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HomeMy WebLinkAboutResolutions - 1998.03.18 - 25396FINANCE REPORT (Misc. #98033/ March 19, 1998 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: MR #98033 - COMMUNITY MENTAL HtIALTH PURCHASING & CONTRACTING POLICIES - , APPROVAL TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-F of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The Oakland County Community Mental Health Board approved and forwarded a set of complete purchasing and contracting policies to the Oakland County Board of Commissioners for consideration. These policies will establish Community Mental Health's Contracting/Purchasing Department as an independent, autonomous unit apart from the Oakland County Management and Budget Purchasing function. Community Mental Health's Purchasing & Contracting policies shall be solely effective and exclusively binding upon Community Mental Health, and shall not otherwise effect the application of any Management and Budget Purchasing Division rules or policies to any other County Department. 2. This submission provides part of the structure and mechanism for Oakland County Community Mental Health to assume independent Authority status, currently being developed and pursued by the Community Mental Health Board, and the Board of Commissioners of Oakland County. 3. These policies, which have incorporated many aspects of the existing County purchasing policies along with current mental health system requirements and needs, are being implemented as part of the transfer of Management and Budget/Purchasing Division positions to Community Mental Health as referenced by Board resolution of 1/21/97. FINANCE COMMITTEE Comparison of Current County Purchasing Policies with Proposed CMH Purchasing Policy (informational notes are in italics) Current County Policy (inclusive of BOC Proposed CMH Policy as Currently Drafted resolutions specific to CMH but not housed in Purchasing Manual when applicable) Competitively bid all services; sole source when Bid competitively using appropriate model for single vendor and report exceptions to the BOC services, such as Qualification Based Selection Finance & Personnel Committee. when no reason to limited choice of provider. All exceptions approved by CMH Board. Continue to report exceptions to BOC as required including documentation of justifcation of any sole , sourcing. Bid all contracts every 3 years, can extend for up to CMH Board approves bid schedule semi annually. 2 additional years. No contracts beyond 5 years Multi year contracts are preferred when will be entered into without specific approval of the appropriate; can extend additional one or two Community Mental Health Board. , years. All current CMH Services must have been bid by Drafted policy silent on this; continuation of October 1, 1997 according to resolutions initial CMH bid period to October I, 1998 as per transitioning CMH under county purchasing 7/15/97 report to CMH Board and BOC. policies. Consumer choice will be considered; two Involves consumers in all facets of program consumers serve on review committees for bid of design and bid decisions as well as policies and services, procedures that govern purchasing. Move Does not address other consumer involvement or towards vouchering and other self determination give detail. mental health purchasing models. All contracts reviewed by Corporation Counsel; Same except assume non county legal counsel if involvement in $500,000+ contracts. . Authority. Buyer from Purchasing is central procurement Per Management & Budget/CMH resolution, agent, writes specifications, etc. Purchasing staff when vacated, purchasing positions transition to have been assigned to CMH; the buyer position CMH. was vacated December 1997, so per Management Maintain coordination relationship with & Budget resolution function now assumed by Purchasing and assume within CMH if approved CMH. by BOC or if become an authority. CMH Program Developers write specifications, supervise bid projects, etc. CMH Board approves all contracts (as well as CMH Board approves all contracts and contractual budgets) including all amendments, changes, budget categories as now. Budget adjustments adjustments. and rate changes would still require CMH Board approval. Purchasing produces documents, maintains master CMH assumes these responsibilities if policies vendor registration, and is the holder of the approved by BOC or if it becomes an Authority. contract/purchasing bid files. Any transition would be coordinated with Purchasing. Bid mechanisms include informal, formal and Same except detail and reference to Provider sealed bids. RFP committee detail for CMH is Qualification Programs procedure, when policy is housed in resolutions. Silent on Qualifications approved by CMH Board, which are acceptable Based Selection (QBS) programs which are competitive mechanisms per Purchasing. allowed by Purchasing under county policy. Governing Laws & Resolutions. Addition of Michigan Mental Health Code and Full Management Contract with Michigan Department of Community Health. Emergency or rush purchases are allowed with Current detail of CMH Board resolutions allow immediate coordination with purchasing. for emergency, short term Professional Service Contract to address consumer needs, with subsequent notification to Board Drafted . policy allows emergency needs to be met and lists an emergency contract as a standing document available for use. All other aspects of policies are the same; in some areas CMH proposed policy/procedure is more detailed pol.grid revised 2/98 MARCH 5, 1998 MISCELLANEOUS RESOLUTION #98033 BY: Public Services Committee - David L. Moffitt, Chairperson IN RE: Community Mental Health Purchasing & Contracting Policies - Approval To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS the Oakland County Community Mental Health Board did approve an initial set of purchasing policies on November 20, 1997; and WHEREAS through prior resolutions, the Oakland County Community Mental Health Board has communicated the intent to complete and forward a set of complete purchasing and contracting policies for community mental health to the Oakland County Board of Commissioners for consideration; and WHEREAS these policies, as initially drafted and reviewed by several committees of both Boards, have received certain solicited input from consumers and community persons, some of this input having been incorporated as feasible into the final documents and summarized as attached; and WHEREAS committees of both Boards have also reviewed a Comparison of Current County Purchasing Policies with Proposed Community Mental Health Policy dated October 1997; and WHEREAS the implementation of the approved Community Mental Health Board policies may occur as written through a transition process with the Oakland County Department of Management & Budget as initiated through the 1/21/97 approved resolution, Transfer of Financial Function and Positions from Management & Budget to Community Mental Health; and WHEREAS the Public Services Committee had reviewed these policies in December 1997, in the form that had been approved by the Oakland County Community Mental Health Board on 11/20/97, and adjourned consideration at that time for 90 days pending any final revisions or reconsiderations by the Oakland County Community Mental Health Board; and WHEREAS the Community Mental Health Board has now approved a final revised set of policies and has submitted these policies to the Oakland County Board of Commissioners for approval; NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners approves the adoption of the attached Community Mental Health Purchasing & Contracting Policies for all Community Mental Health purchasing activities. BE IT FURTHER RESOLVED that the attached Community Mental Health Purchasing & Contracting Policies shall be solely effective and exclusively binding upon Community Mental Health upon the final approval of this resolution. BE IT FURTHER RESOLVED that the intent of this resolution is to completely separate the applicable purchasing activities, policies and rules governing the activities of Community Mental Health from those Department of Management and Budget - Purchasing Division Policies, and this resolution shall not otherwise effect the application of any Purchasing Division rules or policies to any other County Department. BE IT FURTHER RESOLVED that the attached Community Mental Health Purchasing & Contracting Policies shall hereafter exclusively govern the activities of all Community Mental Health purchasing activities and that any and all other specific Department of Management and Budget - Purchasing Division Policies and/or prior resolutions of the Oakland County Board of Commissioners applying specific Purchasing Division procedures and rules for purchasing, competitive bidding, and/or authorization of contracts shall no longer be binding upon Community Mental Health. BE IT FURTHER RESOLVED that nothing in this resolution shall supersede or have any effect upon any other Oakland County Board of Commissioner's policy or resolution which does not apply any specific Department of Management and Budget - Purchasing Division Policy to the purchasing activities of Community Mental Health. Chairperson, on behalf of the Public Services Committee, I move the adoption of the foregoing resolution. Public Ser ' i e mmi # AA t k AA r OP' POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts APPROVED BY: DATE: 2/8/98 PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard . I. PURPOSE To clarify general practices for the development and maintenance of mental health service contracts. APPLICATION This policy applies to all mental health contracts for direct or indirect services to consumers, including: A. Residential, hospital and varied agency type services. B. Fee for Service (per diem or hourly rates) and Net Cost. C. Multi-year and emergency or other short term. D. Bid contracts that are the result of a request for proposal, request for quotation or vendor qualifying program. E. Non bid or sole source contracts to meet emergency needs F. Maintenance and Professional Service contracts, including consultants. G. Services that exceed $500 and/or are expected to be provided on an ongoing basis. III. POLICY It is the policy of the Oakland County Community Mental Health Board that the issuance of contracts for mental health services must follow established guidelines as well as all applicable laws and statutes, including the Michigan Mental Health Code. An open, competitive bid procedure -marketplace for the purchase and delivery of mental health services will be established and maintained. Regardless of the nature of the procurement mechanism used, market based rates will be sought in the purchase of mental health services to ensure the best use of limited resources and most comprehensive scope of service to eligible persons. Consumer choice and flexibility to meet the changing needs of consumers of mental health services will be a priority. Person-centered planning will be considered in bid decisions. All vendors must meet and maintain CMH contract and service requirements and will be subject to the competitive bid process. Contractors who subcontract for direct consumer services must provide written procurement procedures to CMH that indicate an open, competitive process is maintained. POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts APPROVED BY: DATE: 2/8/98 PAGE: 2 _ AUTHORED BY: Ginny Reed _ REVIEWED BY: Tom Woodard IV. STANDARDS A. All contracts as well as any contract language changes will be reviewed by legal counsel prior to CMH Board approval. B. All mental health contracts will include the complete scope of work for services to be rendered, the rates or amounts to be charged for service(s) rendered, the budgeted account numbers for the committed funds, the complete verified vendor name, address and federal, state or other business identification number as well as the maximum not to exceed amount for the contract, which cannot be exceeded without further authorization. No payments will be made to contractors beyond the authorized not to exceed amount. C. All mental health contracts must be initiated and supervised by the Contracts Department of Community Mental Health and will be approved by the Oakland County Community Mental Health Board. D. All mental health contracts will contain provisions that permit programmatic and financial auditing by the Community Mental Health Board or its agents with full access to pertinent records and personnel for a period up to at least three years after final payment is made to ensure a complete post contract evaluation. E. The Contracts Department only may issue contract related correspondence to a vendor. No contract will take effect until a binding, authorized, signed contract document is fully executed as approved by the CMH Board. F. Contracts for direct services to consumers will contain language that requires the provider to meet data collection, recipient rights, general contract notice/reporting and consumer or program evaluation/outcome requirements of community mental health. G. Summary data regarding the complete listing of current contracts will be reported to the Oakland County Community Mental Health Board-erret-rektfitre-bftai.k on a semi annual basis and made available to the public and the county when requested. M. Mental health contracts will contain provisions for contract service funding changes due to available funding level, contract requirement, or consumer selection changes; multi-year contracts will contain provisions for subsequent fiscal year renewals. H. Contract amendments are processed by the Contracts Department using a standard contract amendment or change order format. POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts , APPROVED BY: DATE: 2/8/98 PAGE: 3 _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard KJ. Contract disputes or extensive, complex negotiation will include legal counsel; all contracts that exceed $500,000 will involve legal counsel in the contract negotiation process. All contracts will be reviewed by legal counsel prior to execution. In kind services included in any contract will be so specified in the contract budget. ML. Contracts that represent any real or potential conflict of interest to mental health employees, board members or other parties will be reported to the Oakland County Community Mental Health Board in accordance with any applicable county and CMH policies. NM. Extension of any multi-year contract-tit-the-eliseretien-ef-the-C-4414-Prearel is dependent upon satisfactory vendor performance, contract compliance and consumer satisfaction. Extended contracts will receive program evaluation at regular intervals. ON. Contract documents te-the-exterit-pessit•le will be written in standardized formats as authorized by the Contracts Department, reviewed with legal counsel and issued by a centralized procurement coordinator. PO. Authorization by the CMH Board will be made by budget category for all purchased services and materials; changes that result in changes in budget categories must be reported to the CMH Board. P. Purchase of services and any appropriate mental health service subcontracts as defined by this policy will be subject to competitive bidl4tteters-that-ittilttenee-publie-bitl-epr eoftsumer-rteeds-.-. R-Q. Sole source or other non bid contracts to meet emergency needs will be justified in writing, and will be based on negotiated market rates. Such emergency exceptions to the bid process will be approved by the CMH Board and reported to the county as appropriate. SR. Documented proof of required insurance will be on file prior to the full execution of a CMH contract. Insurance requirements for services are subject to risk management review. TS. Contract and purchase order not to exceed totals will be routinely reconciled against the current budget to prevent an over allocation of funds and to allow for the redirection of funds as available to other CMH consumer priorities. T. All contracts must be signed by a properly authorized vendor representative; two CMH signatures will include the Board Chairperson, or Vice Chair in the Chair's absence, and CMH Director or Contract Administrator. U. The CMH Board will receive summary information regarding current contracted budget commitments, and master contract list information including non bid contracts at minimum on a POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts APPROVED BY: DATE: 2/8/98 PAGE: 4 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard semiannual basis. WV. An emergency contract document may be issued and executed to meet urgent consumer specific needs in a format that has prior CMH Board approval; typically this will involve meeting consumer residential needs or other urgent clinical needs. If the service is to be continued, as soon as it is feasible, and generally within 90 days, a regular contract most appropriate for the type of service will be submitted to the Board for approval. XW. Invoices for contracted and other purchased services will be centrally received and processed by the Contracts Department for classification and submitted to CMH Fiscal Services for vouchering and payment. Payments for services should be timely, net 30 days pending timely and appropriate vendor invoices. Clinical and/or program audit of invoices may be routinely or periodically performed. X. Production of contracts and provision of contracts as well as amendments to vendors will be timely to allow for no disruption in necessary services to consumers and appropriate payment to vendors. Y. Payment of contract related invoices will be supervised by the Contracts Department within established approval levels for contract coordinators and supervisors. 7424Z. Procurement procedures, will offer vendors the ability to openly and competively bid on services to be provided through public postings of the necessary qualifications, scope of service and time frames for submission of bids and quotes. BBAA. CMH and CMH contractors must follow fimdor requirements for the purchase of goods and services. C-GBB. Determination of consultant or employee status of an individual provider of service will be made by the Personnel Department. 43014CC. Community Mental Health will provide contractors with updated policies, general information and available training or resources relative to service provision/contract type. E-EDD. Contracts will contain provisions for subcontracting when appropriate. V. DEFINITION A. Contract documents and amendments are legally binding agreements whose written form will be reviewed by legal counsel review and approved by the CMH Board. B. Non bid contracts are contracts that have not received full public notice for justified emergency reasons. C. Sole source contracts are a type of non bid contracts for a particular service or item that must be procured and is only available from one source as documented. CMH Board- Contract ChiegSupervisor- POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts . APPROVED BY: DATE: 2/8/98 PAGE: 5 _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard _ VI. PROCEDURE The CMH Contract & Program Design department is responsible for the initiation, processing and management of all contracts and CMH purchasing. The CMH Board approves all contracts, exceptions and budget changes. All contract documentation and changes will be filed by vendor and by month/fiscal year. RESPONSIBILITY Contract Administrator- Legal Counsel- Procurement Coordinator- ACTION Oversees Policy & Procedure adherence and recommends changes to Board Reviews all contracts and any language changes; involved in complex or costly negotiations Supervises document production and maintains vendor registration information Approves contracts, exceptions & budgets Supervises contract processing and payments VII. EXHIBIT Sample hospital, agency, residential and Professional Service contracts Contract Amendment Sample County Reference Document(s): P-180 Professional Service Contracts (Purchasing Policy) P-170 Contract Language (Purchasing Policy) POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: General Provisions for Mental Health CHAPTER NO. SUBJECT NO. Contracts APPROVED BY: DATE: 2/8/98 PAGE: 6 . AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard P-200 Maintenance Contract Guidelines (Purchasing Policy) CMH/County Conflict of Interest Policies poldtf.gp POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Requisition & General Procurement CHAPTER NO. SUBJECT NO. Process for Community Mental Health , APPROVED BY: DATE: 11/15/97 _ PAGE: 1 _ AUTHORED BY: Ginny Reed REVIEWED BY: Torn Woodard I. PURPOSE To provide uniform business practices and standards in the processing and approval of purchasing requisitions and in the general procurement of goods and services for community mental health purposes. APPLICATION This policy applies to all types of requested goods and services purchases within the scope of and on behalf of the consumers of mental health services programs, including: • A. Contracted Services B. Vouchered Services C. Purchase orders, including blanket orders D. Building renovations or modifications E. One time only services or goods and products invoiced under $500 F. Any amendments to existing contracts or purchase orders III. POLICY A uniform requisition process shall be followed in the purchase of CMH goods and services, and shall be processed through a central source. IV. STANDARDS A. Written requisitions and purchase orders are required for purchase of all goods and services and for the modifications of existing purchase orders. B. Requisitions covered by this policy include those for confirming purchase orders, blanket purchase orders, contract initiation, requisitions for bid services (including request for quotations and request for proposals) as well as regular purchase orders. V. DEFINITION Requisition-an official, internal fiscal document processed to assign specific budgeted funds to a prescribed payment mechanism/vendor. VI. PROCEDURE A. Signatures required for approval and processing include the person requesting the goods or services, as well as the approving supervisor authorizing processing of the requisition. B. A copy of the requisition is retained by the contract staff requesting/processing the purchase RESPONSIBILITY Contracts Staff- Procurement Coordinator- Supervisors/Chiefs- Centrally receives and processes requisitions Approve purchases at $500 and $5,000 ACTION Approve & process requisitions POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Requisition & General Procurement CHAPTER NO. SUBJECT NO. Process for Community Mental Health _ APPROVED BY: DATE: 11/15/97 PAGE: 2 _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard _ request. C. Purchase requisitions are time and date stamped when received. D. Written requisitions shall include the minimum information including vendor name and address, service to be purchased, budget account numbers and not to exceed amounts, service initiation date and name of vendor representative. E. Submitted requisitions must be filed in a central requisition file. F. Requisitions will have budget approval prior to the issuance of a purchase order, contract or contract amendment. G. Requisitions are received and purchase orders are issued only by centralized procurement coordinator or staff H. Confirming purchase order requests shall be accompanied by a copy of the invoice. I. Requisitions shall be processed in a timely manner, generally in the order of receipt unless marked rush. Rush requisitions shall be given priority attention. J. All requisitions for goods and services shall be centrally received by the Contracts Department for approval and processing; requisitions shall have the appropriate CMH department Chief or Supervisor approvals. K. Community Mental Health will adhere to established approval levels for CMH staff for the submission of requisions for services, contracts and payments. L. Pre bid requisitions are submitted by the program developer at the time the RFP is issued. VII. EXHIBIT CMH Requisition Form County Reference Document(s): PP-020 Requisition Process (Purchasing Policy) PP-240Confirming Requisitions (Purchasing Policy) _ POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Requisition & General Procurement CHAPTER NO. SUBJECT NO. Process for Community Mental Health . APPROVED BY: DATE: 11/15/97 PAGE: 3 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard PP-120 Emergency or Rush (Purchasing Procedures) poldft.req POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Consumer Procurement Input CHAPTER NO. SUBJECT NO. _ APPROVED BY: DATE: 11/15/97 PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Torn Woodard I. PURPOSE To ensure that maximum consumer input is obtained in procurement processes and procedures to best meet the needs of persons directly impacted by the delivery of mental health services. APPLICATION This policy applies to all practices, procedures of and personnel involved in procurement activities in the community mental health system. III. POLICY It is the policy of Oakland County Community Mental Health that persons who are directly impacted by the provision of mental health services as a primary or secondary consumers from the priority populations defined in the Michigan Mental Health Code will have input to the extent feasible in the procedures, practices, processes and decisions involved in the procurement of Community Mental Health Services and related equipment and commodities. IV. STANDARDS A. Procurement processes and decisions will involve consumers and their families. B. Direct consumer input will be sought in program design research and planning. C. Consumer choice and person centered planning will be considered in procurement planning and procedures. D. Contracted and other purchased services will directly pertain to the identified needs of consumers served. E. Provider selection choice for certain core services purchased by Oakland County Community Mental Health may be limited by the number of provider agencies, however consumers in such situations will be afforded choice of the provider agent whenever possible to meet unique needs or preferences. Exceptions may be made, if possible, when necessary for the best interest of the consumer. F. Personal care and other similar services will be offered by an array of service providers to allow for maximum consumer choice; whenever possible, all qualified providers who meet CMH established requirements will be made eligible from whom consumers may choose. Consumer choice cycles may be established for consumer selection or change of providers, however exceptions to these periods based on certain consumer circumstances will be allowed, including but not limited to urgent consumer needs. G. Oakland County Community Mental Health will provide opportunities for consumers and _ - POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Consumer Procurement Input CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 11/15/97 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard their families to give input at whatever level possible regarding Community Mental Health procurement policies and procedures. H. It is recognized that the provision of mental health services often demands experience with specific consumer populations or service provision, or specific disability training; procurement practices will take this into consideration in the bid and provider selection process. V. DEFINITION None VI. PROCEDURE A. Primary and secondary consumers will serve as voting members on proposal review committees as well as technical consultants on program design work groups. B. Routine and ad hoc needs assessment and consumer satisfaction information will be sought and utilized in procurement research. C. Advisory and/or focus group discussions relative to CMH purchasing/contracting and procurement policies and procedures will be conducted with primary and secondary consumer representatives on an annual basis at minimum. RESPONSIBILITY ACTION CMH Administration & Contracts Ensures consumer involvement in Department- procurement VII. EXHIBIT Reference DCH Consumerism Policy and Person Centered Planning Requirements of Michigan Mental Health Code References: Michigan Mental Health Code, DCH Consumerism Policy County Reference Document(s): poldft.stake POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Purchases Under $500 CHAPTER NO. SUBJECT NO. _ APPROVED BY: DATE: 11/15/97 PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. JPURPOSE To permit the timely provision of equipment and supplies as well as limited volume services to benefit consumers indirectly or directly served by Oakland County Community Mental Health. II. APPLICATION Applies to all miscellaneous needs of consumers or departments of Oakland County Community Mental Health not covered by blanket orders or contracts. III. FOLICY It is recognized that miscellaneous purchases that do not exceed $500 are necessary for the operation and provision of service of community mental health programs. IV. STANDARDS A. Purchase orders are not required for the procurement of materials, goods, supplies or commodities in the amount of $500 or less for services that are time limited or of a one time only nature. Periodic services or goods that are predicted to occur over time will not be covered by this policy and should be processed through the contract and purchase order process. Invoices for goods or services under $500 may be submitted directly for payment with approval by the Contracts Department or CMH department supervisor procuring the goods. B. Purchase needs will be identified by the CMH department and communicated to the Contracts Department. If a standing purchase order provider can meet the need, such will be utilized whenever possible to take advantage of existing volume discounts or competitive bid pricing. C. This policy will expedite payment and streamline the paperwork process internally for purchases below $500. D. The $500 limit applies to single or one time anticipated purchases; arbitrary splitting of purchase orders to reach the $500 limit will be in violation of the intent of this policy. E. CMH Chiefs or Supervisors as designated may authorize payment for goods that do not exceed $500, not including shipping or freight costs. F. Rent subsidies and lease payments are governed by specific policies and procedures; consumer related utility payments should be processed with support plan references attached. V. DEFINITION None RESPONSIBILITY Contacts Department- ACTION Classifies invoices, supervises purchases & use of blanket orders POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Purchases Under $500 CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 11/15/97 PAGE: 2 , _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard VI. PROCEDURE A. The Contracts Department will process necessary standard purchase orders for the purchase of routine goods and commodities. B. Receipts under $500 as approved by the proper CMH department supervisors may be submitted for payment processing to the Contracts Department without prior approval or other payment mechanism. C. Unusual procurement requests or circumstances should be brought to the attention of the appropriate Chief or Administrator. D. The Procurement Coordinator will assist CMH departments with access to blanket purchase order vendors and use as appropriate. Supervisors- Approve & submit $500 invoices VII. EXHIBIT None County Reference Document(s): P-010 Purchases Under $500 (Purchasing Policy) poldft.500 POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Duration of Contracts, Blanket CHAPTER NO. SUBJECT NO. Purchase Orders and Related Purchasing Agreements APPROVED BY: DATE: 2/8/98 PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To establish formal guidelines and uniform time periods for all contractual and purchasing agreements for mental health services. II. APPLICATION This policy applies to all purchasing for indirect and direct consumer services on behalf of Oakland County Community Mental Health. III. POLICY It is the policy of the CMH Board that duration of contracts and stability of service providers can be a significant component of the consistency necessary for the positive functioning of consumers. Continuity of care is important for consumer habilitation or recovery. Duration of purchase mechanisms should be established to meet the specific need and purpose of each use, taking into account consumer needs. IV. STANDARDS A. Whenever practical, contracts and blanket orders will be multi-year, with provisions subject to fiscal year changes, cancellation and rebid if in the best interest of Oakland County Community Mental Health as well as the needs of consumers. B. Duration of contracts and purchasing agreements shettlei-previcle-ferrtrt-muelrae-pessiblerthe - • ; ' - - - - : -. may be establbhed for three (3) years, and may be extended for an additional one (1) or two (2) years. C. Possible extensions on multi-year arrangements that-exeeeti-three-(3)—yeara will be considered in part, on program evaluation and/or consumer satisfaction data, as well as contract compliance. D. Contracts of an intentional short term nature will specify an expiration date in keeping with the need for the contract. E. Community Mental Health will take into account start up time necessary for the bid and establishment of contracted services as well as in determining bid schedule priorities. F. Regardless of the purchase mechanism used, equipment or furniture purchased with mental health funds will be inventoried; at the end of the contract the value of the inventoried equipment may be assessed by CMH for redirection or disposal. Consumer specific equipment, furnishings or belongings purchased with mental health funds may follow the consumer wherever the RESPONSIBILITY Contracts Department- ACTION Recommend duration of contracts to the CMH Board based on this policy POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Duration of Contracts, Blanket CHAPTER NO. SUBJECT NO. Purchase Orders and Related Purchasing Agreements APPROVED BY: DATE: 2/8/98 PAGE: 2 _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard consumer resides. G. Program redesign that impacts length of existing contractual agreements is at the discretion of CMH, but should take into account consumer input and best interests as well as research on mental health service outcomes and models. H. Contracts may be canceled per terms of the contract. Contractors will receive timely notice whenever-possible from CMH regarding notice of termination of contracts. Timely notice will be waived in urgent situations, including but not limited to when the health, safety or welfare of consumers are at severe risk, or if the contractor fails to maintain necessary legal status such as licensure to operate a program or provide a service. I. All contracts and purchase orders Will have an expiration date; extensions must be processed on an official amendment and be reconciled with any necessary budgetary adjustments. J. Multi-year contracts and use of blanket purchase orders will be reconciled against each fiscal year budget by the Contracts Department through cost settlement actions. K. Vendor factors, such as organizational fiscal year, may be considered at the contractor's request when contract initiation and expiration dates are determined. V. DEFINITION None VI. PROCEDURE The Contracts Department is responsible for the establishment of the duration of purchase orders and contract documents. VII. EXHIBIT County Reference Document(s): P-020 Duration of Contracts & Blankets (Purchasing Policy) po Idtf. dur POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Release of CMH Purchasing or CHAPTER NO. SUBJECT NO. Contract Information to the Public APPROVED BY: DATE: 2/8/98 PAGE: 1 , AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To provide guidelines for releasing public information pertaining to mental health contracts and purchasing matters through the proper channels or authorized representatives. II. APPLICATION This policy applies to all CMH staff, public information and documents governed by the CMH purchasing policies. III. POLICY Records and matters pertaining to purchasing and contracting are public documents and information and as such may be released with proper written request from a requesting public representative to CMH. IV. STANDARDS A. All media contacts must be referred to the Director or Deputy Director's office. B. Outcomes of bid projects shall be made public through written notice to submitted vendors and through the CMH Board announcements, meetings or minutes. C. All bid opportunities shall receive maximum public notice through media notices, mailings to all applicable vendors and public posting through varied CMH mechanisms. D. Sealed bids shall be opened at a publicly announced time and with any requesting vendors allowed to be present. E. Release of contract documents to other units of CMH shall be made when requested. Interpretation of contract documents will be made only by the Contract Department or legal counsel as appropriate. F. Contract approvals by the CMH Board will be made at regularly scheduled CMH Board meetings. V. DEFINITION None VI. PROCEDURE The Contracts Administrator or Chief may release appropriate, official documents in response to a completed, valid written request. All requests will be kept in central file in contracts. Media RESPONSIBILITY Contracts Department- ACTION Releases contract & bid documents to the public as requested POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Release of CMH Purchasing or CHAPTER NO. SUBJECT NO. Contract Information to the Public APPROVED BY: DATE: 2/8/98 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard requests are referred to the CMH Director or Deputy. VII. EXHIBIT County Reference Document(s): P-040 Contact with Media (Purchasing Policy) poldft.rel PP - 320 Freedom of Information (Purchasing Procedure) POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Specification/Program Design CHAPTER NO. SUBJECT NO. Requirements & Bid Schedule _ APPROVED BY: DATE: 2/8/98 PAGE: 1 _ AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To establish methods of describing the proper quality and quantity of goods and services and provide guidelines for the development of proper specifications; to define policy for the determination of purchasing priority needs for persons served by the mental health system; and to define policy for the publishing and posting of bid and other business opportunities for interested and qualified vendors to provide mental health services, goods or materials. II. APPLICATIO_N This policy applies to all mental health purchase specifications or scope of work to be prepared for bid, contracts or other purchase documents and activities, as well as purchasing activities and related public notices. III. POLICY Clear bid expectations and description of services to be purchased are both crucial for the appropriate cost effective and quality purchase of mental health services. It will be the policy of Oakland County Community Mental Health to base purchasing needs and priorities on the needs of consumers of the mental health system. Consumer need information and requirements of the mental health system will be considered in the prioritization of services to be bid. IV. STANDARDS A. It is the responsibility of the Contracts Department to place orders for goods and services. B. In consultation with other CMH units and the review committee, the Contracts/Program Design department will collect the necessary documents to ensure that vendors meet the proper qualifications and requirements specified for service delivery. C. Specifications should be clear, complete, definitive and sufficiently detailed, but not so limiting as to unnecessarily reduce or eliminate possible competition or consumer choice. D. Specifications for mental health services will include performance measurement and outcome expectations. E. Specifications may include referenced industry standards whenever possible. F. Specifications will include functional characteristics and any special service requirements. G. Technical consultants used in preparing formal specifications will be precluded from bidding on their own specifications for that job. H. Specifications will include minimum experience, credential, licensure and accreditation POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Specification/Program Design CHAPTER NO. SUBJECT NO. Requirements & Bid Schedule . APPROVED BY: DATE: 2/8/98 PAGE: 2 , AUTHORED BY: Ginny Reed , REVIEWED BY: Tom Woodard requirements for providers where applicable. I. Whenever possible specifications will include characteristics of persons to receive the services and/or a clear definition of consumer need. J. Bid and business opportunities for vendors will be publicly advertised and posted in order to: 1. Maximize vendor options to benefit consumers and consumer choices 2. Allow for public competition of business opportunities with CMH 3. Promote best market rates and quality industry input into the delivery of purchased CMH services Whenever possible, hewever; consumers will be given choices of vendors from whom to select service provision. L. Planned bids and business opportunities of Oakland County Community Mental Health will be documented in an annual bid schedule, published by fiscal year and updated quarterly by the Contracts/Program Design Department. A semiannual report to the CMH Board will be provided on bid activities. M. Current vendors and contractors will be informed of bid schedule plans or changes on a timely basis that may impact their status with community mental health. N. Start up costs and time will be considered in bid and bid schedule determinations as appropriate. 0. Projected volume or capacity of service delivery will be included in specifications. P. Drafts of RFPs will be available for review by the appointed RFP Committee members for feedback before finalization. V. DEFINITION None VI. PROCEDURE A. Program Development staff are generally responsible for the development of bid specifications; contract staff may prepare or modify scope of work descriptions for contracts. B. Level of Care Protocols of the CMH programs as much as possible will be utilized in the development of the specifications for the purchase of services. RESPONSIBILITY Program Developers- ACTION Prepare bid specifications Procurement Coordinator- Coordinates all bid and purchase activities POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Specification/Program Design CHAPTER NO. SUBJECT NO. Requirements & Bid Schedule APPROVED BY: DATE: 2/8/98 PAGE: 3 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard C. Appropriate technical or clinical staff of CMH and/or from the community will be used to define equipment or commodity specifications and to clarify service descriptions and assist to define consumer need. D. Standards of funding sources where applicable will also be included in the design of specifications. E. Specifications will include cultural competence, consumer input, quality improvement, outcome measurement and grievance process and recipient rights standards in service program design. F. Clinical, fiscal and technical staff and other key informant input as well as literature research will be utilized as appropriate to finalize appropriate, comprehensive specifications. G. Consumer input will be obtained and incorporated in the development of specifications. VII. EXHIBIT County Reference Document(s): PP -030 Specification Requirements (Purchasing Procedure) poldft.spec POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: CMH Master Vendor File & Vendor Communications APPROVED BY: CHAPTER NO. DATE: 2/8/98 SUBJECT NO. PAGE: I AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To maintain a master vendor list for mental health services and related direct and indirect consumer needs that is a source document used by all persons engaged in procuring services and to document contacts made with vendors relative to bid or prepurchase activities. II. APPLICATION The master vendor bid file information will be used for all mental health procurement activities by all CMH staff III. POLICY It is the policy of Oakland County Community Mental Health to ensure that all qualified vendors have the opportunity to provide mental health services through consistent use of a master vendor registration program. IV. STANDARDS A. Vendors interested in being on the bid list must file a standard CMH Vendor registration application. B. Community Mental Health will advertise routinely to invite vendors to register as a vendor, both for specific bid projects as well as for the purpose of routine enhancement of the master bid list or consumer selections regarding standing provider qualification programs. C. Community Mental Health will use a variety of means to solicit new vendors for the master bid list, including but not limited to public advertisements and postings and vendor mailings. Unsolicited vendor contacts will be routinely routed for vendor registration inclusion. D. The CMH Contracts Department will review vendor registrations for completeness and appropriateness. E. It is the policy of Community Mental Health that all qualified, registered vendors for a service category will have the opportunity to bid on purchased services, unless there is documented justification to disallow a bid. An example of a restriction would be past documented consumer rights violation, history of continued concern by the CMH Office of Recipient Rights or previous significant non compliance with contract requirements. Bid restrictions must be approved by the Contracts Chief or Administrator. Vendors may be appeal bid restriction decisions; final appeal will be to the CMH Board. F. Master vendor file information will include industry standard commodity coding, cross POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: CMH Master Vendor File & Vendor CHAPTER NO. SUBJECT NO. Communications APPROVED BY: DATE: 2/8/98 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard walked with CMH service categories as defined in Oakland County CMH Level of Care Protocols. G. Master file information will be categorically based; vendors will not be limited to the number of service categories in which to register service provision experience or interest. V. DEFINITION Commodity Codes - Industry standard coding for purchasing of goods and services. Level of Care Protocols - Standards of Care for services purchased or provided by Oakland County CMH. Master Vendor List - Vendor registry used to solicit bids for mental health services. VI. PROCEDURE A. All vendors must sign in when attending vendor conferences and bid openings. A vendor's representative must sign in prior to the adjournment of any mandatory bid meeting in order for the vendor to be deemed present and eligible to submit a bid. Non attendance, arrival after adjournment or non sign in at mandatory meetings will be sufficient reason to refuse a bid from a vendor. Mandatory meeting requirements will be clearly marked on bid notices, and will not be required for provider qualification programs. Determination of the need for mandatory meetings will be made by Program Developer. Visitors or guests may attend bid meetings, however the purpose of the meeting is to provide information and respond to questions from potential qualified bidders. B. Bid opportunities will be mailed to all vendors who register for the category of the bid opportunity unless there is documented, approved justification on file to exclude a vendor from bidding. All vendors or potential vendors may attend any bid meeting of their choice, but must be officially registered as a vendor for a bid to be accepted. If a vendor has not registered by the time and date the bid is due, the vendor's submission will be rejected. C. Vendors on the master vendor list may be excluded for reasons of non-performance or continual documented problems. Written documentation must be on file and approved by the Contracts Administrator before a vendor is to be removed from the master vendor list. The vendor list will be made available on an annual basis for this purpose. D. Vendors excluded from the master list will be advised of this action immediately in writing and given the opportunity to present their view. Appeals will be directed to the Contracts Administrator for initial review; second level reviews will be submitted to the CMH Board. E. Vendors may update or change their categorical listing on the master vendor list at any time. RESPONSIBILITY Vendors- ACTION Register as vendor by service categories POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: CMH Master Vendor File & Vendor CHAPTER NO. SUBJECT NO. Communications APPROVED BY: DATE: 2/8/98 . PAGE: 3 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard Annual updates for vendor registration will be requested. F. A list of active registered vendors will be available at CMH offices for review. CMH Contracts/Program Design Provide vendor notices, communications, Department- CMH information Procurement Coordinator- Maintains master vendor records VII. =Ma CMH Vendor Registration Forms/Packets County Reference Document(s): PP-040 Master Vendor File (Purchasing Procedure) poldft.ven PP-160 Vendor's Log (Purchasing Procedure) • POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Bid Mechanisms for Community CHAPTER NO. SUBJECT NO. Mental Health Services APPROVED BY: DATE: 2/16/98 PAGE:! AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To provide for standardization in the types of bids requested and to establish a standard period of time for which all bid pricing and terms will remain unchanged. II. APPLICATION This policy applies to CMH staff involved in bid activity. Bid pricing applies to all quotations, bids and similar documents. III. POLICY It is the policy of Oakland County Community Mental Health to balance competitive, market costed programs with maximum consumer choice/satisfaction and quality of service through a variety of bid options and mechanisms of sound bid practice and integrity. IV. STANDARDS A. Oakland CMH will use varied types of bids as defined in this policy to procure services depending upon the value of the expenditure and the nature of service to be purchased. B. All bid pricing other than request for proposals will be guaranteed a minimum of 30 calendar days unless otherwise specified. C. Request for proposals will generally be evaluated within 60 days from the due date of the proposal submission; extensions of the 60 day evaluation period must be approved by the Contracts Administrator. D. Bids must be centrally supervised by the CMH Contracts & Program Development department. Processing of bids and other purchase mechanisms will be handled by the Procurement Coordinator. V. DEFINITION RFP - Request for Proposal RFQ - Request for Quotation RFI - Request for Interest/Informaton VI. PROCEDURE A. Informal Bids may be obtained for one time services or items under less than $500.00. Competitive quotes can be obtained and documented via telephone contact, and generally three quotes are-seffieient required. POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Bid Mechanisms for Community CHAPTER NO. SUBJECT NO. Mental Health Services APPROVED BY: DATE: 2/16/98 PAGE:2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard B. Formal Bids are to be submitted by the vendor in writing by a certain date. Standard terms must be included and generally 3-6 bids are sought; vendors on the Master Vendor Bid List will be invited to submit bids. Formal bids are requested for items valued at $500.00-$20,000.00. C. Sealed Bids are used for Request for Proposals (RFP) and/or other expenditures that exceed $20,000.00. Vendors on the Master Vendor Bid List will be invited to bid on sealed bids. As with formal bids standard terms and a due date and time are included. The vendor must submit these bids in writing. Sealed bids are opened and read publicly at the specified date and time due. Vendors may be present at the bid opening. D. Request for Proposals (RFP) are normally used in the same context as sealed bids. The RFP generally will define a problem or specify a need. RFPs normally give the competing vendors some latitude in submitting a custom proposal on how they will satisfy the identified needs in the most efficient manner. RFPs are evaluated and scored by an appointed review committee. RFPs must be marked at received by the deadline date and time to be considered. Vendors must respond to the RFP requirements in order for their proposal to be qualified. The RFP may include a checklist of the required items to be submitted. All qualified vendors, unless otherwise justified, will be invited to bid on issued RFPs. Unlike Request for Quotations (RFQ) that generally are used for goods or commodities, Request for Proposals will not be evaluated on bid price alone. RFP extensions will be made in writing with justification and approvals documented. Extensions will not automatically be made if the bid requirements change; in those situations the bid changes must be evaluated by the Contracts Department to determine appropriateness of scope of work modifications versus bid of new services. E. Request for Quotation (RF'Q) are generally used for the purchased of commodities using the Lowest Responsible Bidder standard. F. Request for Data/Information/Interest (RFD may be issued from time to time by CMH in order to determine the availability of vendors or to substantiate the design of a program or bid. G. Single or Sole Source Bids are used when a particular item or service must be procured and is POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Bid Mechanisms for Community CHAPTER NO. SUBJECT NO. Mental Health Services APPROVED BY: DATE: 2/16/98 PAGE:3 , AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard only available from one source. • . -" - - - - - - • -. , Research must be completed and documentation must be provided to substantiate only one vendor is able to provide the service(s) when purchases are sole sourced to one vendor. Sole sourcing over $5,000 require two signatures before the requisition will be processed. H. Provider Qualifying Programs are established when there is no reason to limit the number of vendors that may provide the service. This allows for maximum consumer choice. To qualify as a non exception to the bid process, such programs must be established by CMH policy, and include open competitive enrollment of providers, minimum qualification standards, ranking of vendors and assessment by an appointed committee. Any willing and qualified provider may participate at any time if selected by consumer choice. Contracts that are developed as a result of a provider qualification program will be considered publicly, competively bid. Market analysis of current industry rates as well as level of consumer service to be provided will be used to assess and negotiate rates. RESPONSIBILITY Contract Department- Procurement Coordinator- Program Developer (as assigned)- ACTION Determines bid mechanism, issues bids, oversees and documents bid process. Coordinates all bid notice information and mailings to listed vendors. Supervises bid meetings, prepares documents, conducts work groups and review committees, summarizes bid information and recommendations. VII. EXHIBIT County Reference Document(s): PP-050 Types of Bids (Purchasing Procedure) PP-310 Bid Price Guarantee (Purchasing Procedure) poldft.bid POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Evaluation of Proposals and Bids CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 2/16/98 PAGE: I AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To establish guidelines for the evaluation of CMH bids and proposals. II. APPLICATION This policy applies to all CMH bid activities. III. POLICY The evaluation of bids and submitted proposals, quotations or provider qualification applications will be uniform against prior established criteria. IV. STANDARD A. Requests for proposals will be evaluated based on criteria set forth in the written request for proposal document and developed by the Review Committee prior to the review of proposals, including any scoring mechanism for oral interviews or site visits deemed appropriate by the Committee. Evaluation will be completed by a CMH Board appointed committee recommended by the Chairperson. B. Requests for quotations will be evaluated based upon the lowest responsible bidder who meets the minimum qualifications specified in the RFQ. Specifications must be clear so that uniform bid response may be obtained. C. Evaluation of bidders will be conducted in a fair and impartial manner. D. Bid summary information will include each vendor name, price and any unique bid detail submitted, aggregate scores, and any other pertinent qualifying information relative to the bid requirements and the vendors' response. E. Bid summary information will be clearly tabulated in typed format; when this information is reviewed by a committee appointed by the CMH Board, the Board will receive summary information at the time of the approving resolution including a brief narrative, committee award recommendation and justification for the recommendation. F. Complete bid evaluation information will be kept on file. For qualifying programs, the qualifying committee will maintain on file subject to audit, application and summary information relative to qualified providers. G. Bid awards that result in inability of the contract to be fully negotiated with the awarded vendor for any reason will be reported to the CMH Board. Alternative committee bid award recommendations, if necessary, will be requested by, presented to and authorized by the CMH Board. POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Evaluation of Proposals and Bids CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 2/16/98 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard H. Vendors bidding on a Request for Proposal may be asked to participate in an oral interview or site visit, at the sole descretion of the CMH Board appointed RFP Committee; not all vendors may be invited to participate and not all RFPs will include oral interviews or site visits. I. All RFP Committee information is held confidential until an award recommendation is made in writing to the CMH Board. Bid activity is not discussed by CMH representatives with vendors outside of the Committee process during this period. V. DEFINITION Lowest responsible bidder as used with Request for Quotations is defined as the lowest bidder unless there is a compelling reason that the bidder isn't responsible. VI. PROCEDURE A. Criteria to be used in evaluating bids may include but is not limited to the following; depending upon the nature of the service or goods to be purchased, some criteria may be weighted more than others: 1. Vendor past service delivery performance and expertise 2. Authorized dealer of product 3. Sufficient personnel or inventory to meet capacity needs of the bid 4. Sufficient line of credit to secure adequate inventory or sufficient financial reserve to provide services pending approximate 30 day net payment 5. Vendor accreditation, licensure and/or credentials 6. An authorized representative of the organization or company signed the bid 7. Bid meets full requirements of the terms of the bid, including plan to satisfy CMH reporting requirements 8. Location requirements, service capacity and delivery time necessary 9. Bid is within financial parameters of community mental health to pay for services 10. Sufficient training of personnel and training provisions 11. Past and proven experience 12. Demonstrated good business practices 13. Recipient Rights record 14. Relevant experience of any proposed subcontractor as applicable 15. Vendors' involvement of consumers in programs aSPONSIBILITY CMH Board- POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Evaluation of Proposals and Bids CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 2/16/98 PAGE: 3 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard B. For Request for Proposals for consumer services, F the Request for Proposal Review Committee will be appointed by the Oakland County Community Mental Health Board upon recommendation of the Chair. The voting members of the committee will include but may not be limited to, the Program Developer or lead contract/procurement person involved in the project, a clinical or program person, a minimum of two primary or secondary consumers, and the appointed Board member whom will also serve as Chair of the committee. Whenever possible, efforts will be made to include consumers who will use the service to be purchased or be otherwise most impacted by the bid decision. Participation of consumers will vary by each bid and opportunity will be provided for varied consumers who are interested to participate in bid committee activities. Special accommodations relative to transportation or scheduling for the involved consumers will be made whenever possible. The Program Developer will assist the committee chair in the production of committee agendas, summaries and reports. Non voting members may include technical, administrative or fiscal representatives as well as other clinical or topical consultants. The Review Committee will report its findings and make recommendations to the CMH Board for contact awards. The Board will authorize both bid award recommendations as well as resulting vendor service contracts. Program Developer or other assigned Contract staff member- ACTION Appoints Review Committees and approves contract awards Prepares bid summaries and award recommendations for the Review Committee; facilitates consumer involvement Review Committee Members or Review proposals/applications and score Qualifying Committee Members- based on predetermined objective criteria VII. EXHIBIT POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Evaluation of Proposals and Bids CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 2/16/98 PAGE: 4 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard County Reference Document(s): PP-060 Evaluation Process (Purchasing Procedure) P-030 Commission/Committee Summaries (Purchasing Policy) BOC/CMH Board resolutions regarding CMH Purchasing Policy poldft.eval POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Procurement Documents, Audit Trail CHAPTER NO. SUBJECT NO. & Record Retention APPROVED BY: DATE: 11/15/97 PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To establish standards for the types and use of varied procurement documents used and proper retention of such records in the purchase activities of community mental health services. II. APPLICATION This policy applies to all Community Mental Health procurement documents and activities. III. POLICY Standard documents as much as possible will be used in procurement activities for Community Mental Health. Records will be retained in central files by project and available for audit purposes. IV. STANDARDS A. All procurement actions will be documented to the extent possible on authorized, standardized documents. B. Procurement documents include: 1. contract/program development initiation forms 2. purchase orders and blanket purchase orders 3. contracts 4. request for quotation, request for proposal, request for data/information or interest standardized formats 5. change orders/contract amendment documents 6. Provider Application 7. Vendor registration packet 8. Requisitions 9. Provider Qualification Program Applications C. Procurement summary reports of bids, contractors, registered vendors and bid projects will be produced on a regular basis. V. DEFINITION None VI. PROCEDURE A. Documents to support the purchase and purchase decisions of required consumer services are POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Procurement Documents, Audit Trail CHAPTER NO. SUBJECT NO. & Record Retention APPROVED BY: DATE: 11/15/97 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard issued and maintained on file by the Contracts Department. B. Documents will have sufficient detail and appropriate authorized signatures to be processed. C. Documents will be properly and centrally produced using standardized formats. D. Change orders or contract amendments are used as supplements to the above. Changes may be requested by the using program or division of Community Mental Health. Changes must specify any service volume or cost changes, service specification changes, additional contractual terms, dates of purchase period, etc. If any change order impacts a contract, a contract amendment is processed. Vendors/contractors will receive copies of all change orders and/or contract amendments. Change orders are generally internal documents that are used for such matters as correcting budget account numbers or making changes to purchase orders with copies sent to the vendor. Contract amendments are signed by the vendor. E. Any contract or purchase order change of budget/rate, not to exceed amount, scope of work, or other contract term changes require processing of a contract amendment for contracts and a change order for purchase orders. F. Routine change orders within budget are authorized by the Contracts Supervisor. G. All providers selected to provide contracted services must complete a provider application. Application documents may be updated from time to time as deemed necessary by C.H., but at minimum annually. H. Bids, quotes, proposals and requests for proposals, receipts, inventory and vendor contact activities, as well as related board actions, vendor correspondence and contacts will be retained in procurement project files. I. All RFPs, RFQs and RFIs as well as provider qualification records will be kept for audit purposes. J. All official correspondence regarding contractors will be kept in the contract file for the contract period pertaining to the correspondence or documentation by fiscal year for the period of time as required by auditors or statute. K. All original contract related documents will be kept in a secured file location. RESPONSIBILITY Contracts Department- ACTION Maintains bid project files and contractor/vendor files by project and/or fiscal year. VII. EXHIBIT POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Procurement Documents, Audit Trail CHAPTER NO. SUBJECT NO. & Record Retention . APPROVED BY: DATE: 11/15/97 PAGE: 3 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard - _ Sample contracts Change order and purchase order samples Provider Application Vendor Registration form County Reference Document(s): PP-070 Procurement Documents (Purchasing Procedure) poldft.doc POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Receipt, Inventory, Transfer & CHAPTER NO. SUBJECT NO. Disposal of Goods Purchased with Community Mental Health Funds APPROVED BY: DATE: 11/15/97 _ PAGE: 1 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard I. PURPOSE To provide for uniform procedures regarding the receipt, inventory and transfer of new or used mental health services equipment or furniture and for the disposal of same purchased with mental health funds. APPLICATION This policy applies to all equipment and furniture purchased through community mental health funds for use by CMH employees, contractors and/or consumers. III. POLICY Appropriate use and reuse of equipment, furnishings and other goods and materials purchased with community mental health funds will be recorded and tracked through routine inventory. Uniform standards will apply to the disposal, transfer or reuse of such items. III. STANDARDS A. Generally, unless otherwise specified in writing, equipment and furnishings, as well as clothing or other personal items purchased on behalf of consumers with mental health funds will remain property of the consumer or his/her designee/heir. When consumers relocate from their housing residence, such property will be retained by the consumer. If the consumer or family want to return unusable items to CMH, CMH may seek to recyle such items for other consumer use. B. Oakland County Community Mental Health may reasonably assist consumers in the purchase, relocation and disposal of necessary equipment and furnishings as appropriate and feasible. C. Consumer payment for any portion of costs of consumer owned equipment or furnishings will be governed by the consumer's ability to pay any portion of the cost. D. Consumer property under this policy will be inventoried and placed in the consumers record. E. Used consumer or contractor property purchased with Community Mental Health funds may be evaluated for value or reuse and may be either reallocated by Community Mental Health or properly disposed of by the consumer or contractor with preauthorization by Community Mental Health. Whenever feasible, reuse by consumers or other contractors will be pursued. F. Contractor purchase of equipment or furnishings will generally be made by the contractor, unless unique mental health requirements or cost advantage indicate volume purchase through A - - POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Receipt, Inventory, Transfer & CHAPTER NO. SUBJECT NO. Disposal of Goods Purchased with Community Mental Health Funds APPROVED BY: DATE: 11/15/97 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard Community Mental Health. Contractors are not required to specifically follow Community Mental Health policies for purchasing, but as governed by state or other legal or funding requirements, the contractor's own policies, or at the discretion of Community Mental Health, Community Mental Health reserves the right to request proof of three (3) bids for new or replacement purchases using mental health funds for items that exceed $500.00. G. All contractor purchased equipment and furnishings covered by this policy will tagged, inventoried and recorded in the contract file, as well as in a central equipment inventory. H. It is the responsibility of the contracts department, in collaboration with the Fiscal Department and the Director's office of CMH to see that all purchases of items that exceed $500 are properly inventoried and tagged as property of CMH. I. All new items purchased will be properly checked in as received by a central receiving agent and any discrepancies between orders and items received as well as damages should be immediately reported. Equipment intended for contractual locations can be received and inventoried at that location, but the inventory information must be provided to CMH in a timely manner, generally within 30 days of receipt. J. Receiving reports will be properly maintained in a central file by contract and board operations, and updated for fiscal records at minimum annually. K. Methods of disposal include auction, relocation, scrap or competitive bid. L. Inventory, purchase and status of computer equipment will be coordinated by the QIS Department. M. Purchase and reuse of consumer related equipment will be conducted based on prioritization of consumer needs and available CMH financial resources. N. Fiscal services will determine value of assets of materials inventoried. 0. If consumer equipment purchased with mental health funds ceases to be used by consumers or family such will become property of CMH to transfer, dispose, etc. P. Contractors will provide reciepts for items purchased with mental health funds to CMH and assist with annual inventory record updates and property transfer/disposal activities. Q. Damage to CMH funded equipment or furnishings will be immediately reported to Community Mental Health. V. DEFINITION None POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Receipt, Inventory, Transfer & CHAPTER NO. SUBJECT NO. Disposal of Goods Purchased with Community Mental Health Funds . APPROVED BY: DATE: 11/15/97 PAGE: 3 . AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard VI. PROCEDURE CMH Administration & Fiscal/Contracts Departments ensure inventory, tagging and proper allocation of CMH purchased equipment. RESPONSIBILITY Contracts & Board Administration- ACTION Maintain accurate inventory, and supervise receipt and transfer of goods VII. EXHIBIT Inventory Form County Reference Document(s): PP-080 Receiving (Purchasing Procedure) PP-090 Disposal Process (Purchasing Procedure) poldft.rid POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Governing Laws, Resolutions CHAPTER NO. SUBJECT NO. and Codes for Community Mental Health Purchasing . APPROVED BY: DATE: 11/15/97 PAGE: 1 , AUTHORED BY: Ginny Reed , REVIEWED BY: Tom Woodard I. PURPOSE To specify the legal statutes that govern policies that apply to the purchase of Community Mental Health Services as well as goods, materials and equipment. II. APPLICATION This policy applies to all CMH staff involved in the purchase of mental health services and commodities. HI. POLICY CMH will abide by all regulating laws, codes and resolutions as well as terms of the DCH full management contract that address purchase of service and goods for the mental health system. Vendors will abide by applicable laws as referenced in contract and bid documents. IV. STANDARDS A. Employees and others involved in procurement of community mental health services and goods are expected to adhere to all applicable state laws, and county policies or guidelines including those pertaining to reimbursement and governmental entities. B. Questions regarding interpretation of laws should be referred to legal counsel. V. DEFINITION None VI. PROCEDURE RESPONSIBILITY All CMH Employees and Contractors- ACTION Adhere to statutes in procurement areas VII. EXHIBIT The Uniform Commerical Code - The Michigan Mental Health Code - "Uniform Requirements for Assistance to State and Local Governments" Michigan Department of Community Health Full Management Contract Federal Procurement Guidelines POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Governing Laws, Resolutions CHAPTER NO. SUBJECT NO. and Codes for Community Mental Health Purchasing _ APPROVED BY: DATE: 11/15/97 PAGE: 2 AUTHORED BY: Girmy Reed REVIEWED BY: Tom Woodard County Reference Document(s): PP-010-Laws & Resolutions (Purchasing Procedure) PP-210-Uniform Commerical Code (Purchasing Procedure) PP-220-Management & Budget Attachment "0"(Purchasing Procedure) Michigan Mental Health Code poldft.Iaw r POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Provider Performance Evaluation & CHAPTER NO. SUBJECT NO. Contract Compliance Monitoring APPROVED BY: DATE: 2/8/98 , PAGE: 1 AUTHORED BY: Girmy Reed REVIEWED BY: Alex Braitman I. PURPOSE To provide standards for the objective, comprehensive evaluation and monitoring of Community Mental Health services contracted or otherwise purchased from community service providers or organizations on behalf of and in order to serve the best interests of consumers of the local mental health service system. APPLICATION This policy applies to all residential, agency, hospital, and clinical consultant contracts as well as services that may be purchased by vouchering or other procurement mechanisms. III. POLICY It is the policy of Oakland County CMH is that all services purchased through contracts, or other service purchase mechanisms will be monitored by the Contracts Department of CM1-1 to ensure the provision of quality, effective and cost effective mental health services. Routine contract site reviews will occur and be documented and the delivery of services will be monitored using basic standards to ensure objective, regular and comprehensive monitoring of contracted service delivery. Contracted and other procured services are subject to all requirements and policies of mental health service delivery as appropriate. All pertinent information will be included in provider performance evaluation and contract compliance monitoring. The goal of provider evaluation related activities will be to assess the quality of services as specified to mental health consumers and whether or not the contractor is meeting contract requirements. IV. STANDARDS A. A Contract Coordinator shall be assigned to each contract to provide contract management, oversight and monitoring on behalf of the mental health system. B. A contract initiation application and annual renewal application if the contract will exceed a fiscal year, with appropriate collection of key provider documents and information, will be obtained and kept on file by the Contracts Department. Contractor information will be updated more frequently as appropriate or indicated. C. A contract monitoring form will be completed by Contract Coordinators for routine contract monitoring purposes and kept in the contract or vendor service file. D. On site program or service site visits will be conducted by Community Mental Health at regular and appropriate frequencies. New contractors will typically receive more frequent site visits and monitoring activities to ensure early adherence to contract terms and program design. • • t I POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Provider Performance Evaluation & CHAPTER NO. SUBJECT NO. Contract Compliance Monitoring _ APPROVED BY: DATE: 2/8/98 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Alex Braitman Especially regarding but not limited to services delivered in the consumers own home, the appropriateness and necessity of site visits to minimize or avoid family intrusion will always be considered. E. Program audits will be conducted by Community Mental Health on a routine or as needed basis. F. Feedback from consumers, families, case managers, advocates, and others from the community, when reasonably validated, will be considered in the monitoring and evaluation of provider performance. Consumer feedback will be specifically solicited, if necessary through familial or other support persons. G. Unsolicited feedback regarding contractor performance will be documented and explored in a timely manner, resulting in a written statement of the resolution of consumer, community, or CMH concerns or commendations. Resolutions to specific consumer concerns will be documented and provided to the consumer upon request. H. Performance monitoring data established and collated by CMH will be reported to providers as well as the CMH Board, and will be considered as a portion of provider performance evaluation. I. Performance objectives relative to categorical or specific bids or program proposals will be included in the consideration of specific provider performance. J. Clinical performance issues will be referred to the Clinical Administrator or designee of CMH for consultation. K. A series or pattern of performance problems may require a written corrective action plan from the provider with time frames; failure to adhere to a corrective action plan in a designated time frame may result in contract cancellation. L. Contract compliance information will be coordinated with the CMH departments of Quality Improvement Systems, Recipient Rights/Ombudsperson, contracted or Board operated Case Management Programs, CMH Clinical Administrator, CMH Medical Director and Fiscal Services as well as CMH auditors. M. Peer program reviews or consumer groups monitoring may be conducted on a routine or ad hoc but equitable basis using categorical service standards for measurement of performance. N. Clinical performance measures (IE. Individual Plan of Service ) and related outcomes for consumers will also be considered as a part of provider performance assessment. 0. Contractor staff development, participation in CMH sponsored and other appropriate training as well as program or organizational training plans will also be considered. P. CMH will provide opportunities for contractors to give input into CMH procedures and r e • ( POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Provider Performance Evaluation & CHAPTER NO. SUBJECT NO. Contract Compliance Monitoring - _ APPROVED BY: DATE: 2/8/98 PAGE: 3 . AUTHORED BY: Ginny Reed REVIEWED BY: Alex Braitman ongoing training needs to promote positive provider performance and shall offer resources whenever possible to meet identified needs. Q. Existing program evaluation from external sources, including licensing and accreditation reports will be included in the CMH evaluation of provider performance and programs. V. DEFINITION None VI. PROCEDURE RESPONSIBILITY Contracts Department- Contractor- CMH Board- ACTION Monitors contract compliance and service delivery; issues written warnings if necessary Adhere to CMH policies, procedures and contract compliance in the delivery of services; take corrective action when requested by CMH Receives routine and ad hoc performance information; authorizes contract cancellation for documented performance reasons VII. EXHIBIT Contract Monitoring Form Contract Initiation/Renewal Application Provider Feedback Form CMH Program Evaluation & Outcome Measurement Policy POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Provider Performance Evaluation & CHAPTER NO. SUBJECT NO. Contract Compliance Monitoring _ APPROVED BY: DATE: 2/8/98 PAGE: 4 _ AUTHORED BY: Ginny Reed REVIEWED BY: Alex Braitman Other CMH Policies as applicable County Reference Document(s): None (replaces Provider Monitoring portion of old Provider Monitoring & Selection Committee) poldft.cmon • *r V I • 4 SI 4 POLICY AND PROCEDURE MANUAL OAKLAND COUNTY COMMUNITY MENTAL HEALTH SERVICES SUBJECT: Year End Budget Adjustments CHAPTER NO. SUBJECT NO. APPROVED BY: DATE: 11/15/97 PAGE: 2 AUTHORED BY: Ginny Reed REVIEWED BY: Tom Woodard VI. PROCEDURE RESPONSIBILITY Contract Staff- Clinical & Program Staff- Programs & Contractors- VII. EXHIBIT County Reference Document(s): poldft.end ACTION Process purchase orders or contract amendments to procure items in current fiscal year Identify and detail consumer and program specific needs and priorities Supervise authorized purchases, provide receipts ir Resolution #98033 March 5, 1998 The Chairperson referred the resolution to the Finance Committee. There were no objections. Resolution #98033 March 19, 1998 Moved by Moffitt supported by Devine the Finance Committee Report be accepted. A sufficient majority having voted therefor, the report was accepted. Moved by Moffitt supported by Devine the resolution be adopted. AYES: Kingzett, Law, McCulloch, McPherson, Millard, Moffitt, Obrecht, Palmer, Powers, Schmid, Taub, Wolf, Amos, Coleman, Devine, Dingeldey, Douglas, Garfield, Gregory, Holbert, Huntoon, Jacobs, Jensen, Johnson, Kaczmar. (25) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lynn D. Allen, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on March 19, 1998 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 19th day of March_1998. . Allen, County Clerk