As California’s fourth largest Local Educational Agency (LEA), the Long Beach Unified School District (LBUSD) is no stranger to navigating the complex realities of public education funding. The district uses a strategic approach to procurement, prioritizing efficiency and long-term value, with “piggybacking” at the core. These agreements save time, consolidate resources and increase purchasing power. They currently manage over 115 piggy-backable contracts, maintaining a meticulously tracked master bid list. The team continuously evaluates expiring contracts and seeks to replace them with higher-value alternatives that better serve the district’s evolving needs.

The district’s contract evaluation process is methodical and layered. First, contracts must meet federal standards if federally funded. Next, the team assesses value-added services that are included, such as installation, warranty and project management. Total cost is evaluated with those in mind, ensuring the district maximizes the value for every dollar. Additional priority is given to contracts offered by nonprofit organizations and those aligned to support California education.

A recent facilities project illustrates LBUSD’s approach in action. The facilities team needed to furnish a new student/community space and identified a suitable product through a long-standing partner. The product was available via several contracts, most from out-of-state cooperatives. The dealer proposed using a drop ship pricing category, supplemented with line items for additional services like design, installation and project management.

The proposal raised questions to the district’s purchasing manager and although the initial pricing showed a small cost advantage over the alternative, the purchasing manager requested a side-by-side comparison with a California-based contract from SchoolBuys.

The initial proposal’s cost advantage diminished following this closer inspection. While both contracts appeared to reflect similar base discounts, the initial pricing provided excluded key services from the product cost. Fortunately, the purchasing manager knew that other pricing categories were available, and requested the dealer resubmit a proposal under the SchoolBuys contract’s “Delivered and Installed” category.

The revised pricing reduced the total cost by approximately 21%, while also including a 15-year non-prorated parts and labor warranty standard in SchoolBuys’ awarded furniture contracts – a significant additional value to protect the district’s investment.

This careful evaluation ensured LBUSD avoided unnecessary costs and reinforced its commitment to fiscal
responsibility.

Despite the final success, there were challenges. The vendor initially resisted repricing under the more favorable contract, insisting the other agreement offered the best value. District staff spent considerable time and effort ensuring the contract selected aligned with both operational needs and good fiscal practices.

This experience underscores a key takeaway: Without a clear and deliberate request for comparison, districts may inadvertently accept proposals that fall short of providing the best value.

LBUSD’s proactive procurement strategy demonstrates the advantages of due diligence, strategic collaboration and ongoing contract evaluation. By leveraging cooperative contracts, fostering partnerships and scrutinizing total cost of ownership, the district continues to stretch limited resources, while ensuring high-quality services and outcomes for its students and staff.

Courtesy of SchoolBuys, a CASBO Premier Partner.