Business Utilization and Development Memorandum (BUDM) 99-01
Inclusion of Federal Supply Schedule (FSS) Procurements in the Goaling Process
December 14, 1998
D-7800
ACM-1.10
MEMORANDUM
To:
Regional Director, PN, MP, LC, UC, GP
Attention: PN-3702, PN-3703, MP-825, LC-3103, UC-458, GP-3800
Director, Administrative Service Center
Attention: D-2945
Director, Management Services
Attention: D-7810
From: Ron Simonich, Manager, Business & Economic Development Program
Subject: Business Utilization and Development Memorandum (BUDM) 99-01
Inclusion of Federal Supply Schedule (FSS) Procurements in the Goaling Process
I am forwarding the attached memorandum from Director, Office of Small and Disadvantaged Business Utilization (OSDBU) , December 9, 1998, Subject: Business and Economic Development Goals -- Inclusion of Federal Supply Schedule Procurements in the Goaling Process. As discussed in this memorandum, SBA has determined that FSS awards will be included in the total procurement base beginning this fiscal year. OSDBU points out that the FSS program does not currently provide procedures to help us seek out small, small disadvantaged, and women-owned small businesses in the ordering process.
While it is true that the FSS program does not contain procurement mechanisms which facilitate awards under our goaling categories, I would like to call your attention to the flexibility provided by contemporary ordering procedures for optional use schedules at FAR 8.404(b). Three situations are presented: orders at or below the micro-purchase threshold; orders exceeding the micro-purchase threshold but not exceeding the maximum order threshold; and orders exceeding the maximum order threshold. Provided that products or services offered by small, small disadvantaged, or women-owned small business schedule holders meet our needs and represent the best value to the Government and the lowest overall cost alternative, there is nothing in the procedures which prevents our maximizing opportunities for their participation in FSS buys.
Ordering offices can place orders at or below the micro-purchase threshold with any FSS contractor. Before placing an order exceeding the micro-purchase threshold but not exceeding the maximum order threshold, ordering offices should consider reasonably available information about the supply or service offered under MAS contracts by using GSA Advantage or by reviewing the catalogs/prices of at least three schedule contractors and select the delivery and other options available under the schedule that meet the agency's needs. In addition to following the procedures in the preceding sentence, if the order exceeds the maximum order threshold, the ordering office must review additional schedule contractors' catalogs/pricelists or use GSA Advantage, seek price reductions from the schedule contractors appearing to provide the best value, and place the order with the schedule contractor that provides the best value and results in the lowest overall cost alternative. There is nothing in any of these procedures which limits participation by our goaling category firms.
To reiterate OSDBU's message, it is incumbent on all of us to actively seek out small, small disadvantaged, and small women-owned businesses each and every time that we use the FSS program to fulfill a contracting requirement. This is also true when using the integrated charge card since Nations Bank will be providing reports on dollars awarded to small business firms and OSDBU will factor this data into our overall accomplishments. Please discuss this issue with acquisition and program personnel within your organizational areas of responsibility. You may wish to remind them of the Commissioner's Annual Business and Economic Development Program (BEDP) Policy Statement which confirmed his strong commitment to the success of the BEDP and provided his encouragement to Reclamation personnel to support all phases of the program.
Please distribute this information to all acquisition personnel in your region/office who perform FSS procurements.
bc: D-7800
WBR:RSIMONICH:jl:12/10/98:445-2447
A:\BUDM9901

