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Northeast Regional Council

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Title: Northeast Regional Council


1
Northeast Regional Council Warwick, RI June 13,
2007
AbilityOne/JWOD Small Business . . .
Partnering for Success Sheryl
Kennerly Committee for Purchase From People Who
Are Blind or Severely Disabled
2
AbilityOne Program Mission
  • Create Jobs for People Who Are Blind or Have
    Other Severe Disabilities Through the Delivery of
    Products and Services to Federal Customers
  • 17 Million Americans Have Severe Disabilities
  • 70 of this Population is not Employed
  • AbilityOne Helps Address this Need
  • AbilityOne Single Largest Employer of People
    with Disabilities in the U.S.
  • Over 47,000 Employees in FY 2006

AbilityOne /
3
AbilityOne Program History
  • 1938 Wagner-ODay Act Established the
    Program for Products Made by People Who are Blind
  • 1971 Javits AmendmentExpanded the Program to
    Include People with other Severe Disabilities,
    and Added Services
  • 41 USC 46-48c
  • Codified at 41 CFR Part 51
  • FAR Subpart 8.7 Implements the JWOD Programs
    Procurement Rules

AbilityOne /
4
AbilityOne ORGANIZATIONAL CHART
President of the United States
DOCDODAir Force Army Navy DOJ DOL ED GSA USDA VA
Citizen Citizen Citizen Citizen
Congress
Committee for Purchase From People Who Are Blind
or Severely Disabled
Legal Authority
National Industries for the Blind (NIB)
NISH
AbilityOne /
5
Committee Responsibilities
  • Establish, publish, maintain Procurement List
    (PL) Additions and Deletions informal rulemaking
    process via Federal Register
  • Determine Fair Market Prices of PL items
  • Designate Central Nonprofit Agency(ies) (CNA)
  • to facilitate orders from the PL
  • Make rules and regulations as necessary to carry
    out the purposes of the JWOD Act
  • Conduct continuing study and evaluation of
  • activities under the JWOD Act

6
AbilityOne Regulatory Framework
  • As a Federal agency, the Committee works
  • within a statutory and regulatory framework
  • Need for openness and transparency of the
  • Committees operations set the tone for
  • business processes and procedures
  • Every Proposed Addition involves a deliberative
    decision by the Committee
  • All decisions are based on suitability
  • judgments no set formula

7
Committee Suitability Criteria
  • The Committees Decision to Add to the
    Procurement List is Based on Regulatory
    Suitability Criteria as Follows
  • Employment Potential
  • Qualified Nonprofit Agency
  • Capability of Nonprofit Agency
  • No Severe Adverse Impact
  • The Committee Must Also Establish an Initial Fair
    Market Price and Approve the Process for Updating
    the Price Over Time

AbilityOne /
8
Procurement List Background
  • What is the Procurement List?
  • Additions and Deletions Go Through a
    Deliberative, Public Rulemaking Process
  • The Four Phases of the Additions Process
  • Identification
  • Development
  • Decision
  • Production/Performance

9
AbilityOne Comprised Less Than 1 of the FY2005
Federal Contract Spend (FPDS and Program Data)
AbilityOne /
10
IMPACT ANALYSIS
  • Current contractor is contacted by certified
    letter notifying them of the proposed addition
    and requesting sales information
  • Contractor is able to submit comments on the
    proposed addition to the Procurement List
  • Cumulative impact is taken into account
  • If severe adverse impact is shown, the proposed
    addition is stopped

11
How do I know if I have to buy AbilityOne
products or services?
  • AbilityOne services are for a specific type of
    service at a specific location
  • AbilityOne products coverage in categories
  • A ListTotal Government Requirement
  • Commonly used commodities that are to be bought
    by all Government agencies
  • B ListBroad Government Requirement
  • Products used by many agencies, not all, as
    aggregated by GSA
  • C ListUnique Government Requirements
  • Products for a special use by one or a group of
    agencies, not widely available

12
JWOD PRODUCT DISTRIBUTION
  • You can buy AbilityOne products
  • By Phone or Fax
  • 1-800-Get-JWOD
  • Via the Internet (DoD E-Mall GSA Advantage)
  • From Authorized Commercial Distributors
    (300 small businesses)
  • (see www.jwod.gov/distributors)
  • At Base Supply Centers

13
Partnering With Small Business
  • The JWOD Program Partners with Members of the
    Small Business Community, as
  • Distributors of JWOD Products
  • Subcontractors for Portions of Manufacturing or
    Service Delivery
  • Suppliers of Raw Materials/Components
  • NIBs previous research found its associated
    agencies did 60 of their purchases of materials
    from small businesses

AbilityOne /
14
New Small Business Utilization Study
  • In Feb. 2005, NISH commissioned a 3rd party
    research firm to conduct a survey of its
    nonprofit agencies to identify
  • The variety of ways nonprofit agencies work with
    small businesses
  • The dollar value of nonprofit agencies spend
    with small businesses
  • With a 69 response rate, NISH found that its
    agencies spent 196-298 M with small businesses
    in FY 2004.

15
Meeting Small Business Subcontracting Plan Goals
  • 10 US Code Sec. 2410d. Subcontracting Plans
    Credit for Certain Purchases
  • Purchases Benefiting Severely Handicapped
    PersonsIn the case of a business concern that
    has negotiated a small business subcontracting
    plan with a military department or a Defense
    Agency, purchases made by that business concern
    from qualified nonprofit agencies for the blind
    or other severely handicapped shall count toward
    meeting the subcontracting goal provided in that
    plan.

16
FY 2007 CNA Fee Ceiling
  • Effective October 1, 2006
  • Fee paid by the NPAs to finance CNA operations
  • Inherent in Fair Market Price, not an add-on or
    pass-through cost to the Government
  • Included in Overhead of the NPA as cost of doing
    business in the AbilityOne Program
  • Changes in Fee Ceiling do not change existing
    Fair Market Prices
  • Committee reviews CNA budgets and sets fee
    ceilings annually

17
Product Pricing Memorandum PR2
  • New Product Pricing Memo PR2
  • Establishes preference for Market Based pricing
  • Requires price analysis to establish price
  • Cost Realism/Cost Analysis only when necessary
  • Establishes Contracting Officer responsibility to
    recommend Fair Market Price
  • Greater consistency with FAR practices
  • Committee maintains sole authority to establish
    prices, based on recommendationsCNA CA
  • Negotiations required to achieve agreement
    between NPA and CA on price recommendation
  • Impasse Process when agreement not possible

18
Service Pricing memorandum PR3
  • Establishes preference for Market Based pricing
  • Requires price analysis to establish price
  • Cost Realism/Cost Analysis only when necessary
  • Establishes Contracting Officer responsibility to
    recommend Fair Market Price
  • Greater consistency with FAR practices
  • Committee maintains sole authority to establish
    prices, based on recommendationsCNA CA
  • Negotiations required to achieve agreement
    between NPA and CA on price recommendation
  • Impasse Process when agreement not possible

19
JWOD Name Changing to AbilityOne
  • More effectively communicate mission in program
    name
  • Extensive research conducted on AbilityOne
  • Transition Plan of 18 months for phase-in
  • JWOD/AbilityOne will be used during transition to
    communicate change
  • Business as Usual- no substantive changes to
    the program or to customers
  • New Graphics and brands available soon.
  • Communicate through Acquisition Council

20
QUESTIONS??WWW.AbilityOne.GOV
Sheryl KennerlyInformation ManagementCommittee
for Purchase From People Who Are Blind or
Severely Disabled1421 Jefferson Davis Hwy, Suite
10800Arlington, VA 22202703-603-2134skennerly
_at_jwod.gov
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