GSA SCHEDULE CONTRACTING

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1 GV EXPO 2009 Thursday, GSA SCHEDULE CONTRACTING Andrew Mohr, Esq. C. Kelly Kroll, Esq. Cohen Mohr LLP Washington, D.C.

2 TOPICS COVERED 1. GSA Schedule Contracts Basics 2. Developments and Trends in GSA Schedule Contracting 3. GSA Schedule Contracts Compliance 2

3 BASICS: What is a GSA Schedule? Open Ended Indefinite Delivery, Indefinite Quantity Contracts. A Schedule lists a contractor's goods and services available for sale at a pre-negotiated price to authorized customers. A hunting license, not a guarantee. 3

4 BASICS: Why Get a GSA Schedule? It helps to have a contract vehicle in place. It's now easier to sell under a Schedule. GSA Schedules are the primary contract vehicle. 4

5 Billions BASICS: Federal Procurement Spending $550 $525 $500 $475 $450 $425 $400 $375 $350 $325 $300 $275 $250 $225 $200 FY-00 FY-01 FY-02 FY-03 FY-04 FY-05 FY-06 FY-07 FY-08 Source: USAspending.gov 5

6 BASICS: FY 92 to FY 08 GSA Schedule Procurements increased from $4 billion to $36.6 billion. 6

7 BASICS: Group 58 I Audio/Video Schedule Recording/Reproducing Equipment Television Cameras, Color or Monochrome Audio Equipment Closed Circuit and other Surveillance Equipment Telecommunications Equipment Ancillary Services Video Production Services 7

8 BASICS: GROUP 84 TOTAL SOLUTIONS FOR LAW ENFORCEMENT Security Systems Integration and Design Services Law Enforcement and Security Training Alarm and Signal Systems Professional Security/Facility Management Services and Guard Services Surveillance Systems Boats 8

9 BASICS: Group 70 IT Goods and Services Computer, Peripheral and Networking Hardware Operating System, Utility and Application Software Maintenance of Hardware and Software Leasing/Rental of Hardware and Software Training Professional IT Services Internet Services Disaster Recovery Services Backup and Security Services Data Conversion Services Network Management Services Wireless Services E-Commerce Services Access Certificates for Electronic Services (ACES) Program Public Key Infrastructure (PKI) Shared Service Provider (SSP) Program HSPD-12 Product and Service Components 9

10 Billions Billions Millions BASICS: Sales Under the Group 58 I, 84, and 70 Schedules Schedule 58 I $250 $200 $150 $18 Schedule 70 $100 $17 $50 $0 FY-03 FY-04 FY-05 FY-06 FY-07 FY-08 Schedule 84 $16 $15 $3.0 $2.5 $14 FY-03 FY-04 FY-05 FY-06 FY-07 FY-08 $2.0 $1.5 $1.0 FY-04 FY-05 FY-06 FY-07 FY

11 BASICS: How to Apply for a GSA Schedule Determine appropriate GSA Schedule Call GSA or go to Submit proposal Negotiate terms, conditions, pricing, Basis of Award and price reduction triggers. Award of contract 11

12 TRENDS: Making the most of your GSA Schedule Cooperative Purchasing Recently Expanded! American Recovery and Reinvestment Act Disaster Recovery Purchasing Offer services as well as goods Multiple Schedules Teaming Arrangements BPAs Use dealers MAS Express E-tools Federal Advisory Panel 12

13 Millions TRENDS: Cooperative Purchasing (GSA 70 & 84 Schedules Only) Allows States and Local Governments to place orders against GSA Schedule contracts. $600 $500 $400 $300 $200 $100 $0 FY-04 FY-05 FY-06 FY-07 FY

14 TRENDS: Cooperative Purchasing (GSA 70 & 84 Schedules Only) 50 States 3,139 counties 19,365 incorporated municipalities 30,386 minor subdivisions 3,200 public housing authorities 14,178 school districts 1,625 public educational institutions 550 Indian tribal governments 14

15 TRENDS: American Recovery and Reinvestment Act $4.5 billion: Federal building conversion to high-performance green spaces $750 million: Federal building and courthouse renovations $300 million: Fuel-efficient vehicles $300 million: Land ports of entry renovation and construction 15

16 TRENDS: Disaster Recovery Purchasing Allows States and Local Governments to place orders against ANY GSA Schedule contract (not just 70 or 84) in order to facilitate recovery from major disasters, terrorism, or nuclear, biological, chemical, or radiological attacks. Preparation before and recovery after Hurricane Ike qualified for Disaster Recovery Purchasing. 16

17 TRENDS: Services Services are increasingly important: Install and repair equipment Customize and enhance equipment Design and implementation Interconnect equipment, software and networks Network and system support If you already sell goods consider branching out and provide a total solution!! 17

18 TRENDS: Multiple Schedules Having more than one Schedule is increasingly important. If you already have one schedule it is relatively easy enough to get another one!! Consider the Consolidated Schedule 18

19 TRENDS: GSA Schedule Teaming Agreements Two or more GSA Schedule contractors offering goods and/or services to an agency customer. Joint Venture or Prime Sub Relationship. The goods and/or services offered must be on the GSA Schedule of at least one of the team members. 19

20 TRENDS: Blanket Purchase Agreements BPA - a mini Schedule with an agency Permits agency-wide procurements Form of BPA now included in most GSA Schedule solicitations GSA Schedule terms, including IFF, still apply 20

21 TRENDS: Dealers Appointed by GSA Schedule holder Allows additional channels Participating Dealers Non-participating Dealers (Sales Reps) 21

22 TRENDS: MAS Express Program AKA GSA Schedules In 30 Days Limited to certain products and services Limited to 500 products/labor categories In practice is very limited in who can actually submit an offer under this system. 22

23 TRENDS: Use Federal Marketing Tools GSA Advantage! e-buy Schedules e-library Dynamic Small Business Search 23

24 TRENDS: MAS Federal Advisory Panel Rumored Recommendations: Remove the price reduction clause Require a rule of three for services contracts competition at the task order level Explore the addition of cost type special item numbers to the schedule program for services Reduce the current 20-year maximum. 24

25 COMPLIANCE: In General What It Means To Be Compliant: being aware of your obligations under the contract understanding the requirements of those obligations designating one or more individuals to be responsible for those obligations monitoring performance of those obligations establishing systems necessary to track obligations 25

26 COMPLIANCE: Industrial Funding Fee Paying the Industrial Funding Fee: A vendor must report quarterly on the vendor's sales revenue (even if revenue is zero!) under the GSA Schedule contract and submit the appropriate Industrial Funding Fee. 26

27 COMPLIANCE: Trade Agreements Act Country of Origin: Products and services from non-designated countries can not be sold under the Schedule. GSA is starting to crack down on this. Need to continuously monitor this. Newest Additions: Singapore and Taiwan 27

28 COMPLIANCE: GSA Advantage! Maintaining a GSA Pricelist: A vendor must develop and maintain a GSA Schedule pricelist in electronic form on the GSA Advantage! website and in hard copy. Any changes to the pricelist must first be submitted and approved by the vendor's contracting officer. 28

29 COMPLIANCE: Modifications Central Intake Desk: Expected to expedite the modification process. Accepting Online Modifications: Modifications to specific GSA Schedules are posted online at the Vendor Support Center at

30 COMPLIANCE: Small Business Subcontracting Small Business Subcontracting: Large businesses are required to develop a Small Business Subcontracting Plan. Under the plan, a company must use good faith efforts to subcontract with various types of subcontractors, and report on the actual percentage of contract dollars that were allocated to these subcontractors. 30

31 COMPLIANCE: Central Contractor Registration CCR Database: Keep your company s posting current and accurate at This listing ties directly into your GSA Schedule listing on Schedules e-library and ORCA. It is also a valuable tool for finding a business/teaming partner or subcontractor to help you meet subcontracting goals. 31

32 COMPLIANCE: ORCA ORCA (Online Representations and Certifications Application): Keep your company s posting current and accurate at This listing ties directly into your profile on CCR. It is very important to make sure the information here is accurate and applies to the applicable solicitation. ORCA also applies to other federal contracts. 32

33 COMPLIANCE: Flow Down Clauses Subcontract Flow Downs: There are various FAR clauses in your GSA Schedule contract that must be incorporated or "flowed down" to your subcontracts if the subcontracts exceed certain monetary thresholds. 33

34 COMPLIANCE: Affirmative Action Plan Affirmative Action Plans: Vendors of a certain size are required to develop and implement affirmative action programs for each establishment. 34

35 COMPLIANCE: E-Verify Pursuant to Executive Order 12989, federal contractors and subcontractors are required to use E-Verify as a condition of contract award, where applicable. 35

36 COMPLIANCE: Service Contract Act GSA has revised most solicitations to make it clear that the Service Contract Act applies. Wage determinations to be made at the task order level. 36

37 RESOURCES General Services Administration U.S. Small Business Administration USA Spending Federal Acquisition Regulations Cohen Mohr GSA Resource Center

38 COHEN MOHR LLP Legal Services GSA Schedule Contracts Security Clearances Teaming Agreements and Subcontracts Dealer Agreements and Strategic Alliances Small Business Contracting Protests and Claims Trade Agreements Act Contract Compliance 38

39 COHEN MOHR LLP GSA Schedule Contract Administration Services GSA Schedule Contract Administration GSA Advantage! Website Maintenance GSA Schedule Contract Training 39

40 COHEN MOHR LLP Contact Information Andrew Mohr Cohen Mohr LLP (202) OR C. Kelly Kroll Cohen Mohr LLP (202)

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