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Sep - Oct 2010 Volume 6, Issue 5 |
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The General Services Administration (GSA) has announced that it will temporarily postpone Schedule 75 to new Multiple Awards Schedules (MAS) offers for the next 24 months, effective October 1, 2010. At the end of that time, GSA will evaluate and reassess the effectiveness of the program. Schedule 75 provides office supplies to federal buyers. This action comes after the recent award of 15 Blanket Purchase Agreements (BPAs) of Office Supplies in support of the Federal Strategic Sourcing Initiative (FSSI) as the agency continues to look for means to ensure proper allocation of resources. The BPAs that were issued as part of the FSSI are set to save the Government a lot of money. According to a GSA press release about the initiative, "The estimated savings that can be achieved through these BPAs is $48 million per year for a four year total of $192 million, a seven percent savings." Current Schedule 75 contract holders with available options that are successfully performing will continue to be exercised. Additionally, modification requests to existing contracts will still be honored. As noted, GSA will be closing the schedule to new offers as of October 1, 2010; however, all offers received prior to that date will be reviewed and considered for award if acceptable. Furthermore, those offers that have been rejected can only be resubmitted after the 24 month postponement period.
With the passing of the Small Business Jobs and Credit Act (H.R. 5297) on September 27, 2010, it is believed that the confusion regarding whether companies in Historically Underutilized Business Zones (HUBZones) should get first preference over other small business categories will end. Before the signing of H.R. 5297, many in the government contracting community have been anxiously watching the various protests and legal battles being waged about the HUBZone set-aside program. On August 13, 2010, a US Court of Federal Claims held that the HUBZone Program must get first opportunity to bid a contract-literally making HUBZone businesses a higher priority than other small business set-aside programs (see DGR Associates, Inc. v. United States and General Trades & Services, Inc.). In this case, DGR Associates sued the Government and the awarded 8(a) contractor of an Air Force contract to inspect and repair houses at Eielson Air Force Base. DRG Associates protested the original award to General Trades & Services, claiming that the Air Force was required to award the contract to a HUBZone business because two or more HUBZone businesses could have bid fair prices for the work. The General Accounting Office (GAO) agreed with DGR; however, the Obama Administration through the Office of Management and Budget(OMB) refused to follow the GAO protest decision. DGR sued in Federal Claims Court and won. The issue here was (according to GAO and the Federal Claims Court) the language of the Small Business Act that establishes the 8(a) and HUBZone programs, which reads that a contracting office "SHALL" award a contract to a HUBZone small business; but which also reads that a contracting officer "MAY" award a contract to a company in one of the other set-aside programs. GAO and the Federal Claims Court had ruled that the shall language for HUBZone businesses gives them priority over other small businesses (covered by the may langauge). This had been the second time this year that a Federal Claims Court Judge has ruled in favor of the HUBZone Program "preference". In March, another Federal Claims Judge affirmed the HUBZone priority in a case brought against the US Army by the HUBZone firm Mission Critical Solutions. H.R. 5297 changes "shall" to "may" regarding HUBZones in a section of the Small Business Act. This legislative change is expected to put all small business set-asides on equal footing. |
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Newsflash |
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A Note About OSDBU Effectiveness It is common among small business owners and business development specialists to complain about the effectiveness of the Office of Small and Disadvantaged Business Utilization (OSDBU). These complaints typically derive from disappointment regarding the meetings held with OSDBU officials; however, the real problem is most often a lack of preparation on behalf of the potential contractor and unrealistic expectations. At Global Services, we highly recommend reading Mark Amtower's recently published and highly informative article in Washington Technology, entitled "How to Succeed at the Office of Small Disadvantaged Business Utilization". |
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Update |
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Simplified Acquisition Changes According a final rule issued by the Federal Acquisition Councils, the threshold ceiling for Simplified Acquisitions will increase from $100,000 to $150,000 effective October 1, 2010. Simplified Acquisitions allow Government agencies to purchase products and services more quickly with a strong focus on small business vendors. Simplified Acquisitions are governed by the Federal Acquisition Regulations (FAR) Part 13. |
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November 9, 2010
November 12, 2010 December 3, 2010 December 9, 2010 December 10, 2010 December 14, 2010
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