Provide user training in both the consumable inventory system and Data Mart.
This item is complete - The Department's Purchasing and Materials Management Office (PMMO) presented the results of the performance audit and the action plan to leadership in all WSDOT regions in March 2008. PMMO has documented a consumable inventory and Data Mart training course (Code CFM) in the WSDOT Automated Training Management System (ATMS). The Materials Management Team conducted 21 training sessions for 219 inventory system users in 2008. If current funding levels are maintained, PMMO can continue this successful training program which has resulted in the measure of supplies under inventory management to increase from 59% in FY2005 to 83% in FY2009.
Participate in the OFM Roadmap process to position consumable inventory as an early implementation module.
This item is complete - WSDOT participated throughout 2008 in Roadmap meetings and activities in support of a statewide enterprise systems approach. Roadmap activities have been suspended as a result of the budget constraints, but PMMO continues to participate in the procurement reform workgroup sponsored by the Department of General Administration.
Evaluate the fleet management system (M4) for possible short-term application to meet consumable inventory needs. Complete by June 30, 2008.
This item is complete - A final evaluation of the fleet management system for possible short term consumable inventory use is complete. In reviewing the inventory management functions, we determined that the M4 Fleet Management System (or the replacement M5 system) would not be an acceptable consumable inventory platform. The critical flaws of M4 include: no interface to TRAINS (WSDOT's Accounting System); no unit conversion capabilities; and costly modifications to support commodity codes. Recommend that the department continue using the current mainframe system with supporting Data Mart reporting tool until a decision on an enterprise inventory solution is reached through the Roadmap process.
Evaluate options for financing a new consumable inventory management system. Complete by June 30, 2008.
This item is complete - The estimates provided by Dye Management in 2004 ranged from $8 million to develop a custom-built solution like the system we have to $4.5 million for either an off-the-shelf system or ERP/SAP-compatible module. Those estimates still frame a reasonable cost range. Options for financing a new consumable inventory system for WSDOT are very limited given budget constraints and the long list of other critical application needs. Any consumable inventory option must interface to the core financial (GL) system. Recommend that WSDOT wait until decisions are made in the OFM Roadmap process about enterprise financial systems before submitting a budget request for a new consumable inventory system.
Support and encourage professional certification and continuing education for both regional and headquarters staff.
This item is complete - WSDOT offered internal training to ensure consistency throughout the Agency. In addition, WSDOT established an internal goal to have 30 individuals certified as purchasing/inventory professionals. We were well on our way to meet this goal, having 20 individuals already certified, when the current budgetary climate impacted this process. The WSDOT Purchasing and Materials Manager will work with regional leadership to encourage incumbents to pursue certifications and to support the necessary travel and training from within existing budget resources.
Conduct a detailed analysis of the different procedures used in each region to determine which practices achieve the best results. Complete by March 15, 2008.
This item is complete - Standard procedures have been published to reflect the best practices used by locations that achieve the best results.
Provide on-site training and technical assistance to inventory system users.
The item is complete - The Purchasing and Management Office (PMMO) has documented a consumable inventory and Data Mart training course (code CFM) in the WSDOT Automated Training Management System (ATMS). The Materials Management Team conducted 21 training sessions for 219 inventory system users in 2008. If current funding levels are maintained, PMMO can continue this successful training program, which has resulted in the measure of supplies under inventory management to increase from 59% in FY2005 to 83% in FY2009. Also, see H01.1.
Develop a professional certification and training registrar at headquarters in order to track progress towards the goal of at least two professionally trained and certified supply officers per region. Complete by July 2008.
This item is complete - Certification and training is being managed by the Purchasing and Materials Manager. All class attendance is logged into the department’s Automated Training Management System.
Implement the Action Steps associated with recommendation numbers 1 and 2.
This item is complete - The Purchasing and Materials Management Office conducts regular inventory training for internal customers in order to achieve the best possible results from our consumable inventory system. A professional certification program has been instituted for regional and HQ supply professionals in order to improve their supply management skills. So far, 20 team members have earned professional certification.
Require appropriate orders, receipts, and issues of inventory to be entered into the consumable inventory system in a timely manner. Complete an implementation plan to balance recording of inventory transactions with business requirements for the use of inventory materials. Complete by September 2008.
This item is complete - WSDOT completed its implementation plan for appropriate orders, receipts, and issues of inventory to be entered into the consumable inventory system, March 2008.
Encourage used material that is in serviceable condition (e.g. guardrail, light poles) to be added to inventory so it is visible for redistribution and reuse between regions. Complete FY09.
This item is complete - Supply managers throughout the department have established a total of 25 inventory control points and entered over 4,000 used, serviceable items into inventory so that they are visible and available for redistribution and reuse.
WSDOT will continue to monitor critical contract matters and work with GA to continually improve service and resolve issues.
This item is complete - WSDOT meets at least monthly with GA to review equipment requirements, discuss the status of critical contracts, coordinate supplier meetings, and ensure that performance expectations are being met. GA provides quarterly statistical reports.
To enhance current monitoring of service quality and timeliness, GA and WSDOT will ensure appropriate performance measures are in place to assess actual performance against these measures. This work will commence immediately and be ongoing.
This item is complete - WSDOT and GA established performance measures that are now reviewed with GA staff during regular quarterly meetings.
WSDOT will evaluate additional oversight measures that can be implemented at the department-level. Complete by April 30, 2008.
This item is complete - Purchasing and Materials Management (PMMO) staff completed field visits to assess the processes being used to award ‘Q’ contracts. Our observations validated the Performance Audit Findings. Additionally, PMMO developed and implemented policy, procedure, training, and oversight measures to improve the ‘Q’ contracting process in October 2008 (Original Due Date: April 30, 2008).
Support and encourage professional certification and continuing education for both regional and headquarters staff.
This item is complete - WSDOT has budgeted for department-paid memberships in two professional organizations that provide supply management staff with access to continuing education and certification at reduced rates. In 2008, we anticipate nine additional purchasing and supply professional certifications to be earned.
The WSDOT Purchasing Manual 72-80, Para 1-23.d already contains special guidance about contract price adjustments. Completed. We will continue to review for additional guidance on price adjustments that will be helpful for the Purchasing Manual. Ongoing.
This item is complete - to ensure standardization with state procedures, WSDOT has obtained the contracting templates used by GA and will use them in future indefinite quantity, term (Q) contracts as appropriate.
WSDOT will track the cost of those items purchased under “Q” contract authority in order to address the question of changing prices for such commodities as sand, gravel, asphalt, etc. An assessment of cost changes will be provided to the Office of Financial Management when the agency request budget is submitted.
This item is complete - Purchases made from indefinite quantity, term (Q) contracts during the 07-09 biennium have been too low to determine significant cost increases. Consequently, no 2009-11 budget request was justified.
WSDOT will continue to monitor the effectiveness and application of the HMA price adjustment provision by reviewing the data annually in November and communicating with industry making adjustments to our policies and procedures as needed.
This item is complete - In early September , changes to the asphalt cost price adjustment provision were put in place to change the action range to +/- 5% instead of +/- 10%. In addition, the provision has been applied to all projects with HMA, regardless of the contract duration. The price of liquid asphalt has dropped as much as 35% from the peak in mid-September 2008. The price of liquid asphalt, as well as the effectiveness of the price adjustment provision, will continue to be monitored.
Continue to monitor research on using higher levels of RAP, through the State Pavement Technology Consortium (includes WSDOT, Texas DOT, Caltrans and Minnesota DOT).
This item is complete - Part 1: Highways and Local Programs Division responded to a budget proviso, providing clear data that local agencies are using Reclaimed Asphalt Pavement (RAP). Part 2: WSDOT institutionalized research processes on higher levels of RAP use.
Continue to monitor research on Warm Mix Asphalt and continue to participate in national efforts to investigate Warm Mix Asphalt.
This item is complete - WSDOT institutionalized research processes on Warm Mix Asphalt (WMA).
Continue to monitor HMA competition as documented by the low bid system.
This item is complete - WSDOT is monitoring competition and prices as part of the low bid process - WSDOT has seen a general increase in competition in the last year. In rural areas with less competition, WSDOT attempts to establish material sources to attract competition. Bid prices are reviewed routinely as bids are opened to check for irregularities.
A final strategic plan is expected to be complete by march 2008.
Track and report SRA visitor numbers.
This item is complete - We have been using water data since 2005 to calculate visitors and plan on using this information to justify the need for funding as well as other suggestions from the audit on why funding is needed for the program.
This issues will be addressed in the organization review referenced earlier (ID # 10.1) that will be completed in March 2008.
WSDOT’s contract experts will provide ongoing assistance and oversight of state rest area contracts.
This item is complete - SRA Operations staff have developed a clear understanding of the three contracts and all are now managed by one office. Revenue collection from these contracts will be managed and coordinated by the Headquarters Maintenance Office (Doug Pierce).
Full implementation of Computer Maintenance Management Systems (CMMS) is projected to be complete by December 2009.
This item is complete - The Computer Maintenance Management System (CMMS) has been implemented and is being used at Safety Rest Areas (SRA) for planning routine preventative maintenance on equipment and systems such as water pumps, heating, electrical panels, and roofs. It is also being used to record corrective type repairs, so that reoccurring problems can be evaluated to determine replacement priority.
Funding requests for preservation funding will be made on an as-needed basis within the biennial WSDOT budget process.
This item is complete - The 2009-2011 Capital Improvement and Preservation Program Plan (CIPP) shows the SRA program funding request and project list. The CIPP was submitted to OFM in August 2008.
WSDOT's Human Resources Department, in conjunction with The Department of Personnel (DOP) and the different program areas that have maintenance and operations responsibilities, will evaluate career development opportunities to identify career paths and training opportunities within this field. Evaluation to begin by July 1, 2008 and conclude by August 31, 2009.
|Jerry Lenzi, Bill Ford||Completed||No||No|
This item is complete - An evaluation document was developed by WSDOT's Human Resource Office and provided to Maintenance and Operations Division (M&O). This document identifies
activities in place to address employee retention, work schedules, training, and retirement for M&O Staff. On an on-going basis, the M&O Division will continue to address staffing to ensure it has highly trained and competent personnel within the program.
Strategy development projected to be complete in spring 2008. Implementation is dependent on the strategy that is developed.
This item is complete - The maintenance backlog strategy has been developed. See the Maintenance Backlog Report for additional details.
We will estimate operations and maintenance costs needed to support the highway expansions underway as a result of the 2003 and 2005 revenue packages and submit this information with the 2009-11 budget request.
This item is complete - An estimate of operations and maintenance costs needed to support the highway expansion underway as a result of the 2003 and 2005 funding packages was completed as part of the preparation for the 2009-11 budget development process. The current backlog of essential maintenance has been brought about through program funding not keeping up with the increased costs related to highway expansion and inflationary cost increases. In a 2009-11 budget decision package, $16.8 million has been requested to "buy-down" part of the backlog that is currently estimated at $85 million.
Develop a strategy to address how to measure a maintenance backlog. Complete in spring 2008. Implementation is dependent on the strategy that is developed.
This item is complete - The maintenance backlog strategy has been developed. See Maintenance Backlog Report for additional details.
Rail, highways, and ferry program managers will document consequences of not funding the most critical maintenance and operation activities and submit that information with each biennial budget request. The information should be submitted with the 2009-11 agency request budget.
This item is complete - The consequences of not funding 2009-11 maintenance decision package requests was completed as part of the 2009-11 budget development process. Maintenance decision packages in which this issue was addressed include requests for electricity cost increases, 2010 Olympics support, stormwater permit (aka NPDES) compliance, and Maintenance Backlog/System additions.
Identify budget impacts from new unfunded mandates and compile this information into a single document that can be updated and maintained into the future. Complete by June 30, 2008.
This item is complete - Budget impacts of unfunded mandates are due to be estimated by June 30, 2008. Budget impacts of the 2008 stormwater permit (aka NPDES) have been estimated and included in a 2009-2011 Budget Decision package.
The alternative uses for SRA’s referenced in these findings during the SRA Strategic Plan development to be completed by March 2008.
The Military Department, Washington State Patrol, WSDOT and local safety officers will collaboratively evaluate potential solutions related to illegal activities. Cost-sharing between these entities will be part of this analysis. Meeting will occur in the spring and summer of 2008, with a budget request submitted for the 2009-11 biennial budget.
This item is complete - WSDOT SRA Operations staff meets annually with Washington State Patrol personnel and local law enforcement as appropriate to identify and curtail inappropriate and illegal behaviors. Funding has been requested in the preservation backlog reduction plan included in the Capital Improvement and Preservation Program Plan to reduce the security deficiencies.
Maintenance Accountability Process (MAP) field surveys will be conducted annually instead of twice per year, significantly reducing the effort and cost to obtain Level of Service (LOS) data, while still maintaining adequate confidence levels. This will begin in the 2008 survey. We also will evaluate the effect of changing from twice per year to annual.
This item is complete - The transition from twice-yearly to annual MAP field surveys has been completed. After review, the annual survey yielded data of improved quality compared to the former twice-yearly surveys, a small cost savings was realized, and worker safety was improved by reducing the time personnel spent conducting roadside field surveys.
MAP reporting will include narrative summaries as well as numeric or alpha summaries as appropriate.
This item is complete - Details of region performance measures are now routinely developed and distributed as part of the annual MAP reporting. The 2008 MAP Report is being published in the upcoming edition of the Gray Notebook (GNB).
Develop and implement policy statements and procedures to coordinate consistent and timely application of the Project Management Reporting System (PMRS) and provide direction on the various processes involved. Policies and procedures are scheduled to be developed by January 2008.
This item is complete - Policy statements and procedures to coordinate consistent and timely PMRS application were implemented from May through July 2008.
Update existing Executive Order 1032.00 for project management (originally issued in 2005) by February 2008.
This item is complete - Executive Order 1032.00 for project management was signed in July 2008, not February as originally anticipated. The implementation was timed to coincide with the deployment of new software in July 2008.
Implement the SPMG recommendations statewide, including activities underway:
* Development of standard processes for:
-Cost Control and Earned Value
-Project Estimate Creation, Review and Approval
-Project Change Management
* Development of a training program for project control staff regarding use of these new business processes
* While the fully integrated PRMS system is scheduled to be complete in January 2010, the Cost Control/Earned Value Software has currently been implemented to manage some of WSDOT's larger projects in May 2008.
This item is complete - SPMG has been actively replaced by WSDOT Staff in accordance with 2009 Legislative funding. The June 2009 SPMG Strategic Plan was submitted to the Legislature and WSDOT continues to follow the recommendations. The Project Management & Reporting System (PMRS) was fully implemented in June 2010. WSDOT notified the Department of Information Systems (DIS) and the Information Services Board (ISB) of the implementation. WSDOT will continue to actively incorporate the PMRS tools on projects.
Continue to refine Cost Estimate Validation Process (CEVP®) and Cost Risk Assessment (CRA) estimating procedures and apply these to formulate realistic estimates during the project development process.
This item is complete - CEVP® is a very active part of our project development program, and is refined during the life of a project. It is updated on an annual basis or as major milestones or decisions are achieved on a project. In addition, Executive Order 1053 (Project Management and Risk Based Estimating) requires project managers to regularly review and update schedules, risks and estimates as part of their project management plan. (Subject Matter Expert: Bill Prill, Manager Strategic Analysis and Estimating Section - 360.705.7464)
Provide additional emphasis of tools and expectations at the Project Management Training Academy, Statewide Meetings, and Quarterly Reporting.
This item is complete - The latest round of Region Design and Construction Conferences (February 2008) all included a session regarding project control and reporting expectations and timelines for implementation. In addition, this will be a component of the Statewide Project Engineer meeting.
In addition to the actions and timelines for Finding #21, WSDOT will evaluate and assess projects annually to gather lessons learned. WSDOT plans to share lessons learned through annual construction conferences, beginning in February 2008.
This item is complete - WSDOT has emphasized the need for implementation of Project Management plans for all projects. This emphasis is carried forward in the Project Management Training Academy, in PDIS and in SPMG recommendations. Here is the link to our on-line guide: http://www.wsdot.wa.gov/projects/ProjectMgmt/Process.htm
. The lessons learned folio was updated for presentation at February's '09 Region and Statewide Design and Construction Conferences. Lessons learned are now available on the Department's external website for use by consultants, contractors, local agencies, as well as WSDOT employees. Each Region continues to capture lessons learned, here is the link to the agencies website: http://www.wsdot.wa.gov/Projects/delivery/LessonsLearned/Default
Progress of the lessons learned effort and schedule for developing improvements will be available on the website. Complete by February 2009.
This item is complete - A work group with representation across WSDOT met in July to discuss how to improve lessons learned collection and distribution. The group identified high priority improvements to the existing system as well as ideas for creating a new system to better meet user needs. Improvements to the existing system were completed in September. A future recommendation of the work group is to convert the data base system we currently have to a new web-based system with an internet search engine. WSDOT does not currently have funds identified for this improvement.
We will continue to use performance contracting and best value selection as appropriate and consider the recommendation if/when it is necessary to do so.
This item is complete - WSDOT has current legislative authority and continues to use performance contracting and best value selection as appropriate. We will pursue additional contracting tools as necessary in the future.
We will continue to monitor the effectiveness of our contract provisions (“general special provisions”) on an annual basis (end of construction season in November). This includes communicating and working with industry to make adjustments to our policies and provisions as needed. Increase focus on training in this area will also occur over the next year through the SPMG effort.
This item is complete - The special provisions for Primavera 6 schedule requirements were developed with industry input through our AGC Admin team. They are currently being applied as applicable. This effort is complete and we are now monitoring the process for lessons learned that will help us improve and evolve the process. Additional schedule specifications and requirements will be developed and implemented as needs evolve.
Create a cross functional team to evaluate existing informal processes and procedures that support trend analysis. Next, develop strategies to support a systematic approach to track, report, review and improve estimating practices by monitoring quantity growth. This schedule to be in place by July 2008.
This item is complete - WSDOT has processes in place and has met the recommendations of the audit. HQ Construction continues to actively track cost trends nationwide. The data collection is now standardized and is posted on the WSDOT HQ Construction website for consideration by WSDOT designers when preparing project estimates.
We will review our process for opportunities for improvement as the aforementioned SPMG efforts advance.
This item is complete - We support our existing estimating and bid award process. But we will continue to work with Regions and industry for improvements as PMRS tools and training are deployed. This will also be tied to the Trend Analysis Action Step 25.1.
We will evaluate a sample of engineer estimates, contractor estimates, and actual costs and report to the Legislature and the Governor with the annual budget submittal.
This item is complete - WSDOT prepared and published the requested comparison data in the June '08 Gray Notebook report as part of our typically published information. The data details the number of projects completed per calendar year as well as a comparison of the engineer's estimates to the award estimate to the final contract payment. As OFM did not include a request for this data comparison in their budget notes, the data was not transmitted via the WSDOT budget office to date. A separate transmittal was prepared (Nov O8) to submit the requested data to OFM and Legislature.
Investigate electronic bidding options by March 2008.
This item is complete - Initial investigation of electronic bidding opportunities was completed December 2007. On September 15, 2008, provided responses to additional questions from OFM, DIS, and GA. WSDOT received concurrence from OFM on October 24, 2008, to move forward with procurement of the Expedite and Bid Express. WSDOT is consulting with DIS to ensure compliance with ISB policy requirements. Funding was included in the 07-09 construction office budget for implementing the system, and costs to maintain the system in the 09-11 construction budget.
Develop an electronic bidding implementation plan that includes strategies to address best practices, financial impacts, industry input, awareness, and training. Complete by August 2008.
This item is complete - An electronic bidding implementation plan is due to be completed by December 2008. We have entered into a contract with Infotech (BIDEXPRESS) to implement internet bidding. Interface issues are being resolved, staff training and test lettings will be conducted in May/June 2009, with full implementation expected in July/August 2009.
See action step and timeline for H21.1.
This item is complete - WSDOT established standardized project progress reports which track not only project costs, but the reasons for the changes. The Project Control Reporting Form has been in use for some time. On larger projects, WSDOT is utilizing earned value to track the progress of a design. WSDOT actively tracks cost through construction via change orders and tracks potential claims/risks through a risk reserve for the projects with potential issues.
WSDOT will submit a work plan and timeline for full implementation of PMRS and project management training to the 2008 Legislature.
This item is complete - This was completed in the 2008 session. WSODT is required, via proviso, to report Project Management and Reporting System (PMRS) scope, schedule, and budget to the Legislature and to OFM on a quarterly basis. WSDOT has used our DIS/ISB reports for this purpose to avoid extra effort and inconsistencies in our external reporting. We also provided an update to the Statewide Project Management Group (SPMG) Strategic Plan in the Fall of 2007.
See actions and timeline for recommendation #21.1.
This item complete - Addressed recommendation 21 as described above.
WSDOT's project management-related efforts include placing business managers in the project offices and providing cost tracking and estimating software, which will address this recommendation. We are in the preliminary stages of this process, and will review progress after the next construction season (November 2008).
This item is complete - WSDOT actively tracks all changes on contracts. These changes can be paid through new items or utilize existing unit costs. The new Contract Manager Tool in PMRS has enabled construction project offices to track issues in a consistent manner.
Based on the results of project samples, WSDOT will take actions as appropriate to improve the cost estimation.
This item is complete - Based on projects reviewed, WSDOT will take actions as appropriate to improve cost estimation.
We have recently begun integrating business managers in our project offices and will continue to do so. Refer to SPMG timelines under recommendation #21. WSDOT is in the preliminary stages of this process, and will review progress after the next construction season (November 2008).
This item is complete - Business managers have been hired for large projects. Tier 2 project controllers are in each region to assist.
The new and improved system for categorizing change orders is scheduled to be in place by the end of February 2008. Headquarters construction staff will be introducing the system to regions at the regional construction conferences in February. A follow up will be performed as part of an annual review in November 2008.
This item is complete - The new system for categorizing change orders is in place. Modifications to the construction manual and change order checklist have been accomplished and training to deploy the new expectations is complete. We will monitor results and feed them back into lessons learned through the trend analysis team.
We have the ability to ask for this information under our current contract structure and do so when appropriate. Training on this subject is currently being provided as part of the Headquarters change order training.
This item is complete - WSDOT change order training has been given. Change orders are reviewed on a systematic basis.
Continue to track and evaluate performance measures as reported in the Gray Notebook and GMAP.
This item is complete - WSDOT tracks and evaluates performance measures in the Gray Notebook and GMAP.