Section 515.03. Cost-benefit analysis.

 

(1)   Analysis required. The department shall complete a uniform cost-benefit analysis of each proposed contractual service procurement under s. 84.01 (13) , Stats., involving an estimated expenditure of more than $300,000, annually. Each cost-benefit analysis shall include the information set forth in subs. (2) to (6) .

(2)   Service overview. A cost-benefit analysis shall provide the following:

(a) A justification for the request written in clear, non-technical language that can be understood by persons who may not be directly involved in or familiar with the proposed service, with all acronyms fully defined.

(b) A list and description of any federal mandates, state statutes or administrative rules that dictate how the proposed service must be performed.

(3)   Total cost. Each proposed contractual service procurement under s. 84.01 (13) , Stats., shall include a total cost component. For each proposed contractual service procurement under s. 84.01 (13) , Stats., involving an estimated expenditure of more than $300,000 annually, the department shall complete a detailed cost-benefit analysis showing that the proposed service can be performed more economically or efficiently by contract rather than by current state employees or by hiring permanent, project or limited term employees. The consideration of relevant costs shall include, but not be limited to, wage and salary costs, fringe benefits costs, administrative overhead costs, other operating costs, material costs, insurance costs, facility costs, contract price, contract monitoring, and one-time conversion costs. The department shall use the cost-benefit methodology set forth in chapter 8 of the department's Facilities Development Manual.

(4)   Quality. A description of the proposed service to be performed, a list of items to be delivered, any specific conditions to be required of the contractor, and how the department will ensure that the contractor will provide services and quality as promised without financial losses to the state.

(5)   Technical expertise.

(a) Capacity . A description whether department employees have the capacity to perform the proposed service.

(b) Expertise. A description whether department employees have the expertise to perform the proposed service.

(6)   Timeliness.

(a) Timeliness. A complete schedule and timetable for the proposed service.

(b) Project term. A statement indicating whether the proposed service is a short-term project or is a long-term need for the department.

CR 06-077 : cr. Register March 2007 No. 615 , eff. 4-1-07; CR 15-063 : am. (1), (3) Register March 2016 No. 723 , eff. 4-1-16 .

Note

To request the cost-benefit methodology set forth in the Facilities Development Manual, please contact the Department of Transportation, Bureau of Project Development, Consultant Services Section, P.O. Box 7916, Madison, WI 53707-7916 or [phone]. Microsoft Windows NT 6.1.7601 Service Pack 1