/ services in Missouri are designed, delivered, and continuously improved. Measurable targets based on customer expectations are being set and end-users actually are being empowered to change their design.

All 16 Missouri state departments, including over 100 divisions, are impacted by the Initiative, which focuses on improving service quality and measuring results. Using lessons learned from initial projects and a focus on outcome priorities, departments are developing department-wide deployment plans that demonstrate intensive focus on customer satisfaction, flexibility, partnerships and collaboration, aggressive improvement objectives, and new measures of performance and success. This change in the way we do business is also affecting expectations and requirements of vendors and external providers.

The immediate beneficiaries of the initiative are the end-users of state services and programs, such as job seekers, citizens getting licenses, citizens using daycare and services for the elderly, and state employees using the products of other departments. Both the direct and indirect benefits to the taxpayers include better utilization of resources toward programs that are proven to be successful and designed with the user's input. Long-term benefits should be a service delivery system with the proper culture and feedback mechanisms to promote greater responsiveness as customers/citizens' needs change.

Nebraska: Global Community Initiative

The Global Community Initiative was created to help communities to develop the capacity to improve citizen teleliteracy and to steadily increase overall demand for advanced telecommunications services. The project is designed to call attention to the necessity for shared responsibility within the community for technology planning, citizen awareness, equal access, and training. The Initiative offers communities an organizational structure (an Information Technology Committee), a strategic planning process, and a series of initial actions that can produce a "Global Community", i.e., one that has targeted key resources on the potential of telecommunications and to make a substantial contribution toward a higher quality of life for everyone.

Since the Spring of 1993, approximately 65 communities have volunteered to put together an Information Technology Committee and attempt to take responsibility for local technology planning using Global Community Initiative guidelines. That number represents nearly every community in Nebraska large enough to have sufficient human capital to sustain a strategic effort.

The Global Community Initiative is primarily an economic development program. It is not designed to create savings but to stimulate statewide economic growth. There are new dollars being generated by the Digital Revolution and we are interested in capturing as many of them as we can by preparing our citizens to understand the new economy and to be able to effectively use the new information tools as they compete for the jobs of tomorrow.

Nebraska: Ofice Supply "Stockless" Contract

In the previous operation, Central Stores carried approximately 200 items in a mini-warehouse operation. Agencies located in and around Lincoln were the primary users. Agencies throughout Nebraska relied on catalog orders, or many times, on the nearby department store for office supplies. There was a limited selection of items carried in Central Stores due to space and monetary constraints, thus resulting in a large number of back orders. The competitive bid process often did not occur due to the urgency of need, or frequent low dollar purchases. This resulted in endless paperwork and costs to the State agencies.

With the implementation of the stockless contract, the order process was first channeled through the Office Supply Bureau. This was done to facilitate processes and monitor the contract. Now that it is confirmed that the entire process is working, many agencies are currently ordering supplies via the Internet. Next day delivery and a 98% fill rate has impressed the agency users. The entire state has access to over 11,000 items and even delivery of special orders is usually within 14-21 days. There has been an overall decrease of 19% in the cost of products; long-term expectations are at least a 25% decrease in the overall cost.

Benefits to the State of Nebraska include one monthly billing, free delivery to major areas, a dedicated Customer Account Representative provided by Office Depot, and wide selection of products.

New Mexico: South Capitol Complex Chiller Interconnect

The General Services Department (GSD), Building Services Division operates 6 chillers as part of the Heating, Ventilation, and Air Conditioning systems, serving three buildings in the South Capitol Complex. All six chillers operate with R-11 refrigerant, which is one of the targeted elements of the Montreal Protocol, intended to reduce global warming and ozone damage. GSD therefore had to eliminate the need for R-11 refrigerant.

The project solution created three major impacts. 1) Operating cost savings: the most efficient chiller could be used for air conditioning all three buildings most of the year. 2) Heightened reliability: When equipment in any of the three buildings is down for scheduled or unscheduled maintenance, units from the other two buildings are available to maintain cooling. 3) Reduced need for unit conversion: By placing the two Carrier chillers in the lowest operating priority, the need to convert the units may be entirely eliminated.

Energy savings are estimated to be between $2,400 and $11,800 per year for this project. This project will also assist GSD in meeting its executive mandate to reduce energy consumption by 5% by June 30, 1998. The final design of the system is intended to save $10,000 or more per year.

New Mexico: Workers' Compensation, Early Return to Work

The General Service Department of the State of New Mexico, through its Risk Management Division, significantly lowered state government's workers compensation costs by implementing and refining a comprehensive modified duty/early return to work program. Key elements to the success of the program are close support offered by the Risk Management Division to all client agencies, plus extensive training provided to managers, line supervisors, and bargaining unit employees. All job titles are now subject to medically appropriate temporary modification which has resulted , over a three and one half year period, in a 45% reduction in the number of workers' compensation indemnity claims filed, a reduction in temporary total disability payments of 65%, saving of 86,062 worker/days productivity, and an investment in New Mexico's economy of approximately $6,500,000 paid wage for productive work. State agencies benefit financially from reduced workers' compensation premium assessments, and reduced overtime costs to replace injured and absent workers. Agencies also are better able to meet their critical mission objectives such as direct patient care, law enforcement, road construction and maintenance, education, and providing necessary social services when modified duty assists them in maintaining sufficient staffing to do so.

Based on the average temporary total disability rate for State of New Mexico workers, indemnity payment savings of $3,075,000 have been effected, with increased future savings nearly assured. Taxpayer and client agencies have benefited from a steady reduction in workers' compensation premium charges, down from $24,000,000 annually in 1993 to a two-year waiver of premium in the two most recent fiscal year budgets. Injured workers have benefited by conserving accrued leave time, maintaining pre-injury wages, and contributing sufficient productive hours to maintain the employer contribution to group health and other insurance programs.

New Mexico: New Request for Proposal Program

There is a new dawn at the Property Control Division's Leasing & Property Management Division. With a 40% staff reduction, assisted by new technology, and empowered to make effective changes, the Lease Bureau has radically reduced time frames it formerly took to do its work. Innovative changes to the work flow, re-engineered to make the job easier and refocusing on the priority to obtain quality lease space at a fair market value, have been made. The feed-back and comments are positive and outstandingly in favor of these changes.

The former Lease Bureau was characterized by work which added months to the routine process of procuring Agency Lease Space. The Lease Bureau was backlogged and unable to respond to an Agency's "real-time" needs, and it took 16 months, or more, to procure Lease Space. The Lease Bureau has re-engineered its response to the Agency's lease space needs. These changes include: saving time in the identification process; stimulating competition between offerors; substituting a Performance Bond for costly Lease Record drawings; reducing the Request for Proposals (from 328 to 24 pages) and the Lease Proposal form; and having the Lease Bureau assume responsibility for the Request for Proposals preparation and issuance (reducing the time frame by two months).

Benefits include quicker time frames and easier response to the need for lease space, a less costly submittal process, a less costly Lease Record Drawing approval process, and leases are now approved within 30 days, allowing Lessor finance considerations to proceed and ultimately a quicker start of renovation/construction of the proposed lease space. The new process is so new that there is no supporting data, but the initial feedback is overwhelming.

North Carolina: Statewide Automated Victim Information & Notification (SAVIN) System

The SAVIN system helps enable criminal justice agencies to meet statutory requirements of the state's new Victim's Rights Amendment, as well as improve efficiency and effectiveness of the criminal justice system in general. Automated victim notification works by linking computers at criminal justice agencies and telephone lines to enable victims to access and/or receive specific kinds of information about their cases. SAVIN will ultimately link all of the state's local jails, prosecutor's offices, correctional facilities, probation and parole offices, and appellate courts, tracking cases from the moment an offender is arrested until final case disposition and/or release of the offender.

The system operates 24 hours a day, seven days a week. Within minutes after a change in an offender's status, SAVIN begins to notify the victim, either by phone or letter, depending upon the severity of the case. When notification is made by phone, calls are repeated for a specified period of time until the verified victim is notified. In cases where a victim is not reached, the system alerts the appropriate agency to follow-up.

Legislative committee estimates of the cost to implement the state's Victim's Rights legislation, including providing manual notification to victims, ranged up to $22 million for the first five years. By collaborating on the design of a single statewide system that serves all criminal justice agencies, the Study Commission was able to minimize implementation and project costs dramatically - to under $2 million for the first two years - for the routine notification tasks.

North Carolina: Single Source Vehicle Fuel Charge Card

The Motor Fleet and Courier Services Division within the Department of Administration provides passenger vehicles to state agencies for employees in the performance of their duties. North Carolina has recently eliminated four fuel credit cards and now uses a single source "Voyager" credit card. We found that for our customers it was much more convenient to use a single card accepted at many service stations instead of seeking out one of the big four. The Voyager card is accepted nationwide by 16 different national oil companies. This is important since our vehicles are often operated outside of the state.

Based on our experience and input from our customers, we have identified the following advantages: software is available for a modern direct link into their computer system; the number of cards was reduced from 28,000 to 7,000, a 75% reduction; the length of time to prepare credit card packets for each vehicle was reduced by over 80%; billing from four companies was reduced to one; lost or stolen cards are immediately communicated to one company; and fuel management is improved with only one report to review.

In summary, the us of a single credit card for vehicle fuel is more convenient for our customer, thus saving time and frustration. It also streamlined the fuel management program within MFM and most importantly, we are better stewards of our tax dollars. The savings will continue for the term of the contract.

North Carolina: State Property Interactive Website

The Division of State property is the administering agency in state government for the acquisition and disposition of all state owned land and buildings or any interest therein by deed, lease, easement, or allocation. It is responsible for keeping a complete and accurate inventory of all real property under State jurisdiction. With a 25% reduction in staff since 1980 and with a workload growth of more than 400%, assistance tools had to be developed to aid the staff with transactions and inventory operations.

In the past, client agencies of the State Property Office (SPO) requested inventory information via letter or telephone. This process was often time consuming and cumbersome for the client agencies and SPO staff. Quick and easy access to this information would save the client agencies a significant expense through better and more timely facility management decisions.

With this in mind, SPO launched its website in January 1996. Since that time, it has undergone several modifications to better serve client agencies and the general public. One such innovation has been online, real-time inventory interactivity (ORII). With the introduction of ORII technology to the SPO website, client agencies no longer have to request reports via letter or phone. They now have the option to connecting to the SPO website, and by following a few simple instructions, generate reports, and receive or download these reports within a few minutes. This improves request to product time and provides up-to-date information. Additionally, ORII technology has made it possible for client agencies to submit immediate updates which have resulted in an 18% increase in inventory accuracy. With improved accuracy, agencies are now managing their facilities more efficiently.

North Carolina: Interactive Purchasing System (IPS)

The Interactive Purchasing System is a new electronic method of accessing procurement opportunities throughout the State of North Carolina. It will be used by all agencies to post procurement opportunities in excess of $10,000. Some agencies have decided to post all opportunities in excess of $5,000. Procurement opportunities are listed by category and department. A search function is included to assist in locating specific procurement opportunities. Some states have already implemented this type of bid solicitation system, but this is unique in the State of North Carolina because we purchase for ALL state agencies, state institutions, state universities, community college, and local public schools. To our knowledge, no other state has this type of centralized purchasing. The savings from IPS have been estimated at $50,000 in the first year.

There are may advantages to this system. 1) Vendors can view bidding opportunities and retrieve documents from one place. 2) Vendors may collaborate on bidding opportunities with their company representatives in another city without the need for faxed copies or express delivery. 3) There is more time for vendors to prepare responses and obtain all necessary information from their suppliers. 4) There is increased competition and greater participation by small business and Historically Underused Business enterprises. 5) Conservation of natural resources, because only interested bidders will convert our electronic documents to printed form. 6) Vendors can be assured that they have access to procurement opportunities in many categories and not just those with a specific mailing list.

North Carolina: Managed Flexibility System for Policy Implementation

The Managed Flexibility System for Policy Implementation addresses the problem of maximizing the human resource services role and minimizing the regulatory role of the Office of State Personnel (OSP) in assisting customers to develop and implement policies best suited for their unique organizational needs. The problem is complex: "How can OSP no longer dictate (regulate) how things must be done, but make certain that implementation decisions by customers are within the guidelines of the state?"

OSP empowered six cross-functional Service Delivery Teams of employees (Common Core values, Policy Development, Operating Measures, Product Development, Service Delivery, and Monitoring and Feedback) to serve as consultants with customers. The teams used the products developed by the policy Development Track team to consult with and train personnel directors and other employees to develop and accountably implement their policies. The Service Delivery Teams provided one-portal-of-entry and one-portal-of-exit services. Customers consulted with their teams on all issues, problems, and concerns. The teams facilitated timely and appropriate responses by answering the inquiries either from their knowledge base or by contacting a subject area specialist to respond to the customer.

The Managed Flexibility System has resulted in the following benefits: a reduction in time for OSP to deliver quality human resource management services to the agencies and universities; statewide policies are being developed and implemented based on customer input; human resource management decisions are being made at the customer's level; and OSP employees are renewed and empowered to deliver quality products and services.

North Carolina: Computers for North Carolina Public Schools

The State of North Carolina and its leaders realize there is a need throughout the public school system to have the necessary equipment available to students so that optimum education is achieved by all. As technology changes or improves, it is essential that our schools change or improve accordingly. While updated technology is the goal, resources are not always readily available to achieve this goal.

In February 1997, the State Surplus Property Office in the Department of Administration's Division of Purchase and Contract introduced to state government agencies a recycled computer program that would not only be an invaluable resource to the public school system, but a method by which agencies could remove/dispose of old equipment more efficiently. Two electronic technicians on staff take delivery of computers, analyze their capability, refurbish them, and put systems together for the schools. Computers that cannot be refurbished are dismantled and separated into recyclable components, viz., plastic parts, metal parts, printed circuit boards, power supplies, and disk drives.

Since the programs inception, more than 1500 386- and 486-based computers have been placed back into the schools. At $20 each system, the state has generated approximately $40,000 in revenue, but the real savings accrue to the public schools and the opportunities this program provides for the children of North Carolina. The average cost of a new computer system is estimated at $2,000, so a purchase through State Surplus saves $1,980 per system and represents a minimum savings, or cost avoidance, of at least $2,970,000 in one year for the public schools.

Ohio: Electronic Data Interchange (EDI): A Better Way To Do Business for Ohio Government

The Ohio Department of Administrative Services Computer Services Division conducted a study to determine a viable approach for a statewide EDI capability and to select an appropriate vendor for a pilot project, which began in January 1996. Only EDI transactions have been received since that time, and the invoice and payment cycle has been cut from an average of 30 days to fewer than 10.

This program is extremely significant to the improvement of the operation of the State. The expansion of the State's EDI program in conjunction with the integration of EDI implementation into our business applications and environments is the catalyst for the development of our Electronic Commerce strategy.

Without taking into account all of the possible tangible benefits or the possibility of extending the EDI project to additional functional areas, savings were very conservatively estimated at over $2.3 million by the end of FY 2000. Using less conservative but still realistic assumptions, savings could easily exceed $25 million by the end of FY 2000.

Ohio: Civil Service Hiring Process (HRD-CATS)

Ohio's Civil Service Hiring Program includes the development and administration of examinations and the process for certifying qualified applicants. The program was recently redesigned to comply with changes in civil service law while ensuring a more customer friendly operation. By moving to a new facility, expanding services, and implementing new computer systems, the program has revolutionized the hiring process in Ohio. Subsequent changes to the program were made by an award winning team of front-line employees and managers dubbed the HRD-CATS (Human Resources Division - Certification and Testing Services).

The revamped civil service hiring program allows agency hiring managers to fill vacancies with qualified individuals in a more timely manner. It provides them with faster processing times and a continuos recruitment period. It also ensures that applicants coming off the eligible lists are competitive and possess the skills needed to perform efficiently. At the same time, the new program allows applicants seeking employment or current employees seeking new positions to be considered for jobs sooner and provides them with more opportunities to take examinations.

Improvements in the computer examination system has sped up the testing process and, along with other improvements, has saved over $280,000. A new keyboard skills area effectively assesses applicants' typing and data entry skills, relieving agencies of this responsibility. Continuous testing and test-on-demand schedules refresh eligible lists on a continuos basis and gives applicants more opportunities to take examinations and compete for vacancies.

Ohio: Paperless Payroll System

Ohio's Paperless Payroll System totally eliminates hard copies of the payroll disbursements journal, utilizes extensive online entry at the agency level, and simplifies the biweekly payroll process for all involved, while saving significant tax dollars. Agency complaints, data processing errors, and significant overtime costs led employees in the payroll services section to recommend and design the paperless system.

The new system directly impacts more than 60,000 state employees, ensuring that their pay is correct and received on time. It has resulted in tremendous savings to the state. Total annual savings to the Human Resources Division alone is more than $823,000. The system also eliminates excessive handling and double work that was inherent in the paper-based system. Agency payroll officers have more time to make their payroll entries and overtime and staffing requirements have been reduced. Overall, the process has resulted in impressive cost reductions within the Human Resources Division and will reduce staffing, overtime, and processing costs at the agency level as well.

Ohio: Innovation Ohio

Innovation Ohio is the state of Ohio's employee suggestion program. It is the result of a 1994 reengineering effort designed to increase the 21 year old program's effectiveness and make it more compatible with the state's new quality program and other cultural and organizational changes. The program is based on the premise that the employee who actually does a job on a day to day basis is in the best position to see how that job can be improved. It seeks to encourage and reward the creativity and initiative of front-line employees.

The new, decentralized program utilizes an innovative awards structure, agency customization, and a strong emphasis on teamwork to encourage and reward employee ideas. Critical components of the Innovation Ohio program include decentralization, teamwork, restructured awards, supervisor/evaluator recognition, and coordination with Office of Quality. All of these changes have revitalized the program and addressed the need for continuous improvement and more cost effective and efficient government programs for the taxpayers of Ohio. Ideas implemented through Innovation Ohio have saved an average of $4 million per year since 1994. Along with these cost savings, the program provides many valuable intangible benefits such as improved customer service, better employee morale, and increased safety for workers and citizens.

Oklahoma: Innovative Budgeting Program

During FY 98 the Oklahoma legislature asked six agencies to reexamine programs and expenditures. The Department of Central Services took the initiative independent of the pilot projects to better understand programs and levels of customer service and expenditures to make positive changes. The Building Management Division was the first division within this organization to implement an examining, thinking, planning, and budgeting process that would result in innovations that could provide better services at the same or reduced costs.

Thus far, 18.5 of the 39 FY 98 payback projects are completed totaling $114,486 in savings annually. These projects were completed one year ahead of schedule, allowing savings that have been redirected toward infrastructure needs. This initiative has also created a sense of cooperation between management and employees by empowering the employees to be part of the decision-making process. Other divisions have also seen benefits from the Program: Central Printing Division will see $70,000 from new and expanded services; Asbestos Division reduced fixed operating costs by $363,000; and Construction and Properties Division began its Oklahoma Statewide Roofing Contract.

The Innovative Budget and Planning Process has allowed the Department to focus the agencies resources, talent, and personnel to make the central services of State government more efficient and effective.

Pennsylvania: Centralized Automated Mail Processing Contract

The Pennsylvania Department of General Services implemented a Commonwealth-wide automated mail processing contract. The program was initiated at a time when the U.S. Postal Service was introducing postage discounts for pre-barcoded mail, while at the same time increasing general postage rates. The goal of the project has been to offset postal rate increases and obtain the highest postage discounts available.

Before the automated mail processing contract was put in place the Commonwealth had no centralized mail contract. There were multiple contracts in place for several different individual agencies, but these contracts only provided non-automated presort services for high volume mail runs. The idea behind the new program was to combine all Commonwealth mail volume into a single contract. This would provide service for low, as well as high, mail volume agencies. Combining mail volume would also maximize leverage in obtaining the lowest possible rates for services. It was also believed that guaranteeing the entire Commonwealth's mail volume under a single contract would provide the incentive for vendors to invest in the automated mail processing technology required to barcode mail. To obtain maximum postage discounts it is necessary that mail be pre-barcoded as well as pre-sorted.

Overall the Commonwealth has achieved its goals of offsetting postage increases and maximizing postage savings. In total, the Commonwealth has saved nearly $24 million since the program's inception. Perhaps best of all, fees paid to the contract vendor have come out of postage savings. Also, according to the U.S. Postal Service, this was the first contract of its type in the nation.

South Carolina: South Carolina Optimal Fuel Management System

The new South Carolina Optimal Fuel Management System (OFMS) represents the best in meeting the needs of customer agencies, and ultimately, the needs of the taxpayers through a partnership between the public and private sectors in the management of fleet fuel. Through this program State agencies are able to control fuel costs, and significantly reduce operating expenses and administrative costs, while increasing the data recovery and control of fuel usage. The program also represents a significant step forward in eliminating any potential for fraud or abuse.

The program was designed to include access to fuel from both State owned fuel facilities as well as the greatest possible number of commercial outlets while eliminating the retail market volatility of fuel prices. It combines the replacement of all fuel control terminal equipment at State owned facilities with no upfront capital outlay by the state, the provision and administration of Universal Fuel Credit Cards usable at those facilities and at commercial outlets, the management and supply by the vendor of fuel inventories at State owned facilities, the data management on all transactions conducted with the Cards, and the invoicing to the end-user for all fuel consumed.

Overall, it is estimated that savings from the implementation of this new system will exceed $1 million annually throughout the five year life of the contract.

Virginia: Virginia Business Showcase '97

Virginia Business Showcase '97 featured a reverse trade fair and conference as a means of educating vendors in the procurement process and expanding sources of supply. As opposed to the traditional trade fair where vendors promote their products and services, the reverse trade fair gave agencies the opportunity to staff the exhibit booths and present their product needs to the vendors. This unique scenario provided the framework to "meet the buyer" for a strategic opportunity to partner and learn.

The Showcase was successful in addressing the two major factors that may limit the Commonwealth's opportunities to acquire quality goods and nonprofessional and professional services at a fair and reasonable price: 1) lack of knowledge about agency missions and the products required, and 2) the lack of sources of supply in certain geographical locations across the state for a variety of commodities.

Washington: Central Stores and Consolidated Mail Services Partnership

The program is a partnership between Central Stores and Consolidated Mail Services (CMS) for the purpose of delivering supplies from a state distribution center to customer sites in the state of Washington. As a result of the agreement between two state organizations, each assumed roles which closely fit normal operating practices and offered degrees of efficiency of which the other may not have been capable. CMS delivers orders of six cartons or less within the local area using step vans, while the elimination of small local deliveries freed Central Stores' 18 to 22-ft diesel trucks and tractor trailers for delivery to other parts of the State. This allowed the rest of the state delivery locations to be assigned routes that could be accomplished within a work day.

The Central Stores distribution center purchases supplies common to many agencies so that combined quantities are leveraged to provide items in a manner less costly than if all agencies were to purchase these items separately. Customers are state agencies, political subdivisions, and certain qualifying non-profit organizations. Indirect benefits to citizens are less costly public-supported entities.

Washington/Oregon: Purchasing Cooperative Agreement

Up until now, Washington and Oregon have operated separate procurement systems - this despite needing and procuring similar and identical services and products from the same pool of vendors. As each state determined a contract need, it would go out to bid, evaluating and awarding contracts independently. Political subdivisions of each state have historically enjoyed access to both states' contracts, providing appropriate fees were paid and interlocal cooperative purchasing agreements were in place. This new initiative eliminates those fees charged twice and the need for interlocal agreements and provides joint access to existing contracts in both states.

When a qualified political subdivision joins the state purchasing cooperative of either state, they will automatically be allowed to purchase through the other state's contracts. Thus, when an Oregon political subdivision joins Oregon's state purchasing cooperative, they will automatically be allowed to use any Washington State contracts opened up to political subdivision participation and vice-versa.

Some significant results have occurred from this joint cooperative program. Bid volumes have increased resulting in better pricing, decreased staff time because one state does the procurement, and created a sister/brother relationship between the states. Most notable, though, is the increase in customer satisfaction.

Wisconsin: BadgerNet

BadgerNet is a new state-of-the-art information technology network that will link every classroom, city hall, and state agency in the state. It embodies an ambitious enterprise-level telecommunication strategy engineered to meet Wisconsin's most aggressive voice, data, and video service needs well into the next century.

BadgerNet already offers state agencies, local governments, universities, and schools efficient, reliable telecommunications services through access to a "synchronous optical network" or "sonet ring." It grew out of the recognition that emerging classroom needs ran parallel to state government's own need for cost effective telecommunication services. The Department of Administration responded by examining ways to improve Internet access and related services by looking at these issues in the context of the state's telecommunications contracts. The BadgerNet project was developed to allow the state to contract with various service vendors to meet a wide range of needs within an enterprise context. In addition to the sonet ring, specific components of the system include asynchronous transfer mode switches, access links, voice services, enterprise network management, full motion video service, and (in the future) broadcast interconnect capabilities.

In one sense, BadgerNet is a complex blend of services and technology orchestrated by Wisconsin state government's general service agency. But in a larger sense it carries the same significance as the golden spike that completed the nation's first trans-continental railroad over a century ago. by linking communities and people together, the true contribution of BadgerNet to Wisconsin's residents and economy is far greater than the sum of its parts.