Page 10 - The Edge - Spring 2021
P. 10

VENDOR/BUYER CONFERENCE

        BY DON HARRIS
                                                                      Gary Barkman  Cindi Hostetler
        Market Conditions Can Lead to Supplemental Contracts





        In uncertain times when the demands are greater than the  A factor to consider, according to Hostetler, is whether
        supply, school districts may often be faced with issuing a  there  is  a  better  way  to  satisfy  the  district’s  needs.
        new contract or a supplemental.                         “Maybe  you  need  to  reach  out  to  your  vendors  in  a
                                                                specific category,” she said.
        It  basically  comes  down  to  whether  specific  changes
        are made to the original contract. If not, a supplemental  Another factor: Does it make sense to allow your current
        is  OK.    That’s  the  advice  offered  by  Gary  Barkman,  contract  to  expire  and  simply  re-bid?    “That  depends
        Procurement Specialist Supervisor, Mesa Unified School  on  where  you  are  in  the  life  cycle  of  your  contract”
        District, and Cindi Hostetler, Senior Buyer, Tempe Union  Hostetler said. “Is it better to rebid the entire project or
        High  School  District,  in  a  virtual  presentation  during  does it make more sense to issue a supplemental?”
        AASBO’s Vendor/Buyer Conference on February 9.
                                                                Barkman  said  if  you’re  in  the  first  few  years  of  a
        “You  can’t  help  what  you  can’t                     contract, issuing a supplemental may be an option. If
                                                                it’s the fourth year, that becomes “iffy,” he said, adding,
        help.  Only  worry  about  things  “In year five, no way I would do a supplemental.”
        you can control. You can’t control
                                                                Hostetler  identified  possible  issues:  “Was  there
        everything.”  Gary Barkman, Mesa                        a  deficiency  in  the  scope  of  work  that  limited
                                                                competition?  That  could  make  a  difference. Are  there
        Unified School District                                 any market factors contributing to my need? Especially
                                                                in a pandemic, a lot of us have had to scramble, with
        A supplemental bid is defined as a solicitation issued to   vendors  we  never  had  a  problem  with,  to  find  PPE
        increase the number of suppliers or vendors available on   (Personal Protective Equipment) and Lysol wipes. You
        a previously awarded contract. But how do you know if   have to take that into consideration. What is going on in
        your needs qualify for a supplemental bid?              the market? What is causing the issue?”

        For  example,  Hostetler  explained:  “You  have  made  a   Choosing a supplemental contract is  an  option to
        multiple  award  on  a  term  contract  to  the  least  number   canceling  a  contract  you  have  awarded.  It  can  reduce
        of suppliers necessary to meet the needs of your district.   time  and  effort  for  the  district  and  vendors,  Hostetler
        But as you administer your contract during the contract   said.
        term, it becomes apparent there is a need for additional
        vendors in order to meet the district’s needs.”         Barkman said he is opposed to starting over with a new
                                                                contract,  possibly  eliminating  vendors  who  have  done
                                                                decent work, just so a district can get more vendors on
                                                                board. “If you need more vendors,” he said, “do that in
                                                                the form of a supplemental.”

                                                                There  doesn’t  appear  to  be  anything  in  statute  or
                                                                rules  regarding  a  supplemental.  “It  seems  to  be  an
                                                                undiscovered frontier,” Hostetler said.

                                                                She recommended referring to the Uniform System of
                                                                Financial Records, which states: “A multiple award is
                                                                defined as an award of multiple contracts for identical
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