The vast majority of goods needed to operate local government are purchased on the local level, and the vast majority of services are provided by individual municipalities, costing millions of dollars in redundant administration, equipment, supplies, facilities, and personnel. In many cases, substantial dollars could be saved – and the quality of services improved – by regionalizing purchasing or service delivery

MAPC coordinates regional purchasing consortiums through which 42 member municipalities can purchase vehicles, supplies, and services.  Examples include public works and emergency response vehicles, highway maintenance materials and services, homeland security equipment, office supplies.  MAPC develops bid specifications and conducts the purchasing in accordance with state procurement regulations.  In 2007, the program conducted procurements worth over $50 million, saving municipalities an estimated $2 million.  There are two elements to these savings: the high volume of purchases creates heightened competition among vendors, larger volume discounts, and a stronger negotiating position for the municipal participants; and MAPC’s centralized contract management relieves municipal staff from the administrative burden of procurement, reducing staff requirements and allowing staff to focus on core functions.

In addition, MAPC manages the bulk purchasing efforts of the Greater Boston Police Council (GBPC), which covers hundreds of public and institutional buyers throughout New England.

As a regional public entity, MAPC serves as a neutral facilitator and provide the administrative support. As a result, municipalities need not cede authority to another municipality nor take on the added burden of program administration.  Successful consortiums demonstrate geographic proximity and a manageable size (eight to 13 municipalities); these parameters create a stronger sense of shared identity and interest, and more efficient delivery of products and services.  They also require strong local leadership and a general willingness to work together.  Municipalities pay an annual administrative fee to participate in a consortium; by contrast, in the case of GBPC, MAPC receives no up-front fee, but is paid 1.5% of the price of all purchases.  The chief administering officer of each participating city or town serves as a consortium trustee.  Trustees meet regularly to develop an agenda for the program and identify new services that should be offered.  This “bottom-up” approach ensures stronger buy-in from participating communities and produces solutions that are tailored to the particular geographic, demographic, and financial characteristics of member municipalities.  

There are opportunities to expand the scope of MAPC’s joint procurement activities.  A simple legislative change would enable municipalities to purchase equipment, supplies, and services directly through contracts issued by MAPC, in the same way that they can purchase through the “statewide blanket contract” issued by the Commonwealth.  This mechanism would provide yet another opportunity for cities and towns to purchase high-quality supplies or services at an excellent price without having to go through a redundant 30B procurement process at the municipal level.

4.a    Municipalities and MAPC should collaborate to develop additional purchasing consortiums in the region

4.b    The Commonwealth should amend state law to allow municipalities to directly purchase goods and services through regional planning agency contracts

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