Understanding the GSA Schedules
Process
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1

UNDERSTANDING
GENERAL SERVICES ADMINISTRATION’S
FEDERAL SUPPLY SERVICE
MULTIPLE AWARD SCHEDULES PROCESS
Jerry H. Shadinger
(678) 757-2040
E-mail jerry.shadinger@edi.gatech.edu
web site www.gtpac.org
2

Georgia Tech Procurement
Assistance Center
 Providing marketing and technical assistance for Georgia-based businesses since 1985
3

Georgia Tech Procurement
Assistance Center

Funded by the Department of Defense and Georgia Tech/EDI

All services are free
4

Georgia Tech Procurement
Assistance Center

Our clients provide all types of products and services from produce to computers
5

Georgia Tech Procurement
Assistance Center

Locate buying activities

Locate contracting opportunities
 Understand a solicitation’s requirements

Locate subcontracting opportunities

Develop a marketing strategy
6

Georgia Tech Procurement
Assistance Center

Locate purchase history

Become aware of additional assistance

GTPAC seminars

Quality control and/or accounting procedures
7

CHARACTERISTICS FOR
SUCCESS

DEDICATION

DETERMINATION

PERSISTENCE
8

U. S. GENERAL SERVICES
ADMINISTRATION
GSA

Created in 1949 as the result of the Hoover
Commission study to be the buyer, builder, landlord and seller for Federal civilian agencies

Two major services

Public Buildings Service-builder & landlord

Federal Acquisition Service-IT, Supplies &
Transportation Services
9

U. S. GENERAL SERVICES
ADMINISTRATION
GSA

Industry’s largest customer for commercial goods and services

Purchases for civilian and military agencies

Stocks and distributes common use products

Operates two huge distribution centers

Over 7,000 high demand items available for shipment
10

U. S. GENERAL SERVICES
ADMINISTRATION
GSA

Awards Federal Supply Schedule Contracts

59 schedules covering various commodities and services

$36.7 billion in sales FY 2005

Over four million commercial off-the-shelf products and services available

Contracts 5 years with 3, 5 year renewal periods
11

Federal Supply Schedules Program
 Also referred to as Multiple Award
Schedules Program

Created in the 1950’s as a proposed solution to problem of acquiring commercial items
 Initial schedules covered products only
 Program expanded to cover commercial services
12

Federal Supply Schedules Program
 Contracts awarded to commercial firms using competitive procedures
 Contractors provide supplies and services at stated prices for given periods of time
 Delivery is within a stated geographic area such as the 48 contiguous states
 Resultant contracts are indefinite delivery, indefinite quantity (IDIQ)
13

Federal Supply Schedules Program
 Ordering offices can

Select the best value item that meets their needs at the lowest overall cost
(flexibility)

Place orders directly with the contractor

Issue orders much faster
14

Federal Supply Schedules
 Orders placed against a Multiple Award
Schedule (MAS), using the procedures in
FAR 8.4 are considered to be issued using full and open competition
15

Federal Supply Schedules
 Ordering offices need not

Seek further competition

Synopsize the requirement

Make a separate determination of fair and reasonable pricing or

Consider small business programs
(FAR, Part 19 regulations do not apply to orders placed against a FSS)
16

Federal Supply Schedules
 GSA has already determined the prices to be fair and reasonable
 The ordering office has concluded that their order represents the best value and
 Results in the lowest overall cost alternative
17

 Office and Scientific Equipment Center
 Information Technology Acquisition Center
 Services Acquisition Center
 The Hardware SuperStore
 General Products Center
 Management Services Center
 National Furniture Center
 Office Supplies and Paper Products
 Office of Vehicle Acquisition and Leasing
Services
18

Acquisition Centers
Management Services
Office Supplies &
Administrative Services
Hardware & Appliances
General Products
(National Disaster Support)
Furniture
IT Acquisition Center
Automotive Center
Office & Scientific
Services Acquisition

GSA Acquisition Centers






Auburn WA
Fort Worth, TX
Kansas City, MO
New York, NY
Philadelphia, PA
Washington, DC
Management Services
General Products
Hardware/Appliances
Office Supplies/Administrative Svcs.
Communications/Household Items
IT, Automotive Services, Travel
 Hines, IL
Office of Veterans Affairs (VA)
Medical, Group 65 delegated to VA by GSA
20


21

GSA Schedule Points to Ponder



Award

Based on discount from catalog/preestablished price list for products-(exception for most services)
Most Favored Customer

GSA ensures reasonable pricing by insisting that the government be treated as the vendor’s “most favored customer”
Commercial Sales Practices Format

Documents pricing to best customers
22

GSA Schedule Points to Ponder
 Past performance

D & B past performance survey ($125)

Offers for services must describe three completed projects

Federal Supply Schedule Pricelist brochure

Must prepare and distribute to potential customers
23

GSA Schedule Points to Ponder
 Commerciality-Products and Services

Must have an established catalog or list price if offering products (exception for services)

Must have been sold in sufficient quantities to the general public

GSA considers this in awarding a schedule contract
24

GSA Schedule Points to Ponder
 Pricing
 Pricing
 Pricing
 The most difficult part of the process
 Your ability to offer pricing (not necessarily prices) that satisfies GSA is a major key in obtaining a schedule contract
25

Catalog or Established Price List
 Offering a discount from a catalog or established price list is the most common method for pricing in all GSA schedules
 If you do not use this method for pricing consider converting to this method
 It makes obtaining a schedule contract easier and less cumbersome
26

GSA Schedule Points to Ponder

You are not competing against other firms-only against the solicitation’s “acceptability” evaluation criteria
27


13,079 small businesses

3,232 small woman-owned businesses

2,459 small disadvantaged businesses

582 veteran owned small businesses

4,787 large businesses

Other 592

Total 24,731
28

 Total Sales $36.7 billion
 Large $20.6 billion
 SB $9.6 billion
 WOSB $2.1 billion
 SDB $3.1 billion
 VOSB $627 million
29

Schedule Contract Awards
(FY 2005)
 Total Schedule Contract Awards 24,731

Average Awards Monthly 2,472
 IT Awards 6,488

IT Awards Monthly 540
MOBIS Awards 1,930

MOBIS Awards Monthly 160
30


Information Technology (IT) - General purpose commercial information technology equipment, software and services

Management, Organizational and Business
Improvement Services (MOBIS) consulting, facilitation, privatization, support services and etc.
31

(FY 2005)
IT Schedule Contract Holders

3,306 small

987 small disadvantaged [includes 8(a)]

788 women-owned

195 veteran owned small businesses

1,113 large businesses

99 others
32


125-130 or more new contractors added weekly

80-90 contract specialists evaluating offers
 Award process takes 3-6 months according to
GSA
 E-offers accepted since May 2004
33

IT Schedule Sales
(FY 2005)

Total

Large Business
$18.3 billion
$10.3 billion

Small Business

SDB
$4.5 billion
$2.0 billion

Small WOB $1.2 billion

VOSB $239 million
34

Information Technology (IT)
Schedule
 E-Government Act of 2002

Authorized state, local gov’ts and other entities to use GSA Schedule 70 (IT)

Effective May 7, 2003

So far, minimal use by state and local governments in GA
35

MOBIS Schedule Statistics
(FY 2005)
MOBIS Schedule contract holders
744 small

199 small disadvantaged [includes 8(a)]

368 women-owned

70 veteran owned small businesses

502 large businesses

47 Other
36

MOBIS Schedule Sales
(FY 2005)

Total

Large
$3.2 billion
$2.1 billion

Small

SDB

Small WOB
$497 million
$157 million
$241 million

VOSB $109 million

Other $57 million
37


Marketing, Media, and Public
Information Services

Professional Engineering Services

Financial and Business Solutions

Human Resources Management and
EEO Services
38

Other Service Schedules (cont’d)

Logistics Worldwide

Language Services

Environmental Services

Energy Management Services

Temporary Support Services
39

Schedules for Services
 Some may incorporate Service Contract
Act
 Wage Determinations applicable to nonprofessional services
 Contractors must pay specified rates, provide fringe benefits, etc.
40

Schedule 056
 Buildings and Building Materials/
Industrial Services and Supplies
 Awarded by General Products Center, Fort
Worth, TX
41

Schedule 073
 Food Service, Hospitality, Cleaning
Equipment and Supplies, Chemicals, and
Services
 Awarded by General Products Center, Fort
Worth, TX
42

Schedule 078
 Sports, Promotional, Outdoor, Recreational,
Trophies and Signs (SPORTS)
 Awarded by General Products Center, Fort
Worth, TX
43

Schedule 084
 Total Solutions for Law Enforcement,
Security, Facility Management Systems,
Fire, Rescue, Special Purpose Clothing,
Marine Craft and Emergency/Disaster
Response
 Awarded by General Products Center,
Fort Worth, TX
44

Schedule 736
 Temporary Administrative and Professional
Staffing Services
 Awarded by General Products Center, Fort
Worth, TX
45

Hardware SuperStore Schedule
 Awarded by Hardware Center in Kansas
City, MO
 Covers six commodities and includes services

Basic Solicitation

Six attachments covering commodities

Other attachments covering clauses, marketing and etc.
46

Hardware SuperStore Schedule
Descriptions
 Hardware Store Department
 One Stop Paint Shop Department
 Appliance Department
 Tool Department
 Lawn & Garden Department
 Woodworking & Metalworking Machinery
& Equipment Department
47

Hardware SuperStore Schedule
Descriptions (cont’d)
 Services covered include:

Grounds maintenance

Pest control

Tree trimming and removal

Snow removal
48

Hardware SuperStore Schedule
Descriptions (cont’d)
 Additional covered services:

Elevator maintenance & inspection

Fire alarm inspection

Marine/aero/vehicle/industrial painting
49

Consolidated Products and
Services Schedule

Umbrella schedule

Eliminates necessity to be on several schedules

Vendor permitted to place different items under a single schedule and be awarded one contract

Vendor only required to complete “one” basic solicitation
50

Consolidated Products and
Services Schedule
(cont’d)
 Very complex solicitation
 Extremely large (600 + pages)
 Contains info pertaining to all schedules
 Previously referred to as the Corporate
Schedule
51

Javits-Wagner-O’Day Act
(JWOD)
 Federal agencies required to purchase certain supplies and services from NIB/NISH workshops
 Applicable to schedule contract holders for certain products (office supplies, hardware items)

Must agree to become JWOD distributor

Must provide JWOD product when identical or essentially the same as commercial item ordered

May no longer be mandatory
52

GSA Customer Service/Marketing
Representatives

Primary targets are potential Federal agency customers

May provide assistance in marketing your schedule award

They check existing Schedule contractors to ensure they are paying the IFF
 Not normally trained to assist firms “get on schedule”
53

GSA Contracting Officer

Provides clarification and interpretation of contract terms and conditions

Final authority on all contractual issues
54

Online Shopping and Ordering www.gsa.gov
55

 On-line shopping network Federal agencies access to buy products/services from FSS Schedule Contract holders
 Access to over 1 million commercial products and services
 Vendors can browse by entering a zip code to view pricing of firms already on
Schedule
56

E-Buy
What is it?
 An online Request for Quotes (RFQ) tool which allows Federal buyers to send requests and receive quotes for products and services available under the GSA Multiple Award
Schedules (MAS) program.
 Contractors receive emails about requirements and submit quotes in return
57

www.ebuy.gsa.gov
58

First Step for Potential Offerors

Check the Schedules E Library to determine if there is a schedule for the product or service you want to furnish (www.gsa.gov)
 Some buyers tell vendors to “get on the schedule” when there is no schedule
59


Complete Schedule listings

Basic ordering guidelines

Search by contractor name

Search by schedule number

Search by key word(s)
 www.gsa.gov
60

Downloading a Solicitation
61

Locating and Downloading GSA
Schedule Solicitations
Easiest Way
 www.gsa.gov/schedule70solicitation
 www.gsa.gov/mobis
 www.gsa.gov/engineering
 www.gsa.gov/environmental
62

Locating and Downloading GSA
Schedule Solicitations
 www.gsa.gov (Next easiest)

Click-”Schedules” e-library (center of page )

Click-”Schedules e-Library (next page)

Enter search word or Schedule #
63

Locating and Downloading GSA
Schedule Solicitations (cont’d)
 Search Results- if schedule is found click on Schedule # on left side of page.
 Click on solicitation number

Takes you directly to solicitation
 Download or review as necessary
 This bypasses FedBizOpps entirely
64

DOWNLOADING A MAS,
SOLICITATION
 FedBizOpps www.eps.gov (hard way)
 Click-Search FBO Postings
 Click-Active, Archived, Synopses or Award

Synopses is automatic if you select archived or active
 Select appropriate FSC Class
 Select agency (GSA)
 Find block and enter solicitation number
65

66

67

68

69

70


Complete Schedule listings

Basic ordering guidelines

Search by contractor name

Search by Schedule number

Search by key word(s)
 www.gsa.gov
71

72

GETTING A GSA NUMBER
 GSA does not “give out” numbers

It is not the number a vendor receives when they are placed on a GSA bidder’s list
73

GETTING A GSA NUMBER
(Cont’d)
 A GSA number is a “contract number”

Contract numbers are obtained through:

A definite quantity contract award
(items stocked in distribution centers)

A GSA, FSS, MAS contract award
74

A Federal Supply Schedule
Contract is a…...

“License to hunt” for opportunities in the federal government

Synonymous with a “GSA number” or
“getting on GSA list ”

GETTING A GSA NUMBER
(Cont’d)

Consultants routinely charge from
$4K to $25K to assist or prepare a GSA
Schedule offer
(According to GSA, offers prepared by consultants do not get special priority treatment)
76

WHY FEDERAL AGENCIES USE
GSA SCHEDULES

Ease of use

Availability of commercial products/services

Orders can be placed immediately

Wide variety of product/service providers (MAS)

Agencies have a choice

Can usually get contractor of their choice
77

WHY FEDERAL AGENCIES USE
GSA SCHEDULES

Prices considered fair and reasonable

Low price may not be a factor in agency award of order

Award of order made to schedule vendor offering best value
“at the lowest overall cost” (GAO Decision B-290665)
78

WHY FEDERAL AGENCIES USE
GSA SCHEDULES

Saves time and effort of creating a solicitation

Solicitation process may take months of effort

Orders not required to be advertised in FedBizOpps
 Even so, some are and cause mass confusion

Agency has no contracting authority or activity

Not authorized to contract above certain dollar level

Use of schedule(s) mandated by higher authority
79

80

81

82

83

84

85

86

87

Advantages of Using GSA
Schedules
 Millions of high quality, state-of-the-art commercial products and services
 Volume discount pricing
 Direct delivery
 Same services afforded to all customers
88

Advantages of Using GSA
Schedules
 Convenience and pricing
 Shorter lead times
 Lower administrative costs
 Reduced inventories
89

WHY SOME FEDERAL AGENCIES
DON’T USE GSA SCHEDULES

Prices not considered the lowest obtainable

Low price not essential for GSA Schedule award

Some buying activities believe non-mandatory provision mandates competition
90

WHY SOME FEDERAL AGENCIES
DON’T USE GSA SCHEDULES


Use of GSA Schedules may reduce the level of a manager’s responsibility

Salary reduced as responsibilities decline
Government credit card used for many purchases less than $2,500 (micro-purchase)
 No competition required
 Purchases can be made locally

$17.4 billion in purchases during FY 2005
91

 AFWay is a web-based Air Force system for purchasing commercial off the shelf
(COTS) Information Technology (IT)
 Combines eBusiness/eCommerce processes which guide users through requirement approval, purchase, and asset tracking by combining these into one simplified process
92

AFWay Major Benefits
 Minimizes required actions and reduces manpower requirements
 Reduced Total Cost of Ownership (TCO) through mandatory use policy
 Better coordination of USAF IT purchasing power, yielding greater volume discounts
 Provides MAJCOM CIOs with maximum visibility into and control over COTS IT purchases
93

AFWay Major Benefits
 Meets congressional mandates (Clinger-
Cohen) for gaining insight into COTS IT purchases.
 Meets Chief of Staff Air Force requirement to drive processes to the AF Portal
 Improves tracking of COTS IT by starting tracking process at time of purchase
 Maximizes use of government credit card for
IT purchasing (other methods still possible)
94

 Need to have a GSA Schedule award to maximize participation in AFWay
95

WHY FIRMS WANT TO BE ON A
GSA SCHEDULE

Done homework and have a general understanding of the schedules program

No idea, just heard it was a good thing
 Don’t know
 Been told by boss to “do it”
96

WHY FIRMS WANT TO BE ON A
GSA SCHEDULE

Been told by a federal buyer that the only way they can do business with them is if they “get a
GSA number” (schedule award)
 Mistaken “illusion” of millions of dollars in government business

Firm wants another good marketing tool
97

PROS
GSA, MAS CONTRACTS
PROS AND CONS

Schedules cover commercial products and services

No specifications-commercial off the shelf

Open to any vendor
 No “maximum order limitation”
98

PROS
GSA, MAS CONTRACTS
PROS AND CONS

Solicitations open continuously

Five year contract award with 3 five year renewal options

Lowest price not factor in GSA contract award

GSA wants most favorable customer price
 Some overzealous CO’s forget basis for award
99

PROS
GSA, MAS CONTRACTS
PROS AND CONS

Contracts easy for agencies to use

Orders placed directly with contractor

Payment made to contractor

Schedule usage counts toward attainment of agency preference goals

Another good marketing tool

Small businesses receive about 80% of all contract awards
100

GSA, MAS CONTRACTS
PROS AND CONS
CONS

No guarantee of business

Contracts are indefinite quantity

Contracts not mandatory

Most schedules cannot be used by state/local gov’ts

Exceptions: IT schedule, schedules for firefighting/ rescue, law enforcement equipment
101

GSA, MAS CONTRACTS
PROS AND CONS
CONS

Contractor responsible for all marketing

Must develop and print a FSS pricelist brochure
 Hard copy and electronic version

Must distribute to Federal agencies
 Responsible for all printing/distribution costs
102

CONS
GSA, MAS CONTRACTS
PROS AND CONS

Past performance survey

Conducted by Dunn and Bradstreet

Costs offeror $125
 Mandatory for IT and other schedules

Additional information required in schedule solicitations for “services”
103

GSA, MAS CONTRACTS
PROS AND CONS
CONS

Pre-established pricelist/catalog price

Used as basis for contract negotiations/award

Vendors must show current and past customers sales based on discounts from pricelist/catalog (exception for services)

Many vendors do not have established pricelists

Industrial Funding Fee

Must rebate to GSA .75% of all contract sales

Offerors must include fee in award price
104

CONS
GSA, MAS CONTRACTS
PROS AND CONS

Vendors must prepare and submit a Federal
Supply Schedule Pricelist “brochure”

Normally due after notice of award received

Due with Group 70, IT offers

Time consuming

Expensive
105

GSA, MAS CONTRACTS
PROS AND CONS
CONS

Period for acceptance of offers (IT)

180 calendar days from date of offer

First contact from GSA may be 150 + days

Other schedules (VA) have even longer periods

240 to 365 days
 Heavy workload
 No sense of urgency
106

GSA, MAS CONTRACTS
PROS AND CONS
CONS

Contracts difficult to win

Paperwork is extensive

Process is time consuming

Cancelled with 30 day notice by either party

Large businesses receive about 70% of all orders
107

GSA, MAS Solicitation Process

You can’t always believe what you are told
108

ABOUT GSA, MAS,
SOLICITATIONS

Boiler plate/standard clauses – comprise 90% of solicitation

Some poorly written – jump from one point to something entirely different

Confusing terms

Federal Supply Schedule Pricelist (brochure)

Commercial catalog/price list
109

ABOUT GSA, MAS
SOLICITATIONS

All schedule solicitations require:

Submission of a discounted catalog, price list or other information to verify pricing

Submission of a completed Commercial
Sales Practice Format identifying offeror’s best customers and prices

Preparation & distribution of a Federal
Supply Schedule Pricelist brochure

Past performance information
110

ABOUT GSA, MAS,
SOLICITATIONS

Special Item Numbers (SINs) differentiate products or services covered

Vendors can offer products/services that fall under the special item number(s) they choose

Some schedule solicitations have a special item number for “new items”
111

ABOUT GSA, MAS
SOLICITATIONS
 No preference for small business in most instances

Exceptions are the temporary help schedule and a few SINs in other solicitations
112

ABOUT GSA, MAS
SOLICITATIONS
Guaranteed Minimum, $2,500
 Applies to contractors that receive orders less than $2,500 during term of contract
 Government will pay difference between dollar value of orders received and $2,500
113

ABOUT GSA, MAS
SOLICITATIONS
Guaranteed Minimum, $2,500
 Contingent upon timely submission of
Contractor’s Report of Sales (GSA Form
72A)
 Only applies if contract expires or cancellation initiated by the Government
 Not applicable if contract terminated for cause by the Government
114

115

ABOUT GSA, MAS
SOLICITATIONS

Solicitations are open continuously and have no closing date

Offers can be made at anytime

Solicitations are “refreshed” when changes are necessary

It is extremely important to submit your offer on the most recently refreshed solicitation

Use the solicitation number to check FedBizOpps to ensure you are submitting the most current solicitation
116

SPECIAL CLAUSES AND
REQUIREMENTS
Vets Employment Reporting Program (PL 105-339)
 Applicable to most procurement actions exceeding
$25,000 including “schedules”
 Must obtain company number from Vets-100 staff
(703-461-2460)
 Report covers preceding fiscal year-due 9/30
 Detailed instructions at http://nvti.cudenver.edu/vets/instructions.htm
117

SPECIAL CLAUSES AND
REQUIREMENTS

Maximum Order Limitation
 Specified amount for “price reduction" purposes only

No specific limit

Extremely important
118

119

120

SPECIAL CLAUSES AND
REQUIREMENTS

Price Reduction Clause

May lower price to any authorized GSA schedule user at any time

No penalty

Agencies encouraged to seek deeper discounts/lower labor rates
121

SPECIAL CLAUSES AND
REQUIREMENTS

Price Reduction Clause

May not lower price to commercial customers after GSA and contractor agree on discount/ price relationship (contract award i.e. 10%)

Penalty if contractor offers lower price and fails to offer GSA same pricing
 Exception is firm fixed price order with definite delivery exceeding MOL
122

SPECIAL CLAUSES AND
REQUIREMENTS

Discount/price relationship must be maintained throughout term of contract
123

124

SPECIAL CLAUSES AND
REQUIREMENTS
Price Reduction Clause

Locks in prices for term of contract

Contractors penalized monetarily for violation(s)

Many small businesses hurt in past
125

Price Reduction Penalty
 Federal Acquisition Report, January 2002
“Gateway Computer: Paid back $9 million for failing to adhere to the government price reductions under a multiple award schedule contract for computers and components.”
126

127

SPECIAL CLAUSES AND
REQUIREMENTS

Industrial Funding Fee (IFF)

Contractors rebate to GSA .75% of all contract orders (quarterly)

Funds used to compensate GSA contracting officials

Offerors must include IFF in their prices
 http://72a.gsa.gov for current IFF
128

129



Form 72-A
Submitted quarterly
130

SPECIAL CLAUSES AND
REQUIREMENTS
Contractor’s Report of Sales (GSA Form 72A)
 Covers dollar value of contract sales including
IFF
 Due quarterly, 30 days following completion of reporting period

Reported to the Vendor Reports Center (VSC)

Must register with VSC at (703) 305-6235
 Zero reports required
131

132

SPECIAL CLAUSES AND
REQUIREMENTS
Economic Price Adjustment (differing versions)
 Contractors may submit price decreases at any time
 Contractors may request price increases usually on or after first 12 months of contract period

May be result of price list modification

No more than 3 increases each 12 months

Must follow instructions in contract
133

134

SPECIAL CLAUSES AND
REQUIREMENTS

Preparation of FSS Pricelist (brochure)

Paper and electronic versions required

Not normally due until after notice of award received

Due with offer for IT solicitations

Contractor responsible for all printing and distribution costs!!!
135

SPECIAL CLAUSES AND
REQUIREMENTS

FSS Pricelist (brochure) must be approved by contracting officer

May be lengthy-30 pages or more

Incorrect information may require reprint and redistribution
136

SPECIAL CLAUSES AND
REQUIREMENTS

FSS Pricelist

Electronic version for GSA Advantage due after instructions from contracting officer received

Ensure this is accomplished as soon as possible for maximum exposure
137

SPECIAL CLAUSES AND
REQUIREMENTS
Format for FSS Pricelist Brochure
 Cover page
 FSC group


FSC class(s)
Special Item Numbers (SIN’s) awarded
 Contract number


Contract period
Contractor’s contact information
138

SPECIAL CLAUSES AND
REQUIREMENTS
Format for FSS Pricelist Brochure
 Contract price or discount(s)
 Maximum order
 Geographic coverage
 Commercial delivery terms
 Expedited delivery
 Point(s) of production
 Prompt payment terms
139

SPECIAL CLAUSES AND
REQUIREMENTS
Format for FSS Pricelist Brochure
 Foreign items
 F.O.B. points
 Ordering and payment addresses
 Warranty provisions
 Export packing charges
 Terms and conditions applicable to certain SIN’s
140

SPECIAL CLAUSES AND
REQUIREMENTS
Format for FSS Pricelist Brochure
 List of service and distribution points
 List of participating dealers (if applicable)
 Applicable terms of rental, training, PM, etc.
 Identification of environmentally preferred, energy efficient products and etc.
141

SPECIAL CLAUSES AND
REQUIREMENTS
Format for FSS Pricelist Brochure
Sample FSS Price List Brochures available on internet by using web browser and searching
“GSA Schedules”
Due after notification of award except for IT
142

SPECIAL CLAUSES AND
REQUIREMENTS

Address list for distribution of FSS Pricelist brochure

May use your own list of customers (IT)

May request list from GSA-labels, diskette, email addresses (if authorized)

List may automatically be provided by GSA
 May contain 3000 or more addressees
143

SPECIAL CLAUSES AND
REQUIREMENTS

May substitute returnable, self-addressed postage paid envelope or post card indicating availability of brochure

Electronic (email) distribution may be authorized in some schedules
144

145

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Break Over
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173

THINGS TO DO BEFORE TAKING THE
“SCHEDULES” PLUNGE

Check schedules library to ensure there is a schedule for the product or service you want to furnish (www.gsa.gov)
174

THINGS TO DO BEFORE TAKING THE
“SCHEDULES” PLUNGE

Explore the possibility of marketing in your area for an existing schedule contractor

If a dealer/distributor, contact manufacturer to determine if they will allow you to sell using their GSA Schedule contract

Much easier than obtaining a GSA contract
175

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE



Consider the pros and cons of GSA schedule contracts
Be aware that some agencies choose not to use GSA
Schedules
Understand that most schedule solicitations are unrestricted

Only one schedule is totally set aside for small business

Several have special items numbers set-aside for small business
176

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE
 Determine the most effective means for selling items costing $150 or less
 Choices

GSA Schedule contract award

Use of Micro-Purchase procedures
177

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE
 Micro-Purchase procedure advantages

No competition required

Purchases normally made with a credit card

Easiest way to do business with government

Micro-Purchase procedure disadvantages

$2,500 maximum per order

Must accept credit card

No guarantee of any business
178

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE
 GSA Federal Supply Schedule advantages

Some agencies will only do business with firms having GSA Schedule contracts

No maximum order limitation

A good marketing tool
179

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE
 GSA Federal Supply Schedule disadvantages
 Process for obtaining a contract time consuming, expensive and lengthy
 False expectation that schedule award will lead to unlimited government business

No guarantee of any business
180

THINGS TO DO BEFORE TAKING
THE “SCHEDULES” PLUNGE
 Success/Failure

GSA Schedule contract – Marketing effort

Micro-Purchase procedure – Marketing effort
 Conclusion

Government buyers normally take the easiest method

Micro-Purchase procedures probably best choice
181

What GSA Expects
 Offeror’s most favorable customer price

Offerors must provide proof
 Completed Commercial Sales Practices
Format
 Other information to verify pricing

If not most favorable customer price

Offerors must explain
182

GSA, MAS Proposal Methods

Taking the “plunge”
 Submitting your offer
 Offers for services normally require technical and price proposals
183

GSA, MAS Proposal
 Administrative Proposal (entire solicitation completed)
 Technical Proposal
 Price Proposal

Original and one copy required of each
 May be submitted electronically for some solicitations
184

185

Executive Summary
(MOBIS and other services)
 Narrative description of experience
 Explain how you intend to accomplish tasks
 Include plan to demonstrate accounting controls, quality measures and ability to acquire personnel proposed for contract and individual task orders
186

Technical Proposal

Information required

Understanding of requirements

Professional staff

Corporate experience

Past performance
187

al Proposal Technic
188

Evaluation Criteria
189

Evaluation Criteria (cont’d)
190

Dun & Bradstreet Past
Performance Evaluation Report

List 20 past or present customers

Check with the acquisition center if limited corporate experience
BEFORE submitting offer

$125 fee payable to D & B
191

Technical Evaluation
Past Performance

Dunn and Bradstreet (D&B) past performance evaluation

List your best customers in order and call them
 Score less than 90 may be detrimental for IT

Include a copy of evaluation forms sent to D&B with offer
192

Technical Evaluation (cont’d)
Past Performance – D&B

Form requests 20 customers for evaluation
 GSA will accept less, (prefer at least 6)

D&B must have responses from at least 3 for evaluation

Call them all
193

194

Technical Evaluation (cont’d)
Past Performance

D&B for IT, AIMS, MOBIS & Environmental

Must be corporate customers

Past performance must have been under name on offer

Offerors with no corporate experience will not be able to comply
195

196

197

198

199

Technical Evaluation (cont’d)

If no relevant corporate experience

Dun and Bradstreet (D&B) may not be required for some service schedules

Mandatory for IT, AIMS, Environmental and MOBIS
200

Technical Evaluation (cont’d)

Offeror may provide at least 10 work related references for current or proposed staff

References must demonstrate past experience in similar types of work to that being offered

Must be sufficient to allow GSA to conduct a
Past Performance Evaluation
201

Technical Proposal (cont’d)
202

Technical Evaluation (cont’d)
Document performance over past 3 years

Describe 3 projects similar to effort being offered

Project/contract name/description, dollar amount, contract duration

Point(s) of contact and telephone number(s)

Two must have been completed within past 2 years

All 3 must have been completed within past 3 years
203

Price Proposal
 Separate from Tech. & Admin. Proposals
 Contains all info relative to pricing
 Pricing to be provided using format in
“Schedule of Items” in solicitation
204

Price Proposal
205

206

207

208

Price Proposal (cont’d)
 Contains sufficient info for CO to determine items are fair & reasonable
 Pricing furnished in sufficient detail to enable CO to perform price analysis
209

Price Proposal (cont’d)

Pricing data to include

Commercial Sales Practices Format


Indicate if prices offered GSA are as good or better as those offered to any customer
Show discount from catalog/list price or hourly labor rate(s) offered best customers
 Commercial Catalog/Price List or other supporting data required
210

Professional Compensation Plan
(Services)
 Offerors must submit total compensation plan for professional employees who will work under the contract

Propose salaries

Proposed fringe benfits

Offer’s ability to provide uninterrupted high-quality work
211

Uncompensated Overtime for
Professional Employees (Services)
 All hours including those in excess of 40 hours worked by professionals must be accounted for

Offeror’s must identify these hours in their proposals by labor category and include a a copy of its policy addressing uncompensated OT with their proposal
212

Commercial Catalog/Price List

Must provide two copies with offer (if applicable)

Must be current

Specially prepared catalog/price list acceptable if verbatim extract (verification required)
213

Commercial Catalog/Price List
(cont’d)

Price lists created at time of submission of offer not likely to work

Not pre-established

Probably impossible to demonstrate that past sales were based on discount from catalog/price list

Exceptions!!!
214

Commercial Catalog/Price List
(cont’d)

Offeror may be required to submit invoices to substantiate that catalog/price list was used as basis for sales
215

Commercial catalog/price list
(cont’d)

Indicate “Special Item Number” (SIN) next to each item in price list

Must “line out or initial” items not offered
216

217

Commercial catalog/price list
(cont’d)

Clauses used in solicitations for “Supplies” are also used in solicitations for “Services”
 The previous clause is in all GSA Schedule solicitations even though it may have no bearing on offers for services
218

Commercial catalog/price list
(cont’d)
 For schedules for services where catalog prices are not present, offerors may provide documentation other than a catalog price to support prices offered to GSA

Quote sheets, market prices, business memos

Cost information to show how offeror arrived at proposed price, e.g. hourly rate + overhead +
G&A + fee
219

Price Lists

Acceptable forms of price lists

Published

Printed

Computer generated

Internal

Dealers may be required to submit a copy of their manufacturer’s pricelist(s)
220

Commercial Sales Practices
Format

One of the most important parts of the solicitation

Used by Contracting Officer (CO) to verify pricing and demonstrate commerciality

Versions differ
221

222

Commercial Sales Practices
Format (cont’d)

Show dollar value of sales to general public during past 12 months
223

224

Commercial Sales Practices
Format (cont’d)

Show projected sales for contract term ???

Projected annual sales X-20 used as estimate for contract value
225

Commercial Sales Practices
Format (cont’d)
Projected annual sales
 Must be at least $25,000 annually
 Be conservative

Offeror may be deemed non-responsible if firm does not have financial capacity to handle contract
 Referred to SBA for a Contracting Officer
Certificate (COC)
226

227

228

Commercial Sales Practices
Format (cont’d)

Offeror must state whether discounts/ concessions are equal to or better than best price to any customer acquiring same items regardless of quantity (Yes__No__)
229

230

Commercial Sales Practices
Format (cont’d)
 If YES , offeror must complete chart showing customer(s) receiving offeror’s best price
(discount or hourly rate), quantity volume discount, FOB terms and concessions provided to your best customers
 Demonstrates commerciality
231

232

Commercial Sales Practices
Format (cont’d)
 If NO , offeror completes chart for all customers receiving a price (discount and concessions) equal to or better than price offered to government.

Offeror required to submit supporting documentation
233

234

235

236

237

238

Commercial Sales Practices
Format (cont’d)
 Offerors submitting more than one price list for same SIN when discounts will be different
 Recommend a separate CSPF for each price list

To show different discounts
 To identify “Best Customers” if different
239

Commercial Sales Practices
Format (cont’d)
 CSPF verifies that

Product/service has been sold to general public/government

Has an established catalog/list price or hourly rate

If offeror cannot prove significant sales
“HUGE PROBLEM”
240

Commercial Sales Practices
Format (cont’d)
 Dealers/resellers for products w/out significant sales when contract sales are expected to exceed $500K
 Or when CSPF data does not satisfy CO

Requires submission of manufacturer’s information for items 1-4 on CSPF
PLUS
241

Commercial Sales Practices
Format (cont’d)

Manufacturer’s Name (each)

Manufacturer’s Part Numbers

Dealer’s/Reseller’s Part Numbers
 Product Descriptions

Manufacturer’s Price List(s)

Dealer’s/Reseller’s percentage discount from Manufacturers list or net prices
242

Commercial Sales Practices
Format (cont’d)
243

Commercial Sales Practices
Format (cont’d)
 Offeror must obtain written authorization from EACH manufacturer for GSA to look at sales records

Must advise manufacturer of this requirement

Manufacturer information may be provided directly to the government .
244

Commercial Sales Practices
Format (cont’d)
245

Price Proposal (cont’d)
OR
246

Price Proposal (cont’d)

For pricing for services based on market prices where catalog prices are not available, offeror must provide either:

Information related to prices:

Market prices

Internal business memos

Quote sheets, etc., documenting sales of similar items (commercial or government)
247

Price Proposal (cont’d)
OR
248

Price Proposal (cont’d)

Information to show how offeror arrived at proposed price(s)

Hourly rate + Overhead + G&A +Fee for each labor category

Loaded rates
249

Price Proposal (cont’d)
250

SPECIAL REQUIREMENTS FOR
IT PROFESSIONAL SERVICES
Schedule 70

Information Technology Professional Services

Most sought after (SIN 132-51)

Most difficult schedule SIN to obtain

Requirements more stringent than other SINs

Offerors must provide pricing information not found in basic solicitation
251

SPECIAL REQUIREMENTS FOR
IT PROFESSIONAL SERVICES
Document IT performance over past 3 years

Describe 3 projects similar to effort being offered

Project/contract name/description, dollar amount, contract duration

Point(s) of contact and telephone number(s)

Two must have been completed within past 2 years

All 3 must have been completed within past 3 years

Required by Clause F-5
252

SPECIAL REQUIREMENTS FOR
IT PROFESSIONAL SERVICES
(cont’d)

Complete an IT Services Best Rates, Price and
Skill/Experience Matrix

Not part of the original solicitation

Applicable to IT Services only

Show labor categories and lowest rates charged under 3 “identified” IT service contracts performed during past 3 years
253

254

255

SPECIAL REQUIREMENTS FOR
IT PROFESSIONAL SERVICES
(cont’d)
Matrix (cont’d)

Differing versions of matrices

Selected version appears to be matter of
CO’s individual preference

Both disallow unsupported labor categories

One very specifically

Another version requires more information
256

257

258

SPECIAL REQUIREMENTS FOR
IT PROFESSIONAL ERVICES
(cont’d)
Matrix (cont’d)

Offeror’s matrix must support each labor category proposed in GSA offer

Unsupported proposed labor categories will not be considered for award

GSA may require copies of invoices
259

SPECIAL REQUIREMENTS FOR IT
PROFESSIONAL SERVICES
(cont’d)
Matrix (cont’d)

Show commercial rates

Show proposed GSA Schedule rates

With and without Industrial Funding Fee

Required by Clause F.5 in IT solicitation
260

261

262

263

SPECIAL REQUIREMENTS FOR IT
PROFESSIONAL SERVICES
(cont’d)
Organizational structure (management)

History and overview of the organization

Organizational elements within the company participating in providing IT services

Include a chart

Financial statement

How elaborate???

Annual report
264

Proposal Submission and Pricing
265

AT A MINIMUM, A VENDOR
MUST PROVIDE
 Cover letter
 A completed copy of the entire solicitation package including SF 1449
266

267

268

AT A MINIMUM, A VENDOR
MUST PROVIDE (cont’d)
 The catalog or pre-established price list from which discounts are to be offered or
 Verification of proposed hourly/daily labor rates

The “Federal Supply Schedule Pricelist” brochure

Due after award notification except IT
269

AT A MINIMUM, A VENDOR MUST
PROVIDE (cont’d)

A completed Commercial Sales Practices Format to demonstrate “commerciality”

Documents that previous sales were based on discounts from a pre-established price list or catalog or hourly/daily labor rates

Verifies concessions, quantity discounts and delivery terms
270

IF REQUIRED,
A VENDOR MUST PROVIDE
 Technical and Price Proposals

For solicitations covering services
 Letter(s) of supply support from manufacturer(s) or
 Evidence that offeror will have an uninterrupted source of supply (mandatory in some schedules)
 Documentation supporting difference between discount/price offered to Government and the best discount/price available if not offering best price
271

IF REQUIRED,
A VENDOR MUST PROVIDE
(cont’d)
 Copy of past performance survey submitted to
Dunn and Bradstreet
 A completed solicitation checklist (IT, MOBIS and others)
 Subcontracting plan if large business
272

GSA Objective in Awarding
MAS Contracts

Obtain offeror’s best price by:

Determining price reasonableness

Performing a price analysis

Comparing terms and condition of MAS solicitation with terms and conditions of customer agreements
 Determining if offeror’s documentation justifies smaller discount offered to government than to contractor’s best customer
273

What to Do Now
 Be patient

You may be in a hurry but GSA is not

GSA has numerous offers from all over the country to evaluate
 GSA normally has 180 days to consider making an award
274

What to Do Now
 Check status of offer

Wait about 60 days if nothing from GSA
 Don’t be a pain in GSA’s neck

Timing is your decision
 Solicitation lost recently after repeated calls for status?????
275

What Do I Do Now
 Political influence
 If you’ve got it, use it ……wisely

Could backfire
 When to use it

Long delay in solicitation evaluation process

Lost solicitation

Feel you are being treated unfairly
 May not make a difference
276

Contract Award

Contracting officer will provide:

A copy of the contract

Copy of FSS Pricelist brochure accepted by government

List of addresses to send price list brochure
(may be optional)

Instructions for submitting electronic FSS
Pricelist brochure for GSA Advantage
277

Contract Modification
(if awarded a contract)

Types of modifications
 Additional items/additional SIN’s

Quick Mod coming to expedite process

Deletions-contractor must explain
278

279

Economic Price Adjustment
 Contractors may submit price decreases any time
 Contractors may request price increases

Anytime for some solicitations or

On or after first 12 months of contract period

May be result of price list modification

No more than 3 increases each 12 months

Must follow instructions in contract
280

Contract Renewal Option
 Required to certify size status at each renewal option
 If now large, must develop and submit subcontracting plan if dollar threshold met
 If offeror now large and solicitation/SIN was a SBSA, no renewal
281

Central Contractor Registration
(CCR)
 Cannot receive orders over $2,500 from
DoD and other agencies unless registered
 Register at www.ccr.gov
 Receive Trading Partner Identification
Number (TPIN)
 Now applicable to most Federal agencies
282


Under $2,500

Order from any Schedule contractor

Over $2,500

Obligated to review
GSA Advantage!™ or three Schedule contractors’ pricelists

Prepare and transmit a Request for
Quote (RFQ) and Statement of Work
(SOW) for services
283


Over $2,500 (cont’d)
 Select the “Best Value” at the lowest overall cost

Orders over the maximum order threshold

Agencies review additional price lists

Seek price reductions from contractors
284

Blanket Purchase Agreement
(BPA)
 Establishes procedures for placing orders between ordering agency and contractor for repetitive needs

Issued by ordering activity

Commonly used in GSA Schedules
 Eliminates need to secure three quotes for individual orders expected to be issued during time period designated in BPA
285

 Help in responding to a requirement
 Each team member must have own
Schedule contract
286

Where do I go from here?
How do I get business?
287

288

Your Next Challenge
 Contact potential authorized users you know personally and advise them of your schedule award
 Contact the GSA, Federal Supply Service
Marketing group at (404) 331-3026 and request their assistance in advising agencies about your award
289

GSA Vendor Support Center
 WWW.GSA.GOV
 C-Vendor Support Center in text
 C-”The Steps to Success, How to be a
Successful Contractor”

Provides excellent marketing advice
290

Use E-Buy as a Marketing Tool www.ebuy.gsa.gov
291


Permits ordering activities to compete orders electronically by SIN

Ordering activities can designate which contractors are to be solicited
292


All other contractors with awards under the same SIN who have submitted their
FSS electronic price lists to GSA
Advantage may view agency notices, make offers and be considered for award
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
Schedule contractors can:

Review EBuy on a daily basis for contracting opportunities

Build a data base of ordering activities who need this type service

Must be on GSA Advantage in order to participate
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Before You Leave
 Indicate your presence with a check mark on the sign in sheet
 Complete the seminar evaluation form
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QUESTIONS
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