Title
Corrective Action Plan and Procedures for Implementation of Resolution 2019-003 “Board of Directors Policy on Implementation of The Procurement Policy with Regard to Retroactive Contracts on Which Work has been Performed Without Prior Authorization”
Body
Agenda of: February 27, 2019
Item No.: 2019-053
Amount: N/A
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: February 8, 2019
RE: Corrective Action Plan and Procedures for Implementation of Resolution 2019-003 “Board of Directors Policy on Implementation of The Procurement Policy with Regard to Retroactive Contracts on Which Work has been Performed Without Prior Authorization”
MOTION
Upon recommendation of William M. Wolfson, Chief Administrative and Compliance Officer, The Board of Directors (Board) of the Great Lakes Water Authority (GLWA), receives and files the attached Corrective Action Plan and Procedures for Implementation of Resolution 2019-003 “Board of Directors Policy on Implementation of The Procurement Policy with Regard to Retroactive Contracts on Which Work has been Performed Without Prior Authorization” ; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
At its January 23, 2019 Meeting, the Great Lakes Water Authority (GLWA) Board of Directors (Board) adopted Resolution 2019-003, a Policy regarding Retroactive Contracts on Which Work has been Performed Without Prior Authorization. That Policy provided that:
All Contracts shall be Authorized in accordance with the Procurement Policy. Except for Emergency Procurements, Services performed with notice pursuant to the Procurement Policy, Retroactive Contracts are not Authorized under the Procurement Policy. Unless approved in accordance with the Procurement Policy, GLWA shall not be liable financially or otherwise responsible to a Vendor for any Unauthorized Services performed pursuant to a Retroactive Contract.
The policy also required that Management provide the Board a corrective action plan to address and eliminate the Unauthorized performance of Services on Retroactive Contracts and plan to conform to the Procurement Policy in that regard. The following is submitted in response to that requirement
JUSTIFICATION
Pursuant to the Board’s Policy adopted through Resolution 2019-003. Management is required to submit the Attached Corrective Action Plan and Procedures for Implementation of Resolution 2019-003 “Board of Directors Policy on Implementation of The Procurement Policy with Regard to Retroactive Contracts on Which Work has been Performed Without Prior Authorization”
BUDGET IMPACT
Any expenditures associated with implementation of this Corrective Action Plan and Procedures are within the FY 2019 budgeted amounts.
COMMITTEE REVIEW
This matter was reviewed by the Operations and Resources Committee at its meeting on February 13, 2019. The Operations and Resources Committee unanimously recommended that the GLWA Board receives and files the Corrective Action Plan and Procedures for Implementation of Resolution 2019-003 “Board of Directors Policy on Implementation of The Procurement Policy with Regard to Retroactive Contracts on Which Work has been Performed Without Prior Authorization.”
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.