1.1.................... moves to amend H.F. No. 577, the delete everything amendment
1.2(A11-0103), as follows:
1.3Page 52, after line 21, insert:

1.4    "Sec. 60. STRATEGIC SOURCING REQUEST FOR PROPOSALS.
1.5    Subdivision 1. Request for proposals. By July 1, 2011, the commissioner
1.6of administration shall issue a request for proposals for a contract to provide
1.7recommendations for efficiencies in strategic sourcing to the commissioner. For the
1.8purposes of this section, "strategic sourcing" has the meaning given in Minnesota Statutes,
1.9section 16C.02, subdivision 20. The request for proposals shall require the vendor to
1.10provide recommendations for improvements to methods used by the commissioner
1.11to analyze and reduce spending on goods and services, including, but not limited to,
1.12spend analysis, product standardization, contract consolidation, negotiations, multiple
1.13jurisdiction purchasing alliances, reverse and forward auctions, life-cycle costing, and
1.14other techniques.
1.15    Subd. 2. Proof of concept phase. The request for proposal shall require the selected
1.16vendor, at no cost to the state, to begin work on the contract by assisting the commissioner
1.17in implementing its proposed solution on selected state procurement processes to
1.18demonstrate the savings provided by the recommendations. The system provided by the
1.19vendor must be capable of application to the state procurement system.
1.20    Subd. 3. Full implementation and payment. The request for proposal must require
1.21the state to implement the recommendations provided by the vendor in the entire state
1.22procurement system if the work done under the requirements of subdivision 2 provides
1.23material savings to the state. After the full implementation of the system provided by the
1.24vendor, the vendor shall be paid by the state from the savings attributable to the work done
1.25by the vendor, according to the terms and performance measures negotiated in the contract.
2.1    Subd. 4. Selection of vendor. The commissioner of administration shall select a
2.2vendor from the responses to the request for proposal by September 1, 2011.
2.3    Subd. 5. Progress report. The commissioner shall provide a report describing the
2.4progress made under this section to the governor and the chairs and ranking minority
2.5members of the legislative committees with jurisdiction over the commissioner of
2.6administration by January 15, 2012."
2.7Renumber the sections in sequence and correct the internal references
2.8Amend the title accordingly