CONQUERING THE PUBLIC SECTOR

Introductions

Where we are today…

• Independent Stationers has held the U.S. Communities Office Supply contract for over 5 years• This contract allowed members to bring on millions of dollars in public sector

business that they would have not been able to secure without a cooperative contract • The U.S. Communities Office and School Supplies contract will expire on

December 31st, 2015 –USC has indicated they will be removing OP/SS from their program offerings–No other contract will replacing

The Plan

• For all current U.S. Communities customers – they will be seamlessly transferred to the TCPN contract on January 1st, 2016• No changes to ordering platform -URL• No changes to logins/passwords • No changes to dealer servicing • No changes to customer service• Minimal changes to pricing

• Continue to stay close to your USC customers - don’t take for granted that they don’t have questions, concerns, etc

Communication Plan

• July 2015 • Email sent out to all customer admins on U.S. Communities decision to not re-solicit OP or SS• Dealer webinars/Email communications to dealers to STAY CLOSE to customers, answer questions , etc

• August 2015 – ongoing • Staying close to customers – customer facing visits, etc

• October 2015 • Certified letters to top customers and email about the TCPN conversion

• December 2015• Email about upcoming cooperative change to TCPN with enhancements

• January 2016• Mailer about TCPN benefits

• February 2016 • URL redirection to EPIC Business Essentials

Chris PennyVice President

cpenny@tcpn.org

Victoria StringhamRegional Manager

vstringham@tcpn.org

Cooperative Purchasing 101

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Why Cooperative Purchasing?

• Governments are required to follow specific protocol when spending public dollars• State laws mandate that purchases must be made from

suppliers that have won competitively-solicited contracts• Without a contract, government agencies can only buy a

limited amount from a vendor (or none at all)• The public agency can either • Create their own cooperative (cost of time and resources)• Use a cooperative contract that has already been awarded

Using Cooperative Contracts

Co-op ContractsSAVE $ and are

COMPLIANT

Purchasing DirectorPurchasing Director

Before: After:

A 2014 survey of public agencies* revealed:

94%Use cooperative

contracts as part of overall procurement

strategy

92%said saves

time

77%said saves

money

47%Indicate use of

cooperative purchasing will increase

45%thought there were too

few local purchasing options

* States, counties, municipalities, K-12 and higher education

Cooperative Purchasing Trends

Source: Government Procurement Magazine

Benefits of Cooperative Purchasing

Why Governments Use Cooperative Contracts

Convenient – Time is Money!– Contract is Done– Simple & Easy to Use

Compliant– Meets State Purchasing Requirements– Contract Documents Posted on ww.tcpn.org

Cost Savings– Co-op Members = Customers Buy for Less– Nationally Leveraged Pricing

Rememberthe 3 C’s!

Over 270 Vendors Including:

Complete list on www.tcpn.org

National IPA / TCPN Merger

• Expanded Footprint

• Additional Resources

• Enhanced Portfolio

• Continued Compliance

Where are the Selling Opportunities?

In every market coast to coast:

• K-12 School Districts

• Cities, Towns, Villages, Townships

• Counties, Boroughs, Parishes

• Universities & Colleges

• State Agencies

• Special Districts(Housing Authorities, Airports, Water Districts, etc.)

• Non-Profits (Churches, Associations, etc.)

• Any agency that exists for public benefit

87,000 PUBLIC AGENCIES NATIONWIDE

42,320 PUBLIC AGENCIES HAVE UTILIZED

AT LEAST ONE TCPN / NATIONAL IPA CONTRACT IN THE LAST 12 MONTHS

Prev 12 MoSales

Curr 12 MoSales

% Difference inSales

Difference inSales

Primary/Secondary Education

Local Government

Colleges & Universities

Non-Profit/CharitableOrganizations

All Others

State Government Agencies

Public Health

Grand Total $240,238,934

$10,484,881

$24,286,469

$4,975,307

$20,934,029

$36,507,517

$30,990,184

$112,060,548

11.9%

29.5%

57.5%

9.6%

15.3%

8.3%

6.4%

13.6%

$2,254,679,947

$46,054,170

$66,506,947

$56,548,937

$157,791,133

$476,729,424

$513,356,268

$937,693,069

$2,014,441,014

$35,569,289

$42,220,478

$51,573,630

$136,857,105

$440,221,907

$482,366,084

$825,632,521

TCPN Spend Trends By Agency Type

TCPN Volume Growth

TCPN Regional Program Managers

• TCPN has a comprehensive team that supports our vendor

partners.

• TCPN currently has 8 Regional Program Managers to help provide field support to your efforts

• The Regional Program Managers are responsible for:

- Developing relationships with key public agencies

- On location member and vendor support

- Program launch and training

- Articulating benefits of contract

- Relationship bridge between member and vendor

Mike Grade

Jeff Shokrian

Scott Wynne

Peter Foley

National IPA Sales Team

•

Contact information at www.nationalipa.org

Tips for Selling Cooperative Purchasing

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Target Government Customers – Spend per Capita

Includes Office/School Supplies, Paper, Toner, Furniture

Phoenix Elementary School District

• K-12 School - $42 per student

• 36,000 students

• 36,000 x $42 - $1,512,000

• Rolling 12 - $64,698

• Orders in 60 days – 12

City of Phoenix

• Cities, Towns – $1 per citizen

• Population – 1.5 million citizens

• 1,500,000 x $1 – $1,500,000

• Rolling 12 - $639,422

• Orders in 60 days – 47

Selling Your Contract To Procurement

Understand The Terminology

• Do say (good words)• Piggyback • Cooperative purchasing• Competitively solicited • Publicly awarded• True lead agency• Region 4 award• Request for Proposal (RFP)• Best Value• Transparent solicitation

Understand The Terminology

• Don’t say (bad words)• Negotiated• Bid• Avoid the bid process• Circumvent the bid• Kickbacks

Due Diligence & Competitive Selection

•All States have laws governing the award of contracts and the purchasing process of local and state agencies.

• These vary by each State

•Governments are risk adverse. Be prepared! Your knowledge of state and local purchasing guidelines is a key to success.

•Agency testimonials help make procurement directors comfortable. Know the national and regional success stories that take place within the EPIC network.

•Due diligence documents from the contract solicitation process and award are posted on www.tcpn.org

Lead Agenciesand Solicitation Process

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Our Lead Agencies

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Texas is divided into 20 geographic regions. Although it is not the largest geographically, Region 4 is home to more students and teachers than any other region in Texas.

91,062 Educators

7 Counties50 School Districts 41 Charter Schools

1,174,942 Students

TCPN’s Lead Agency -Region 4 – Lead Agency For Office Supplies

•Braille production (largest in the nation)

•Creating highly effective Science and Math Curriculum

•High Quality Virtual School

•High Quality Teacher Training

• Innovative Transportation Solutions

•Alternative Certification

•Educational Technology Solutions

•Best practices in school operations

- Maintenance- Budgeting- Food Service

Region 4 is Impacting Education

TCPNOffice Supplies Contract and

Award

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Office Supply Solicitation Details

•Advertised nationally as a $400M dollar opportunity

• Responses Received: 10

• Scope: Office supplies, related products, and office services

•A national evaluation team consisting of purchasing officials from 5 public entities

•RFP issued on August 28, 2014

•Proposal Due Date: October 8, 2014

•Region 4 Board Approval: December 9, 2014

•Contract Effective Date: March 1, 2015

•All due diligence documents can be found on www.tcpn.org

Vendor Contract Information

Contract Term: March 1, 2015 – February 28, 2018with two optional one-year renewals

Registration Process

1. Go to www.tcpn.org

2. Click the “Register” button at the top right

3. Choose “Register with TCPN”

4. Agree to the Standard Terms and Conditions

5. Complete the Member Registration Form

6. Click “Submit”

The TCPN Difference

Drive efficiencies

while saving

TIME & MONEY!

Thank you!

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Victoria Stringham | Chris PennyBooth 248

TCPN Training

•We are ready to bring on NEW TCPN customers today! • LIVE Training • Wednesday, October 14th at 11:00 eastern/10:00 central/9:00 mountain/8:00 pacific• Monday, October 19th at 4:00 eastern/3:00 central/2:00 mountain/1:00 pacific• Wednesday, October 21st at 1:00 eastern/12:00 central/11:00 mountain/10:00 pacific

• Can’t make any of these dates? No problem – recorded training path will be available the week of October 19th

•Who should attend? • ANYONE touching, talking or managing TCPN!

• TCPN Program Managers will engage with your dealership only after they receive confirmation of certification

The Benefit to Customers

• Better rebate structure starting at $25,000•More flexibility with hotlisting • 1st quarter paper promotion• Competitive pricing - over 90% of the core items are lower priced than U.S.

Communities • Program Managers that will assist your dealership in making calls and

strategize

AEPA

AEPA

• Association of Educational Purchasing Agencies• Represents 21 contract categories/37 contracts• Volume is based off of 26 million students • There are currently 26 member states• Each state has a state member agency that leads the AEPA program in their respective

state(s)– Some state member agency may be responsible for multiple states

• Each state member agency must express their interest by signing a contract for each vendor

AEPA Member States