Virginia received the highest score in the nation from the National Purchasing Institute for its excellence in procurement practices, according to an announcement by Gov. Mark R. Warner yesterday.
The Virginia Department of General Services' Division of Purchase and Supply received the Achievement of Excellence in Procurement award for 2005 for excelling in various fields of procurement operations and management, including innovation, productivity, professionalism and e-procuring, DGS Director of Communications Susan Pollard.
"Virginia is really exceeding the nation in being innovative," Pollard said.
The award was presented on behalf of the NPI and six other major professional procurement organizations.
"This is the 'Good Housekeeping' seal of approval from the National Procurement Institute and other professionals in the field," Warner press secretary Kevin Hall said.
Each year, the Virginia government spends $5 billion on goods and services for the Commonwealth, ranging from light bulbs to school buses; the size and scope of this expenditure is equivalent to a Fortune 500 company, making proper management important, Hall said.
By implementing several new procurement procedures, the Virginia government was able to save the taxpayers nearly $100 million in the past year, Hall said.
The reform with the most impact was eVA, an Internet procurement tool that allows the vast majority of procurement to occur online. A majority of purchasing occurs on eVA, where the DPS can compare the deals offered by vendors of all sizes and make offers in real time, Hall said.
EVA gives the DPS the liberty to decide the best way to buy items in bulk, as well as finding the vendor, large or small, who can offer the best quality and price, Pollard said.
EVA existed prior to the Warner Administration but was criticized for its ineffectiveness, Hall said.
In the past four years, however, Hall said eVA has been revamped and has saved the Virginia taxpayers $69 million in the past year.
The other procurement reform that has been very effective in past years was the Virginia Partners in Procurement, which the Warner Administration launched in 2002. VaPP creates partnerships between higher education institutions and local governments to negotiate new contracts where state, college and local government spending overlaps, according to the Warner Administration.
The effectiveness of Virginia's procurement operations was not only the result of these two procurement reforms but of an entire system that is running smoothly, Pollard said.
"It's the procurement operations as a whole," Pollard said. "Often times you see different segments of an agency doing well, but this [award] shows that all procurement operations in the state of Virginia are doing well."