State Use Law Committee Meeting

STATE USE LAW COMMITTEE MEETING

September16, 2014

MEETING MINUTES

MEMBERS PRESENT: Debbie Harrington, Doyle Dobbins, Michelle Mirabella, Jayson Crouch, Chuck Wagner, James “Ty” Case, Dean Stotler (Video-Conference), Dan Madrid (Ex-Officio), Thomas Cook (Ex-Officio), Lisa Morris (Acting Council to the SULC)

GUESTS: Andy Kloepfer, Paul Beane, Lloyd Schmitz, Amber Mangini (Secretary to the SULC)

Ms. Debbie Harrington called the meeting to order at 2:10pm after determining that there was a quorum.

1. APPROVAL OF MINUTES–Mr. Doyle Dobbins moved to accept the August 19th meeting minutes as written, Michelle Mirabella seconded the motion, and the Commission was unanimously in favor. The minutes were accepted as written.

Mr. Doyle Dobbins requested that the subcommittee report be added to the SULC agenda. Ms. Harrington agreed and approved the request. The subcommittee report will be added as a standard agenda item, and be placed after “New Business” on the agenda.

1. OLD BUSINESS

1. Secure Document Destruction Matter–Ms. Harrington stated that she has seen several email correspondences between several different people regarding this situation; therefore she would like to openly discuss the situation so that the Commission has all of the facts before going forward with the matter. Ms. Harrington asked Mr. Paul Beane to share with the Commission the information he has so that everyone is made aware.

Mr. Beane stated that Ms. Dana Chant contacted DelARF to request secure document destruction services. DelARF referred Ms. Chant to Service Source, which is the provider that was awarded the contract to provide the service of secure document destruction. Upon further engagement with the vendor, Ms. Chant revealed that she didn’t have the budget to afford the awarded amount for the service. At that time, Ms. Chant tried to negotiate pricing with DelARF and Service Source to reduce the cost to the price she received from the previous vendor. It was explained to Ms. Chant that there weren’t margins to allow for the price she requested.

Ms. Chant then requested a waiver that would allow her to utilize another vendor for the serviceshe needed that could meet her budgetary needs. To determine whether Ms. Chant was eligible for a waiver, DelARF requested she provide the contract that she held with the previous vendor to prove the validity of the price requested.

Mr. Beane stated that as of right now it is unclear if Ms. Chant has been able to procure the services from another vendor, but DelARF would like some clarification on where they stand in terms of providing the services to DHSS.

Mr. Dan Madrid stated that he reached out to the director of DSS, Elaine Archangelo, to inform her of the situation and possibly obtain her support and assistance with the matter. Mr. Madrid also invited DSS to this SULC meeting to discuss this situation and was under the impression that they may attend, but they did not show to this meeting.

Mr. Dean Stotler stated that GSS has obtained a more recent quote of .089 cents per pound from the vendor “Access”. The price differential equates to $46,741/Year vs $24,440/year from the open market vendor. This quote was provided by the same vendor that provided the services before, and who currently provides these services to the Division of Archives. Mr. Stotler said that he would suggest re-pricing the contract to be within a 10% market for this particular service.

Mr. Cook pointed out that Access doesn’t provide secure collection of confidential documents to the Division of Archives. The Division of Archives contract with Access is for Non-secure collection of documents. Mr. Cook stated that it is important to confirm that what Access is proposing to do meets the standards that were established for secure document destruction before the SULC alters the price. The contract was intended to safeguard confidential information from the beginning of the collection process, to the end of the destruction process.

Mr. Chuck Wagner requested a copy of the bid proposal held by Access so that the Commission could review it.

At this time, Mr. Bruce Krug from OMB entered the discussion and said that he would attempt to contact Ms. Chant to obtain a copy of the actual quote. Also Mr. Stotler stated GSS will commit to having an RFI published by the end of next week.

Ms. Harrington asked what the next step would be if the SULC reviews the proposal and finds that this is an apple to apples comparison. Mr. Jayson Crouch stated that we must first confirm that the proposal from Access is apple to apples, because this is a service that’s competitively available in the market place. Also, 2 additional quotes should be obtained for the service so that the SULC could look at a broader marker. Lastly, Service Source needs to evaluate their current cost structure.

In regard to the situation involving Ms. Chant, Mr. Jayson Crouch asked if there is a code of conduct in place that would require employees of DSS to follow the laws of the state of Delaware.

Mr. Stotler stated that all public officials are governed by chapter 55 of title 29 which is the official code of conduct. He also said that he does not believe that there has been a violation of this code, and that there is a lot of information regarding this matter that has yet to be brought before the Commission. Mr. Stotler stated that to suggest an employee blatantly violated the law would be an issue, and in his opinion, inappropriate.

Ms. Harrington agreed with Mr. Stotler and stated that because the Commission does not have all of the facts, she decided not to send the letter that was written to the Cabinet Secretary about Ms. Chant. She stated that the SULC needed to be clear on the facts before making such a statement based on speculation and opinion.

Mr. Madrid stated that if the letter was not sent to the Cabinet Secretary, then there are procedures that must be followed because the Commission already voted and made a motion to send the letter. The Commission now needs to make a motion to rescind the prior motion. Mr. Stotler made the motion to rescind the request to send the letter to the Cabinet Secretary. Mr Jayson Crouch seconded the motion, the Commission was unanimously in favor and the motion was carried.

Ms. Harrington stated that in regard to any future matters, No one has the authority to individually engage any agency or person within about anything without following the SULC procedures and properly voting as a Commission.

Mr. Stotler added to this by stating that there is no authority in the Statutes for this Commission to conduct investigatory actions. We are not an investigatory body, our mission is to find and create employment opportunities. We can conduct research, but we do not have the statutory charge to conduct an investigation.

Ms. Harrington referenced the letter written and submitted by Mr. Schmitz, and requested to have it formally added to the minutes. Mr. Stotler stated that since this letter was introduced as public comments into the meeting minutes, the SULC has a responsibility to respond as a Commission and formalize them as a part of the record.

Ms. Harrington then requested that Mary Page Bailey draft a response to the letter that Mr. Schmitz wrote. Ms. Lisa Morris said that some of the questions asked in the letter are requesting legal advice and therefore she may not be able to answer. Ms. Morris also stated that she will discuss the request with Ms. Bailey so she can advise the Commission on how to move forward.

1. NEW BUSINESS

1. Loss of Board Member–Ms. Harrington informed the Commission that Ms. Valerie Watson, our Finance representative, is no longer a member of this board. A letter was drafted to thank Ms. Watsonfor her service and time with the State Use Law Commission. The Commission was unanimously in favor of sending Ms. Watson the farewell letter, and would like to wish Ms. Valerie Watson the very best in her new position.

1. New Member Training–Ms. Harrington stated that there has been some confusion lately regarding the State Use Law so some training would be beneficial to everyone, especially the new members. The goals and the purpose of this Commission needs to be made clear, as well as how to accomplish or achieve those goals. Also, there needs to be some clarity about who is responsible for what within this Commission. Ms. Harrington asked Mr. Chuck Wagner if he could build a program that would provide the training needed to clarify what is expected from the members of the SULC, and Mr. Wagner agreed.

Mr. Jayson Crouch stated that it would be difficult to focus on training based on all of the things that are up for discussion in the Subcommittee meeting. Also, although it would be helpful to new members, the veteran members should not be left out because everyone could benefit from a training session.

Mr. Dobbins agreed that it would be very difficult to commit to training untilthe by-laws and guidelines are established.

Mr. Cook stated that this training would be helpfulto the new members who do not know the roles of the organizations that are on the Commission. A simple discussion or session would be helpful to break down the various organizations that are a part of the SULC and the roles they play in the Commission.

Dean Stotler agreed that a discussion to clarify how the different organizations work together would be relevant. Mr. Stotler stated that it would be helpful for everyone to understand the etiquette that is requested so that everyone can work collaboratively while still working on their specific responsibilities and fulfilling their charges as well.

Mr. Stotler asked Ms. Lisa Morris if this training would be considered a public meeting because it would constitute a quorum.

Ms. Morris stated that it would be considered a public meeting, and therefore minutes would have to be taken because it constitutes a public body.

Ms. Harrington asked Ms. Mirabella if she would aid Mr. Wagner in designing a program for this training session. Ms. Mirabella committed to working with Mr. Wagner to develop a program for training. Training will be scheduled after the program is completed and reviewed by the Commission.

1. Annual Report– Mr. Paul Beane distributed copies of the draft Annual Report to the Governor. Mr. Beane stated that the report showed how the market was expanded to include 57 different incorporated places within Delaware. Two individuals from DIB, one individual from KSI, and five individuals from DelARF who best represent the spirit of State Use were recognized in the Annual Report as well. Mr. Beane is awaiting the approval of 1 final story. The report also reflects that 592 individuals were served this year, which is the same number as 2012.

Mr. Stotler asked if the report captured the cost avoidance figures to reflect how much was saved because that was a strong component of the report that was added over the past couple of years.

Mr. Beane stated that he did send that information to the marketing company; however it is not included in the report. The report did include the cost savings per employee, so that the breakdown could be used as a comparison against the spend.

Mr. Stotler asked if the savings figure represents the benefit of having an individual with disabilities employed as opposed to the social services program, or the demand to meet their needs if they didn’t have gainful employment. The cost to the state associated with that shows the value of employing and is a strong addition for the administration and the legislature.

Mr. Beane stated that the final draft will reflect those figures, and will be sent out electronically by the end of the week so that everyone can review it. The final report is due to the publisher by September 30, 2014.

1. SUBCOMMITTEE REPORT–Mr. Doyle Dobbins stated that in referencing last month’s minutes, it was clarified who was on both the by-laws subcommittee and the guidelines subcommittee. After reviewing the General Guidelines from 2000, it was discovered that there are things in the guidelines that would be more appropriate as By-laws. Mr. Dobbins stated that these guidelines should be removed and put into the by-laws.

Mr. Thomas Cook stated that he did some research and found that there is another Commission that has established By-laws. He shared the link with the subcommittee members to possibly provide a template that the by-laws committee could move forward with.

Mr. Dobbins stated that at last month’s meeting Mary Page Bailey said she had a template for the by-laws that she would send us to help facilitate the process. Mr. Dobbins asked Ms. Lisa Morris if she would remind Ms. Bailey to look into this template and send it to the subcommittee if possible. Also, Mr. Dobbins stated that one of the main goals of today’s subcommittee meeting was to draft an agenda for the September 29th meeting.

Dan Madrid committed to work with Amber Mangini to draft this agenda.

1. DIB REPORT–The DIB report was distributed to the members, and Andy Kloepfer summarized the highlights. Mr. Kloepfer stated that DIB is doing final preparations for their upcoming open house Friday the 19th from 10am-2pm. DIB has partnered with DVI and the radio station WJBR, with sponsoring from Dog Fish Head for this year’s event, so they expect a big turnout. Open house will allow their customers, DVI’s clients, and the public to see what DIB is all about and what they have to offer. There will be entertainment, food, tours, give-a-ways, a chance to meet the staff, and customer service reps on site to place orders.

DIB also completed a new USGS website in August to reflect their new expanded product line with new apparel and promotional products.USGS is very happy with the amount of business that is being generated due to the new website.From the end of August through the start of September, DIB completed 1200 T-shirt orders, and are currently working on an order of 600 more due to their new screen printing machine.In general, business has been good and sales have been steady in commercial sales, engraving, and screen printing.

1. DELARF REPORT

1. Newark Toll Plaza Price Adjustment–Mr. Beane stated that in regard to the Newark Toll Plaza, the state requested that DelARF work with Chimes to examine the possibility of reducing the cost to service the location. After research and consideration, DelARF was able to work with Chimes and the State to propose a price reduction in the amount of $241.98 per month, which equates to a 5.5% price reduction. DelARF used a price estimate review submitted by APS (an independent consultant) to confirm that they were within fair market value.

Dean Stotler moved to accept the price decrease that has been proposed for the Newark Toll Plaza. Jayson Crouch seconded, Michelle Mirabella recused, and the motion was carried.

1. Biddles Toll Plaza Price Adjustment– Mr. Beane stated that the Newark Toll Plaza was used as the comparator to this site because of the similarities in the frequency of service, volume that the site yields, and number of toll-booths. DelARF has been unable to locate the documentation to support the current price, which is why this price proposal has been brought to the Commission today for approval. Currently, the state is being charged the price in this proposal.

The Commission has decided to table this request until the proper documentation can be provided to support the price that is being proposed.

1. Thomas Collins Building Price Adjustment– Mr. Beanestated that this site is currently serviced by Goodwill of Delaware. There was a law library in the building but it was moved to another location so that space no longer requires the service.The library space represented 10% of the cleanable space so the price is being reduced by 10%. Mr. Beane asked that the Commission consider the revised price of $4,391.01 per month, which reflects the 10% reduction.

Mr. Dean Stotler moved to accept the price reduction, Doyle Dobbins seconded the motion, and the Commission was unanimously in favor. Motion Carried.

1. DHSS Division of Public Health Set-Aside–Mr. Beane stated that this is a small space currently serviced by Easter Seals 2 day a week for 1.25 hours per day. Documents could not be located to support the frequency of services provided at this site. Theresa Newman of GSS suggested bringing the request to the Commission to affirm that the frequency of services are 2 days per week at this site.

Mr. Cook stated that DelARF needs to have documentation that the SULC approved the request. There is no change in price or services; DelARF simply needs documentation to affirm that the frequency of service is 2 days per week.

Ms. Harrington asked for a motion and Dean Stotler made the motion to affirm the frequency. Mr. Chuck Wagner seconded, the motion was unanimously approved and carried.

Mr. Stotler stated that no letter is needed for the frequency being affirmed becauseitwill reflect in the minutes and that should suffice, but the 2 price adjustments that were approved do require letters.

1. PUBLIC COMMENT–There were no public comments.

1. ADJOURNMENT–Ms. Harrington adjourned the meeting at 4:30pm.

Respectfully submitted,

Amber M. Mangini

Secretary to the SULC