Overview of Defense Commissary Agency (DeCA) Mrs. Faith Smith, Director Office of Small Business Programs September 25, 2013 Agenda • DeCA Mission and Organizational Structure • Contracting Structure • Contracting Mission – Resale Contracting Division – Store Services Support Division – Enterprise Acquisition Division • Forecast of Business Opportunities 2 DeCA’s Mission • Deliver a premier commissary benefit to the Armed Services community that: Ø Encourages an exciting shopping experience Ø Satisfies customer demand for quality grocery and household products Ø Delivers exceptional savings while – Enhancing quality of life; – Fostering recruitment, retention & readiness and – Supporting war fighters’ peace of mind, knowing their families have secure and affordable access to American products 3 Commissary Operations Worldwide NB San Diego, California MCB Camp Lejeune North Carolina USCG ISC Kodiak, Alaska 4 We Operate the Military’s Supermarkets Commissary Product Lines… Quality Meat Convenient Take Home Meals Fresh Produce Chilled & Frozen Foods Grab n’ Go Chilled & Frozen Foods Grocery & Household Items 5 Our Customers Who we serve – nearly 12 million strong – Active duty military – Military retirees – National Guard and Reserves* *Unlimited Shopping Privileges – Medal of Honor recipients – 100% disabled veterans – Family members – Overseas civil servants Patron base represents microcosm of America ! 6 DeCA Organization DeCA Board of Directors USD(P&R) Operations Oversight Policy DeCA HEADQUARTERS FIELD OPERATING ACTIVITIES DeCA EAST DeCA Central DeCA WEST DeCA EUROPE DeCA PACIFIC 7 Scope of Operations • Serving our nation for over 147 years • 245 stores/13 countries/2 U.S. territorities • We sell groceries at cost plus 5% surcharge • Savings – Over 30% vs. commercial stores/super centers – Avg family of 4 – More than $4,509 annual savings • Sales – $5.8 billion annual sales in fiscal year 2013 • Patron base – Nearly 12 million strong – Active duty, guard & reserve, retirees, their families – Represents microcosm of America While we operate like a business, we are not a business 8 How DeCA is funded • DeCA Working Capital Fund • 5% surcharge 9 Please Keep in Mind… The Commissary Benefit is: • Core element of family support • Part of non-pay compensation package • Key to Military “Quality of Life” • Enhancement To Military readiness & retention DeCA provides: • Groceries “at cost” plus 5% Surcharge – Mandated by Congress – New stores and renovations • American products where Military serve • Sense of community in modern, safe environment • Spouse & family member employment opportunities 10 DeCA Contract Mission DeCA has Contract Authority to Provide a Worldwide Acquisition Program for the Procurement of Commissary Subsistence and Other Resale, Commissary Operational Equipment, Supplies, Construction, Services and Other Agency Support Requirements. 11 DeCA Contracting Structure Head of Contracting Activity Joseph Jeu Deputy Director Michael Dowling Executive Director Infrastructure Support Group Vicki Archileti Headquarters Level - Director Acquisition Management Larry Hahn Field Operating Activity Level - Supply/Equipment Division Enterprise Acquisition Division Store Services Support Division Michael Shaffer Debbie Wiggins Terri Kerby Policy & Systems Division Small Business Faith Smith Resale Contracting Division Acting Division Chief Mark Atkinson Competition Advocate Melissa Rios Acting Division Chief Sheila Norfus Contracting Mission • DeCA Contracting Requirements include: – – – – – – – Brand Name and Non-brand Name Resale Items In-store Services – Deli Bakery/Fish Market Operations Shelf Stocking, Warehousing, and Custodial Service Equipment and Maintenance for HQ and commissaries Operating Supplies and Services for HQ and Commissaries Recycling Revenue Generation (coupons, scanner data, in-store advertising) – Limited Facility Repair and Maintenance for HQ and Commissaries 13 Contracting Mission • DeCA Contracting Requirements include: – Construction Contracting Requirements – Information Technology • Mainly procure hardware/software and renewal maintenance support • Major buys supported by DISA/DITCO/GSA (Defense Systems Information Agency/Defense Information Technology Contracting Office) 14 Contracting Mission • • Support CONUS (contiguous US) Commissaries plus Alaska, Hawaii, Guam & Puerto Rico Europe Commissary Support: – Miscellaneous Operating Supplies Contract – Equipment – Resale & Services 15 Contracting Mission • Far East Commissary Support: – Miscellaneous Operating Supplies Contract – Equipment – Resale • Management Programs – Small Business – Competition – Government Purchase Card 16 Contracting Mission • Excluded Requirements – Refrigeration, HVAC Maintenance and other Real Property Maintenance and Repair • Executed by GSA (General Services Administration) Denver 17 Resale Contracting Division Mission Mission – Execute contractual agreements to acquire resale subsistence products & services in support of DeCA-wide requirements. Includes: • Consolidated indefinite delivery type (IDT) formal contracts & BPA's for non brand name products (beef, pork, eggs, milk, etc.) • Consolidated Resale Ordering Agreements (ROA's) for brand name products (Green Giant, Revlon, Tide, etc.) • Consolidated acquisitions for In-Store Services (e.g., deli-bakery, fish markets, etc.) 18 Resale Contracting Division • Functions – Requirements development coordination w/Customer (MBU or Regions) – Market research – Consolidate & standardize requirements – For Non Brand Name • Advertise requirements • Evaluation & Award • Administration of award documents – For Brand Name • Coordinate with agency merchandisers • Execution and admin of ROA – Quality Assurance & Food Safety expertise & support to the Agency – Utilization of automated systems 19 What Are Brand Name Items? • Resale Items Procured By Brand Without Reference to Specification • Regularly Sold Outside Commissary Stores Under the Same Brand Name By: - Commercial Grocery Stores - Other Retail Operations 20 BRAND NAME ITEMS • All brand name resale items must meet the requirements of Title 10 USC Section 2486(e) “(e) SPECIAL RULE FOR BRAND – NAME ITEMS – The Secretary of Defense may not use the exception provided in section 2304(c)(5) (Competition In Contracting Law) of this title regarding the procurement of a brand-name commercial item for resale in, at, or by commissary stores unless the commercial item is regularly sold outside of commissary stores under the same brand name as the name by which the commercial item will be sold in, at, or by commissary stores. In determining whether a brand name commercial item is regularly sold outside of commissary stores, the Secretary shall consider only sales of the item on a regional or national basis by commercial grocery or other retail operations consisting of multiple stores.” 21 What Are Brand Name Items? Examples of Brand Name Items: • • • • • • • • • Lay’s Potato Chips Del Monte & Hunt’s Ketchup Pepsi Cola & Coca Cola Kellogg’s Nestle Nabisco Campbell Soup Fanta Soda Diamond Water 22 What Are Brand Name Buyers Looking For? • New Item Innovation • Proven Consumer Acceptance • Customer Input • Past Brand Performance • Anticipated Volume • Current Assortment Efficiency – Price/Value to Category 23 MANDATORY REQUIREMENT • PRICE OFFERS: – OFFERS MADE BY THE VENDOR OR MANUFACTURER SHALL BE AS LOW OR LOWER THAN THOSE OFFERED TO THE COMMERCIAL MARKET DeCA + Industry = An Unbeatable Partnership 24 What’s Next …? • If your items are approved, contracting will send the manufacturer a solicitation package to complete – Representations & Certifications • Authorized Negotiator – Manufacturer’s employee that can enter into an agreement on the behalf of the company 25 CONTRACT ESTABLISHED RESALE ORDERING AGREEMENT (ROA) – Contract used to purchase brand name resale items – A Written Basic Ordering Agreement Between DeCA and the Manufacturer or the Vendor – Consists of All Terms and Conditions Between DeCA and the Manufacturer or the Vendor – Identifies Specific Methods of Ordering, Delivery, Invoicing, Pricing, Etc. – ROA is Signed by Both Parties 26 Item Presentation - National Ø Present to the Appropriate Directorate of Sales Manager/ Specialist Listed in Our Directory Website at www.commissaries.com Ø Contact DeCA Office of Small Business Program for general information at [email protected] or (804) 734-8000, ext 48015, 86223, 48615 27 Non Brand Name Resale • No Demonstrated Brand Preference (e.g., Beef, Pork, Eggs, Dairy, Fresh Fruit and Vegetables) • Contracts for In-store Services (e.g. Deli, Bakery, Fish Market Operations) • Contracts Established on a Competitive Basis IAW Federal Acquisition Regulations • Procurement Opportunities Published on Federal Business Opportunity Website at www.fedbizopps.gov 28 Resale Contracting Division Point of Contacts Sheila Norfus– Acting Division Chief Contact: ext. 48889* Email: [email protected] Brand Name Items Judge Mays – Contracting Officer Contact: ext. 48923 Email: [email protected] Resale Services Sarah Saunders – Contracting Officer Contact: ext. 48899 Email: [email protected] Non Brand Items Kim Cooper– Contracting Officer Contact: ext. 48889 Email: [email protected] Non Brand Items Trista Robinson – Contracting Officer Contact: ext. 48899 Email: [email protected] Resale Items – Europe Petra Pulze – Contracting Officer Email: [email protected] 29 Commercial Services Support Division Mission • Provide Contracting Support for 170 CONUS Commissaries’ Shelf Stocking, Warehousing and Custodial Service Contracts – “Cradle to Grave” contracting – QAE Training (formal and informal) – A-76 Contracting Mission • Contract Types are 100% Firm Fixed Price • Requirements are generated through Acquisition Planning/Onsite PWS (Performance Work Statement) Development 30 Commercial Support Services Division – Approximately 60 Percent of Contracts are Set Aside for AbilityOne • AbilityOne - a national nonprofit agency whose mission is to create employment opportunities for people with severe disabilities by securing federal contracts as implemented by the Javits-Wagner-O’Day Program (JWOD) – Approximately 40 Percent of Contracts are Set Aside for Small Businesses – Approximately 10-15 Requirements are Set Aside Under Small Business Program Per Year 31 Commercial Services Division Point of Contacts Debbie Wiggins – Division Chief Contact: ext. 48654 Email: [email protected] Ginna Thomas – Contracting Officer Contact: ext. 48546 Email: [email protected] Kathy Hawthorne – Contracting Officer Contact: ext. 48031 Email: [email protected] Denise Brown – Contracting Officer Contact: ext. 48172 Email: [email protected] Betty Perkinson – Contracting Officer Contact: ext. 48613 Email: [email protected] Amy Williams– Contracting Officer Contact: ext: 48408 Email: [email protected] NOTE: All in-coming callers must first dial commercial (804) 734-8000, and then the extension of the DeCA staff member they wish to speak with. 32 Enterprise Acquisition Division Mission • Provides Store and HQ Contracting Support for – Miscellaneous Services, Operating and Durable Supplies, – Recycling and Revenue Generation 33 Enterprise Acquisition Division • Store Support Services Branch – – – – – – – – – – Linen/Mats Rental and Cleaning Banking Change Services and Armored Car Service Guard and Reserve Offsite Sales Support Overhead and Auto Door Maintenance Knives and Blades, Fats and Bones Pest Control Trailer/Tent Rentals Utilities Grounds Maintenance/Parking Lot Cleaning Miscellaneous Services 34 Enterprise Acquisition Division • Revenue, Supplies and HQ Support Branch – – – – – – – Bags (Paper, Plastic, Produce) Misc Operating and Durable Supplies Grand Opening Support Store Décor Coupon Processing Inventories HQ Support – Facility Support, Training, Consultants, Furniture, Marketing Kits – Cardboard Sales – Revenue Generation Agreements – Miscellaneous Store Requirements 35 Enterprise Acquisition Division • Emergency Operations – Established Dry Ice BPA’s for Coastal Stores from Washington, DC to Texas – A KO (Contracting Officer) monitors an emergency cell phone 24/7 – Personnel trained in Contingency Contracting – Proactively track storms, provide assistance to Regions/ Stores as specific situations develop – Generators – Provided on-site support following Katrina 36 Enterprise Acquisition Division Point of Contacts Michael Shaffer- Division Chief Contact: ext 48640 Email: [email protected] Store Support Services Support Loria Samples-Hile – Contracting Officer Contact: ext. 48630 Email: [email protected] Revenue, Supplies & HQ Support Jill Craft– Contracting Officer Contact: ext. 86294 Email: [email protected] NOTE: All in-coming callers must first dial commercial (804) 734-8000, and then the extension of the DeCA staff member they wish to speak with. 37 Supply/Equipment Division Mission • Support DeCA Commissary Stores Equipment purchases Worldwide – Limited Support to Europe • All Equipment Maintenance Support for CONUS Stores – Maintenance Support for Guam 38 Supply/Equipment Division § Types of Equipment Meat Room Equipment Deli/Bakery Equipment Produce Department Carts Warehouse and Store Equipment Refrigerated Display Cases, Grab-N-Go Display Cases, Freezer Cases, Remote Cases § Admin Support Equipment § § § § § § 39 Supply/Equipment Division Point of Contacts Terri Kerby – Division Chief Contact: ext. 48391 Email: [email protected] Diana Gross-Bendall– Contracting Officer Contact: ext. 48185 Email: [email protected] Dessie Mills– Contracting Officer Contact: ext. 48511 Email: [email protected] NOTE: All in-coming callers must first dial commercial (804) 734-8000, and then the extension of the DeCA staff member they wish to speak with. 40 Information Technology Contact the Following Individual for Inquiries Regarding DeCA’s Information Technology: Debbie Emory, Lead IT Specialist Contact #: (804) 734-8000, ext. 485 Email: [email protected] 4141 NAICS • Some of the NAICS commonly used by DeCA – 445110 Management & Operation of in-store delis bakeries – 424480 Fresh fruit and vegetables – 112310 Fresh shelled eggs – 311511 Fresh Dairy – 311611 Fresh and Frozen Beef – 311613 Removal & disposable of fats and bones – 561990 Shelf stocking, custodial, & warehousing – 561613 Armored Car Services – 812332 Rental linen and mat services 42 Forecast of Opportunities FSC Code NAICS Code Description* FY QTR Solicitation Proposed FY QTR Contract(s) Proposed Proposed Contract Opportunities Number of 1-yr Options Estimated Yearly Dollars S299 561990 SS/CS/RSH @ Key West NAS, FL 1st QTR FY 14 4th QTR FY 14 1 4 $225K S299 561990 SS/CS/RSH @ Carlisle Barracks, PA 2nd QTR FY 14 4th QTR FY 14 1 4 $565K S299 561990 SS/CS/RSH @ New London NSB, CT 2nd QTR FY 14 4th QTR FY 14 1 4 $815K S299 561990 CS @ Fort Buchanan, PR 3rd QTR FY 14 2nd QTR FY 15 1 4 $565K S299 561990 SS/CS/RSH/RG @ Fort Belvoir, VA 4th QTR FY 14 2nd QTR FY 15 1 4 $2M S299 561990 SS/CS/RSH @ MacDill AFB, FL 4th QTR FY 14 2nd QTR FY 15 1 4 $1.5M S299 561990 SS/CS/RSH @ Saratoga Springs, NY 4th QTR FY 14 3rd QTR FY 15 1 4 $275K S299 561990 SS/CS/RSH @ Fort Leonard Wood 4th QTR FY 14 3rd QTR FY 15 1 4 $800K 43 Forecast of Opportunities PSC Code NAICS Code Description FY QTR Solicitation Proposed FY QTR Contract(s) Proposed Proposed Contract Opportunities Number of 1-yr Options Total Dollars 9905 339950 Meat & Produce Signage 2nd 3rd 1 4 $500K 7360 337215 Non-expendable supplies 2nd 4th 3 4 $5M R799 561990 U.S. Retail Inventories 1st 3rd 20 4 $3M S216 221310 HQ HVAC Treatment 1st 1st 1 4 $20K 7530 322222 Thermal Labels 2nd 4th 1 4 $3M S205 311613 Fats & Bones Removal All All 20 4 100K 44 It’s Your Move Small Businesses… • Companies Who Have Never Conducted Business with DeCA are encouraged to go to DeCA’s web site at www.commissaries.com • Click on the section “About Us,” you will find: – Directory of Category Managers, Specialists, Division Chiefs, Contracting Officers – Small Business Section – Contracting Section – Marketing Section – Review the link for the Federal Government Procurement Opportunities at www.fbo.gov 45 It’s Your Move … 46 Small Business Office • Mission – Interfaces with the Director, DoD Office of Small Business Programs (OSBP) to implement DeCA's small business program – Attend small business fairs and conferences throughout the year to increase DeCA’s portfolio of small business contractors – Serves as an advisor to the Director of Contracting and the Director of Agency on small business issues – Approval authority on socio-economic decisions during the acquisition process to ensure maximum participation of small businesses 47 Small Business Office • Mission – Promotes the use of small, small disadvantaged, woman owned, veteran owned businesses and other socioeconomic related programs – Establish Agency small business goals and tracks DeCA’s accomplishments towards assigned goals 48 We Are Here to Assist… Contact DeCA Office of Small Business Programs at: Central Number: 804-734-8000 Faith Smith, extension 48015 Floyd Kirkland, extension 86223 Faye Jennings, extension 48615 Email: [email protected] 49 QUESTIONS 50
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