Code of Maine Rules
18 - DEPARTMENT OF ADMINISTRATIVE AND FINANCIAL SERVICES
554 - BUREAU OF GENERAL SERVICES
Chapter 155 - RULES FOR DEFINING AN EQUIVALENT BASIS FOR COST COMPARISON BETWEEN STATE EMPLOYEE AND PRIVATE CONTRACTOR PROVISION OF SERVICES
Part Two - CONSTRUCTION OF THE RULE
Section 554-155-Two-One - Creating an Equal Basis

2.1.1 Recognizing the Need to Create an Equivalent Basis for Comparison.

Personal services' contracting is permitted by statute when certain conditions are met. Among the provisions listed is one to assure "...an equivalent basis for comparison between state employee and private contractor provision of services..." in rules adopted by the State Purchasing Agent. The intent of the rule is then to create an equal basis for the comparison of proposals.

2.1.2 Satisfying the Need to Create an Equivalent Basis for Comparison.

It is the intent to consider cost as one of the factors in a decision. Agencies and departments are faced with the dilemma of considering unequal health and retirement benefit programs and any associated expense. A challenge is to determine the value of the associated program expenses for all parties to the bid and, effectively, consider the state as one of the bidders. Equality can be introduced by removing health and retirement benefit costs from the cost consideration for all parties, including the state, to the bid.

2.1.3 Other Costs.

There are also other costs dealing with either the provision of service by contractors or state employees. These are typically overhead and profit and a supervisory adjustment, unemployment costs, and layoff notice costs. These costs are more consistent in their content and intent, and would be identified, and be part of the comparison protocol.

2.1.4 Supervisory Adjustment.

The table lists the number of additional Full Time Equivalent supervisors involved with personnel administration required for the proposed numbers of workers. The number of additional supervisory administrators required is for the full complement of additional state employees and would be prorated to reflect the actual number of positions. Note: The values in column two, Numbers of Additional Supervisory Administrators Required, may vary among agencies and departments.

2.1.5 Providing Information to Allow the Comparison.

As part of the Competitive Bidding Process, CBP, submission to the Division of Purchases, the Agency or Department would be required to provide certain information from each of the bidders as well as the Agency or Department on forms stipulated for use by the Division of Purchases. Any proposal received that does not have the required information must be rejected as non-responsive to the CBP and eliminated from consideration.