One of the touchstones of obtaining a GSA Schedule contract is establishing “Fair and Reasonable” GSA pricing—if your pricing is not determined to be “Fair and Reasonable” by your Contracting Officer (CO), the offer could be rejected.
One struggle as a contractor can be understanding what goes into GSA pricing. One basis of “Fair and Reasonable” pricing can be found by the COs conducting market research into like and similar goods/services already awarded on competitor contracts. You can do some research on GSA Advantage! or CALC before submitting your offer to make sure your rates are competitive.
Another factor of “Fair and Reasonable” pricing is comparing your GSA offered pricing to your Commercially offered pricing. This analysis is shown in your Commercial Sales Practices and is crucial to showing GSA you are competitive. Ultimately, the “Fair and Reasonable” determination will come down to your CO's discretion, but by understanding where this consideration originates, you’ll be able to set yourself up for success.
Don’t miss your opportunity to Engage with MAS Experts and Policy Makers at GSA's MAS office hours. This month will cover new and potential offeror topics, including MAS Roadmap. Participants will have a chance to ask the experts anything! Plus, you'll engage with policy makers and network with other vendors.
Join the Market Research Service (MRAS) team to learn more about Requests for Information (RFIs) and how they can be a useful tool for your business. This webinar will bring innovative insights on how to respond to GSA’s RFIs by providing tips and tricks from the experts.
IN CASE YOU MISSED IT
Couldn't make November's Lunch and Learn? You can now watch the webinar, Federal Opportunities and Capture Processes, on demand. In this webinar, we discuss the key requirements for a successful acquisition, capture strategy and planning, and where to find and evaluate federal opportunities.
As of November 30, 2020, contractors must use DocuSign to electronically sign documents in eOffer and eMod. You do not need to register or have a subscription for DocuSign, it’s automatically embedded once you log-in. GSA is also planning to require the GSA FAS ID to log-in to eOffer and eMod by the end of Q2 in Fiscal Year 2021. The GSA FAS ID is a multi-factor authentication system that allows GSA contractors to use one email and password to access several GSA applications. Current applications using the GSA FAS ID include the Mass Modification Portal, GSA eBuy, and GSA Advantage!.
Until the transitions to DocuSign and GSA FAS ID are both complete, digital certificates are required for eOffer and eMod. While digital certificates will not be needed once the GSA FAS ID is implemented, we suggest signing up for a year-long digital certificate if yours is expiring soon. For more information on these updates, check out our blog.
QUICK TIP OF THE MONTH
Quoting Open-Market Items on GSA eBuy
GSA eBuy is an acquisition tool that lets government buyers request information, find sources, and request/receive quotes from GSA contractors. Contractors can access the system and use their awarded GSA Schedule to quote or bid on projects. However, there has been a problem with contractors quoting open-market items. This is not allowed in the GSA eBuy system. FAR 8.404(a) prohibits seeking competition outside of the Schedules program.
It works better for both you and government agencies to ensure all quotes submitted through GSA eBuy are only for awarded GSA Schedule solutions. Quotes that contain open-market products or services clog up the system and slow down times. You will waste time creating a quote that’s unusable, and government buyers will lose time sifting through quotes.
There are some exceptions to this rule—two ways contractors can sell open-market items is through the Other Direct Costs (ODC) SIN and the Order-Level Materials (OLM) SIN. The first SIN is the ODC’s which are regulated in FAR Subpart 8.402(f): Open market items may be added to a Schedule order for administrative convenience, provided that all open market procedures are followed for those items. OLMs are supplies and/or services acquired in direct support of an individual task or delivery order placed against a GSA contract or Blanket Purchase Agreement when the supplies and or services are not known at the time of award. You can learn more about quoting open-market items on eBuy here.
EMERGING BUSINESS OPPORTUNITIES
Flow Management Data and Services (FMDS)
The Department of Transportation has issued a Request for Information (RFI) to develop a new system to provide traffic flow management services to the National Airspace System (NAS). The new system will replace the Federal Aviation Administration’s (FAA) current Traffic Flow Management System. This opportunity is listed under primary NAICS code 541512 - Computer Systems Design Services. Responses are due no later than January 6, 2021 at 9 a.m. EST. More information can be found on beta.sam.gov under Notice ID AAQ-250-FMDS.
Domestic A&E Services
The Department of State (DOS) issued a pre-solicitation for Architectural and Engineering (A&E) services for studies, new construction, and renovation projects across the U.S. Most projects will take place in the Washing D.C. area. The DOS anticipates awarding up to 8 IDIQ contracts. This opportunity is a partial small business set-aside and is listed under primary NAICS code 541310 - Architectural Services. Reponses are due by January 18, 2021 at 2 p.m. EST. More information can be found on beta.sa.gov under Notice ID 19AQMM21R0016.
Device Assisted Security Feature: R&D
The U.S. Department of the Treasury has released a Request for Information (RFI) for technologies and/or materials with the potential application of device-assisted, user-interpreted, counterfeit deterrent features on future U.S. currency. Proposed features should not be widely available in the current marketplace. Examples of these technologies include optical filters, magnifiers, LED flashlights, and magnets. This opportunity is listed under NAICS code 541715 - Research and Development in the Physical, Engineering, and Life Sciences. Responses are due by February 5, 2021 at 5 p.m. EST. More information can be found on beta.sam.gov under Notice ID 2031ZA20N00012.
FREQUENTLY ASKED QUESTIONS
Q: What is TAA compliance and how can I maintain it?
A: The Trade Agreements Act (TAA) determines whether foreign products can be sold through the federal marketplace. If a product on your GSA Schedule is manufactured or substantially transformed in a designated country, it is deemed compliant with the TAA. A list of designated countries can be found here. Be aware that this list of countries can change depending on shifts in international affairs. TAA compliance can also be waived under certain circumstances, as we have recently seen with the COVID-19 pandemic. To maintain compliance, be sure you pick manufacturers in designated countries for the products you plan to sell on your Schedule and properly document Country of Origin for all your products. You should also maintain a Letter of Supply for each manufacturer you partner with.
Q:What does the Price Reduction Clause mean for my GSA contract?
A: The Price Reduction Clause states that for any price reduction you give to your basis of award customer, you must also give that same price reduction to GSA. GSA bases this on the “discount delta,” the difference between the discount GSA receives and the discount given to the Most Favored Customer (MFC). For example, if you give your MFC a 5% discount and GSA an 8% discount, then the discount delta is 3%. If you subsequently decide to give your basis of award customer a 7% discount, you will then have to give GSA a 10% discount, maintaining the 3% difference. The discount delta must be maintained throughout the contract period. Contractors under Transactional Data Reporting do not have to track price reductions because Commercial Sales Practices are not disclosed for TDR offers.
Need to Talk?
CONNECT WITH US
Washington, D.C. | Philadelphia, PA | Richmond, VA
Winvale, 11490 Commerce Park Drive, Suite 412, Reston, VA 20191, United States, (202) 296-5505
.png?upscale=true&width=1120&upscale=true&name=newsletter%20cover%20photo%20December%20%20(3).png)
.png?upscale=true&width=520&upscale=true&name=Untitled%20design%20(15).png)
