How to Place a Task Order Against GSA IT Schedule 70

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How to Place a Task Order Against GSA IT
Schedule 70 Contract
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Agenda
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ITS offers government access to the spectrum of
IT products and services, and to strategic
solutions that meet customer needs
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ITS delivers products and services through four
main channels

• ITS helps government execute its core mission by
  making IT acquisitions
• Faster
• Cheaper
• Easier

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Benefits of IT Schedule 70

• A streamlined, convenient, money-saving, and
  time-saving tool for obtaining the commercial
  goods and services needed to satisfy recurring
  requirements.
• Reduce administrative burden.
• Leveraging buying power through volume.
• Can incorporate non-conflicting terms and
  conditions.
• Schedule order lead-time is 1/2 of traditional
  RFP acquisition lead-time.

• The Schedules program strongly supports small
  business, women-owned small business and small
  disadvantaged business participation.
• Volume discount pricing.
• Wide selection of contractors.
• Direct relationship with contractor.
• Schedule orders count toward small business
  goals.
• All applicable laws and regulations have been
  applied by GSA.

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Methods of Ordering
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Methods of Ordering 8.405-1  Ordering
procedures for supplies, and services not
requiring a statement of work

• A statement of work is not required for supplies
  and services that are listed in the schedules
  contracts at a fixed price for the performance of
  a specific task (e.g., installation, maintenance,
  and repair)
• For orders at, or below, the micro-purchase
  threshold, place orders with any Federal Supply
  Schedule contractor that can meet the agencys
  needs
• For orders exceeding the micro-purchase threshold
  but not exceeding the maximum order threshold,
  survey at least three schedule contractors
  through the GSA Advantage! on-line shopping
  service, or review the catalogs/pricelists of at
  least three schedule contractors
• For orders exceeding the maximum order threshold,
  shall survey catalogs or pricelists of three or
  more schedule contractors, seek price reductions
  from the schedule contractors considered to offer
  the best value

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Methods of Ordering8.405-2  Ordering procedures
for services requiring a statement of work

• For orders at, or below, the micro-purchase
  threshold, place orders with any Federal Supply
  Schedule contractor that can meet the agencys
  needs
• For orders exceeding the micro-purchase
  threshold, but not exceeding the maximum order
  threshold, provide the RFQ (including the
  statement of work and evaluation criteria) to at
  least three schedule contractors that offer
  services that will meet the agencys needs
• For orders exceeding the maximum order threshold,
  provide the RFQ (including the statement of work
  and evaluation criteria) to three schedule or
  more schedule contractors that offer services
  that will meet the needs of the ordering
  activity establish the BPA with the Schedule
  contractor that represents the best value

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Methods of OrderingNon-schedule Items FAR
8.402(f)

• An ordering activity contracting officer may add
  items not on the Federal Supply Schedule to a
  Federal Supply Schedule blanket purchase
  agreement (BPA) or an individual task or delivery
  order only if
• All applicable acquisition regulations FAR and
  Agency supplements have been followed
• (e.g., publicizing (Part 5), competition
  requirements (Part 6), acquisition of commercial
  items (Part 12), contracting methods (Parts 13,
  14, and 15), and small business programs
  (Part 19)).
• The items must be clearly labeled non-schedule
  on the task order.
• Ordering Activity has determined price
  reasonableness for the open market purchase.
• All clauses applicable to items not on Schedule
  are included in the order.
• The total dollar amount for open market
  (non-schedule) items is less than 3000 per task
  order.

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Methods of Ordering Non-schedule Items FAR
8.402(f) Cont...

• Agencies must follow applicable regulations when
  purchasing Non-Schedule items
• Pyxis Corp., B-282469, B-282469.2, July 15, 1999
• SMS Systems Maintenance Services, Inc.,
  B-284550.2, August 4, 2000
• T-L-C Systems, B-285687.2, September 29, 2000
• FAR 51 Deviation (implementation is coming soon)

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Methods of OrderingSchedule Pricing

• Supplies offered on the schedule are listed at
  fixed prices.
• Services offered on the schedule are priced
  either at hourly rates, or at a fixed price for
  performance of a specific task.
• GSA has already determined the prices of supplies
  and fixed-price services, and rates for services
  offered at hourly rates, under schedule contracts
  to be fair and reasonable.
• Although GSA has already negotiated fair and
  reasonable pricing, ordering activities may seek
  additional discounts before placing an order (see
  8.405-4).

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The Task Order Process
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Steps to Issuing an IT Schedule 70 Task Order

• Acquisition Planning
• Market Research
• Request for Quotation (RFQ) Development
• RFQ Considerations
• Issuance of Request for Quotations
• Evaluation of Quotes
• Evaluation Considerations
• Evaluation Best Practices
• Award Decision
• Post-Award Documentation

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A. Acquisition Planning FAR 8.404 (c)(1)

• Acquisition planning--Orders placed under a
  Federal Supply Schedule contract
• Are not exempt from the development of
  acquisition plans (see Subpart 7.1), and an
  information technology acquisition strategy (see
  Part 39)
• (2) Must comply with all FAR requirements for a
  bundled contract when the order meets the
  definition of bundled contract (see 2.101(b))
  and
• (3) Must, whether placed by the requiring
  agency, or on behalf of the requiring agency, be
  consistent with the requiring agencys statutory
  and regulatory requirements applicable to the
  acquisition of the supply or service.

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B. Market Research

• Documented market research with suggested
  Schedule sources FAR 10.001(a)
• Purchase request, evidence of availability of
  funds and Government estimate of order price FAR
  4.803
• Commerciality of services FAR 12, Schedule
  contract scope
• GSA eLibrary SIN descriptions and GSA Advantage!
  Schedule pricelists consulted Schedule contract
  scope
• Socio-economic goals
• Complexity of requirement

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C. RFQ Development

• Agency identifies a need for services with or
  without a statement of work
• Performance-based Statement of Work (SOW)
• Labor Hours
• Time and Material
• Evaluation Criteria
• Period of Performance
• Industry Idiosyncrasies
• Services Required
• Appropriate Performance Measurements and Criteria
• Special Requirements (security clearance, special
  equipment, CADD/GIS, etc.)
• Location of Performance of Work
• Deliverables and Delivery Schedule
• Applicable Standards and Specification References
• Acceptance Criteria

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D. RFQ Considerations

• The RFQ may request contractors to submit a
  project plan for performing the task and past
  performance information for performing tasks of
  similar size and scope.
• The RFQ must identify evaluation factors to
  establish the basis of award used for selection.
• Following initial evaluation of catalogs and
  price lists, COs should forward the RFQ to a
  minimum of 3 schedule contractors, if the order
  is estimated to exceed the micro-purchase
  threshold, but not exceed the maximum order
  threshold.
• Preference for small business firms.
• Oral presentations may be utilized in lieu of
  written technical proposals.
• Minimize contractors costs associated with
  responding to RFQs.

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D. RFQ Considerations Cont

• For orders estimated to exceed the maximum order
  threshold, RFQ should
• Supplies, and Services Not Requiring an SOW
  Follow the same procedures for orders exceeding
  the micro-purchase threshold, except review
  additional Schedule contractors' pricelists (the
  GSA Advantage! online shopping service may be
  used to facilitate this review) evaluate seek
  price reductions and make a best value
  selection.
• Services Requiring an SOW Follow the same
  procedures for orders exceeding the
  micro-purchase threshold, except transmit the RFQ
  (including the statement of work and evaluation
  criteria) to additional Schedule contractors that
  offer services that will meet the needs of the
  ordering activity evaluate responses (using the
  evaluation criteria provided in the RFQ) seek
  price reductions and make a best value
  selection. When determining the appropriate
  number of additional Schedule contractors, the
  ordering activity may consider the complexity,
  scope, and estimated value of the requirement,
  and the market search results

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E. ISSUANCE OF RFQ

• Agency issues a Task Order Request, a Request for
  Quote, or Proposal using the SOW, or LOE and
  specifies type of contract
• Firm Fixed Price (FFP), or
• Labor Hour or
• Time and Materials (TM) with a Not To Exceed
  (NTE) Ceiling Price
• (LOE TM vehicles require DF)
• Task Order(s) may be performance based IAW FAR
  37.6
• Agency can issues Task Order Request via eBuy
  Email, etc However, FAR 5 is NOT applicable

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F. Vendor Quotes

• Contractors submit either a firm fixed price or a
  ceiling price (labor-hour/Time Material) quote.
  A ceiling price must be established for
  labor-hour and Time Material orders.
• Price quotes must be based upon the IT Schedule
  70 contract and consider mix of labor categories
  and level of effort.
• Orders may be written to include travel costs or
  other direct costs in the firm fixed price or
  provide for reimbursement of travel costs at FTR
  rates.

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G. Evaluation Considerations

• When evaluating contractor quotes for services
  and making a best value determination, consider
  the following criteria
• Quality of past performance / Quality of
  experience, size scope relating to
  requirements To what extent did the contractor
  demonstrate compliance with prior contract
  requirements for similar work and scope, accuracy
  of reports, timely delivery and technical
  excellence.
• Price performance To what extent did the
  contractor perform within or below the total
  price, and performance in a current, accurate and
  timely manner.
• Schedule performance To what extent did the
  contractor meet milestones, was responsive to
  technical direction, and completed services
  on-time and in accordance with established
  schedules.
• Price To what extent did the labor mix and level
  of effort proposed demonstrate the contractors
  understanding of the requirement
• MUST EVALUATE OFFER(s) AGAINST THE EVALUATION
  FACTORS STATED IN THE RFQ

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H. Evaluation Best Practices

• Agencies can use "best value" criteria for the
  placement of orders. However, if a formal FAR
  Part 15 negotiation process or something akin to
  it is utilized, GAO may use FAR Part 15 as
  guidance in reviewing an agency's actions.
• ACS Government Solutions Group, Inc., B-282098.2,
  B-282098.3, June 2, 1999
• The Government Accountability Office (GAO) has
  stated that FAR Part 15 does not apply to FSS
  orders.
• Computer Products, Inc., B-284702, May 24, 2000
• The Multiple Award Schedules (FSS) Program is a
  streamlined process do not use complex Federal
  Acquisition Regulation (FAR) Part 15 procedures
  for an FSS order. The United States Court of
  Claims has specifically held that FAR Part 15 is
  not applicable to FSS orders.
• Ellsworth Associates, Inc. v. United States, 45
  Fed. Cl. 388 (1999)
• Discussions with contractors are not required
  when using FSS ordering procedures can seek
  additional information regarding a request for
  quotations without triggering discussion rules
• Intelligent Decisions, Inc., B-274626.2

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H. Evaluation Best Practices Cont

• GAO sustained protests where the agency
  improperly failed to evaluate offers consistent
  with the instructions to Schedule contractors in
  the request for quote.
• ACS Government Solutions Group, Inc., B-282098,
  B-282098.2, June 2, 1999
• There is no requirement to identify detailed
  evaluation criteria but, at a minimum, identify
  the basis on which the selection is to be made.
• Tell contractors what the plan is and adhere to
  it
• Evaluate in accordance with stated selection
  methodology and/or criteria
• COMARK Federal Systems, B-278343.2, January 20,
  1998, 98-1 CPD 34 Amdahl Corporation, B-281255,
  December 28, 1998
• When an agency knows that its requirements can be
  met under either one of two different Schedules,
  it is not reasonable to issue an order to the
  sole vendor capable of performing under one
  Schedule without also reviewing the prices
  offered by several vendors capable of performing
  under the other Schedule
• REEP Inc., B-290665, September 17, 2002

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I. Award Decision

• After responses have been evaluated against
  evaluation factors identified in RFQ, award order
  to IT Schedule 70 contractor representing best
  value.
• Best value considerations may include (see FAR
  8.404)
• Special features required for effective program
  performance
• Trade-in considerations
• Probable life cycle of item selected compared
  with comparable item
• Warranty considerations
• Maintenance availability
• Past performance
• Environmental and energy efficiency
  considerations
• (Make sure these considerations are traceable to
  your evaluation criteria)

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J. Post Award Documentation

• File documentation should include, at minimum
• Purchase Request
• RFQ/SOW
• Contractors solicited
• Task order award document/attachments
• If other than a firm fixed price task order is
  awarded, state basis for the determination to use
  a labor hour or TM order.
• Selection decision including evaluation of
  contractor prices that formed the basis for
  selection and rationale for trade-offs made in
  the selection.

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Reminder

• Price reasonableness has been determined
• Although GSA has determined that the prices for
  services contained in the contractors price
  lists are fair and reasonable, COs must consider
  level of effort and mix of labor to perform the
  specific task and for making a determination that
  the total firm fixed price or ceiling price is
  fair and reasonable. In addition GSA encourages
  CO to negotiate for further discounts when
  procuring off Federal Supply Schedule.

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Avoid Trouble

• DOCUMENT DOCUMENT DOCUMENT
• In the case of a conflict between a delivery
  order and the underlying FSS contract, the
  contract controls avoid unnecessary contractual
  language in a request for quotations that may
  confuse or frustrate a contractor Intelligent
  Decisions, Inc., B-274626.2, December 23, 1996.
• Where an agency is making a purchase from the FSS
  program, it is not required to engage in "equal
  discussions" with FSS contractors rather, it may
  solicit information from only one contractor
  without affording another FSS contractor a
  similar opportunity to clarify the terms of that
  contractor's FSS contract Intelligent Decisions,
  Inc., B-274626, B-274626.2, December 23, 1996.
• When using a performance-based SOW, allow the
  contractors to propose the labor skill mix and
  associated hours do not dictate the number of
  hours or labor skill mix Computer Products, Inc.,
  B-284702, May 24, 2000.
• Reasonable to reject unacceptable quotes where
  required information is not provided for team
  member under planned contract teaming arrangement
  Kearny Company, B-298436.2, October 4, 2006.

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GSA Online Resources/Tools
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Schedules eLibrary

• www.gsaelibrary.gsa.gov

• A great resource for market research
• Information on the Terms and Conditions of the
  Schedule 70 Contract
• Listing of Contractors and Special Item Numbers
  (SINs)
• Access to most eCatalogs of IT Schedule 70
  Contractors

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GSA Advantage!

• www.gsaadvantage.gov

• Federal Governments premier online shopping
  superstore
• Facilitates access to more than 40 million
  commercial products and services
• Enables convenient search feature by keyword,
  part number, manufacturer, contractor, and
  contract
• Streamlines acquisition for Supply Chain and
  Schedule Purchases under IT 70

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eBuy

• www.ebuy.gsa.gov

• Facilitates the request for submission of quotes
  or proposals for commercial products, services,
  and solutions offered through GSA Federal Supply
  Schedules and Governmentwide Acquisition
  Contracts (GWACs)
• Customer prepares RFQ or RFI Online
• Helps Customer to find viable sources of supply
• Prepares RFQs/Define Parameters
• Allows the buyer to procure big-ticket items

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Schedule 70 Resources

• IT Schedule 70 Helpline (General Information)
• 877-446-IT70
• (M-F 800 am - 500 pm EST)
• email it.center_at_gsa.gov
• IT Schedule 70
• http//www.gsa.gov/schedule70

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Thank you for your interest and participation!
ITS can help make all of your IT acquisitions
faster, cheaper and easier
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Questions?