STATE AGENCY IN-PLANT PRINTING OPERATIONS - 2875
- Definition
An agency in-plant printing operation (hereinafter “in-plant”) is any state agency (state government office, department, division, bureau, board, or commission) which: 1) owns and/or operates one or more pieces of printing equipment, where a piece of equipment is valued at $50,000 or more at the time of acquisition; or, 2) employs one or more dedicated personnel under a printing trade classification (Bargaining Unit 14); and, 3) is not under the direct control of the State Printer.
In-plants have also been referred to as “in-house printing and reproduction facilities” or “reproductive units.”
- Cost Recovery
Pursuant to SAM Section 9210, it is state policy for departments to recover the full cost whenever goods and services are provided for others. Cost recovery is defined by SAM Section 9210 to include all costs attributable directly to the activity, plus a fair share of indirect costs which can be ascribed reasonably to the good or service provided.
As defined in SAM Section 9211, indirect costs (or overhead costs) are the mandatory support costs (such as statewide Pro-Rata, departmental overhead, program overhead and FI$Cal) which are accumulated and allocated annually to the organizational units which benefit from the support. Pursuant to SAM Section 9210, each in-plant must account for its share of its agency’s overhead costs.
- Operating Authority
In-plants shall only produce print work for their own agency (defined as the office, department, division, bureau, board or commission that purchased and/or operates the equipment), unless otherwise authorized by the Office of State Publishing (OSP).
In-plants are only permitted to provide print work for other state agencies when the requesting agency has obtained OSP’s approval on a Printing Services Exemption Request (PSER) (see SAM Section 2811 for exemption procedure). An OSP-approved PSER must be included with all interagency agreements for in-plant printing services (see SAM Section 2812(B)). In-plants may not submit a PSER on behalf of another agency.
OSP publishes a directory of in-plants authorized to provide print work for other state agencies on the OSP website at: https://www.dgs.ca.gov/OSP/Resources/Page-Content/Office-of-State-Publishing-Resources-List-Folder/In-plant-operations.
Before OSP will authorize an exemption for the in-plant to produce print work for another state agency, the in-plant must provide its services list (see SAM Section 2875(D)) and rate spreadsheet (see SAM Section 2875(E)) to the Statewide In-Plant Operations Manager at inplantopsmanager@dgs.ca.gov for review and approval by the State Printer.
The in-plant must have a current In-Plant Printing Operations Report (IPPOR) (see SAM Section 2875(F)) on file with the State Printer before OSP will authorize the in-plant to perform work for a customer agency.
- Services List
In-plants that provide services to other state agencies must submit a list of all printing and reproduction services provided by the in-plant to the Statewide In-Plant Operations Manager at inplantopsmanager@dgs.ca.gov. OSP will refer to this list when reviewing PSERs from customer agencies to determine whether the in-plant can complete the required print work.
Any modifications to the services list should be provided to the Statewide In-Plant Operations Manager by email. The in-plant must provide an updated services list each year by September 1.
- Rates Development
In-plants that provide printing services to other state agencies must establish an hourly rate for each piece of printing equipment operated to ensure that the printing operation is adequately recovering its costs (pursuant to SAM Section 9210). In-plants that are not providing printing services to other agencies are not required to establish rates.
In-plants should use the Rate Development Spreadsheet (RDS) in developing their rates. The agency must complete the RDS in accordance with the provisions of the RDS Instructions document.
The rates must be certified by the agency’s Deputy Administrative Director (no designee signature will be accepted) by electronic signature on the Certification section of the RDS. The RDS should be submitted by the agency’s Deputy Administrative Director to the Statewide In-Plant Operations Manager at inplantopsmanager@dgs.ca.gov for review and approval by the State Printer. The State Printer may reject any rate structure that does not fully recover the cost of operation
In-plants must update their rates annually to reflect changes in overhead and operational costs each fiscal year. Each year’s rates should be submitted to the Statewide In-Plant Operations Manager by email for review and approval by September 1.
Electronic copies of the RDS and the RDS Instructions can be found on OSP’s website at: https://www.dgs.ca.gov/OSP/Resources/Page-Content/Office-of-State-Publishing-Resources-List-Folder/In-Plant-Operations.
- Annual Operations Reporting Requirement
State agencies that operate in-plants are required to provide an annual report detailing their printing operations to the State Printer. The agencies must use the State Printer’s In-Plant Printing Operations Report (IPPOR) to fulfill this requirement. The agency must complete each section of the IPPOR in accordance with the provisions of the IPPOR Instructions document.
The IPPOR must be certified by the agency’s Deputy Administrative Director (no designee signature will be accepted) by electronic signature on the Certification section of the IPPOR.
The IPPOR must be submitted electronically by the agency’s Deputy Administrative Director to the Statewide In-Plant Operations Manager at inplantopsmanager@dgs.ca.gov by February 1 each year. If the State Printer requires corrections or additional information, the corrected IPPOR must also be certified and submitted electronically by the Deputy Administrative Director to inplantopsmanager@dgs.ca.gov. Electronic copies of the IPPOR and the IPPOR Instructions can be found on OSP’s website at: https://www.dgs.ca.gov/OSP/Resources/Page-Content/Office-of-State-Publishing-Resources-List-Folder/In-Plant-Operations.
The provisions of SAM Section 2875 do not apply to the printing operations enabled under Penal Code Section 2807.