Some of our most frequently asked questions are about Trade Agreements Act (TAA) Compliance for GSA MAS contracts. TAA Compliance is fairly straightforward, but something contract holders should be regularly monitoring.
GSA Multiple Award Schedules (MAS) contracts often have many compliance standards, some of the most complex being the ones for the Trade Agreements Act (TAA). How do you know if your products meet TAA standards? The simplest way to determine if your product is TAA compliant is to check the list of approved countries of origin. This list outlines all the pre-approved countries of origin permissible under the TAA. But what if the products you want to offer come from a non-TAA compliant country? Under TAA, a vendor may import goods from a non-compliant country if the final product undergoes a “substantial transformation” either in the U.S. or another TAA- compliant country. So, if acquired parts or goods supplied from a non-compliant country are “substantially transformed” in the final product, a contract holder can assert TAA compliance.
Do you know what the real benefits of being on the GSA Schedule are? Learn the top 10 reasons (and advantages) why you should consider it.
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.
Maintain compliance by keeping up to date with TAA policies! The 2016 Presidential election was filled with a lot of “America first” rhetoric. Within the Trump Administration, that language is continued and there will very likely be an increased importance of American made products purchased through the GSA. With that in mind, reviewing the Trade Agreements Act (TAA) and what it means for GSA spending is important for contractors and buyers alike. The Trade Agreements Act (19 U.S.C. & 2501-2581) of 1979 was enacted to foster fair and open international trade, but more importantly, it implemented the requirement that the U.S. Government may acquire only U.S. – made or designated – end products.