How the GSA determines fair and reasonable pricing. When establishing a GSA schedule contract, it is important to note that the Federal Government intends to obtain equal or better pricing than the offeror’s Most Favored Customer (MFC). The reason being, is that the GSA has determined the prices under the GSA schedule to be fair and reasonable. During GSA contract negotiations, if the proposed prices are not deemed “Fair and Reasonable” the offer can be either denied or negotiated further to meet the standards of the GSA. So, who determines fair and reasonable pricing? Let’s discuss the highlights so that your offer can be successful during the contract review process.