Chapter 23: Agility
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CHAPTER 23
AGILITY
TABLE OF CONTENTS
23.1
Agility Overview ....................................................................................23-1
23.3
Theory of Agility.....................................................................................23-1
23.2
23.4
23.5
23.6
23.7
23.8
23.9
Purpose of this Agility Chapter is To...................................................23-1
Applying Agility at Work......................................................................23-2
When to Enter into an Agility Partnership .........................................23-2
What Services Exchanges are Not ........................................................23-2
Many Benefits of Service Exchanges....................................................23-3
Roles and Responsibilities .....................................................................23-4
Legal Foundations of the Agility Program .........................................23-4
23.10 Legal Issues and Policies .......................................................................23-5
23.11 Eligible Partners ......................................................................................23-5
23.12 Processing Agility Agreements and Work Plans ...............................23-6
23.13 Agility Agreements ................................................................................23-6
23.14 Agility Agreement Terms and Conditions..........................................23-7
23.15 Letter of Understanding ........................................................................23-8
23.16 Agility Work Plans..................................................................................23-8
23.17 Financial Matters...................................................................................23-11
23.18 Monitoring Agility Activities..............................................................23-12
23.19 Related Activities ..................................................................................23-12
Attachments:
Attachment A - Organizational Chart
Attachment B - Agility Agreement
Attachment C - Agility Work Plan
Attachment D - Agility File Checklist
Attachment E - PAS Form
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23.1
AGILITY OVERVIEW
INTRODUCTION
Agility is a “way of doing business” that
enables PennDOT and eligible partners to
exchange services, equipment and staff instead of
money. By doing this, PennDOT and the partner
make the most of their limited resources; while
developing strong and rewarding relationships.
One of the biggest advantages of the Agility
Program is the long-term relationships developed
between PennDOT, other state agencies and local
governments.
Presently, municipalities represent the majority
of partners in the program, but others are eligible
including: water, sewer, housing and municipal
authorities, council of governments, metropolitan
and rural planning organizations, public school
districts and state universities, community colleges
and vocational technical schools, volunteer fire
and rescue companies, volunteer emergency
medical transport companies, state and federal
government agencies, and charitable hospitals.
The Agility Program is available in all eleven
engineering districts, which cover 67 counties in
Pennsylvania.
Service exchanges must be reasonably equal in
amount between the Department and its partner.
To avoid the exchange of service that may have a
negative effect on the workforce, PennDOT enters
into Agility Work Plans in cooperation with the
American Federation of State, County and
Municipal Employees (AFSCME). In this way, the
Department, AFSCME, and the eligible partner
provide services that benefit everyone without the
need to pay each other cash for the services
rendered. A Work Plan can be implemented after
a fully executed Agility Agreement is in place.
The County Agility Coordinator (CAC) is
responsible for the proper completion and
implementation of an Agility Agreement and
Work Plan. The Work Plan can be developed for
services that are specified and approved in
Attachment B of the Agility Agreement. Each
Work Plan contains PennDOT’s management,
AFSCME’s and the partner’s signatures. Agility
Agreements are valid for five years with one
renewal period of three additional years for a total
of eight years, but can be cancelled after the terms
of the agreement and Work Plan have been met. A
new Agility Agreement can also be executed if the
partner and PennDOT want to exchange services
beyond the eight years.
23.2
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PURPOSE OF THIS AGILITY
CHAPTER IS TO
• Provide broad and consistent direction to the
District Agility Coordinators (DAC), CAC,
County Managers, Assistant County
Managers and others who engage in service
exchanges with eligible partners.
• Ensure that the field staff and the Agility
Division are working from the same
information.
• Present factors to consider in making Agility
business decisions as they relate to the
exchange of services with eligible partners.
The guidelines are not intended to address
every issue that may arise, nor are they intended
to stifle creativity or new ideas. The chapter is
made up of two kinds of information:
l. Requirements which must be followed and
implemented in every service exchange.
2. Suggestions, which may be implemented by
the District and County Maintenance Offices.
Finally, this document is a “work in progress”
and will be continuously changed to show the
evolution of service exchanges and relationships
between PennDOT and its eligible partners,
lessons learned from the field staff and AFSCME
and our customers’ changing expectations.
Updates will be provided to the field staff through
such sources as the Agility Digest, a link to the
Bureau of Municipal Services via the PennDOT
website, at training sessions, etc.
23.3 THEORY OF “AGILITY”
Agility is an organizational strategy or a “way
of doing business” that enables PennDOT to
respond quickly to its customers, partners and
continuously changing environment. PennDOT’s
environment entails providing transportation
services and products to more than 12.5 million
citizens of all ages, cultures and geographic
locations.
Some people define “Agility” as an attitude that
shows PennDOT’s and AFSCME’s joint interest in
building and maintaining relationships with
internal and external customers.
These
relationships position PennDOT to make positive
differences in a wide variety of situations.
Most agile relationships involve at least one or
more of the following four principles:
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Emphasizing People and Information - People
and information determine the success of an
organization, not technology, facilities, or
equipment.
Organizing to Master Change and Uncertainty
- Create a flexible organization that can quickly
adapt its human and physical resources to a
rapidly changing environment.
Enriching Customers - Involve customers in
developing products and services, which are
customized by them to meet their needs.
Cooperating to Enhance Competitiveness Identify win-win relationships as the strategic
justification for internal and external
organizational cooperative ventures.
To varying degrees throughout PennDOT,
employees at all levels are encouraged to apply
these four principles at work.
23.4
APPLYING AGILITY AT WORK
The Agility Program is an innovative approach
to conducting business that can greatly enhance
efficiencies for PennDOT and its local
communities. Given the rapid changes in our
operating environment and the many diverse
demands on our organization, PennDOT must be
increasingly more innovative and proactive.
Below are some examples of how to apply Agility
at work.
Maintenance
• Consider Agility service exchanges first, before
contracting out for services.
• District and County Agility Coordinators are
responsible for entering in to Agility
Agreements and Work Plans so long as these
transactions make good business sense. When
needed, the CAC should refer to their district
management for review and guidance when
trying to develop agility partnerships.
Bridges
When performing preventive maintenance on
bridges, such as flushing activities, consider the
use of Agility with local volunteer fire
departments based on the availability of the
volunteer fire departments.
Transportation Systems Operations and
Emergency Responses
Where practical, use the Agility Program to
formalize Agility Agreements and Work Plans as
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“insurance policies” to access back-up crews,
facilities, knowledge resources and equipment at
the local level and across state-borders. The types
of emergencies in which these service exchanges
may be used include, but are not limited to:
electrical outages, downed power lines, snow
plowing, flooding, traffic control, etc.
Safety
Use Agility service exchanges as a way of
meeting local governments’ needs for low-cost
safety services. This could help reduce fatalities
and crashes. For example, a local government
could cut tree limbs and brush along our rights-ofway and in return, the Department could install
rumble strips along dangerous curves on local
roads.
Relationships
The Agility Division may survey AFSCME
Council Directors, staff and local representatives
using a standard survey to determine their level of
satisfaction with the Agility Program. The survey
results will be quantified and given to the
Assistant District Executives for Maintenance and
others to use in strengthening relationships and to
make further improvements in the program.
23.5
WHEN TO ENTER INTO AN
AGILITY PARTNERSHIP
23.6
WHAT SERVICE EXCHANGES
ARE NOT
Establishing an Agility partnership for the
purpose of exchanging services between PennDOT
and a partner is voluntary and optional for both
parties. Each party must believe that it makes
good business sense for their organization to be
involved in a service exchange. The exchange of
services is a good deal if: more work gets done
quicker, more work gets done within the same
time frame, the exchange allows PennDOT to keep
cash in its budget for other needed projects, as well
as retains work in PennDOT instead of contracting
out services, etc.
Service exchanges should not be confused with
“giving away” services. The receiving partner
must provide PennDOT with a reasonably equal
amount of services.
PennDOT is required by law to preserve the
allocations that are distributed from the MLF.
These allocations are determined on a county-bycounty basis through a formal legislative process,
which can only be altered by additional legislation.
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Furthermore, PennDOT is statutorily prohibited
from diverting the Motor License Funds for
proposals and activities that are contrary to Article
VIII, Section 11 of the Pennsylvania Constitution of
1968 (relating to the use of proceeds from gasoline
and other motor fuel excise taxes and motor
vehicle registration and license fees). Reference to
this anti-diversion requirement can be found at
Section 2001.2 of the Administrative Code of 1929,
as amended, 71 P.S. Section 511511.2. Any
“consideration,” such as services or materials,
funded from the MLF that is given to an Agility
partner may result in offsetting the original
formula allocations, which have been carefully
established through legislation, or in diverting the
funds contrary to the constitutional and statutory
mandates. Therefore, when PennDOT uses its
field staff, equipment and related materials to
benefit a partner as part of a service exchange,
PennDOT must receive a reasonably equal service
back from that partner. Moreover, to ensure that
the MLF is restored, the service or activity
performed for PennDOT must be something on
which it is permissible to spend MLF in the first
place. To maintain the integrity of the MLF, the
partner and PennDOT have up to eight years, or
by the expiration date of the Agility Agreement, to
complete one or more Work Plans to validate that
the services received by PennDOT are reasonably
equal in amount to the services provided to the
partner, thereby ensuring the integrity of the MLF.
Service exchanges are not good business
decisions if the County Maintenance Office fails to
factor in the costs associated with using equipment
beyond the planned time frame to “extend” a
service to complete a project. For example, if the
field staff must borrow equipment from an
adjoining district to perform a task for its partner,
the field staff should factor in the “extended cost”
of mobilizing the borrowed equipment. If, after
considering this cost factor, it is still feasible to
complete the project, then the field staff should
proceed to do so.
Service exchanges are not good business
decisions if the CAC fails to coordinate with
his/her county on the shared use of purchased
and/or rented equipment for service exchanges.
For example, if the county rents equipment for 20
days and it is left idle for five of those days, the
CAC could have used that rented equipment for
the five days to perform a service exchange if
proper planning and scheduling occurred.
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MANY BENEFITS OF SERVICE
EXCHANGES
The most significant benefit of an Agility
partnership is that it helps PennDOT build
relationships with its local communities. Sharing
information enables all parties to understand why
decisions are made and brings to light factors
which may influence those decisions as well.
Other benefits include, but are not limited to:
• Enabling PennDOT and partners to use funds
more efficiently and effectively.
• Enabling PennDOT and its partners to provide
smoother and safer roads by reducing the
number of outstanding maintenance needs.
• Improving PennDOT’s and its partner’s
response time on fixing road problems,
preventing accidents, etc.
• Completing work that otherwise may not have
been done.
• Enabling PennDOT to receive more timely and
accurate information from its partners. This is
because relationships formed under the Agility
Program usually become strong relationships.
In strong relationships, the quantity and quality
of information communicated between both
partners is greatly improved.
• Strengthening relationships between PennDOT
and AFSCME union leaders at all levels.
• Strengthening relationships between PennDOT,
other state agencies and local governments,
including municipalities.
• Increasing PennDOT’s and government’s
positive image with the public.
• Increasing opportunities for employees to work
in greater leadership roles.
• Increasing the quality of life by balancing
social, economic, and environmental concerns,
which are all essential components of smart
transportation.
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ROLES AND RESPONSIBILITIES
PLANNING DEPUTATE
The Agility Division is located in a nonhighway deputate and is one of three divisions in
the Bureau of Municipal Services. See Attachment
A for a copy of the organizational chart.
The Agility Division is a support and program
office whose Agility Program Specialists provide
technical guidance to field staff that work in the
Highway Administration’s deputate.
The Agility Division’s key products and
services that support field implementation include:
•
•
•
•
•
•
•
•
•
Executing Agility Agreements that allow Work
Plans to be developed between PennDOT and
its partners,
Assisting with outreach efforts by conducting
on-site training for potential and current
partners as well as training for AFSCME
employees,
Reviewing Agility documentation to ensure
the County Maintenance Offices’ records are in
proper order,
Staffing the Agility Steering Committee,
Maintaining an Agility Agreement database,
Preparing an Agility Program Annual Report,
Conducting Agility office based and on-site
Agility Quality Assurance reviews and related
training,
Maintaining an Agility Partner Guide,
Developing training tools such as the Plant
Maintenance and Agility training course,
•
Maintaining this chapter,
•
Maintaining the Agility Work Plan Training
Manual, and
•
•
Maintaining an Agility website
Issuing an Agility Digest and other items that
directly support the CACs.
HIGHWAY ADMINISTRATION
DEPUTATE
The Highway Administration’s field staff works
daily to maintain our highway and bridge
systems. Typically, each engineering district
selects a DAC to be a liaison between the Agility
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Division and the County Maintenance Office staff.
Some of the responsibilities of the DAC include
serving as a single point of contact for the Agility
Division, communicating information on Agility
from any source to the Assistant District Executive
for Maintenance, County Managers, CAC, and
others, performing quality assurance reviews on
Agility Agreements and Work Plans, conducting
and/or coordinating training on the Agility
Program, assisting with identifying marketing
opportunities for the Agility Program, serving as
requested on the Agility Steering Committee,
attending meetings as requested by the Agility
Division, coordinating the collection of data
requested by the Agility Division, and assisting
with the resolution of Agility issues.
Some of the CAC’s responsibilities include
serving as the single point of county contact for the
DAC, communicating information on Agility to
the County Maintenance Manager and the entire
organization, performing quality assurance
reviews on Agility Agreements prior to their
submission to the DAC, participating in the
development, review, and implementation of
Work Plans, conducting training at the county
level and/or coordinating training on the Agility
Program for others, identifying, developing and
implementing marketing strategies for the county
to current and potential partners, attending
meetings as requested on the Agility Program,
completing data requests on the Agility Program,
ensuring Work Plan activities are accurately
tracked and reported, maintaining accurate and
auditable records on the Agility Program,
soliciting input from and providing information to
customers, and encouraging their employees’
participation in the program.
The District Municipal Services staff are also
located in the Highway Administration deputate
and have frequent contact with local governments
who are current and potential Agility partners.
This staff serves as a referral source for local
governments who are interested in learning more
about the Agility Program.
23.9
LEGAL FOUNDATION OF
THE AGILITY PROGRAM
Chapter 19 of the Procurement Code (also
referred to as Act 57) provides PennDOT with the
statutory basis to enter into Agility Agreements.
Although Chapter 19 does not specifically cite the
word “agility,” it enables PennDOT to engage in
intergovernmental contracts with various levels
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and types of governmental bodies, as well as
particular non-profit entities. Agility Agreements
are one type of an intergovernmental contract.
Prior to Act 57, the Department’s statutory
authority for Agility Agreements was Section 561
of the State Highway Law, relating to minor
routine maintenance by municipalities. When the
Procurement Code took effect, it gave PennDOT
further authority for the Agility Program and
broadened the types of services that the partners
could provide to PennDOT.
The Agility Program can “respond quickly” to
its partners because these intergovernmental
contracts involve less paperwork and shorter
processing times. Traditional contracts, which take
longer, are not necessary because PennDOT and its
partners exchange services, not money.
23.10 LEGAL ISSUES AND POLICIES
Throughout the Agility process, from drafting
Agility Agreements to executing service
exchanges, several legal issues may arise. One
purpose of this chapter is to minimize the need to
consult the Office of Chief Counsel and thus
increase efficiency by providing accurate and
coherent legal policies for the Agility Program.
Before specific legal and policy issues are
discussed, it is important to state the five legal
requirements that serve as the foundation of the
Agility Program’s operations:
REQUIREMENTS OF
THE AGILITY PROGRAM
There are five legal requirements that must be
followed in the Agility Program.
1. First, PennDOT must enter into a formal,
written agreement with each partner. A letter of
cooperation is not acceptable because it is not a
formal agreement.
2. Second, to be a partner in the Agility Program,
the partner must be a public entity that
conforms to the definition of a “local public
procurement unit.” Partners must meet this
definition because it is required by law (i.e., Act
57).
3. Third, no money can be exchanged between
PennDOT and its partner. If money were
involved in the Agility Program, then
PennDOT would have to comply with the same
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lengthy and more involved Procurement Code
requirements which apply to traditional
contracts.
4. The MLF cannot operate in the red, or incur a
deficit.
5. Materials can only be included in an Agility
project if they are essential and incidental to
performing the service. Materials alone cannot
be exchanged between PennDOT and the
partner, except for the following items: Road
Signs, Salt Brine and Millings.
23.11 ELIGIBLE PARTNERS
PennDOT can only enter into Agility
Agreements with entities that are classified as
“local public procurement units” or others who
provide “external procurement activities”
(essentially out-of-state government agencies and
agencies of the federal government) under the
Procurement Code. One preliminary indicator that
PennDOT uses to identify a potential Agility
partner is whether they secure and spend public
funds. Public funds are taxes, fees or government
appropriations.
A second preliminary indicator is whether the
partner’s agency is managed by a Board of
Directors and if these directors are publicly elected
officials. However, public authorities are eligible,
even though their directors are not elected. A third
preliminary indicator is that the entity must
expend the public funds in accordance with
statutory or regulatory provisions that address its
functions and activities, including its spending
powers.
A local public procurement unit is defined in
Section 1901 of the Commonwealth Procurement
Code (62 Pa. C.S. Section 1901) as “A political
subdivision, public authority, tax–exempt,
nonprofit educational or public health institution
or organization, nonprofit fire company, nonprofit
rescue company, nonprofit ambulance company
and, to the extent provided by law, any other
entity, including a council of governments or an
area government, which expends public funds for
the procurement of supplies, services and
construction.”
PennDOT’s Office of Chief Counsel ultimately
determines whether the potential partner meets
the requirements to be a local public procurement
unit. When in question, potential partners may be
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asked to submit copies of their articles of
incorporation, bylaws, annual audit report or other
documentation concerning their organization and
operation to the Office of Chief Counsel for
review.
The following are examples of local public
procurement units:
Boroughs, Townships, Counties and Cities,
Council of Governments, Water, Sewer, Housing
and Municipal Authorities, Metropolitan/Rural
Planning Organizations, Public School Districts
and State Universities, Community Colleges and
Vocational Technical Schools, Charitable Hospitals
Volunteer Fire and Rescue Companies, Volunteer
Emergency Medical Transport Companies, State
and Federal Government Agencies
23.12 PROCESSING AGILITY
AGREEMENTS
AND WORK PLANS
Incorrectly completed Agility Agreements or
Work Plans can cause significant delays in the
processing of either of these documents. This
section details policies and procedures to follow
that helps the CAC and the partner avoid common
mistakes.
23.13 AGILITY AGREEMENTS
An Agility Agreement (See Attachment B for a
copy of an Agility Agreement) is a contract, which
indicates PennDOT’s and the partner’s intent to
exchange services with each other when and if an
opportunity arises. Having an agreement in place
does not obligate either party to perform a service.
It provides the foundation and legal authority for
exchanging services. The Agility Agreement also
describes the potential service exchanges, the
agreement time frame of eight years, and other
general terms and conditions of the relationship.
The Agility Agreement submitted to the Agility
Division for processing, must have original
signatures. A “copy” of the Agility Agreement
from the CAC cannot be accepted by the Agility
Division
WHO CAN SIGN THE AGILITY
AGREEMENT
The Agility Agreement must contain a valid
signature. This means that the signatures on the
Agility Agreement must be from people who have
the proper legal authority to sign the document.
An executed resolution is necessary to grant
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someone within the partner’s organization or its
governing body the proper authority to sign the
Agility Agreement. A resolution is a formal
statement which allows a governing body to give
an individual the authority to sign the Agility
Agreement on behalf of the partner. As a matter
of PennDOT policy, Agility Agreements must
have a completed resolution.
If the agreement is with a nonprofit corporation,
only one corporate officer needs to sign, provided
that officer is a senior officer. Senior officers
include:
Chairman
President
Vice-President
Senior Vice-President
Executive Vice-President
Assistant Vice-President
Chief Executive Officer
Chief Operations Officer
If a senior officer signs the agreement for the
corporation, then a junior officer may attest to the
signature of the senior officer. To attest is to affirm
the authenticity of the individual who has signed
either the Agility Agreement or the resolution on
behalf of the partner. The affirming individual is
usually the secretary, treasurer, or other appointed
individual.
Signing an Agility Agreement on behalf of a
Federal Agency
Within the partner’s organization, for a person
to sign an Agility Agreement on behalf of a federal
agency, it has to have a citation to federal
regulations, an internal agency memo delegating
signature authority, or in the case of a contracting
officer, an appointment certification.
STAMPED SIGNATURES ON AN AGILITY
AGREEMENT
Stamped signatures on Agility Agreements are
only valid in extenuating medical circumstances.
For such a signature to be valid, it requires an
attached letter from the municipal solicitor with an
explanation for the absence of a manual signature.
VALID DATES
Agility Agreements must be submitted to the
Office of Chief Counsel within sixty (60) days of
the partner’s signature date on page 3 of the
agreement. If the 60 days are exceeded, the
agreement is considered “stale” and will need to
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be resigned and re-dated, and the signature
process will begin again.
1. All work must cease until a new Agility
Agreement is in place.
OBTAINING APPROVAL
3. Indicate on the old Work Plan the “Balance still
owed by either party at the end of the expired
Agility Agreement” and reference the new
Agility Agreement number.
The attest date must be either equal to or later
than the signed date on the signature page.
Agility Agreements or resolutions will not be
accepted if the attest date is earlier than that of the
signature.
When processing an Agility Agreement with
Attachments A, B, C and D, approval is required
from the Agility Division and the Office of Chief
Counsel. If activities other than what is listed on
Attachment B of the Agility Agreement are added,
the Agility Agreement must then be approved by
the Office of the Attorney General.
The Office of Chief Counsel will review the
Resolution Page and the Agility Agreement for
form and legality, and the reviewing attorney will
return the agreement to the Agility Division if
problems exist.
When entering into an Agility Agreement with
a Commonwealth Agency, a Letter of
Understanding (LOU) must be used. No
resolution is necessary with executive agencies—
that is, those under the Governor’s jurisdiction.
However, independent agencies, such as the
Pennsylvania Game Commission, require an
Agility Agreement.
2. The new Agility Agreement must have a new
and unique agreement number.
LEGALLY BINDING CONTRACT
Signing an Agility Agreement does not obligate
either party to perform any of the services listed
on Attachment B of the Agility Agreement. The
Agility Agreement becomes a legally binding
contract only after a Work Plan is completed and
signed by all parties: PennDOT, AFSCME, and the
partner.
Since the Work Plan signed by all parties under
an Agility Agreement is a legally binding contract,
it would be a breach of contract if the partner or
PennDOT did not perform the necessary work to
the party’s satisfaction. Should the partner refuse
to perform or re-perform the work for PennDOT,
the situation should be communicated to the
District Office who can ask for assistance, if
applicable, from the Agility Division. The reverse
is also true: if PennDOT does not perform work to
the partner’s satisfaction, it would be a breach of
contract.
When the Agility partner is an out of state
agency, an Agility Agreement must be used.
These Agility Agreements must be approved by
the Office of General Counsel and the Office of the
Attorney General.
23.14 AGILITY AGREEMENT TERMS
AND CONDITIONS
TERMINATION OF AGILITY
AGREEMENTS
Part One describes the partner’s responsibilities
under the Agility Agreement. As a supplier of
personnel and equipment, the activities specified
on the individual Work Plan must be reasonably
equal in amount to those supplied by PennDOT
and meet the guidelines in the appropriate
PennDOT publications.
The Agility Division is responsible for
submitting Agility Agreements and LOUs to the
Office of Chief Counsel as well as for entering all
Agility Agreements and LOUs into the Legal
Approved Tracking System.
An Agility Agreement may be terminated prior
to the official termination of the agreement if
PennDOT or the partner so desire. The
terminating party must submit a letter of intent to
this effect to the other party which references the
thirty day termination notice.
If an Agility Agreement expires before work is
completed under a Work Plan, the following
actions must be taken immediately:
The following section is a brief description of
the Terms and Conditions as listed in the Agility
Agreement.
Part Two outlines PennDOT’s responsibilities
under the Agility Agreement. PennDOT’s
activities specified on individual Work Plans must
be reasonably equal in amount to those supplied
by the partner and meet the guidelines in the
appropriate PennDOT publications. If the
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partner’s organization has stricter policies or
standards regarding highway maintenance,
PennDOT will perform those services accordingly.
Part Three states that the partner’s employees
and lessors remain in the partner’s employ when
performing services under this agreement for
PennDOT. PennDOT’s employees and lessors
remain in PennDOT’s employ when performing
services for the partner’s organization. In addition,
liability issues are addressed in the event an
employee or lessor of either party commits
negligent acts.
Part Four guarantees the right of inspection and
remedies to both parties of the Agility Agreement.
Inspections may be made by authorized
representatives of either party within 60 days of
the completion of work. Spot inspections can be
performed at any time when activities are taking
place under this agreement.
Part Five describes PennDOT’s Green Plan
Policy to protect the environment, conserve
resources and comply with environmental laws
and regulations. It addresses the partner’s
responsibility to ensure its personnel and
subcontractors are aware of PennDOT’s
commitment to protecting the environment and
related obligations.
Part Six adds the Non-discrimination/Sexual
Harassment Clause, Contractor Integrity
Provisions, and the Provisions Concerning the
Americans with Disabilities Act as attachments to
the agreement.
Part Seven allows you to sign the different
sections of the agreement separately.
Part Eight describes the conditions under which
PennDOT can receive your services. There are
circumstances where you can provide services
under the agreement when those services are
already under contract with a private vendor. It
also addresses training, meals and materials that
you use in the performance of a service.
Part Nine sets forth the conditions under which
PennDOT can provide services to the partner’s
organization. It addresses the materials used,
signs provided and how to handle surplus.
RECORD RETENTION
All original Agility Agreements are maintained
in the Agility Division and are kept for seven years
after they expire. In addition, copies of all
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agreements are maintained in the Electronic
Document Management System (EDMS). The
Agility field staff is required to maintain all Agility
Agreement documents which include the
agreement, Work Plans and supporting documents
for seven years after the expiration date of the
Agility Agreement.
INFORMATION DISCLOSURE
Agility Agreements, Letters of Understanding
and Work Plans that the Department is a party to
are considered public information under the Right
to Know Law. Therefore, the Department must
provide to the public non-confidential partner
information upon request.
23.15 LETTER OF UNDERSTANDING
A LOU is a document used by two state
agencies that wish to exchange services, since the
Commonwealth cannot formally contract with
itself. LOUs are signed by each agency’s
designated signatory, who is usually located in the
Harrisburg area. Once approved, staff from each
County Maintenance Office, which includes
AFSCME, may develop a Work Plan with the
other agency’s field or regional staff and their
union representatives to exchange services.
Documentation must be maintained to support the
Work Plans that are completed as a result of
having LOUs in place.
GRANTS
Under no circumstances can our Agility partner
use grant funds to perform a service exchange for
PennDOT.
However, Work Plans may be entered into with
organizations that receive grant funding from
PennDOT (such as publicly owned airports), as
long as non-grant funding is used to pay for the
grantee’s performance of a service exchange.
23.16 AGILITY WORK PLANS
A Work Plan specifically describes the nature of
work that PennDOT and the partner will perform
for each other under the Agility Agreement. The
Work Plan also indicates the quantity, unit of
measure, unit price of the Agility project,
estimated and actual completion dates and
contains signature lines for PennDOT, AFSCME
and the partner, etc. It is important to note that
the “cost” of the Agility project is indicated on the
Work Plan not the value. Information related to
23-8
Update #1
Chapter 23: Agility
the value of an Agility project may be kept in
PennDOT’s files along with supporting rate
information. See Attachment C for a copy of the
Work Plan.
An unlimited number of Work Plans may be
developed and signed over the life of one Agility
Agreement. The quantity is governed by the
capacity of either party to perform the work within
the life of the agreement.
It is a good practice to expect our partners to
complete their work for PennDOT within one or
two work seasons from the date that PennDOT
finished providing its services to the partner. This
increases accountability and lowers the risk of a
partner defaulting on a Work Plan. However, in
all situations, the partner must provide services to
PennDOT on or before the expiration date of the
Agility Agreement.
MANAGING WORK PLAN SERVICE
EXCHANGES AND RELATED ACTIVITIES
Work Plan activities must be properly managed,
tracked, reported and an accurate and auditable
record maintained. At a minimum, the CAC is
required to perform the following tasks for each
work plan:
Send a Work Plan Copy to the Agility Division
within 10 business days from the last signature
date on the document. If the executed work plan
is amended, a copy of the amended work plan
must also be submitted to the Agility Division
within 10 business days of the transaction. The
Agility Division will use the information to
establish and maintain a statewide inventory of all
work plans.
Create and Enter Notifications in SAP-Plant
Maintenance for each service shown on the work
plan. There are two types of work plan services.
One service is the work performed by PennDOT or
RP work. The second service is the work received
by PennDOT from the partner or RR work. These
transactions must be entered in SAP-Plant
Maintenance within 10 business days from the
date the work plan was executed. (See the training
course entitled “Plant Maintenance & Agility” for
details on how to perform these transactions and
the required data elements for Agility
notifications.) Note that one notification per
agility service exchange must be created. That
notification is valid for the life of the service even
if the exchange continues beyond one fiscal year.
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Document the Receipt of Partner or RR Services.
Since the life of an Agility Agreement (if renewed)
can last for eight years, our partners may take up
to eight years to complete service exchanges for
PennDOT. Therefore it is important to document
the partner’s return of services as follows:
Request that the partner complete and return
the Partner’s Agility Service form (PAS) every two
weeks to show the nature of RR work and number
of production units provided. (See Attachment E
for a copy of the form.) There are two exceptions
to this requirement. First, no form should be
completed if the partner did not perform any
work. The second exception is when the partner
provides a service to PennDOT that “reoccurs”
over a period of months like storage or parking. In
these situations and for the partner’s convenience,
one PAS form may be completed every six months,
so long as the form contains the total amount of
services provided for that time frame.
After the entire service exchange has been
completed, the “receiving” party must initial and
date the Work Plan column entitled “Completion
Date/Initials/Date Work Approved” to signify
that the job was accepted.
Create and Oversee the Processing of ZIPY
Partner Payrolls using appropriate codes and PAS
forms, similar to how work is processed by a paid
contractor. ZIPY Partner Payroll information must
be entered for all partner provided services or RR
work twice a year in SAP-Plant Maintenance.
Agility work received from the partner between
July and December must be entered in Plant
Maintenance by the fourth business day in
January. Services received from all partners
between January and June must be entered in
Plant Maintenance by the fourth business day in
July.
Ensure a Reasonably Equal Service Exchange
Occurs. One legal premise of the Agility Program
is that PennDOT must preserve the allocations that
are distributed from the MLF. This means that the
actual costs incurred by PennDOT to serve the
partner in the Agility Program must be offset by
the partner’s return of a comparable amount of
services to PennDOT
USE OF CONTRACTORS AND
SUBCONTRACTORS
An Agility partner may repay PennDOT by
using contractors or subcontractors to provide the
services. However, AFSCME must agree to this
arrangement by signing the Work Plan.
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WORK PLANS WITH MULTIPLE
PARTNERS
Some municipalities decide not to participate in
the Agility Program because they may lack the
resources to participate in an Agility exchange.
Having multiple partners under an Agility Work
Plan is allowable and may be especially helpful in
enabling a group of municipalities to participate in
the Agility Program. PennDOT could have three
municipalities join together to “give something
back” to the Department. Individually the three
municipalities may have been excluded from the
program due to their inability to compensate the
Department for services rendered. For example:
three municipalities could provide litter pickup to
PennDOT in exchange for line painting on a
roadway that runs through the three
municipalities. By providing the service to all
three municipalities at the same time, the
mobilization costs would be reduced making the
service more affordable to the municipalities.
WORK PLANS UNDER A THREE-WAY
AGILITY WORK PLAN
A three-way Work Plan refers to a Work Plan
that contains three parties on the face of the Work
Plan – PennDOT and two eligible partners, whom
all must sign a Work Plan as part of the agreement.
In this scenario, PennDOT could complete an
Agility project for Partner A but be compensated
for doing so by partner B. Partner B would then
receive a service from Partner A so that all three
parties benefit in some way from being in the
Agility partnership.
AMENDING WORK PLANS
If after work begins under a Work Plan,
PennDOT or the partner wants to change the scope
of the project all parties may re-negotiate and
amend the costs and work activities in the Work
Plan. The amended Work Plan should be initialed
and dated by PennDOT, AFSCME and the partner.
BANKING
Banking is like a savings account where one
party “saves up” dollar values by performing
more than one service for their partner over an
extended period of time. The cumulative value of
these performed services is then paid back by the
receiving partner within the time frame of the
Agility Agreement. Note that the exchange of
services under a banking arrangement must be
fully documented and completed before the
Agility Agreement expires between partners.
Ch. Updated 10/13
Although permissible, banking should be kept to a
minimum and the nature of the service exchanges
and estimated dates of completion for each service
must be established when the Work Plan is being
developed. A “to be determined” designation is
not acceptable.
CLAIMS PROCESS
A dissatisfied partner can sue PennDOT in the
Board of Claims, as long as the value of the
disputed services is $300 or more. This is why
PennDOT must view Work Plans signed under an
Agility Agreement as legally binding documents.
Conversely, if PennDOT has a claim against a
partner, the available forums are either the
Commonwealth Court or the Court of Common
Pleas for the county where the partner is located
(the choice of the forum rests with PennDOT); and
there is no minimum dollar value. In the latter
situation, the County Maintenance Office staff
should first contact the Agility Division before
taking any action.
LIABILITY
Work performed under an Agility Agreement
should be viewed similar to the way that
PennDOT views work performed by a contractor.
Under Section 1911 of the Procurement Code, a
partner that provides personnel, property,
supplies or services to another partner shall be
immune from liability for any damages which
arise out of the use of such personnel, property,
supplies or services. Also, Section 561(b) of the
State Highway Law, 36 P.S. Section 670-561 (b),
provides that a municipality which completes
minor routine maintenance work on the roadway
or shoulders of a state highway for PennDOT
under a contract is relieved from any tort liability
arising after the completion of the work so long as
it conforms to the standards of the contract as
agreed to by PennDOT.
Partners sometimes ask whether PennDOT
would be liable if the partner’s employee was
injured while working on an Agility project for
PennDOT. The answer to this question is no,
because the Procurement Code provides
immunity. The injured person’s employer is
responsible for providing him or her with
worker’s compensation and related insurances.
The same principle applies to PennDOT
employees undertaking projects for partners—
PennDOT is responsible for the worker’s
compensation coverage, and the partner is
immune from liability.
23-10
Update #1
Chapter 23: Agility
Further, Agility partners should be kept to the
same safety standards as PennDOT employees.
The standards can be found under the Terms and
Conditions portion of the Agility Agreement (See
Attachment A of the Agility Agreement), and are
interpreted in an earlier section of the guidelines.
23.17 FINANCIAL MATTERS
“COSTING OUT” AN AGILITY PROJECT
THAT WILL BE PROVIDED TO
PENNDOT’S PARTNER
“Costing out” an Agility project can be a
challenge. This is because the items that go into
“making a business offer” to PennDOT’s partner
often vary from one district to another and
sometimes from county to county. There are also
times when unforeseen circumstances arise as part
of completing a Work Plan activity. For these
reasons, costing out an Agility project is not an
exact science.
Generally, PennDOT considers two or more
items as part of costing out the service it will
provide to the partner. These items are:
Direct or hourly cost of PennDOT’s field staff,
who are involved in the Agility project plus the
cost of their benefits.
Equipment cost.
Material cost (that is incidental to the service
being provided).
Other Costs.
These four categories are defined below along
with several places where the cost information can
be obtained.
DIRECT COSTS AND BENEFITS
Direct costs include direct salaries, wages and
overtime that are incurred by the Department’s
district, and county staff in implementing the
work included in the Work Plan. The direct cost of
Central Office staff who works in the Agility
Program should not be included in these
calculations. The hourly cost of PennDOT’s staff to
perform a service can be determined by looking at
actual payroll costs. Actual payroll costs contain
information on salaries, wages and overtime as
well as the average, hourly cost of PennDOT’s
field staff to perform a service, plus the cost of
their benefits, payroll additives, etc.
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EQUIPMENT COSTS
Plant Maintenance equipment costs refer to the
cost to PennDOT to own, maintain, and operate
equipment or the cost to PennDOT to rent and
operate equipment. All County Maintenance
Office staff maintains a list of these hourly
equipment rates. Be sure to include costs for
Department forces and equipment to mobilize for
the service being provided. Also, the rates to use
and operate outside rented equipment are usually
maintained at the County Maintenance Office.
MATERIAL COSTS
Material costs refer to the cost of materials that
PennDOT purchases or provides to the partner
that are incidental to the service rendered. The
word “incidental” means “something that is minor
in nature…” when compared to the overall cost of
the service. Material costs can be found on the
Plant Maintenance system or by calling local
suppliers and/or by researching Internet sources.
PennDOT is prohibited from providing only
materials to a partner as part of an Agility project,
with the exception of the materials listed on page
23-5. If materials are provided, the materials must
be incidental to the service that PennDOT also
provides to the partner. Note that PennDOT
cannot exchange salt alone with a partner. In
addition, district office staff has the discretion to
provide only services to their partner.
OTHER COSTS
Other costs involved in an Agility project may
result in additional expenses due to the local
conditions in which the work is to be performed.
For example, PennDOT’s lack of knowledge of a
geographical area where the work is to be done
may result in extending the time frames in which
the job can be completed. Other costs to consider
are the distance to the work site, nature of the
work (cutting overgrown shoulder areas instead of
regularly maintained areas), differences in the age
and condition of equipment, need for flaggers,
extensive work zone set-up and administrative
costs incurred at the district/county offices.
By adding the costs in two or more of the four
categories above, PennDOT arrives at a “business
offer” or the amount of resources PennDOT
believes it will need to complete an Agility project
for its partner.
Some other thoughts to keep in mind when
calculating and presenting PennDOT’s business
offer to the partner are:
23-11
Update #1
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Chapter 23: Agility
a. It is likely that PennDOT’s business offer to
complete the partner’s Agility project may be
marginally higher in amount than what
PennDOT’s actual costs are. This is because
PennDOT must factor in other costs that were
described earlier.
b. PennDOT may, but is not required to, share its
cost calculations with the partner. This is a
business offer and PennDOT should keep in
mind that had the partner procured a
contractor to do the same work, it is unlikely
that the contractor would itemize and share its
costs with the partner.
c. When developing a Work Plan where a partner
is to provide PennDOT with winter services, be
sure that a municipal agreement is not already
in place with PennDOT for the same areas
being described in the Work Plan.
Developing the Agility Work Plan (See Agility
Work Plan Training Manual for details)
23.18 MONITORING AGILITY
ACTIVITIES
Since the life of an Agility Agreement is usually
five years, with an option to renew for three years,
our partners may take up to eight years to
complete Agility projects for PennDOT. This is
subject to arrangements made in the Work Plan.
Therefore, it is important to monitor the quality
and quantity of the services being provided to
PennDOT over a number of years by the partner.
Two ways to do this include producing a
written receipt of the quality and quantity of
services provided by the partner to PennDOT. The
receipt will indicate to the partner what the
current balance due to PennDOT is and
subsequently be maintained on file in the
PennDOT County Maintenance Office. The
written receipt can be the Work Plan if it is
initialed and dated by all parties after the work has
been performed and officially noted by the
receiving party that the job was acceptable.
A second method is to capture this
information on a computer system that will enable
the CAC to electronically maintain such
information. Regardless of the approach taken,
the CAC is required to maintain documentation
that supports the figures and information cited in
the Work Plan for auditing purposes.
Of equal importance is PennDOT’s need to
document, in writing, that the partner accepted the
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Department’s work as described in the Work Plan
and the date this acceptance occurred. Likewise,
the Department’s acceptance of the partner’s work
and the date of acceptance should also be
documented.
See Attachment D for a copy of the Agility File
Checklist.
23.19 RELATED ACTIVITIES
AGILITY WORK PLANS WITH
PENN STATE UNIVERSITY (PSU)
Developing Work Plans with PSU is a
complicated issue, which needs to be considered
on a case-by-case basis. Therefore, when
completing Work Plans with PSU, there is an
additional approval required. After the Work Plan
has been signed off by PennDOT, the partner and
AFSCME, it must then go to the Agility Division
which will forward the Work Plan to the Office of
Chief Counsel for final approval.
WORK VERSUS VOLUNTEER
ACTIVITIES
Sometimes, in promoting the Agility Program
and other Department initiatives, union-covered
employees are recruited to represent PennDOT at
state fairs, speak at customer advisory board
meetings or otherwise promote some aspect of the
Department in forums with partners, customers,
and other employees. In these situations, the
union-covered employees who carry out these
approved Agility work tasks are to be
compensated for their time even if the work is
performed outside of their regular work hours.
Other paid work activities may include, but are
not limited to, union-covered employees speaking
on behalf of the Department at schools or other
locations in order to educate people about
transportation, or to carry out activities listed in
the Department’s business plans. In these cases, an
employee is not acting as a volunteer: he or she is
acting as an employee of the Department.
In contrast and as defined by the U.S.
Department of Labor, a volunteer is a person who
offers his/her services “…freely and without
pressure or coercion, direct or implied from an
employer” (U.S. Department of Labor, 29 CFR
555.103).
Three examples in which an employee is acting
as a volunteer and not entitled to compensation
while performing activities associated with the
Department are the following:
23-12
Update #1
Chapter 23: Agility
1. An employee who is a member of a volunteer
fire company requests and is granted
permission to drive a piece of Department
equipment in a parade. In this case, while the
Department may get some publicity by
showcasing the equipment in the parade, the
employee has requested to use the equipment
in his role as a volunteer fireman.
2. The Department sponsors a sports team for
youth and an employee volunteers to be a
coach for the sports team. In this case the
employee is acting as a volunteer.
3. As a union representative, an employee attends
an evening meeting to develop and sign an
Agility Work Plan
For assistance and clarification on these matters,
please contact your Labor Relations Officer.
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d. Send Agility newsletters to municipalities.
e. Encourage media coverage where possible.
f. Send invitations to individuals and
municipalities inviting them to attend
Customer Advisory Board meetings.
g. Use advertising activities for the Agility
Program as one immediate way for the partner
to compensate PennDOT.
h. Do satisfaction surveys including telephone
and person-to-person calls.
i. Directly mail letters to a targeted audience.
j. Use the Internet Web Page to advertise the
program and encourage partners to “visit” the
website regularly.
GENERAL COMMONWEALTH
INFORMATION REQUIREMENT
No PennDOT employee can use the information
contained in this chapter for the purpose of
superceding any Commonwealth or Department
policies and procedures. Purchasing and
contracting activities involving Commonwealth
funds and all expenditures and practices must
adhere to Commonwealth policies. Where
applicable, this chapter incorporates such policies
and procedures. Questions about the use of the
Agility concept for activities that are not covered
in this chapter should be directed to the Agility
Division, the district office, or the responsible
program area.
MARKETING THE AGILITY PROGRAM
Marketing is the process of planning and
executing the conception, pricing, promotion, and
distribution of ideas. This process creates
exchanges of goods and services that satisfy
individual and organizational objectives.
The following activities are just some of the
ways that you can market the Agility Program.
Union employees are an integral part of any
outreach plan.
a. Personally contact every municipality and
promote Agility with ENTHUSIASM.
b. Attend a municipality meeting to explain the
concept of Agility.
c. Send a list of all active Agility projects to all
municipalities each month.
23-13
Update #1
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Chapter 23: Agility
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23-14
Update #1
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Ch. Updated 10/13
23-16
Update #1
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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23-17
Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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Ch. Updated 10/13
23-18
Update #1
Chapter 23: Agility
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PUB 23 - MAINTENANCE MANUAL
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23-19
Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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23-20
Update #1
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
-22<9C0'12!F!
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23-22
Update #1
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
-22<9C0'12!F!
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23-23
Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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23-24
Update #1
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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23-25
Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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23-27
Update #1
Ch. Updated 10/13
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
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Update #1
Ch. Updated 10/13
Chapter 23: Agility
Ch. Updated 10/13
PUB 23 - MAINTENANCE MANUAL
23-29
Update #1
Chapter 23: Agility
PUB 23 - MAINTENANCE MANUAL
23-30
Update #1
Ch. Updated 10/13
Chapter 23: Agility
Ch. Updated 10/13
PUB 23 - MAINTENANCE MANUAL
23-31
Update #1