MAS BPAs, are a good thing

When federal agencies need to place product or service orders, on a recurring basis, they often turn to Multiple Award Schedule (MAS) blanket Purchase Agreements (BPA.).

A MAS BPA is an agreement established by an authorized ordering activity with a Schedule contractor to fill repeat demands for supplies or services, in accordance with FAR 8.405-3.  MAS BPAs and all succeeding orders have the same terms and conditions as the initial Schedule contract. MAS BPAs save the government time and money and give agencies control over their procurements. (GSA Interact August 18, 2021)

MAS BPA benefits:

  • Easier for agencies to fill recurrent needs
  • Efficient for agencies contracting for similar types of work
  • Savings in the form of volume discounts
  • Consistency within the terms and conditions of the BPA
  • Decreases in procurement costs, acquisition time, and administrative effort
  • Small business set-aside procedures assist the government in meeting socioeconomic goals (ibid)

MAS BPA features:

  • On-Ramps – allowing additional contractors as required or to refresh small business participation
  • Funding – funding is required only when an order is placed
  • Faster Ordering – more streamlined ordering process
  • Estimated Value – no minimums or caps
  • Agency Level Terms and Conditions – agencies may add terms and conditions as long as there is no conflict with the original MAS contract terms and conditions
  • Category Management – as outlined by the Office of Management and Budget, all MAS BPAs support category management (ibid)

As a mechanism for promoting fair competition, FAR 8.405.3(a)(3)(i) states a preference for multiple-award MAS BPAs. In addition, MAS BPAs may be extended past five years if necessary to meet program requirements. Some agencies have long-term MAS BPAs to meet agency missions. (ibid)

A single-award MAS BPA can not exceed one year, however, it may have four one-year options. The head of an agency approves all single-award BPAs exceeding $100M. In addition, Order Level Material (OLM) procedures are allowable at the BPA or order level to add contract support items, making MAS BPAs a win for government agencies and contractors. (ibid)

Questions about MAS BPAs or a GSA Schedule award? Give us a call.

 

Federal Supply Class Review

What happens when the Defense Logistics Agency (DLA) and the General Services Administrations (GSA) get together to increase efficiencies and effectiveness of the national supply chain? You get the first Federal Supply Class (FSC) review in almost 50 years. (Defense Logistics Agency, October 9, 2019)

So why now, you ask? According to Alan Thomas, commissioner of GSA’s Federal Acquisition Service, it is to “optimize the movement of supplies to our nation’s troops and reduce duplication in the federal supply chain.”

FSC’s review involves all 600 FSCs, or about seven million items used by federal and military consumers and categorizes them by similarity. This review will reduce redundancies and improve purchasing efficiencies as well as customer readiness and responsiveness. Checks and balances will keep both organizations compliant with principles of their original agreement. (ibid)

The 1971 Supply Management Relationship Agreement between DLA and GSA gave DLA authority over supplies within assigned FSCs used by the military regardless of their use by civil agencies. GSA manages items used by federal agencies that are commercially available. Today GSA and DLA  maintain contracts with vendors delivering directly to customers. DLA forecasts demand and then supply chain representatives, vendors and DLA Distribution ensure on-time delivery worldwide.

DLA and GSA are working side by side to put together an automated tool that categorizes FSCs for analysis. The tool will produce summary-level data on all items to ultimately determine if a change in acquisition strategy might lead to improved efficiencies and effectiveness for the government, taxpayers, and customers. Both DLA and GSA must be in agreement to transfer logistics management of any items.

“Regardless of item transfer decisions, the process and tools we’ve developed in conducting this review provide an archive of information that supports FSC management determinations beyond the simple criteria identified in the 1971 agreement,” Jay Schaeufele, GSA account manager for DLA Logistics Operation’s Whole of Government Division, said. “This information is important as we navigate government and acquisition reform initiatives and evaluate potential economic efficiencies without losing vision of DLA’a first priority to warfighter readiness. (ibid)

Jeff Thurston, director of GSA’s Office of Supply Chain Management, said: “GSA’s new business model challenges us to identify new ways to serve environments where stocking product was previously the go-to solution.” (ibid)

The Commercial Platforms Program will update how commercial products are bought by federal agencies via partnerships with commercial e-platform providers. Government agencies will access commercial platforms as part of a whole-of-government approach. This approach will give agencies visibility into online spending, thus reducing supply-chain risk while providing more time for focusing on mission-oriented acquisition.

According to Laura Stanton, deputy assistant commissioner for Category Management in GSA’s Office of Information Technology Category, “this three-year proof of concept will offer federal buyers easy access to e-marketplace providers and commercial products. Additionally, agencies will have better visibility and insight on purchasing patterns to bring one-off spending under management. The Commercial Platform’s proof of concept offers a way for agencies to access commercial platforms as part of a whole-of-government approach, strengthening GSA’s commitment to maximize the government’s buying power through economies of scale.” (ibid)

GSA and DLA are consolidating purchasing, tracking, and spending analysis while taking advantage of government-wide and best-in-class acquisition vehicles. In addition, they are working together to communicate supply chain issues such as cybersecurity, fraud, and counterfeit parts while working with the military to determine optimal shipping routing.

Will this translate into possible changes to your current contract or bid? We’re available to discuss.