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Deeper DOD Pricing Analysis Now Necessary for GSA Orders

sales1GSA Schedule Contracts are a great acquisition vehicle for many reasons and its ability to speed acquisition is touted by many as its greatest feature. The Federal Supply Schedule (FSS) program streamlines procurement for government agencies and private industries because the GSA has already determined pricing on supplies and services to be fair and reasonable. Agencies simply need to follow procurement procedures outlined under FAR 8.4 which simplify a best value award.

Agencies interested in identifying the best procedures outlined in FAR 8.4 should first consider reading the applicability and ordering procedures for Federal Supply Schedules. These two sections are crucial to the procurement process because they determine whether the agency fulfills the correct requirements for further business with their industry of choice.

Late last month, the DOD issued a new deviation to FAR 8.4 which requires DOD contracting officers to make a deeper DOD pricing analysis now through their own fair and reasonable price determination on any FSS order using the analysis techniques outlined under FAR 15.404-1. The change shouldn’t be a surprise given the current budgetary environment and cost cutting measures currently in place throughout the government.

DOD contractors utilizing the FSS program should make note of the change and consider how they are differentiating themselves when responding to DOD opportunities. If this new rule has affected you, please feel free to share it with the group.

To learn more about the change, please visit: https://interact.gsa.gov/blog/determination-fair-and-reasonable-prices-when-using-federal-supply-schedule-contracts

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