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Contact:
Patrick Mullen
Procurement Division
Telephone: (916) 375-4617
Fax: (916) 375-4618
patrick.mullen@dgs.ca.gov
Return to GS $Mart directory.
Updated October 18, 2006
The Department of General Services (DGS) has released a new Managment Memo on the Use of GS $Mart. this is Management Memo 06-14.
The Department of Finance (DOF) has released a new Budget Letter on the use of GS $Mart. This is Budget Letter 06-27.
Please review both of these documents before proceeding with a request to do a financing through GS $Mart.
With the changes that have happened throughout the Procurement Division, the State Financial Marketplace (SFM) will be working with the Purchasing Authority Management Section, and the Office of Legal Services at the Department of General Services, to ensure all acquisitions have followed the proper guidelines and that the documentation is complete before we can consider the financing of an acquisition. The using department should also include any financing requests in the FSRs, BCP and ITPPs that are submitted for review and approval of either the DOF or DGS. The SFM Certification of Compliance form mentions most of the documents that must be submitted with the request. The purchase must meet all of the criteria of the most recent Management Memos, Budget Letters and Executive Orders. The remainder of the following interim guidelines will remain in place:
1. As specified in the DGS Managment Memo 06-14, and DOF Budget Letter 06-27, DOF no longer has to approve financings where the funds used to payback the loan are already contained in the using department's budget. All financings will continue to be approved by the Director of the DGS as set forth in number 4 below. The SFM Manager will request this approval upon satisfactory review of all of the background documents, such as but not limited to, type of purchase contemplated, FSRs, BCPs, WCJFs, ITPPs, etc., provided by the using department.
2. All leasing and financing deals will be bid out by the SFM team members;
3. Leasing and financing deals under $50,000 will not be done; Salvage Rider deals under $100,000 will not be done.
4. All deals for state agencies from $50,000 to $250,000 must be approved by the SFM Manager, deals between $250,000 and $500,000 must be approved by either the Chief of the Office of Risk Management, or the Deputy Director over the Administration Division, the deals $500,000 and larger must be approved by the Director for the Department of General Services (DGS), anything larger than $10,000,000 must be approved by the State Treasurer's Office (STO). Local Government use does not need to be approved by anybody at the State level, but must follow their own policies.
5. The Opinion of Counsel will now be written to the appropriate Deputy Director within the DGS.
6. As specified in the DOF Budget Letter, some tyopes of financings will require DOF approval. This will add time to the approval process. Please be patient while this approval is necessary.
5. The new Certification Form may have to be filled out and signed by those people specified on the form. this form is necessary when the financing is contemplated, the financing may need to be sent to DOF for their approval and could slow down the approval process. This form must be filled out prior to the SFM Manager obtaining an Opinion of Counsel. It may need to be filled out a second time depending on how the interest rates have changes since the original time the form had been filled out.
6. All deals for DGS offices must be approved by the Director of DGS.
Due to these new approval requirements, approval of the financing or leasing process may take up to considerably longer than in the past. Please keep this in mind when requesting financing/leasing assistance.
Please call the $Mart Manager if you have any questions.
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