Skip to main content
Add as a preferred source on Google

Cooperative Purchasing Contracts Can Help Schools Stay Within Budgets

  • 11/01/17

Over the last several years there has been a proliferation of purchasing cooperatives in the education space and it’s easy to see why. Today’s procurement professionals continue to face the daunting challenge of spending less and getting more. Be it through increased efficiencies, aggregated knowledge or leveraging resources, cooperative purchasing contracts can help.

Strength in Numbers

The sheer volume of purchasing power aggregated by the size of the cooperative provides individual members with economies of scale — and pricing advantages — they would likely not be able to achieve on their own. Add to that the considerable time savings associated with researching new product categories, sourcing competitive quotes, and negotiating pricing. By eliminating time spent on these tasks, resources can be reallocated to focus on more strategic projects.

Cooperative contracts can also represent a revenue generating tool. On top of exclusive savings and rebates, a true member-owned cooperative typically shares its profits with members in the form of “patronage” refunds, which are based on a member’s annual purchases.

Time Efficiencies

“We average approximately 100 days from beginning to end, in terms of conducting an RFP,” said Rick Gay, Procurement Officer at Houston Independent School District. “Utilizing a contract that has already gone through a bid process means we have immediate access to an agreement that adheres to our board policies or state statutes. It also means we can quickly conduct a market trend analysis to ensure we’re in compliance with federal spend regulations.”

The procurement team at Houston ISD comprises 12 sourcing specialists that typically conduct 350-400 solicitations per year. That requires a significant amount of time and resources, and every measure of savings helps. “It’s all about ensuring that our end users get what they need, at the best price available, as quickly as possible,” Rick said. “If that means using a cooperative contract, I’m in!”

This article originally appeared in the issue of .

Featured

  • LAN, Inc. Opens Office in College Station, Texas

    Lockwood, Andrews & Newnam, Inc. (LAN) recently announced the opening of a new office in College Station, Texas, to support its regional client base, according to a news release. The organization provides engineering, design, and program management services for water, wastewater, transportation, stormwater, and education clients in the Brazos Valley.

  • California K–12 District Completes Elementary School Campus Replacement

    The West Contra Costa Unified School District (WCCUSD) in Richmond, Calif., recently announced the completion of a replacement campus for Lake Elementary School, according to a news release. The school has capacity for 470 students between Transitional Kindergarten (TK) and sixth grade.

  • Niles West High School Natatorium Renovation

    Natatoriums are highly specialized spaces, and luminaires in this setting face several unique challenges. Perhaps the most significant is corrosion, which is exacerbated by high indoor humidity, condensation, and pool chemicals, often resulting in material degradation in luminaires not certified to perform in corrosive environments.

  • Illinois District Boosts Security at High-School Stadium

    Richmond-Burton Community High School in Richmond, Ill., recently announced that it has completed the redesigned entrance to its high school stadium with a new focus on school security and community engagement, according to a news release. The district partnered with Wold Architects and Engineers on the project as part of District #157’s year-long facilities master plan.

Digital Edition