DIRECT DIVERSION DIRECT DIVERSION PROCESSINGPROCESSING

Detailed Training SessionDetailed Training Session

WednesdayWednesday

October 29, 2014October 29, 2014

8:30 am to 12:00 pm8:30 am to 12:00 pm

Stevens PointStevens Point

Holiday Inn Hotel & Convention CenterHoliday Inn Hotel & Convention Center

What is Direct Diversion?What is Direct Diversion?

Processing Option for WI School Food Authorities (SFAs).Processing Option for WI School Food Authorities (SFAs).

Bulk commodities (USDA Foods) committed by SFAs on annual order Bulk commodities (USDA Foods) committed by SFAs on annual order to chosen processors.to chosen processors.For exampleFor example::Raw bulk chicken into chicken nuggetsRaw bulk chicken into chicken nuggetsRaw coarse ground beef in cooked beef pattiesRaw coarse ground beef in cooked beef pattiesBulk orange juice into orange juice cupsBulk orange juice into orange juice cups

Bulk USDA Foods are ordered by the DPI to be shipped directly from Bulk USDA Foods are ordered by the DPI to be shipped directly from USDA to the processors.USDA to the processors.

Regardless of which processing option selected, brown box USDA Regardless of which processing option selected, brown box USDA Foods are available to all SFAs placing an annual order.Foods are available to all SFAs placing an annual order.

The BenefitsThe Benefits Increase participationIncrease participation

More varietyMore variety

SFA-specific productsSFA-specific products

Consistent product Consistent product

(USDA Foods & commercial)(USDA Foods & commercial)

Potential savings on storage costsPotential savings on storage costs

What Do I Have To Do?What Do I Have To Do?

Where and How Do I Start?Where and How Do I Start?

THE STEPSTHE STEPS

ProcessorsProcessors ProductsProducts ProcurementProcurement Annual OrderAnnual Order AgreementsAgreements Order End ProductsOrder End Products MonitoringMonitoring

PROCESSORSPROCESSORS

Who are the eligible processors for Wisconsin?Who are the eligible processors for Wisconsin?

USDA approves multi-state processors on a USDA approves multi-state processors on a national level. DPI uses the USDA approved list as national level. DPI uses the USDA approved list as a starting point for who is eligible to participate.a starting point for who is eligible to participate.

Annually, all interested processors must complete Annually, all interested processors must complete an “Intent to Participate” form and return to the DPI.an “Intent to Participate” form and return to the DPI.

In the middle of October, a list of eligible processors In the middle of October, a list of eligible processors for the following school year is posted on the DPI for the following school year is posted on the DPI website.website.

ProductsProducts

What products are available for your What products are available for your program? program?

1)1) Processors’ Summary End Product Processors’ Summary End Product Data Data Schedules (SEPDS)Schedules (SEPDS)

2)2) Annual Food ShowAnnual Food Show

Summary End Product Data Schedule Summary End Product Data Schedule (SEPDS)(SEPDS)

SEPDS A & BSEPDS A & B

SEPDS A is for all USDA Foods excluding SEPDS A is for all USDA Foods excluding Guaranteed Minimum Return.Guaranteed Minimum Return.

Relevant columns: A, E, F, H and IRelevant columns: A, E, F, H and I

SEPDS B is for meat and poultry processed under SEPDS B is for meat and poultry processed under Guaranteed Minimum Return.Guaranteed Minimum Return.

Relevant columns: A, E, G, HRelevant columns: A, E, G, H

SEPDSSEPDS Please Note: The USDA Foods values are updated annually by Please Note: The USDA Foods values are updated annually by

USDA. The new USDA Foods values are released on USDA. The new USDA Foods values are released on November 15November 15thth for the following school year. Each processor for the following school year. Each processor must re-submit their SEPDS to USDA for approval after the must re-submit their SEPDS to USDA for approval after the release on November 15release on November 15thth. It takes some time for USDA to . It takes some time for USDA to approve the SEPDS with the new prices. Therefore, the SEPDS approve the SEPDS with the new prices. Therefore, the SEPDS may not be available for a few months after the release of the may not be available for a few months after the release of the new prices.new prices.

The USDA Foods value for the bulk USDA Foods may increase The USDA Foods value for the bulk USDA Foods may increase

or decrease. or decrease.

Therefore, the amounts in Column H and Column I (on SEPDS Therefore, the amounts in Column H and Column I (on SEPDS A) may be slightly different for the upcoming year.A) may be slightly different for the upcoming year.

ProductsProducts

How many approximate servings per How many approximate servings per product do you need?product do you need?

Determine approximate usage by:Determine approximate usage by:

Servings per day x number of days on Servings per day x number of days on menu:menu:

(100 students x 45 days = 4,500 total (100 students x 45 days = 4,500 total servings needed)servings needed)

USDA Foods SpecificUSDA Foods SpecificProcurement TerminologyProcurement Terminology

Once the general list of desired end products and Once the general list of desired end products and approximate usage of each end product has been approximate usage of each end product has been established, procurement must be conducted to determine established, procurement must be conducted to determine processor specific list of end products.processor specific list of end products.

Procurement for direct diversion processing includes USDA Procurement for direct diversion processing includes USDA Foods specific language/terminology. Therefore, we will Foods specific language/terminology. Therefore, we will now review some of the common direct diversion now review some of the common direct diversion processing terminology.processing terminology.

What is Value Pass-Through?What is Value Pass-Through?

Value pass through is the way in which Value pass through is the way in which SFAs receive the full value of USDA SFAs receive the full value of USDA Food(s) contained in a further processed Food(s) contained in a further processed product.product.

[Or, the entitlement value of the bulk [Or, the entitlement value of the bulk product(s) contained in the end product.]product(s) contained in the end product.]

Value Pass-Through OptionsValue Pass-Through Options

Rebate to Recipient Agency (RA)Rebate to Recipient Agency (RA)

Fee for Service—ProcessorFee for Service—Processor

Fee for Service—DistributorFee for Service—Distributor

Net Off Invoice (NOI)Net Off Invoice (NOI)

RebateRebate

Processor or distributor sells end product directly to RA Processor or distributor sells end product directly to RA (SFA) and invoices SFA at gross price. SFA applies for (SFA) and invoices SFA at gross price. SFA applies for rebate for value of USDA Foods contained in end product.rebate for value of USDA Foods contained in end product.

Commercial price = Your price Commercial price = Your price (SFA applies for a rebate monthly)(SFA applies for a rebate monthly)

Rebate ExampleRebate Example

SFA “X” purchases pizzas from distributor and SFA “X” purchases pizzas from distributor and pays gross price of $32 per case. Entitlement pays gross price of $32 per case. Entitlement value per case of pizza purchased is $3.50.value per case of pizza purchased is $3.50.

SFA “X” files rebate to processor for the $3.50 SFA “X” files rebate to processor for the $3.50 entitlement value per case of product purchased.entitlement value per case of product purchased.

SFA “X”’s actual net cost per case is $28.50 ($32 - SFA “X”’s actual net cost per case is $28.50 ($32 - $3.50).$3.50).

Fee for Service—ProcessorFee for Service—Processor

Processing fee charged by processor.Processing fee charged by processor.

Processor invoices SFA for the cost of the non-Processor invoices SFA for the cost of the non-USDA Foods ingredients and the processing fee.USDA Foods ingredients and the processing fee.

Value of the USDA Foods has already been taken Value of the USDA Foods has already been taken out of the price.out of the price.

Other ingredients + labor + packaging + overhead + other Other ingredients + labor + packaging + overhead + other costs = Your Pricecosts = Your Price

Fee for Service—Processor Fee for Service—Processor ExampleExample

Processor’s cost of non-USDA Foods ingredients, labor, Processor’s cost of non-USDA Foods ingredients, labor, packaging, overhead and other costs is $22 per case of packaging, overhead and other costs is $22 per case of pork taco filling. pork taco filling.

The entitlement value per case of pork taco filling is $12.The entitlement value per case of pork taco filling is $12.

The $22 processing fee takes into account that processor The $22 processing fee takes into account that processor will use $12 worth of USDA Foods to make the taco filling.will use $12 worth of USDA Foods to make the taco filling.

SFA “X” will be invoiced by processor $22 per case of pork SFA “X” will be invoiced by processor $22 per case of pork taco filling.taco filling.

Fee for Service—DistributorFee for Service—Distributor

Distributor invoices SFA for the cost of the processed Distributor invoices SFA for the cost of the processed product and distributor handling/storage fees.product and distributor handling/storage fees.

Price represents a processor’s cost of ingredients, labor, Price represents a processor’s cost of ingredients, labor, packaging, overhead and other costs incurred in the packaging, overhead and other costs incurred in the conversion of USDA Foods into an end product.conversion of USDA Foods into an end product.

Value of USDA Foods has already been taken out of the Value of USDA Foods has already been taken out of the price.price.

Other ingredients + labor + packaging + overhead + other Other ingredients + labor + packaging + overhead + other costs + distributor’s fees = Your Pricecosts + distributor’s fees = Your Price

Fee for Service—Distributor Fee for Service—Distributor ExampleExample

Processor’s cost of non-USDA Foods ingredients, labor, packaging, Processor’s cost of non-USDA Foods ingredients, labor, packaging, overhead and other costs is $22 per case of pork taco filling. overhead and other costs is $22 per case of pork taco filling.

Distributor’s handling/storage fee is $3 per case of pork taco filling.Distributor’s handling/storage fee is $3 per case of pork taco filling.

The entitlement value per case of pork taco filling is $12.The entitlement value per case of pork taco filling is $12.

The $22 processing fee takes into account that processor will use $12 The $22 processing fee takes into account that processor will use $12 worth of USDA Foods to make the taco filling.worth of USDA Foods to make the taco filling.

SFA “X” will be invoiced by distributor $25 per case of pork taco filling SFA “X” will be invoiced by distributor $25 per case of pork taco filling ($22 + $3).($22 + $3).

Net Off Invoice (NOI)Net Off Invoice (NOI)

Processor sells to a commercial distributor at gross price of Processor sells to a commercial distributor at gross price of end product.end product.

Distributor invoices SFA at net case price. Invoice lists Distributor invoices SFA at net case price. Invoice lists gross price, minus value of USDA Foods in case and then gross price, minus value of USDA Foods in case and then net case price.net case price.

Distributor claims a credit from processor for the value of Distributor claims a credit from processor for the value of USDA Foods contained in the end product.USDA Foods contained in the end product.

gross price - USDA Foods value = net case pricegross price - USDA Foods value = net case price

Net Off Invoice (NOI) ExampleNet Off Invoice (NOI) Example

Processor sells case of chicken nuggets to distributor for Processor sells case of chicken nuggets to distributor for $30 per case. $30 per case.

Distributor’s handling/storage fee is $3 per case of chicken Distributor’s handling/storage fee is $3 per case of chicken

nuggets.nuggets.

The entitlement value per case of chicken nuggets is $10.The entitlement value per case of chicken nuggets is $10.

SFA “X” will be invoiced by distributor $23 per case of SFA “X” will be invoiced by distributor $23 per case of chicken nuggets ($30 + $3 - $10).chicken nuggets ($30 + $3 - $10).

Distributor will claim a credit to the processor for the $10 Distributor will claim a credit to the processor for the $10 entitlement value per case of chicken nuggets.entitlement value per case of chicken nuggets.

Why Do I Need to Know Value Pass Why Do I Need to Know Value Pass Through Methods?Through Methods?

Not all processors do all methods.Not all processors do all methods.

During the procurement process, SFAs During the procurement process, SFAs need to indicate in their procurement need to indicate in their procurement document which method(s) they are document which method(s) they are requesting pricing for.requesting pricing for.

For monitoring purposes, SFAs need to For monitoring purposes, SFAs need to ensure they are receiving the full value of ensure they are receiving the full value of USDA Foods back.USDA Foods back.

Word Brain TeasersWord Brain Teasers

What are Substitutable USDA What are Substitutable USDA Foods?Foods?

In USDA Foods processing, all bulk USDA In USDA Foods processing, all bulk USDA Foods offered by USDA to distributing Foods offered by USDA to distributing agencies fall into one of the following agencies fall into one of the following categories: categories:

1) substitutable1) substitutable

2) non-substitutable2) non-substitutable

Substitutable USDA FoodsSubstitutable USDA Foods

Full SubstitutionFull Substitution

Limited SubstitutionLimited Substitution

Full SubstitutionFull Substitution

A processor can substitute commercial food A processor can substitute commercial food for bulk USDA Foods without restriction, so for bulk USDA Foods without restriction, so long as the substitute food is of the same long as the substitute food is of the same generic identity, equal or better quality, and generic identity, equal or better quality, and of domestic origin. The exception to this is of domestic origin. The exception to this is bulk beef, pork and poultry on a limited bulk beef, pork and poultry on a limited approval basis.approval basis.

Full Substitution ExampleFull Substitution Example

Cheese Processor XYZ will be receiving two trucks of Cheese Processor XYZ will be receiving two trucks of mozzarella cheese for Wisconsin’s direct diversion SFAs.mozzarella cheese for Wisconsin’s direct diversion SFAs.

Cheese is fully substitutable. Therefore, Cheese Cheese is fully substitutable. Therefore, Cheese Processor XYZ can use commercial bulk cheese to Processor XYZ can use commercial bulk cheese to produce Wisconsin SFAs’ finished end products.produce Wisconsin SFAs’ finished end products.

Benefit: SFA can receive finished end product regardless Benefit: SFA can receive finished end product regardless of whether bulk USDA Foods have arrived at processor’s of whether bulk USDA Foods have arrived at processor’s warehouse.warehouse.

Limited SubstitutionLimited Substitution

The substitution of commercial product for bulk The substitution of commercial product for bulk USDA Foods with some restrictions. This is USDA Foods with some restrictions. This is applicable to poultry products. Processors must applicable to poultry products. Processors must have a substitution plan approved by both FNS have a substitution plan approved by both FNS and AMS. Only bulk pack chicken, chicken parts, and AMS. Only bulk pack chicken, chicken parts, and bulk pack turkey delivered by USDA vendors and bulk pack turkey delivered by USDA vendors to processors are eligible for substitution.to processors are eligible for substitution.

No backhauled poultry may be substituted.No backhauled poultry may be substituted.

Limited Substitution ExampleLimited Substitution Example

Chicken Processor 123 will be receiving five trucks Chicken Processor 123 will be receiving five trucks of bulk chicken for Wisconsin’s direct diversion of bulk chicken for Wisconsin’s direct diversion SFAs.SFAs.

Chicken Processor also processes bulk chicken Chicken Processor also processes bulk chicken for Ohio, Texas and Oklahoma.for Ohio, Texas and Oklahoma.

Wisconsin’s trucks have not arrived at processor’s Wisconsin’s trucks have not arrived at processor’s facility; however, processor has received some facility; however, processor has received some trucks for Ohio.trucks for Ohio.

Limited Substitution Example Limited Substitution Example (cont’d)(cont’d)

Processor uses an Ohio truck of bulk chicken to Processor uses an Ohio truck of bulk chicken to produce some of Wisconsin’s orders. Therefore, produce some of Wisconsin’s orders. Therefore, Wisconsin SFAs can receive finished end products Wisconsin SFAs can receive finished end products prior to Wisconsin bulk chicken arriving at prior to Wisconsin bulk chicken arriving at processor’s facility.processor’s facility.

When Wisconsin’s truck of bulk chicken arrives, it When Wisconsin’s truck of bulk chicken arrives, it is then used for Ohio’s processing.is then used for Ohio’s processing.

Non-Substitutable FoodsNon-Substitutable Foods

USDA Foods that cannot be substituted with a USDA Foods that cannot be substituted with a commercially purchased product under the terms commercially purchased product under the terms of a processing agreement.of a processing agreement.

Processor cannot produce finished end products Processor cannot produce finished end products until the Wisconsin bulk truck arrives at until the Wisconsin bulk truck arrives at processor’s facility.processor’s facility.

SFAs can not receive finished end products until SFAs can not receive finished end products until processor receives bulk truck.processor receives bulk truck.

Why Do I Need to Know About Why Do I Need to Know About Substitution Methods?Substitution Methods?

The type of substitution method utilized The type of substitution method utilized by your processor(s) will determine by your processor(s) will determine when you receive finished end when you receive finished end products.products.

What is Yield?What is Yield?

The amount of finished end product returned The amount of finished end product returned for a defined amount of bulk raw USDA for a defined amount of bulk raw USDA Foods sent to a processor.Foods sent to a processor.

Yield MethodsYield Methods

Guaranteed Minimum Return (GMR)Guaranteed Minimum Return (GMR)

Standard Yield (SY)Standard Yield (SY)

Guaranteed Return (GR)Guaranteed Return (GR)

Guaranteed Minimum ReturnGuaranteed Minimum Return

The minimum weight or number of units of The minimum weight or number of units of processed product that will be produced and processed product that will be produced and returned for a set amount of USDA Foods returned for a set amount of USDA Foods provided.provided.

This information is obtained from the This information is obtained from the processor’s summary end product data processor’s summary end product data schedules.schedules.

Guaranteed Minimum Return Guaranteed Minimum Return ExampleExample

Turkey Processor H has completed SEPDS B and Turkey Processor H has completed SEPDS B and indicated in Column G “Estimated Cases of Finished indicated in Column G “Estimated Cases of Finished Product Per Truckload” that 725 cases of sliced oven Product Per Truckload” that 725 cases of sliced oven roasted turkey will be produced. This is Processor H’s roasted turkey will be produced. This is Processor H’s guaranteed minimum return.guaranteed minimum return.

Processor H over yields and actually produces 800 cases Processor H over yields and actually produces 800 cases from one truckload of bulk turkey.from one truckload of bulk turkey.

Therefore, SFAs receiving this product from this bulk truck Therefore, SFAs receiving this product from this bulk truck

will all receive a fair share of the 75 cases over yield.will all receive a fair share of the 75 cases over yield.

Standard YieldStandard Yield

A concept that fixes the number of finished cases A concept that fixes the number of finished cases that a SFA will receive from a fixed truckload of that a SFA will receive from a fixed truckload of raw USDA Foods.raw USDA Foods.

Standard yield will be higher than a processor Standard yield will be higher than a processor could normally achieve in regular processing.could normally achieve in regular processing.

Standard yield requires the processor to add some Standard yield requires the processor to add some commercial product to the USDA Foods. commercial product to the USDA Foods. Therefore, products processed under standard Therefore, products processed under standard yield will have a higher per case price.yield will have a higher per case price.

Standard Yield ExampleStandard Yield Example

Chicken Processor 123 is processing chicken Chicken Processor 123 is processing chicken nuggets under standard yield.nuggets under standard yield.

Processor 123 has completed SEPDS A and Processor 123 has completed SEPDS A and Column F indicates 25 pounds USDA Foods Column F indicates 25 pounds USDA Foods inventory drawdown per case. inventory drawdown per case.

For every 25 pounds of bulk chicken committed, For every 25 pounds of bulk chicken committed, SFA receives one case of chicken nuggets.SFA receives one case of chicken nuggets.

There are no over yields or under yields.There are no over yields or under yields.

Guaranteed ReturnGuaranteed Return

A red meat processing optionA red meat processing option

Specifies an exact number of finished cases Specifies an exact number of finished cases that will be returned to the SFA from the that will be returned to the SFA from the processor.processor.

Guaranteed Return ExampleGuaranteed Return Example

Beef Processor STR is processing beef patties Beef Processor STR is processing beef patties under guaranteed return.under guaranteed return.

Processor STR has completed SEPDS A and Processor STR has completed SEPDS A and Column F indicates 20 pounds USDA Foods Column F indicates 20 pounds USDA Foods inventory drawdown per case. inventory drawdown per case.

For every 20 pounds of bulk beef committed, SFA For every 20 pounds of bulk beef committed, SFA receives one case of beef patties.receives one case of beef patties.

There are no over yields or under yields.There are no over yields or under yields.

Why Do I Need to Know Why Do I Need to Know Yield Methods?Yield Methods?

SFAs need this information for evaluation of SFAs need this information for evaluation of your procurement document(s).your procurement document(s).

SFAs need to know the various methods for SFAs need to know the various methods for monitoring, to ensure receipt of full USDA monitoring, to ensure receipt of full USDA Foods values.Foods values.

QUIZQUIZ

QUIZQUIZ

QUIZQUIZ

QUIZQUIZ

““L & L Chicken” has a State Participation Agreement (SPA) L & L Chicken” has a State Participation Agreement (SPA) in place with Wisconsin, Ohio and Texas.in place with Wisconsin, Ohio and Texas.

““L & L Chicken” receives 3 trucks of bulk USDA chicken for L & L Chicken” receives 3 trucks of bulk USDA chicken for the state of Ohio, but has not yet received any USDA bulk the state of Ohio, but has not yet received any USDA bulk chicken for the state of Wisconsin.chicken for the state of Wisconsin.

Wisconsin has pending orders for product code 900539, Wisconsin has pending orders for product code 900539, grilled chicken patties. “L & L” Chicken” uses one truck of grilled chicken patties. “L & L” Chicken” uses one truck of bulk USDA chicken received for the state of Ohio to bulk USDA chicken received for the state of Ohio to produce product code 900539, grilled chicken patties for produce product code 900539, grilled chicken patties for the state of Wisconsin.the state of Wisconsin.

QUIZQUIZ

PROCUREMENTPROCUREMENT

Once the desired products have been Once the desired products have been determined, participating SFAs must determined, participating SFAs must conduct proper procurement to determine conduct proper procurement to determine which eligible processors will be utilized.which eligible processors will be utilized.

Randy Jones, DPI Procurement Specialist, Randy Jones, DPI Procurement Specialist, will be covering the procurement process will be covering the procurement process later in the presentation.later in the presentation.

PROCUREMENTPROCUREMENT

Once the SFA has determined the Once the SFA has determined the participating processors through the participating processors through the SFA’s procurement process, SFA SFA’s procurement process, SFA needs to make bulk pound needs to make bulk pound commitments for each selected commitments for each selected processor.processor.

Word Brain TeasersWord Brain Teasers

How Do SFAs Commit Bulk How Do SFAs Commit Bulk Pounds?Pounds?

During the Annual Order Period, SFAs During the Annual Order Period, SFAs select the processing option of their choice.select the processing option of their choice.

The direct diversion processing survey lists The direct diversion processing survey lists all bulk USDA Foods and participating all bulk USDA Foods and participating processors.processors.

DIRECT DIVERSION ANNUAL DIRECT DIVERSION ANNUAL ORDER PROCESSORDER PROCESS

Based on procurement awards, Based on procurement awards, determine actual raw pound determine actual raw pound commitments to each processor.commitments to each processor.

Make commitments on annual order.Make commitments on annual order.

Determining Actual Raw Pound CommitmentsDetermining Actual Raw Pound CommitmentsOven Ready Crunch CN SticksOven Ready Crunch CN Sticks

DF Inventory DrawDF Inventory DrawDown per caseDown per case Approximate Usage Approximate Usage Raw pounds to commitRaw pounds to commit

13.0 lbs.13.0 lbs. X X 25 cases/year 25 cases/year = 325 pounds = 325 pounds

Whole Grain Sweet Potato Pollock SticksWhole Grain Sweet Potato Pollock Sticks

DF Inventory DrawDF Inventory DrawDown per caseDown per case Approximate UsageApproximate Usage Raw pounds to commitRaw pounds to commit

13.0 lbs. X 19 cases/year = 247 pounds13.0 lbs. X 19 cases/year = 247 pounds

Determining Raw PoundsDetermining Raw Pounds

Direct Diversion Automated Guide to Direct Diversion Automated Guide to Calculating Bulk Raw Pound CommitmentsCalculating Bulk Raw Pound Commitments

Direct Diversion Automated Guide to Direct Diversion Automated Guide to Calculating Bulk Raw Pound Commitments Calculating Bulk Raw Pound Commitments SampleSample

Direct Diversion Processing SurveyDirect Diversion Processing Survey

Bulk Raw Products ListBulk Raw Products List

Processors Available for Processors Available for Bulk Coarse BeefBulk Coarse Beef

Delivery of End ProductsDelivery of End Products

All direct diversion processed products cannot All direct diversion processed products cannot come through the state-contracted warehouses come through the state-contracted warehouses and delivery system.and delivery system.

Direct diversion SFAs can still get brown box Direct diversion SFAs can still get brown box USDA Foods through the state-contracted delivery USDA Foods through the state-contracted delivery system.system.

SFAs must ensure that they’ve addressed delivery SFAs must ensure that they’ve addressed delivery needs as a part of the procurement process.needs as a part of the procurement process.

Delivery of End Products (cont’d)Delivery of End Products (cont’d)

It is necessary to include your desired direct diversion end It is necessary to include your desired direct diversion end products in your USDA Foods commercial distribution products in your USDA Foods commercial distribution procurement process.procurement process.

The USDA Foods delivery portion of your procurement process The USDA Foods delivery portion of your procurement process

should be completed prior to the annual order time period. This should be completed prior to the annual order time period. This will help to ensure:will help to ensure:

– that your bulk pound commitments made on the annual that your bulk pound commitments made on the annual USDA Foods order are accurate. USDA Foods order are accurate.

– that you will be able to order and receive the desired finished that you will be able to order and receive the desired finished end products from your distributor.end products from your distributor.

It may be beneficial to coordinate the distributor bid for your It may be beneficial to coordinate the distributor bid for your commercial products with your bid for direct diversion products.commercial products with your bid for direct diversion products.

AGREEMENTSAGREEMENTS

DPI/SFA AgreementDPI/SFA Agreement

Fee for Service Processor and Distributor Sample AgreementFee for Service Processor and Distributor Sample Agreement

Value Pass Through (NOI) Processor and Distributor Sample Value Pass Through (NOI) Processor and Distributor Sample AgreementAgreement

Recipient Agency and Distributor Sample AgreementRecipient Agency and Distributor Sample Agreement

Basic Elements of a ContractBasic Elements of a Contract– NFSMI NFSMI Procurement in the 21Procurement in the 21stst Century Century pages 99-104 pages 99-104

DPI/SFA AgreementDPI/SFA Agreement

Due back to DPI by March 1 (tentative date)Due back to DPI by March 1 (tentative date) Annual agreementAnnual agreement Prep/joint languagePrep/joint language FSMC/Vendor languageFSMC/Vendor language Agreement available on DPI/USDA Foods Agreement available on DPI/USDA Foods

webpagewebpage

Fee for Service Processor and Distributor Fee for Service Processor and Distributor Sample AgreementSample Agreement ACDA sample agreement and can be found at the ACDA sample agreement and can be found at the

following link: following link: http://www.commodityfoods.org/assets/Processinghttp://www.commodityfoods.org/assets/Processing/ffs_processer_distributor_agreement_2013.docm/ffs_processer_distributor_agreement_2013.docm

Outlines responsibilities of each partyOutlines responsibilities of each party

Annual agreementAnnual agreement

Invoicing detailsInvoicing details

Value Pass Through (NOI) Processor and Value Pass Through (NOI) Processor and Distributor Sample AgreementDistributor Sample Agreement

ACDA sample agreement and can be found at the ACDA sample agreement and can be found at the following link: following link: http://www.commodityfoods.org/assets/Processinghttp://www.commodityfoods.org/assets/Processing/noi_processor_and_distributor_agreement_2013./noi_processor_and_distributor_agreement_2013.docmdocm

Outlines responsibilities of each partyOutlines responsibilities of each party

Annual agreementAnnual agreement

Recipient Agency and Distributor Recipient Agency and Distributor Sample AgreementSample Agreement

ACDA sample agreement and can be found at the ACDA sample agreement and can be found at the following link: following link: http://www.commodityfoods.org/assets/Processinghttp://www.commodityfoods.org/assets/Processing/ra_distributor_agreement_2013%201.docx/ra_distributor_agreement_2013%201.docx

Annual agreementAnnual agreement

Outlines distributor’s responsibilitiesOutlines distributor’s responsibilities

Word Brain TeasersWord Brain Teasers

InventoryInventory

Bulk USDA Foods have various ship periods Bulk USDA Foods have various ship periods available, which may affect when SFAs may start available, which may affect when SFAs may start receiving finished end products. receiving finished end products.

Some processors will allow SFAs to receive Some processors will allow SFAs to receive finished end product(s) prior to processor finished end product(s) prior to processor receiving USDA bulk food(s).receiving USDA bulk food(s).

Verify with your processor(s) when you can start Verify with your processor(s) when you can start receiving finished end products. If and how much receiving finished end products. If and how much varies by processor.varies by processor.

InventoryInventory

USDA Policy FD-040 explains inventory USDA Policy FD-040 explains inventory draw down for each value pass through draw down for each value pass through method.method.

DPI Inventory Carryover Policy.DPI Inventory Carryover Policy.

Shortages/delays/cancellationsShortages/delays/cancellations

Do USDA Foods delays, shortages, and Do USDA Foods delays, shortages, and cancellations affect direct diversion?cancellations affect direct diversion?

Yes, but how and to what extent depends on Yes, but how and to what extent depends on the processor and the VPT.the processor and the VPT.

Final CommitmentFinal Commitment

In April/May, SFAs can view final In April/May, SFAs can view final commitments ordered for each processor.commitments ordered for each processor.

Adjustments may have been made by the Adjustments may have been made by the DPI to SFAs’ initial commitments.DPI to SFAs’ initial commitments.

ORDER END PRODUCTSORDER END PRODUCTS

May through July: SFAs will work with processors May through July: SFAs will work with processors and food brokers to place orders and identify and food brokers to place orders and identify delivery schedules and locations for the upcoming delivery schedules and locations for the upcoming school year. school year.

Please note that all processors have different lead Please note that all processors have different lead time requirements for placing orders. Therefore, time requirements for placing orders. Therefore, placing your orders early is important to ensure placing your orders early is important to ensure that processors can meet your delivery schedule.that processors can meet your delivery schedule.

ORDER END PRODUCTS ORDER END PRODUCTS

Minimum production run requirements apply Minimum production run requirements apply at the processor level.at the processor level.

Minimum drop requirements apply at the Minimum drop requirements apply at the distribution level.distribution level.

Remember, none of the direct diversion Remember, none of the direct diversion processed products come through the state-processed products come through the state-contracted warehouse.contracted warehouse.

MONITORINGMONITORING

August to May: All SFAs must track orders August to May: All SFAs must track orders to:to:

1)1) ensure orders are accurate and ensure orders are accurate and completecomplete

2)2) monitor inventory balances at monitor inventory balances at processorsprocessors

3)3) monitor value pass through methods to monitor value pass through methods to ensure receipt of entitlement valueensure receipt of entitlement value

MONITORING (Cont’d.)MONITORING (Cont’d.)

Many of the processors have electronic systems Many of the processors have electronic systems for monitoring inventory balances.for monitoring inventory balances.

SFAs are responsible for understanding and SFAs are responsible for understanding and accessing all applicable systems, as used by their accessing all applicable systems, as used by their selected processors.selected processors.

Two common systems used:Two common systems used:– K12-Food Service: http://www.k12foodservice.comK12-Food Service: http://www.k12foodservice.com– ProcessorLink: https://www.processorlink.comProcessorLink: https://www.processorlink.com

MONITORING (Cont’d.)MONITORING (Cont’d.)

The USDA Foods team has a taped MS Live The USDA Foods team has a taped MS Live training on Inventory Monitoring Details.training on Inventory Monitoring Details.

The MS live training is posted on the DPI The MS live training is posted on the DPI website under “USDA Foods Training” at:website under “USDA Foods Training” at:

http://fns.dpi.wi.gov/files/fns/mslivemtg/dd1_102511.wmvhttp://fns.dpi.wi.gov/files/fns/mslivemtg/dd1_102511.wmv

MONITORING (Cont’d.)MONITORING (Cont’d.)

The USDA Foods team is also offering a The USDA Foods team is also offering a training session later today on the training session later today on the Monitoring of Direct Diversion.Monitoring of Direct Diversion.

Today, Wednesday, October 29, 2014Today, Wednesday, October 29, 2014

4:00 pm – 5:00 pm4:00 pm – 5:00 pm

Monitoring – Sales VerificationMonitoring – Sales Verification

With NOI, the distributor passes through the value With NOI, the distributor passes through the value of USDA Foods to the SFAs.of USDA Foods to the SFAs.

Therefore, with NOI, USDA requires the Therefore, with NOI, USDA requires the processors to verify that the sales and resulting processors to verify that the sales and resulting USDA Foods values were passed through only to USDA Foods values were passed through only to eligible SFAs.eligible SFAs.

This verification process is called “sales This verification process is called “sales verification.”verification.”

Monitoring - Sales VerificationMonitoring - Sales Verification

Processors will contact SFAs to conduct Processors will contact SFAs to conduct sales verification for all NOI processing.sales verification for all NOI processing.

As required by USDA, SFAs must As required by USDA, SFAs must participate in this sales verification process participate in this sales verification process for all NOI processing.for all NOI processing.

Monitoring – Sales VerificationMonitoring – Sales Verification

Processors can conduct sales verification by Processors can conduct sales verification by the following methods:the following methods:

– written correspondencewritten correspondence– verbal communicationverbal communication– email and/or web-based notificationemail and/or web-based notification

Many processors do use an electronic sales Many processors do use an electronic sales verification program.verification program.

Monitoring – Sales VerificationMonitoring – Sales Verification

State distributing agencies are also required to State distributing agencies are also required to conduct sales verification on a percentage of the conduct sales verification on a percentage of the sales verification conducted by the processors.sales verification conducted by the processors.

SFAs may be contacted by the DPI to confirm the SFAs may be contacted by the DPI to confirm the same sales already confirmed by the processors.same sales already confirmed by the processors.

As required by USDA, SFAs must also participate As required by USDA, SFAs must also participate in this sales verification process for all NOI in this sales verification process for all NOI processing.processing.

InvoicingInvoicing

Administrative fee charged on all bulk pounds Administrative fee charged on all bulk pounds committed to processors.committed to processors.

Bulk pounds committed for both direct diversion Bulk pounds committed for both direct diversion and cheese processing program will have an and cheese processing program will have an administrative fee.administrative fee.

Fee is charged on the adjusted amount, after the Fee is charged on the adjusted amount, after the DPI has balanced truck loads.DPI has balanced truck loads.

Fee is billed in August of each school year and Fee is billed in August of each school year and collected through the offset method.collected through the offset method.

Understanding The ProcurementUnderstanding The Procurement

Presented by Presented by

Randy JonesRandy JonesDepartment of Public InstructionDepartment of Public Instruction

USDA Foods Approved

BEFORE GETTING STARTEDBEFORE GETTING STARTED

BRAIN BREAK!!! BRAIN BREAK!!!

INTERESTING FACTOIDS INTERESTING FACTOIDS

Oscar the Grouch used to be orange. Jim Henson decided to make him green before the second Oscar the Grouch used to be orange. Jim Henson decided to make him green before the second season of season of Sesame StreetSesame Street. How did Oscar explain the color change? He said he went on vacation to . How did Oscar explain the color change? He said he went on vacation to the very damp Swamp Mushy Muddy and turned green overnight.the very damp Swamp Mushy Muddy and turned green overnight.

The 3 Musketeers bar was originally split into three pieces with three different flavors: vanilla, The 3 Musketeers bar was originally split into three pieces with three different flavors: vanilla, chocolate and strawberry. When the other flavors became harder to come by during World War II, chocolate and strawberry. When the other flavors became harder to come by during World War II, Mars decided to go all chocolate.Mars decided to go all chocolate.

Ben & Jerry learned how to make ice cream by taking a $5 correspondence course offered by Penn Ben & Jerry learned how to make ice cream by taking a $5 correspondence course offered by Penn State. (They decided to split one course.)State. (They decided to split one course.)

M&M's actually stands for "Mars & Murrie's," the last names of the candy's founders.M&M's actually stands for "Mars & Murrie's," the last names of the candy's founders. "Jay" used to be slang for "foolish person." So when a pedestrian ignored street signs, he was "Jay" used to be slang for "foolish person." So when a pedestrian ignored street signs, he was

referred to as a "jaywalker.“referred to as a "jaywalker.“ Duncan Hines was a real person. He was a popular restaurant critic who also wrote a book of hotel Duncan Hines was a real person. He was a popular restaurant critic who also wrote a book of hotel

recommendations.recommendations. The string on boxes of animal crackers was originally placed there so the container could be hung The string on boxes of animal crackers was originally placed there so the container could be hung

from a Christmas tree.from a Christmas tree. Hawaiian Punch was originally developed in 1934 as a tropical flavored ice cream topping.Hawaiian Punch was originally developed in 1934 as a tropical flavored ice cream topping. The duffel bag gets its name from the town of Duffel, Belgium, where the cloth used in the bags was The duffel bag gets its name from the town of Duffel, Belgium, where the cloth used in the bags was

originally sold.originally sold.

Federal and State Federal and State Regulation TermsRegulation Terms

CFR – Code of Federal RegulationsCFR – Code of Federal Regulations

USDA (FNS) – United States Department of Agriculture USDA (FNS) – United States Department of Agriculture (Food and Nutrition Service)(Food and Nutrition Service)– Federal AgencyFederal Agency

DPI (SNT) – Department of Public Instruction (School DPI (SNT) – Department of Public Instruction (School Nutrition Team)Nutrition Team)– State Agency State Agency – State of WisconsinState of Wisconsin

SFA – School Food AuthoritySFA – School Food Authority– Local Agency Local Agency – School District or Private SchoolSchool District or Private School

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Procurement RegulationsProcurement Regulations

SFAs must comply with the requirements SFAs must comply with the requirements "passed down" to them from; "passed down" to them from; – Congress, Congress, – Office of Management and Budget (OMB), Office of Management and Budget (OMB), – USDA, and USDA, and – State Agency. State Agency.

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Specific Procurement RegulationsSpecific Procurement Regulations

Procurement regulations can be found in:Procurement regulations can be found in:

7 CFR Part 3016 and Part 3019;7 CFR Part 3016 and Part 3019;

Program regulations governing procurements can be found in: Program regulations governing procurements can be found in: the National School Lunch Program regulations at 7 CFR Part 210,the National School Lunch Program regulations at 7 CFR Part 210, the Special Milk Program regulations at 7 CFR Part 215,the Special Milk Program regulations at 7 CFR Part 215, the School Breakfast Program regulations at 7 CFR Part 220, andthe School Breakfast Program regulations at 7 CFR Part 220, and the Food Distribution regulations at 7 CFR Part 250.the Food Distribution regulations at 7 CFR Part 250.

– USDA Program regulations found in guidance (i.e. memos)USDA Program regulations found in guidance (i.e. memos)

– State law, regulations, and policies that are not in conflict with Federal State law, regulations, and policies that are not in conflict with Federal requirements; andrequirements; and

– Local law, regulations, and policies that are not in conflict with Federal Local law, regulations, and policies that are not in conflict with Federal requirements.requirements.

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SFA Procurement ResponsibilitiesSFA Procurement Responsibilities

It is the responsibility of the SFA to ensure;It is the responsibility of the SFA to ensure;

all bids or proposals are responsive,all bids or proposals are responsive,

all bids or proposals are evaluated and ranked properly, andall bids or proposals are evaluated and ranked properly, and

the award is made to the lowest-priced the award is made to the lowest-priced responsiveresponsive and and responsibleresponsible bid or highest scoring proposal. bid or highest scoring proposal.

– A “A “responsive offerorresponsive offeror” is able to meet the requirements of the solicitation” is able to meet the requirements of the solicitation

– A “A “responsible offerorresponsible offeror” is willing and capable of furnishing the goods or services ” is willing and capable of furnishing the goods or services solicited.solicited.

What is procurement?What is procurement?

““Procurement” is a “” is a “process” of purchasing goods or ” of purchasing goods or services through “services through “competitive practices” while following ” while following applicable “applicable “Federal and State regulations”.”.

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Competition Is Fundamental to all Competition Is Fundamental to all ProcurementsProcurements

""CompetitionCompetition" is the foundation for " is the foundation for allall properly conducted properly conducted procurements, procurements, regardless of dollar valueregardless of dollar value. .

Competition is not a method of procurement, but a Competition is not a method of procurement, but a condition of the condition of the environmentenvironment in which the procurement in which the procurement occurs.occurs.

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Competition PurchasingCompetition Purchasing

A “A “Competitive PurchaseCompetitive Purchase” – means that ” – means that ALLALL purchases must be purchases must be conducted in a manner that maximizes free and open competition.conducted in a manner that maximizes free and open competition.

""Free and open competitionFree and open competition” - means that all suppliers: ” - means that all suppliers: are "playing on a level playing field," andare "playing on a level playing field," and have the same opportunity to compete.have the same opportunity to compete.

Procurement procedures must not: Procurement procedures must not: – unduly restrict competition, orunduly restrict competition, or– eliminate competition.eliminate competition.

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Noncompetitive Forms of ProcurementNoncompetitive Forms of Procurement

Sole SourceSole Source Only one available source to purchase the product or serviceOnly one available source to purchase the product or service Document that you tried to find additional sourcesDocument that you tried to find additional sources Try to negotiate the best priceTry to negotiate the best price

Emergency ProcurementEmergency Procurement Emergency event causes a need to purchase the product or Emergency event causes a need to purchase the product or

serviceservice Try to negotiate the best priceTry to negotiate the best price This is a short term solutionThis is a short term solution Develop plan for competitively procurement in near future Develop plan for competitively procurement in near future

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TERMS TO KNOWTERMS TO KNOW

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LINE ITEM VS. TOTAL COSTLINE ITEM VS. TOTAL COST

““Line ItemLine Item”” – a vendor is awarded the contract based on – a vendor is awarded the contract based on individual pricing for each item contained in the solicitation. individual pricing for each item contained in the solicitation.

The solicitation may have contained several items but the award will be The solicitation may have contained several items but the award will be based on lowest individual price quoted for each item. based on lowest individual price quoted for each item.

““Total Cost, Bottom Line, or LotTotal Cost, Bottom Line, or Lot”” – a vendor is awarded the – a vendor is awarded the contract based on overall pricing of all the items contained contract based on overall pricing of all the items contained in the solicitation. in the solicitation.

The solicitation may have contained several items but the award will be The solicitation may have contained several items but the award will be based on the over all lowest price quoted for all the items. based on the over all lowest price quoted for all the items.

BUYING GROUPS:BUYING GROUPS:COOPERATIVE PURCHASING COOPERATIVE PURCHASING

GROUP PURCHASING ORGANIZATIONS GROUP PURCHASING ORGANIZATIONS OTHER TYPES OF BUYING GROUPS (MANY)OTHER TYPES OF BUYING GROUPS (MANY)

Buying groups are a viable alternatives to the conventional “go-it-alone” purchasing Buying groups are a viable alternatives to the conventional “go-it-alone” purchasing process.process.

Networking - A secondary benefit.Networking - A secondary benefit.

Buying groups can serve as a forum for the exchange of ideas beyond purchasing. Buying groups can serve as a forum for the exchange of ideas beyond purchasing.

Caution: Purchasing from curtain types of buying groups may require competitive procurement; check with DPI to confirm!

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BUY AMERICANBUY AMERICAN Schools participating in the federal school meal programs are required to Schools participating in the federal school meal programs are required to

purchase domestic commodities and products for school meals to the maximum purchase domestic commodities and products for school meals to the maximum extent practicable. extent practicable.

Domestic commodity or product means an agricultural commodity that is Domestic commodity or product means an agricultural commodity that is produced in the US and a food product that is processed in the US substantially produced in the US and a food product that is processed in the US substantially (at least 51 percent) using agricultural commodities that are produced in the US (at least 51 percent) using agricultural commodities that are produced in the US (7CFR210.21, 220.16).(7CFR210.21, 220.16).

Actions that SFAs can take to comply with the Buy American requirements: Actions that SFAs can take to comply with the Buy American requirements: Including a Including a Buy American clauseBuy American clause in all procurement documents (product specifications, bid in all procurement documents (product specifications, bid

solicitations, requests for proposals, purchase orders, etc.); solicitations, requests for proposals, purchase orders, etc.); Monitoring contractor performanceMonitoring contractor performance; ; Requiring suppliers to Requiring suppliers to certify the origin of the productcertify the origin of the product; ; Examining Examining product packaging product packaging for identification of the country of origin; and for identification of the country of origin; and Asking the supplier for Asking the supplier for specific information about the percentage of U.S. content specific information about the percentage of U.S. content in the food in the food

product.product.

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BID VS. PROPOSALBID VS. PROPOSAL

Term “Term “BidBid” is used ” is used when only costs will when only costs will be used as the final be used as the final determining factor for determining factor for awarding a contract.awarding a contract.

Term “Term “ProposalProposal” is ” is used when other used when other factors aside from factors aside from costs are used to costs are used to award a contract. award a contract.

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PROCUREMENT TOOLSPROCUREMENT TOOLS

Types of Procurement Tool:

Bids Proposals3 Bids and A Buy(Small Purchase)

Invitation for Bid (IFB) Request for Proposal (RFP)

Contains detailed specifications of the products and/or services being procured.

The RFP usually lacks some of this specificity found in bid requirements and will ask offerors to state “how” they will accomplish the task (narrative),

Bids are evaluated based on cost or price Cost or price is not the sole determining factor for award.

No points system is used for evaluation Proposals includes evaluation criteria and weighting (points)

Contract award is based on lowest price or cost Contract award is based on highest scoring proposal

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INFORMAL AND FORMAL PROCUREMENT METHODSINFORMAL AND FORMAL PROCUREMENT METHODS

Procurement Method Informal Formal

Small Purchase Threshold(Federal & State)

Less than $150,000 Equal to or greater than $150,000

Type of procurement tool

Small PurchaseCompetitive

Sealed BiddingCompetitive Proposals

3 Bids and A Buy

Request for Proposal (iRFP)

Invitation for Bid (IFB)

Request for Proposal (RFP)

Documentation and Record Retention

(5 Years)Required

Public Opening (offeror’s names are read aloud

including pricing information)Optional Required Optional

Public Notice(News paper) Optional Required

Closed or Sealed (bid or proposal submissions)

Optional(verbal or written offers allowed)

Required(only written sealed offers allowed)

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THE PROCUREMENT PROCESSTHE PROCUREMENT PROCESS

ProcurementProcurement is a “ is a “processprocess” used to purchase goods or ” used to purchase goods or services. services.

Lets go over the steps Lets go over the steps

involved in the involved in the

procurement process...procurement process...

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STEP ONE: IDENTIFY YOUR NEEDSSTEP ONE: IDENTIFY YOUR NEEDS

1.1. Identifying the school’s “Identifying the school’s “needsneeds” ” What?What? When?When? Where? Where? How? (Bid vs. Proposal)How? (Bid vs. Proposal)

When thinking needs consider the following (slides)...When thinking needs consider the following (slides)...

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Request For Information (RFI)Request For Information (RFI)

Approved List of End Products Approved List of End Products Once end products have been approved, school don’t have Once end products have been approved, school don’t have

to conduct taste test on them as part of future procurement. to conduct taste test on them as part of future procurement.

Over time, a school’s list of approved end products will growOver time, a school’s list of approved end products will grow

Since, the number of end products available to purchase Since, the number of end products available to purchase grows each years, school should be taste testing end grows each years, school should be taste testing end products through out the year. products through out the year.

Best business practices recommend that taste testing Best business practices recommend that taste testing should be conducted every five years or so to affirm original should be conducted every five years or so to affirm original taste testing results. taste testing results.

STEP TWO: DRAFTING SPECIFICATIONSSTEP TWO: DRAFTING SPECIFICATIONS

2.2. Your “Your “needsneeds” will be used to draft “” will be used to draft “specificationsspecifications” ”

““I ordered some “seafood” and I got this…”I ordered some “seafood” and I got this…”

Never assume offerors know what you need!Never assume offerors know what you need!

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DRAFTING SPECIFICATIONSDRAFTING SPECIFICATIONS

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School Needs = SpecificationsSchool Needs = Specifications School needs are the starting point of the procurement School needs are the starting point of the procurement

processprocess

School needs help determine what goes into the drafted School needs help determine what goes into the drafted specificationsspecifications

Properly drafted specifications are vital to getting what you Properly drafted specifications are vital to getting what you want.want.

WHAT IS A SPECIFICATION?WHAT IS A SPECIFICATION?

A specification is a description of a good or service that A specification is a description of a good or service that clearly, accurately and completelyclearly, accurately and completely describes in detail describes in detail what the school needs to purchase. what the school needs to purchase.

A specification isn’t a “A specification isn’t a “brand namebrand name”. ”.

If using a brand name, add “If using a brand name, add “or equivalentor equivalent” after the ” after the brand name.brand name.

What is it about that “brand” do you need?What is it about that “brand” do you need?

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WHAT MAKES A GOOD SPECIFICATION? WHAT MAKES A GOOD SPECIFICATION?

Specifications should be:Specifications should be:

Clear and easy to understand. Clear and easy to understand.

Specific. Specific. It is detailed and describes precisely what is required. It is detailed and describes precisely what is required.

Accurate. Accurate. A specification should say or specify exactly what the requirements A specification should say or specify exactly what the requirements are, not more or less. are, not more or less.

Complete. Complete. All aspects are fully covered. This saves time as it reduces the All aspects are fully covered. This saves time as it reduces the number of questions and phone calls from bidders later on. number of questions and phone calls from bidders later on.

Function. Function. The specifications should emphasize what the product is meant to do The specifications should emphasize what the product is meant to do rather that emphasis the technical requirements. rather that emphasis the technical requirements.

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Two Types of SpecificationsTwo Types of Specifications

1)1) Mandatory requirementsMandatory requirements: It includes those things that are essential to : It includes those things that are essential to what is required, and critical to the performance. what is required, and critical to the performance.

2)2) Desirable requirementsDesirable requirements: It includes those things that are desirable; : It includes those things that are desirable; the things we would like, but are NOT critical to performance. the things we would like, but are NOT critical to performance.

Checking The Specification Checking The Specification

When checking the specification you should make When checking the specification you should make sure it is: sure it is: easy to read; easy to read; easy to understand; easy to understand; clear; clear; logical structured; and logical structured; and contains only essential information.contains only essential information.

Specifications and Specifications and End Product SelectionEnd Product Selection

With so many options, how does a school describe what end With so many options, how does a school describe what end product they are looking to procure?product they are looking to procure?

The first step in figuring out what types of end The first step in figuring out what types of end products you need to purchase is to look at products you need to purchase is to look at

your needs. your needs.

Then draft a description of them. Then draft a description of them.

End Product SpecificationsEnd Product SpecificationsAt a minimum, the following basic criteria should be included in a At a minimum, the following basic criteria should be included in a product description (not an all inclusive list):product description (not an all inclusive list):1.1. Product NameProduct Name

2.2. Nutrition Requirements (minimum/maximum fat, sodium, etc.)Nutrition Requirements (minimum/maximum fat, sodium, etc.)

3.3. Serving SizeServing Size

4.4. Cooking/Heating RequirementsCooking/Heating Requirements

5.5. Critical Product CharacteristicsCritical Product Characteristics– Type of meatType of meat– CN label requirements (if requiring)CN label requirements (if requiring)– Ingredient requirementsIngredient requirements– Packaging RequirementsPackaging Requirements

6.6. Potential Bidder Response RequirementsPotential Bidder Response Requirements– Manufacturers Establishment NumberManufacturers Establishment Number– CN label Documentation (if required)CN label Documentation (if required)– Manufacturer Brand & Code NumberManufacturer Brand & Code Number

7.7. Copy of Procedure for determining Approved ProductsCopy of Procedure for determining Approved Products

Non-End Product Specific Information That Should Non-End Product Specific Information That Should Be Provided To Processors Be Provided To Processors

As part of the solicitation schools should provide As part of the solicitation schools should provide the following:the following:– List of pre-approved products (if applicable)List of pre-approved products (if applicable)– At a minimum, solicitations should include the following:At a minimum, solicitations should include the following:

Acceptable value pass through methodsAcceptable value pass through methods Volume estimate(s)Volume estimate(s) Required Delivery Location(s)Required Delivery Location(s) Length of potential contract/renewalsLength of potential contract/renewals Request to solicit pricing from potential biddersRequest to solicit pricing from potential bidders

When developing specification keep in mind that at some point When developing specification keep in mind that at some point you will need a process for evaluating end products that are you will need a process for evaluating end products that are

very similar. very similar.

Steps For Evaluating End ProductsSteps For Evaluating End Products

1.1. Paper ScreenPaper Screen

– Review label and nutritional analysis for compliance with product descriptionReview label and nutritional analysis for compliance with product description

– Evaluate food preparation instructions (if applicable)Evaluate food preparation instructions (if applicable)

2.2. Appearance ScreenAppearance Screen

– Examine packaging and appearance of sample, including size and depth of productExamine packaging and appearance of sample, including size and depth of product

3.3. Taste TestTaste Test

– Prepare product and serve to studentsPrepare product and serve to students

– Students will indicate likeability of end productsStudents will indicate likeability of end products

““Product Taste Testing Requirement”Product Taste Testing Requirement”

Schools should be able to justify selection of Schools should be able to justify selection of “specific” end products listed in the solicitation.“specific” end products listed in the solicitation.

Product taste testing is a suitable and effective Product taste testing is a suitable and effective method for determining student preferences.method for determining student preferences.

Acceptable end products are determined as a Acceptable end products are determined as a result of taste testingresult of taste testing

Additional Information Needed for Additional Information Needed for EvaluationEvaluation

Manufacturer’s product code number of product(s) Manufacturer’s product code number of product(s) submitting for bidsubmitting for bid

Bulk USDA Foods material identification number Bulk USDA Foods material identification number for the USDA Food(s) used in the end product(s)for the USDA Food(s) used in the end product(s)

Additional Information Needed for Evaluation Additional Information Needed for Evaluation (continued…)(continued…)

Minimum run requirements, if applicable Minimum delivery requirements, if applicable The meal pattern contribution per serving Summary End Product Data Schedule (SEPDS)

The additional criteria includes: – Yield Method– Value Pass-Through Options

Information To Include With Information To Include With SpecificationsSpecifications

End Products:End Products: 1) 1) Specification on end products to purchaseSpecification on end products to purchase 2) 2) Approximate usage of products (how much do you Approximate usage of products (how much do you

need to order?)need to order?) 3)3) Delivery schedule of end products Delivery schedule of end products 4)4) Specify delivery location of finished end products Specify delivery location of finished end products (i.e., (i.e., to your district or to your distributor)to your district or to your distributor)

Value Pass Through MethodsValue Pass Through Methods Yield OptionsYield Options Procurement Sample LanguageProcurement Sample Language

Avoid the Follow…Avoid the Follow…

Do not…Do not…

Place unreasonable requirements on offerorsPlace unreasonable requirements on offerors

Require unnecessary experienceRequire unnecessary experience

Give noncompetitive awards to consultantsGive noncompetitive awards to consultants

Have organizational conflicts of interestHave organizational conflicts of interest

Specify only brand name productsSpecify only brand name products

Make subjective decisions in the procurement processMake subjective decisions in the procurement process Use “Use “locallocal” as a product specification. (” as a product specification. (Not AllowedNot Allowed) )

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Steps Three & FourSteps Three & Four

3.3. Once your specifications are defined you will use them to “Once your specifications are defined you will use them to “Solicit Solicit OffersOffers” from ” from offerorofferors (either Bids or Proposals)s (either Bids or Proposals)

4.4. A contract is awarded to the “A contract is awarded to the “winningwinning” offeror.” offeror.

This contact will be used to purchase products and/or services from the winning This contact will be used to purchase products and/or services from the winning offeror. offeror.

Remember an awarded contract can only be awarded to a Remember an awarded contract can only be awarded to a responsiveresponsive and and responsibleresponsible offeror. offeror.

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Notification and Awarding the Contract to a ProcessorNotification and Awarding the Contract to a Processor

One of the final steps in the procurement process is One of the final steps in the procurement process is awarding a awarding a contractcontract to the bidder with the lowest price. to the bidder with the lowest price.

This is the point where the procurement process transitions to a This is the point where the procurement process transitions to a contract management processcontract management process..

This is a integral phase of procurement, the awarding of a contract This is a integral phase of procurement, the awarding of a contract includes includes notificationnotification to all bidders indicating which bidder won the to all bidders indicating which bidder won the contract.contract.

Managing the contractManaging the contract is fundamentally important to ensuring end is fundamentally important to ensuring end products and service are on par with requirements and specifications products and service are on par with requirements and specifications outlined in the solicitation. outlined in the solicitation.

Renewal of Awarded ContractsRenewal of Awarded Contracts

Awarded contracts subject to being renewed, Awarded contracts subject to being renewed, should have predetermined termination dates. should have predetermined termination dates.

Awarded contract are for one year Awarded contract are for one year

Awarded contract can be renewed four timesAwarded contract can be renewed four times– Each renewal is for one-year. Each renewal is for one-year.

Steps Five & SixSteps Five & Six

5.5. The school will need to “The school will need to “Manage the ContractManage the Contract””

– Products/ServicesProducts/Services and and Invoice PricingInvoice Pricing must match procurement must match procurement and awarded contract.and awarded contract.

– School will need to maintain proper “School will need to maintain proper “documentationdocumentation” and retain ” and retain those documentations for “those documentations for “five yearsfive years” from the date of last ” from the date of last payment.payment.

– USDA FNS and DPI are looking closer at how well schools are USDA FNS and DPI are looking closer at how well schools are managing awarded contracts. managing awarded contracts.

6.6. At the end of the contract term the school will At the end of the contract term the school will close out the contractclose out the contract

– After Procurement ReviewAfter Procurement Review what worked, what didn’t, what would you do different.what worked, what didn’t, what would you do different.

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Now let’s talk specifics and Now let’s talk specifics and bring it all together!!bring it all together!!

Two Ways of Procuring End ProductsTwo Ways of Procuring End Products

Directly From Distributor

““Direct” Procurement Of End Direct” Procurement Of End Products From Products From

Manufacturer/ProcessorManufacturer/Processor

Buying end products directly from Buying end products directly from processorprocessorSelecting end products is conducted Selecting end products is conducted during the evaluation process. during the evaluation process. Solicitation may contain requirements Solicitation may contain requirements for processor to deliver end product to for processor to deliver end product to school or work with distributor to have school or work with distributor to have the end product deliveredthe end product delivered. .

Indirectly From DistributorIndirectly From Distributor

““Indirect” Procurement Of End Indirect” Procurement Of End Products From DistributorProducts From Distributor

Buying end products directly from Buying end products directly from distributordistributorSelecting end products (branding) is Selecting end products (branding) is determined prior to sending out determined prior to sending out solicitation. solicitation. Solicitation may contain requirements Solicitation may contain requirements for distributor to have a contract in place for distributor to have a contract in place with the processor.with the processor.

Procurement of End Products Procurement of End Products (Direct From Processor)(Direct From Processor)

Step OneStep OnePre-Bid PlanningPre-Bid Planning

School should have some level of understanding about;School should have some level of understanding about; end product specifications, and end product specifications, and types of end product availability types of end product availability If not, school will need to use a Request for InformationIf not, school will need to use a Request for Information

Contact eligible processors and ask them who is responsible for Contact eligible processors and ask them who is responsible for receiving solicitation requests.receiving solicitation requests.

This allow processors to know that you will be contacting them in This allow processors to know that you will be contacting them in the near future to get pricing. the near future to get pricing.

Schools will need to contact all eligible processors with the goal of Schools will need to contact all eligible processors with the goal of receiving pricing from at least three processors.receiving pricing from at least three processors.

This step saves time later when soliciting bidsThis step saves time later when soliciting bids

Steps Two and Three Steps Two and Three Drafting Bid (specifications) and BiddingDrafting Bid (specifications) and Bidding

Step 2Step 2 - Drafting your - Drafting your solicitation documentsolicitation document: : Write down end product specifications Write down end product specifications This will include allowable value pass-through method, and This will include allowable value pass-through method, and Federal and State requirements such as State Processing AgreementFederal and State requirements such as State Processing Agreement

Requesting SamplesRequesting Samples? When procuring end products from processors, ? When procuring end products from processors, schools can request samples as part of the solicitation which will include schools can request samples as part of the solicitation which will include end product related information and pricingend product related information and pricing

Step 3 Step 3 - Starting the bidding process: - Starting the bidding process: Send solicitation to processorsSend solicitation to processors who are on the DPI “Eligible Processors” List. who are on the DPI “Eligible Processors” List. Contact processors (by phone, email, fax, in person, or mail)Contact processors (by phone, email, fax, in person, or mail) provide them with written solicitation document developed in step 2 provide them with written solicitation document developed in step 2 Processors will respond with pricing for end products meeting the specificationsProcessors will respond with pricing for end products meeting the specifications They will also need to be prepared to submit samples for taste testing They will also need to be prepared to submit samples for taste testing

Step FourStep FourProcessor ResponsesProcessor Responses

Document processor responsesDocument processor responses;; name of processor, name of processor, contact Method, contact Method, who provided the price quote, who provided the price quote, the end product bid, the end product bid, price quoted, price quoted, Allowable Value Pass-Through MethodAllowable Value Pass-Through Method date price quote was obtained, and date price quote was obtained, and duration of price quoteduration of price quote

Samples - Taste Testing Samples - Taste Testing – For a bid to be responsive it must include end products that are be acceptableFor a bid to be responsive it must include end products that are be acceptable– Acceptability is determined through taste testingAcceptability is determined through taste testing– This allows students (as the customer) to be involved in determining which end This allows students (as the customer) to be involved in determining which end

products are acceptable for final evaluation of price. products are acceptable for final evaluation of price. – Remember that taste testing is not a ranking of end products that taste the best Remember that taste testing is not a ranking of end products that taste the best

but a process of determining which end products are acceptable and which end but a process of determining which end products are acceptable and which end products are not acceptable.products are not acceptable.

Steps Five and Six Steps Five and Six Price Quotes and Award (Taste Testing)Price Quotes and Award (Taste Testing)

Step 5 Step 5 - Obtain bids from - Obtain bids from at least three processorsat least three processors if if possiblepossible

Step 6Step 6 – Evaluation and award of the contract/purchase to – Evaluation and award of the contract/purchase to the most the most responsiveresponsive and and responsibleresponsible processor with the processor with the lowest pricelowest price. .

Step SevenStep SevenMonitor invoices and end products to insure that bid prices, Monitor invoices and end products to insure that bid prices, value is being passed through, product quantity and value is being passed through, product quantity and quality are being honoredquality are being honored

Sign off on purchases only after they have been fully inspectedSign off on purchases only after they have been fully inspected– End product not matching specifications provided in bid should be End product not matching specifications provided in bid should be

returned or exchanged.returned or exchanged.– Note returns or exchanges for future processor evaluationNote returns or exchanges for future processor evaluation

Audit invoices and confirm that prices match what was quoted during Audit invoices and confirm that prices match what was quoted during the purchasing process. the purchasing process. – Variances should be correctedVariances should be corrected– Note variances for future processor evaluationNote variances for future processor evaluation

Tracking inventory balances at the processors to make sure that the Tracking inventory balances at the processors to make sure that the value of entitlement is passed through correctly. value of entitlement is passed through correctly.

Procurement of End Products Procurement of End Products (Indirectly From Distributor)(Indirectly From Distributor)

Step OneStep OnePre-Bid PlanningPre-Bid Planning

School should have some level of understanding about;School should have some level of understanding about; end product specifications, and end product specifications, and types of end product availability types of end product availability If not, school will need to use a Request for InformationIf not, school will need to use a Request for Information

Contact distributors and ask them who is responsible for receiving Contact distributors and ask them who is responsible for receiving solicitation requests.solicitation requests.

This allow distributors to know that you will be contacting them in This allow distributors to know that you will be contacting them in the near future to get pricing. the near future to get pricing.

Schools will need to contact enough distributors with the goal of Schools will need to contact enough distributors with the goal of receiving pricing from at least three distributors.receiving pricing from at least three distributors.

This step saves time later when soliciting bidsThis step saves time later when soliciting bids

Steps Two Steps Two SamplesSamples

Can send request for samplesCan send request for samples to processors who are on the DPI “Eligible Processors” to processors who are on the DPI “Eligible Processors” List.List.

Requesting SamplesRequesting Samples: When procuring end products from distributors, schools will need : When procuring end products from distributors, schools will need to request samples for developing a qualified list of pre-approved end products (also called to request samples for developing a qualified list of pre-approved end products (also called ““brandingbranding””))

BrandingBranding: These samples will be used to develop a list of approved end product : These samples will be used to develop a list of approved end product available from processors that distributors contract with to supply them with end products for available from processors that distributors contract with to supply them with end products for schools to purchase through them. (Includes taste testing based on a pass – fail testing). schools to purchase through them. (Includes taste testing based on a pass – fail testing).

Let’s discuss taste testing…Let’s discuss taste testing…

Is it Required?Is it Required?

Steps Two Steps Two Taste TestingTaste Testing

Samples - Taste Testing Samples - Taste Testing – For a bid to be responsive it must include end For a bid to be responsive it must include end

products that are be acceptableproducts that are be acceptable– Acceptability is determined through taste testingAcceptability is determined through taste testing– This allows students (as the customer) to be This allows students (as the customer) to be

involved in determining which end products are involved in determining which end products are acceptable for final evaluation of price. acceptable for final evaluation of price.

– Remember that taste testing is not a ranking of Remember that taste testing is not a ranking of end products that taste the best but a process of end products that taste the best but a process of determining which end products are acceptable determining which end products are acceptable and which end products are not acceptable.and which end products are not acceptable.

Steps Three and Four Steps Three and Four Drafting Bid (specifications) and BiddingDrafting Bid (specifications) and Bidding

Step 3Step 3 - Drafting your - Drafting your solicitation documentsolicitation document: : Write down end product specifications Write down end product specifications This will include allowable value pass-through method, and This will include allowable value pass-through method, and Federal and State requirements such as State Processing AgreementFederal and State requirements such as State Processing Agreement When soliciting bids from distributors the school must determine which end products are When soliciting bids from distributors the school must determine which end products are

satisfactory for procurement.satisfactory for procurement. School uses a process called “branding” to approve acceptable end products to be School uses a process called “branding” to approve acceptable end products to be

include as part of the product description.include as part of the product description. End Products not on the approved list will not be eligible for evaluation during the End Products not on the approved list will not be eligible for evaluation during the

procurement process.procurement process.

Step 4 Step 4 - Starting the bidding process: - Starting the bidding process: Send solicitation to distributorsSend solicitation to distributors – Solicitation will contain a list of pre-approved end – Solicitation will contain a list of pre-approved end

products that distributors can compete on.products that distributors can compete on. Contact distributors (by phone, email, fax, in person, or mail)Contact distributors (by phone, email, fax, in person, or mail) provide them with written solicitation document developed in step 3 provide them with written solicitation document developed in step 3 Distributors will respond with pricing for end products meeting the specificationsDistributors will respond with pricing for end products meeting the specifications

Step FiveStep FiveDistributor ResponsesDistributor Responses

Document distributors responsesDocument distributors responses;;name of distributor, name of distributor, contact Method, contact Method, who provided the price quote, who provided the price quote, the end product bid, the end product bid, price quoted, price quoted, Allowable Value Pass-Through MethodAllowable Value Pass-Through Methoddate price quote was obtained, and date price quote was obtained, and duration of price quoteduration of price quote

Steps Six and Seven Steps Six and Seven Price Quotes and AwardPrice Quotes and Award

Step 6 Step 6 - Obtain bids from - Obtain bids from at least three distributorsat least three distributors if if possiblepossible

Step 7Step 7 – Evaluation and award of the contract/purchase to – Evaluation and award of the contract/purchase to the most the most responsiveresponsive and and responsibleresponsible distributor with the distributor with the lowest pricelowest price. .

Step EightStep Eight Monitor invoices and end products to insure that bid prices, Monitor invoices and end products to insure that bid prices, value is being passed through, product quantity and value is being passed through, product quantity and quality are being honoredquality are being honored

Sign off on purchases only after they have been fully inspectedSign off on purchases only after they have been fully inspected

– End product not matching specifications provided in bid End product not matching specifications provided in bid should be returned or exchanged.should be returned or exchanged.

– Note returns or exchanges for future distributor evaluationNote returns or exchanges for future distributor evaluation

Audit invoices and confirm that prices match what was quoted Audit invoices and confirm that prices match what was quoted during the purchasing process. during the purchasing process.

– Variances should be correctedVariances should be corrected

– Note variances for future distributor evaluationNote variances for future distributor evaluation

Tracking inventory balances at the processors to make sure that Tracking inventory balances at the processors to make sure that the value of entitlement is passed through correctly.the value of entitlement is passed through correctly.

End of Procurement SectionEnd of Procurement Section

Additional Resources Additional Resources DPI’s Procurement Webpage: DPI’s Procurement Webpage: http://fns.dpi.wi.gov/fns_procurementhttp://fns.dpi.wi.gov/fns_procurement

– Procurement TemplatesProcurement Templates– Informal Procurement Informal Procurement (Purchase Costing Less Than $150,000):(Purchase Costing Less Than $150,000):– National Food Service Management Institute's (NFSMI's)National Food Service Management Institute's (NFSMI's)  

RA ACDA Commodity Processing HandbookRA ACDA Commodity Processing Handbook Direct Diversion Product Specification SamplesDirect Diversion Product Specification Samples Official Bid FormOfficial Bid Form Agricultural Marketing Service (AMS) IMPS StandardsAgricultural Marketing Service (AMS) IMPS Standards

– INSTITUTIONAL MEAT PURCHASE SPECIFICATION (IMPS) are a series of meat INSTITUTIONAL MEAT PURCHASE SPECIFICATION (IMPS) are a series of meat product specifications maintained by AMS. They are developed as voluntary product specifications maintained by AMS. They are developed as voluntary consensus specifications.consensus specifications.

– IMPS standards can be found on AMS website at the following link:IMPS standards can be found on AMS website at the following link:

http://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?http://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?template=TemplateP&navID=IMPS&rightNav1=IMPS&leftNav=GradingCertificationandtemplate=TemplateP&navID=IMPS&rightNav1=IMPS&leftNav=GradingCertificationandVerfication&page=LivestockStandardizationIMPS Verfication&page=LivestockStandardizationIMPS

QUESTIONS?QUESTIONS?

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Thank You!Thank You!Randy JonesRandy Jones

School Nutrition TeamSchool Nutrition TeamContract Specialist/ProcurementContract Specialist/ProcurementDepartment of Public InstructionDepartment of Public InstructionE-Mail: randall.jones@dpi.wi.govE-Mail: randall.jones@dpi.wi.gov

Phone: 608-267-2277Phone: 608-267-2277

In accordance with Federal law and the United States Department of Agriculture policy, In accordance with Federal law and the United States Department of Agriculture policy, this institution is prohibited from discriminating on the basis of race, color, national this institution is prohibited from discriminating on the basis of race, color, national origin, sex, age, or disability. origin, sex, age, or disability.

To file a complaint of discrimination, write USDA, Director, Office of Adjudication, 1400 To file a complaint of discrimination, write USDA, Director, Office of Adjudication, 1400 Independence Avenue, S.W., Washington D.C. 20259-9410 or call toll free (866)-Independence Avenue, S.W., Washington D.C. 20259-9410 or call toll free (866)-632-9992 (Voice). Individuals who are hearing impaired or have speech disabilities 632-9992 (Voice). Individuals who are hearing impaired or have speech disabilities may contact USDA through the Federal Relay Service at (800)-977-8339; or (800)-may contact USDA through the Federal Relay Service at (800)-977-8339; or (800)-845-6136 (Spanish). USDA is an equal opportunity provider and employer.845-6136 (Spanish). USDA is an equal opportunity provider and employer.

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Direct Diversion TimelinesDirect Diversion Timelines

End-Aug:End-Aug: Direct Diversion information Packet mailed to all SFAsDirect Diversion information Packet mailed to all SFAs 3rd wk Sept:3rd wk Sept: Processors’ return “Intent to Participate” agreement to DPIProcessors’ return “Intent to Participate” agreement to DPI 3rd wk Oct:3rd wk Oct: List of interested processors posted on websiteList of interested processors posted on website Oct. 29:Oct. 29: Food show with all interested direct diversion processors for all Food show with all interested direct diversion processors for all

potential direct diversion SFAspotential direct diversion SFAs Oct. 29:Oct. 29: Direct Diversion training sessionDirect Diversion training session End Oct:End Oct: SFAs begin procurement process for direct diversion vendorsSFAs begin procurement process for direct diversion vendors End Oct:End Oct: Detailed “direct diversion process” packet available online Detailed “direct diversion process” packet available online End Jan:End Jan:SFAs select direct diversion vendors, using appropriate SFAs select direct diversion vendors, using appropriate

procurement process. SFAs verify commercial procurement process. SFAs verify commercial distribution of selected processed products with their distributor(s)distribution of selected processed products with their distributor(s)

*Feb 16 to*Feb 16 toMarch 6:March 6: SFAs commit pounds of bulk products to vendors (on annual SFAs commit pounds of bulk products to vendors (on annual

survey) chosen through the procurement processsurvey) chosen through the procurement process March 1:March 1: Direct Diversion Agreement between SFA and DPI due to DPIDirect Diversion Agreement between SFA and DPI due to DPI

**tentative date; subject to change based on USDA ordering deadlinestentative date; subject to change based on USDA ordering deadlines

Resources and ContactsResources and Contacts DPI Website: http://dpi.wi.gov/fns/index.htmlDPI Website: http://dpi.wi.gov/fns/index.html USDA Website: http://www.fns.usda.gov/fddUSDA Website: http://www.fns.usda.gov/fdd

ACDA “Recipient Agency Commodity Processing Handbook” ACDA “Recipient Agency Commodity Processing Handbook” available on the DPI USDA Foods webpage.available on the DPI USDA Foods webpage.

DPI USDA Foods Contacts:DPI USDA Foods Contacts:– Laura Sime, 608/267-9119, laura.sime@dpi.wi.govLaura Sime, 608/267-9119, laura.sime@dpi.wi.gov– Lynne Slack, 608/266-2596, lynne.slack@dpi.wi.govLynne Slack, 608/266-2596, lynne.slack@dpi.wi.gov– Dino Ante, 608/266-3615, antonio.ante@dpi.wi.govDino Ante, 608/266-3615, antonio.ante@dpi.wi.gov– Jim Witecha, 608/267-9283, james.witecha@dpi.wi.govJim Witecha, 608/267-9283, james.witecha@dpi.wi.gov

DPI Procurement Contact:DPI Procurement Contact:– Randall Jones, 608/267-2277, randall.jones@dpi.wi.govRandall Jones, 608/267-2277, randall.jones@dpi.wi.gov