Federal Supply Service Not Buying Goods at Lowest Possible Price: General Services Administration : Report to the Congress

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Page 19 - OFPP recognizes that utilization of commercial distribution channels for the procurement of such products reduces costs associated with requirement and specification development, purchasing and contracting, warehouse operations, transportation, distribution, administrative handling and inventory investment.
Page 19 - GSA's own words, contained in the response to an earlier GAO report (PSAD-77-69) , provide one excellent defense of this program: "The multiple award program, as a method of supply, utilizes commercial distribution channels and enables Federal agencies to purchase commercial, off-the-shelf, products that have an established market acceptability and, as such, provides an effective vehicle for implementation of the OFPP policy concerning procurement and supply of commercial products Furthermore, the...
Page 9 - FSS develop procedures to enable it to obtain aggregate and original equipment manufacturers' discounts and/or refunds normally made available by a contractor to other customers.
Page 2 - FSS contracts include a price reduction clause which provides that price reduction or special sales by contractors during the contract period must also be offered to the Government, and that the Government reserves the right to audit the contractors' books and records to verify prices they submit.
Page 1 - When Government specifications are not available or when there is a need for several brands of merchandise, FSS awards negotiated contracts.
Page 1 - Law 152, Eighty-first Congress. These are as follow : (a) The procurement and supply of personal property for the use of executive agencies (and Federal agencies upon their request) involving — (1) Purchasing for stocking supply centers; (2) Negotiations of term contracts as Federal supply schedules; (3) Consolidated purchasing...
Page 6 - This contractor's discounts available to original equipment manufacturers were based on the quantity of specific groups of products purchased in the aggregate over a l2month period. For one series of products, the original equipment manufacturers' discounts ranged from l5 to 42 percent.
Page 2 - Multiple award contracts specify maximum order quantities to limit the size of individual orders to that contemplated by FSS when discounts were negotiated.
Page 2 - In selecting multiple award schedule contractors, FSS uses a benchmark discount procurement technique. Under this procedure FSS selects a benchmark...

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