In the recently released Multiple Award Schedule (MAS) Solicitation Refresh #28, GSA restructured the requirements for new offerors or existing contractors proposing products that they do not manufacture, and instead, resell. Prior to this Solicitation Refresh, new offerors or current contractors adding products they did not manufacture to their GSA Schedule contract or proposal were required to submit a Letter of Supply to demonstrate they have the authority to distribute these products. However, GSA has now restricted the Letter of Supply requirement to only resellers under Large Category F (Information Technology) and the Printing and Photographic Equipment Subcategory within Large Category A (Office Management).
For new offerors or current contractors, you may be wondering if the products you are proposing still require a Letter of Supply. In this blog, we will explain GSA’s Letter of Supply, the new requirements, and how to include the letter within your GSA MAS offer or contract modification.
What is a Letter of Supply?
GSA’s Letter of Supply is a signed agreement between a vendor (e.g., offeror or current contractor) and supplier (e.g., manufacturer, wholesaler, or other authorized partner/distributor) that establishes the supplier will provide the vendor with “sufficient quantities” of specific products for the duration of the vendor’s GSA Schedule contract and any extensions.
A Letter of Supply should be provided for each different supplier being used to resell products through a GSA Schedule contract.
Who Does the Letter of Supply Requirement Apply to?
As discussed, in Solicitation Refresh #28, GSA limited the Letter of Supply requirement from all resellers to only those under one Large Category and one Subcategory. Resellers of any product within the Information Technology Large Category, and resellers of products within the Printing and Photographic Equipment Subcategory of the Office Management Large Category are still required to submit a Letter of Supply for any product not being manufactured by the offeror or contractor.
Let’s review a few examples for GSA’s new Letter of Supply requirements:
- Scenario A: If you are a reseller of lawn sprinklers as described under SIN 333112 (Lawn and Garden Equipment, Machinery, Implements, Tools, Products and Accessories) within the Industrial Products and Services Large Category, you are not required to submit a Letter of Supply.
- Scenario B: If you are a reseller of laptops as described under SIN 33411 (Purchasing of New Electronic Equipment) within the Information Technology Large Category, you are required to submit a Letter of Supply.
- Scenario C: If you are a reseller of cameras as described under SIN 333316P (Photographic Supplies) within the Printing and Photographic Equipment Subcategory of the Office Management Large Category, you are required to submit a Letter of Supply with your offer.
- Scenario D: If you are a reseller of pens as described under SIN 339940 (Office Products) within the Office Supplies Subcategory of the Office Management Large Category, you should not submit a Letter of Supply with your offer.
- Scenario E: If you are the manufacturer of the laptops being proposed in Scenario B or the cameras in Scenario C, you should not include a Letter of Supply with your offer.
How to Include a Letter of Supply with Your GSA MAS Offer
Now that you have determined if you meet GSA’s criteria for having to submit a Letter of Supply or not, let’s discuss the required template for this document.
GSA’s Letter of Supply Template
GSA created a Letter of Supply template for offerors or current contractors to complete and send to the applicable supplier of their proposed products for approval and signature, which is available in two locations: within GSA’s web page for the Letter of Supply template and within GSA’s web page for required templates for a MAS offer. GSA’s template must be used if the Letter of Supply requirement is applicable to your offer. It’s important to download the template directly from GSA’s website to ensure you are using the most up to date version.
Completing and Submitting the Letter of Supply
The Letter of Supply template is a relatively simple document to complete; it includes blue text noting where vendor or supplier information should be added. For general formatting requirements, the Letter of Supply must be on the supplier’s letterhead; the supplier’s signature must be dated within 12 months of vendor submission to GSA with no expiration date; and the letter must be signed by company officials for both the vendor and the supplier who are authorized to make the commitment.
The letter will need to note which brands or manufacturers are covered in the agreement, and you should only list individual products if a supplier is restricting the supplied products to specific items.
The Letter of Supply’s sections include the supplier’s certification of the following items:
- The supplied items meet the Federal Acquisition Regulation’s (FAR) definition of commercial products.
- Supporting the vendor in ensuring the supplied products are compliant with the Trade Agreements Act (TAA).
- Supporting the vendor in ensuring compliance with FAR clauses 52.204-23 and 52.204-25 relating to prohibited telecommunications and video surveillance equipment.
- Providing the vendor with applicable certifications and documentation for environmental attributes of the supplied products, including proof that the products meet or exceed the recommended recovered and post-consumer material content levels established under the Environmental Protection Agency’s (EPA) Comprehensive Procurement Guideline (CPG) Program.
At the end of the template, there are additional Category-and offering-specific requirements that must be acknowledged, if applicable, including vendor acceptance that the supplied products being proposed under the Information Technology Category are not used or refurbished, and vendor acceptance of a few compliance and TAA-related items for any supplied ink and toner products being offered under the Office Management Large Category.
It is not uncommon for suppliers to add additional compliance or terms and conditions information to the Letter of Supply as long as the content does not conflict with the standard language in GSA’s template. Once all of the sections have been completed and the letter has been signed by an authorized official for the supplier, you will need to submit the signed Letter of Supply with your entire offer package in GSA’s offer submission portal, eOffer, for new offers, or eMod, for existing contractors.
Expanding Your Contract or Offer with or Without a Letter of Supply
Since GSA has reduced the requirements for resellers to sell products through a GSA Schedule contract, many companies whose offerings reside outside of the Information Technology Large Category and Printing and Photographic Equipment Subcategory could have an opportunity to propose products they were unable to acquire a signed Letter of Supply for prior to Solicitation Refresh #28, ultimately expanding your available offerings to federal buyers.
Vendors selling IT products or items within the Printing and Photographic Equipment Subcategory still have an opportunity to avoid the Letter of Supply requirement if the manufacturer of their proposed products provides supplier authorization data within the Verified Products Portal (VPP) and authorizes your company as a reseller; a list of participating VPP manufacturers is available on GSA’s Data to Decisions website.
However, after submission of your MAS proposal, the reviewing Contracting Officer could request a Letter of Supply or additional information upon their review of your offer, so it’s important to understand the template’s requirements and maintain consistent communication with your suppliers. The Letter of Supply and other documents required to submit a GSA Schedule proposal or product addition modification can be complex; our consultants can assist you in navigating GSA’s changing requirements.
