# Presentation: 649909

## Thriving Through Partnership 

**October 3 & 4, 2005**
**Chicago Marriott O’Hare Hotel **

***Getting to Know Your FSS******Contract for Services More******Intimately***
***Session 6B***

## FSS 621 I Professional and Allied Healthcare Staffing Services

**Scope of Contracts Include**
- Short and Long Term Staffing Solutions
- Non-Personal and Personal Services

## FSS 621 I Professional and Allied Healthcare Staffing Services

**Performance at Federal Healthcare Treatment Facilities**
- All federal agencies and activities in the executive, legislative and judicial branches_[Eligibility to Use GSA Sources](http://www.gsa.gov/Portal/gsa/ep/contentView.do?contentType=GSA_BASIC&contentId=8128&noc=T)_
- State Veterans Home with sharing agreements_[http://www1.va.gov/oamm/nac/fsss/svh.htm](http://www1.va.gov/oamm/nac/fsss/svh.htm)__ _

## FSS 621 I Professional and Allied Healthcare Staffing Services

**Approximately 4,087 line items awarded under 204 contracts**
**Small Businesses**
- Total Small Businesses	149
- Disadvantaged/8(a)	  25
- Woman-Owned	  80
- HubZone		    4
- Veteran Owned	  27
- Service Disabled Veteran Owned	3

## FSS 621 I Professional and Allied Healthcare Staffing Services

**FSS 621 I Trends**
- FY 2003  $98  Million
- 67% VA 	33% OGA
- FY 2004  $205  Million
- 67% VA	33% OGA
- FY 2005  $241  Million
- 47% VA	53% OGA

## FSS 621 I Professional and Allied Healthcare Staffing Services

**FSS 621 I Pricing**
- Schedule Prices Include
- Labor Only
- Multiple Locations
- Insurance
- Schedule Prices _***do not***_ Include
- Transportation Charges
- Per Diem Costs

## FSS 621 I Professional and Allied Healthcare Staffing Services

**FY 2004 Schedule Improvements**
- Line Item Reconfiguration
- Mandatory Credit Card Acceptance
- Distribution of Price List
- Mandatory GSA Advantage/E-buy
- Change in Maximum Order Threshold

**Notes:**
Went from $1 million per line item to $ 1 million per order.

## FSS 621 I Contractor’s Responsibilities

**Maintain the Integrity of Contract Pricing**
**Adhere to the T&C’s of the Basic FSS Contract**
**Professional Liability Insurance**
**Subcontracting Relationships**
**Timely Sales Reports/Industrial Funding Fee**
**Updated Price Lists**

**Notes:**
Went from $1 million per line item to $ 1 million per order.

## FSS 621 I Contract Modifications

**Add / Delete Services and/or Locations Clause 552.243-72**
- Technical proposal (Exhibit 2)
- Commercial sales practice disclosures (Exhibit 3)
**Economic Price Adjustments ****Clause I-FSS-969**
- Commercial sales practice disclosures (Exhibit 3)

**Notes:**
Went from $1 million per line item to $ 1 million per order.

## How do I Get Started?

**GSA Advantage/E-buy****http://vsc.fss.gsa.gov/ **
**GSA Guide****Your Guide for How to Market to the Federal Government**
**Federal Business Opportunities Website****http://www.fedbizopps.gov/ **

## FSS 621 I Customer Information

**Department of Veterans Affairs**
- www.va.gov
**Indian Health Service**
- www.ihs.gov
**Bureau of Prisons**
- www.bop.gov
**Department of Defense**
- Defense Procurement and Acquisition Policy

**Notes:**
Various agencies within the Government Marketplace to get business once FSS Ctr. in place
In addition to GSA advantage E-Buy – Endeavor to get the appropriate exposure in these communities to promote your business

## FSS 621 I ORDERS FAR 8.405-2

**NAC deemed prices were fair and reasonable**
- NAC reviewed labor rate/categories proposed.
**The Ordering Office (OO) is responsible for **
- Determining requirements to meet its needs
- Best value determination

**Notes:**
Ordering Offices (Double OOs) follows FAR 8.405-2 for FSS contracts.

Regressing– (1) Services are priced at hourly rates (2) Prices were compared to vendors’ commercial and/or other customers (3)   CO looked for similarities in your contract vehicles--that best parallels FSS contract terms (4) CO performed an Analysis of your Cost-Build ups (to ensure that the logic was appropriate in determining the hourly rate and thus deem ceiling prices were Fair and Reasonable.  

The OO COs must determine the Best Value for his/her situation.  In getting to Best Value the CO may assess several things in an offer: 
(1) Type and Qty of Labor categories (2) Qty of hours proposed (3) Expertise Level of Prospects (4) Contractors Past Performance; and (5) Technical & Business Merits–All done to determine that the Bottom line price offered (whether at FSS or Below FSS), represents the Best Value to the Govt. 

## FSS 621 I ORDERS FAR 8.405-2

**Where do I find FAR 8.405-2?**
- www.arnet.gov

## MICROPURCHASE

**If the value of the order is less than the micro-purchase threshold ($2,500)**
- CO selects any FSS contractor

**Notes:**
Ordering offices may place orders at, or below, the micro-purchase threshold with any FSS contractor that can meet the agency’s needs.

If the estimated value of the order is between $2,500 and the Schedule’s Maximum Order Threshold (MOT), provide the RFQ to at least 3 vendors.

## FSS 621 I ORDERS FAR 8.405-2

**Orders Over Micro-Purchase but under the Maximum Order Threshold (MOT)**
- Request for Quote (RFQ) from 3 vendors
- Anyone who requests copy
- SOW
- Selection Criteria

**Notes:**
Provide RFQ to at lease 3 Vendors -- Can be more than 3 per CO’s discretion.

Note: Maximum Order Threshold (MOT) for this Schedule went from $1 million per line item to $1 million per order.

Contractors submit quotes on firm-fixed prices. 

 If Firm Fix Price is not reasonable to what the SOW calls for, You may propose a Labor Hour Contract 
If so, provide your Rationale for using other than- (i) A firm-fixed price offer 

More on Labor Contracts:
Description. provides for acquiring services on the basis of- Direct labor hours at specified fixed hourly 
Limitations.  (1) CO must executes a Determination and Findings that no other contract type is suitable; (2) the contract must include a ceiling price that the contractor exceeds at its own risk (3) Any subsequent change to the Ceiling Price must be justified/documented by the CO. 
Reference FAR 16.207 Here

## FSS 621 I ORDERS FAR 8.405-2 (Cont.)

**Orders Over Maximum Order Threshold (MOT) – Provide RFQ to:**
- More than 3 and seek price reduction
- Any FSS contractor who requests a copy
- Usually will have SOW and Selection Criteria
**Mode of R****FQ Transmission**** **
- Respond to RFQ IAW instruction to Offerors

**Notes:**
If the estimated value of your order is between $2,500 and the maximum order threshold, provide the RFQ to at least 3 vendors.
Maximum Order Threshold went from $1 million per line item to $ 1 million per order.

- Transmit: GSA E-buy, Fax, Snail Mail, E-mail –per COs instruction.

## Examples of Evaluation Criteria

**Examples of Selection Criteria:**
- Past Performance (within past year or 2)
- Tech Proposal (Experience / Staffing
- Recruitment / Retention / Prescreen for credentialing / Business Plan)
- Business Proposal (Company Info & Pricing)

**Notes:**
Past Performance (Submitt Info on custs similar to what called for on RFQ) Things we ask your customers— 
-The Quality of the work performed IAW QAP 
-Business Behavior i.e. Problem Solving w/out extensive guidance from customer / How well complied with Terms & conds
-Timeliness in replacing Absences due to Illness & Termination / Accuracy in Invoice creation-submittal /  
-Personnel performance issues–no hit on having them (all will have some issue) –but how you responded-resolved them 

Technical Proposal 
Business Plan -- Company Philosophy/Policy on problem solving and other  
Evaluated for Similarity of work in size, scope, and complexity of work contemplated e.g. Cleaning Svcs vs Nursing Svcs

Ability to provide qualified personnel and resources  (skills whereby a certificate/license/degree is commercially required) Nay or May not submit specific (by name) personnel proposed; If so, provide Years of Experience; Education.

Business Proposal 
Company Data  -- Administrative Info – Other pertinent info deem necessary by CO 
Price quotes 

## Selection

*Select the *
*Schedule Contractor *
*Offering the *
*“**Best Value”*

**Notes:**
- Best value does not necessarily mean low price!

- Place the order with the schedule contractor IAW FAR 2.101 -- defines best value as the expected outcome of an acquisition that, in the Govt.’s estimation, provides the greatest overall benefit in response to the requirement.

- Best Value determined after considering all the stated evaluation factors (based on weights assigned by the customer) including the price.  E.g. Buying a home--You had selection criteria and weighted each element on what was important to you-i.e. commute to work, school system if children,  Qty of bedrooms,  Heating/Air  system, etc. –all equaling a best value decision.  
Note: CO decides BEST VALUE based on customer’s Specific Requirement and how much weight placed on each Major eval factor.  E.g. Solicitation may state Past Performance when combined with Technical has significantly more value than Price. 

We won’t give the numerical weight value of each Factor in RFQ -- but a general idea of how must weight is placed on them.    

## Agency Specific Requirements

**Can be added to the order only if they don’t conflict with terms and conditions of underlying Schedule contract. **

**Notes:**
Agency specific clauses and requirements can be included in the RFQ and become a part of the task-order as long as they don’t conflict with the underlying T&C of the basic FSS contract.  If you have any concerns about the basic T&C contained in the MAS contract you can contact the FSS Contracting Officer and they can advise you.

FAR Part 12 – Commercial friendly agency specific requirements.  Can’t add liquidated damage clause.

Examples:  JCAHO considerations – quality assurance 

## Task Order Performance Period 

**Base year--and Options if provided up front by customer**
** **
** ****Succession (follow-on) Task Order when deemed economically feasible to keep—converts to Sole Source.  **
**      **
** ****6 Month Extensions when unusual circumstances **
**        **

## OPTION PERIODS ON TASK ORDERS

**Can be added to an FSS order if**
- Clearly Stated in the Requirement
- Evaluated as a Part of the Greatest Value Determination
**Can be exercised, provided that**
- Funds are available
- Continuing Government Need
- Do not extend past FSS contract period (including options)

**Notes:**
Reference FAR 17 Options
Options may be included on orders placed against GSA Multiple Award Schedule (MAS) contracts, provided that the options are clearly stated in the requirement and are evaluated as part of the ordering office's best value determination. Such options may be exercised on GSA Schedule contract orders, provided that:
Funds are available;
The requirement covered by the option fulfills an existing government need;

Prior to exercising an option, the ordering office ensures that it is still in the government's best interest; i.e., that the option is the most advantageous method of fulfilling the government's need, price and other factors considered; and

The options do not extend beyond the period of the Schedule contract, including option year periods.
Under the preceding conditions, Blanket Purchase Agreements (BPAs) under Schedule contracts may be established with options that extend beyond the end of the basic Schedule contract period. The length of the order and the risk to the ordering office could be considered as part of the overall evaluation of best value.

## Small Business Issues

**FAR 8.405-5**
- Schedule orders count towards agency small business goals
- Mandatory preference programs of FAR 19 do not apply
- Orders exceeding micro-purchase threshold, give preference to small business concern when offered at the same delivered price
**GSA Acquisition Letter V-05-12**
- When order exceeds micro-purchase threshold
- May make socioeconomic status a primary evaluation factor

**Notes:**
So what types of evaluation criteria might you look at when buying services?  One thing you may consider is past performance, paying particular attention to things like:
-The Quality of the work performed by the contractor; The Timeliness of his effort; his Business Conduct-(Is the contractor customer focused?); and even his problem solving abilities
If you are evaluating experience and/or technical capability-pay attention to things like:
-Are the past projects similar to those contemplated? For example - An offeror who has demonstrated that he can provide cleaning services has not demonstrated that he can do nursing services—two different types of efforts; What is important to you when you are looking at past projects?  Similarity of work-must be equal to the size, scope, and complexity of work contemplated; Does the solution presented demonstrate an understanding of the work/ability to accomplish? Are the proposed resources adequate.
Perhaps you’ll want to evaluate the offeror’s ability to provide qualified personnel and resources-Use this evaluation factor when specific skills are needed (skill categories in which a certificate/license/degree is commercially required)  (Example-physician or lawyer) What do you look at when using personnel as an evaluation factor?  Types of qualifications of the personnel proposed; Years of experience; Education.

## BLANKET PURCHASE AGREEMENTSFAR 8.405-3

**What is a BPA?**
- Can be Established Against Any Existing FSS Contract
- Can be Multiple Award or Single Award
**How is it established?**
- After following the FSS Ordering Procedures

**Notes:**
Blanket Purchase Agreements (BPAs) are a simplified method of filling anticipated repetitive needs for services and supplies.  They are charge accounts established with Schedule contractors by ordering agencies, such as yourself.  Advantages:
Satisfy recurring requirements
Reduce acquisition cost through quantity discounts
Save time by eliminating repetitive, individual purchases
Reduce administrative effort and paperwork
Obtain a better value by using leveraging through volume purchasing

FSS contractor team arrangements allow two or more schedule contractors to work together to meet agency requirements.  They permit contractors to complement each other and allow them to compete for orders for which they may not qualify independently.  Advantages:
Satisfies the customer with a single solution
Increases competitive edge
Increases market share
Increases visibility
Focus on core capabilities
Builds direct relationship with customers
Shares risk and rewards

## BLANKET PURCHASE AGREEMENTSFAR 8.405-3

**Single Award BPA**
- Place order directly with contractor
**Multiple Award BPA**
- Orders over micro-purchase threshold ($2,500)
- Establish BPA order procedures

**Notes:**
Establishment. Ordering activities may establish BPAs under any schedule contract to fill repetitive needs for supplies or services. BPAs may be established with one or more schedule contractors. The number of BPAs to be established is within the discretion of the ordering activity establishing the BPAs and should be based on a strategy that is expected to maximize the effectiveness of the BPA(s). In determining how many BPAs to establish, consider- 
(i) The scope and complexity of the requirement(s); 
(ii) The need to periodically compare multiple technical approaches or prices; 
(iii) The administrative costs of BPAs; and 
(iv) The technical qualifications of the schedule contractor(s). 

(4) Establishment of a multi-agency BPA against a Federal Supply Schedule contract is permitted if the multi-agency BPA identifies the participating agencies and their estimated requirements at the time the BPA is established. 

## BLANKET PURCHASE AGREEMENTSFAR 8.405-3

**Duration of the BPA**
**Reviewed Annually**

**Notes:**
Establishment. Ordering activities may establish BPAs under any schedule contract to fill repetitive needs for supplies or services. BPAs may be established with one or more schedule contractors. The number of BPAs to be established is within the discretion of the ordering activity establishing the BPAs and should be based on a strategy that is expected to maximize the effectiveness of the BPA(s). In determining how many BPAs to establish, consider- 
(i) The scope and complexity of the requirement(s); 
(ii) The need to periodically compare multiple technical approaches or prices; 
(iii) The administrative costs of BPAs; and 
(iv) The technical qualifications of the schedule contractor(s). 

(4) Establishment of a multi-agency BPA against a Federal Supply Schedule contract is permitted if the multi-agency BPA identifies the participating agencies and their estimated requirements at the time the BPA is established. 

## CONTRACTOR TEAMING ARRANGEMENTS

**What is a CTA?**
**How is it done?**

**Notes:**
Blanket Purchase Agreements (BPAs) are a simplified method of filling anticipated repetitive needs for services and supplies.  They are charge accounts established with Schedule contractors by ordering agencies, such as yourself.  Advantages:
Satisfy recurring requirements
Reduce acquisition cost through quantity discounts
Save time by eliminating repetitive, individual purchases
Reduce administrative effort and paperwork
Obtain a better value by using leveraging through volume purchasing

FSS contractor team arrangements allow two or more schedule contractors to work together to meet agency requirements.  They permit contractors to complement each other and allow them to compete for orders for which they may not qualify independently.  Advantages:
Satisfies the customer with a single solution
Increases competitive edge
Increases market share
Increases visibility
Focus on core capabilities
Builds direct relationship with customers
Shares risk and rewards

## BPA / CTA GUIDANCE

**Guidance on BPAs and CTAs can be found on the GSA Website:**
**www.gsa.gov/schedules  **

**Notes:**
Blanket Purchase Agreements (BPAs) are a simplified method of filling anticipated repetitive needs for services and supplies.  They are charge accounts established with Schedule contractors by ordering agencies, such as yourself.  Advantages:
Satisfy recurring requirements
Reduce acquisition cost through quantity discounts
Save time by eliminating repetitive, individual purchases
Reduce administrative effort and paperwork
Obtain a better value by using leveraging through volume purchasing

FSS contractor team arrangements allow two or more schedule contractors to work together to meet agency requirements.  They permit contractors to complement each other and allow them to compete for orders for which they may not qualify independently.  Advantages:
Satisfies the customer with a single solution
Increases competitive edge
Increases market share
Increases visibility
Focus on core capabilities
Builds direct relationship with customers
Shares risk and rewards

## DISPUTES – FAR 8.406-6

**What to do if you have a dispute arising from performance of an order?**
- Try to Resolve
- Issue a Final Decision or
- Notify FSS Office Promptly
- Refer to the FSS Contracting Officer

**Notes:**
As with all disputes, you’ll want to try to reach a resolution at the lowest possible level, least expensive way without going through formal channels and incurring additional costs – if necessary, consider investigating the usage of Alternative Dispute Resolution (ADR) which refers to a wide array of dispute resolution techniques, often involving a neutral third party (ex. Counselor) tasked with resolving disputes. 

## DISPUTES – FAR 8.406-6

**What to do if you have a dispute related to the T&C of Basic FSS Contract?**
- Refer  to the FSS Contracting Officer
- Notify Contractor of Referral to FSS

**Notes:**
(b) Disputes pertaining to the terms and conditions of schedule contracts. The ordering activity contracting officer shall refer all disputes that relate to the contract terms and conditions to the schedule contracting officer for resolution under the Disputes clause of the contract and notify the schedule contractor of the referral. 
(d) Alternative dispute resolution. The contracting officer should use the alternative alternative dispute resolution (ADR) procedures, to the maximum extent practicable (see 33.204 and 33.214). 

(c) Appeals. Contractors may appeal final decisions to either the Board of Contract Appeals servicing the agency that issued the final decision or the U.S. Court of Federal Claims. 

## Order Termination for CauseFAR 8.406-4

**Termination of Order for Cause**
- Executed by Agency Contracting Officer
- Shall Comply With FAR 12.403
- Notify FSS Contracting Office
- Repurchase / Repurchase Costs
- Excusable Delays

**Notes:**
(a)(1) An ordering activity contracting officer may terminate individual orders for cause. Termination for cause shall comply with FAR 12.403, and may include charging the contractor with excess costs resulting from repurchase. 

(2) The schedule contracting office shall be notified of all instances where an ordering activity contracting officer has terminated for cause an individual order to a Federal Supply Schedule contractor, or if fraud is suspected. 

(b) If the contractor asserts that the failure was excusable, the ordering activity contracting officer shall follow the procedures at 8.406-6, as appropriate. 

(c) If the contractor is charged excess costs, the following apply: 

(1) Any repurchase shall be made at as low a price as reasonable, considering the quality required by the Government, delivery requirement, and administrative expenses. Copies of all repurchase orders, except the copy furnished to the contractor or any other commercial concern, shall include the notation mentioned in 8.406-4 

## Order Termination for Convenience FAR 8.406-5

**Termination of Order for Convenience**
- Executed by Agency Contracting Officer
- Comply with FAR 12.402
- “no cost” cancellation / settlement agreement is preferred

**Notes:**
(a) An ordering activity contracting officer may terminate individual orders for the Government's convenience. Terminations for the Government's convenience shall comply with FAR 12.403. 
(b) Before terminating orders for the Government's convenience, the ordering activity contracting officer shall endeavor to enter into a "no cost" settlement agreement with the contractor. 

In general, negotiating a resolution or no cost settlement agreement is usually the most cost effective ways to handle most issues.  Termination procedures can become costly in both resources and in lost goods and services and are sometimes not in the best interest of the Government.

(

## Continuous Improvement

**Employee / Employer Relationships**
**Service Contract Act Concerns**
**Past Performance Reporting**

**Notes:**
(a) An ordering activity contracting officer may terminate individual orders for the Government's convenience. Terminations for the Government's convenience shall comply with FAR 12.403. 
(b) Before terminating orders for the Government's convenience, the ordering activity contracting officer shall endeavor to enter into a "no cost" settlement agreement with the contractor. 

In general, negotiating a resolution or no cost settlement agreement is usually the most cost effective ways to handle most issues.  Termination procedures can become costly in both resources and in lost goods and services and are sometimes not in the best interest of the Government.

(

## 621 I HELP DESK

- Phone:  (708) 786-7722
- E-Mail:  helpdesk.fss621i@med.va.gov

## Electronic Training Tool

**FSS Center for Acquisition Excellence **
- https://fsstraining.gsa.gov

**Notes:**
I would like to briefly highlight two of our our electronic commerce tools, Schedules E-Library and GSA Advantage.
Schedules E-Library is an online source information for complete Schedules and contract award information.  The NAC updates this website weekly with new contract award and current contract information.
You can search by key word, contractor name, contract number, Schedule number and SIN.   
GSA Advantage is our electronic online shopping and ordering system.  This system provides online access and pricing information to over several thousand contractors and millions of services and products. 
One of our priorities is to work with all of the VA FSS contract holders to make their line items available on GSA Advantage for your shopping convenience.  There are currently 114 VA FSS vendors participating in the program representing over 90,000 line items.  Of these 114 vendors approx 57% are med/surge FSS contractors and approx 38% are dental equipment and supply contractors
The NAC is increasing items and vendors everyday.
GSA Advantage and Schedules E-Library, are tools that will provide you immediate access to the Schedules, increase your knowledge of schedules, advise you who are schedule contractors which will result in savings in both time and money. Please utilize these tools. 

## Electronic Commerce Tools

**Schedules E-Library**
- www.gsaelibrary.gsa.gov
**GSA Advantage! / e-Buy**
- www.gsaadvantage.gov

**Notes:**
I would like to briefly highlight two of our our electronic commerce tools, Schedules E-Library and GSA Advantage.
Schedules E-Library is an online source information for complete Schedules and contract award information.  The NAC updates this website weekly with new contract award and current contract information.
You can search by key word, contractor name, contract number, Schedule number and SIN.   
GSA Advantage is our electronic online shopping and ordering system.  This system provides online access and pricing information to over several thousand contractors and millions of services and products. 
One of our priorities is to work with all of the VA FSS contract holders to make their line items available on GSA Advantage for your shopping convenience.  There are currently 114 VA FSS vendors participating in the program representing over 90,000 line items.  Of these 114 vendors approx 57% are med/surge FSS contractors and approx 38% are dental equipment and supply contractors
The NAC is increasing items and vendors everyday.
GSA Advantage and Schedules E-Library, are tools that will provide you immediate access to the Schedules, increase your knowledge of schedules, advise you who are schedule contractors which will result in savings in both time and money. Please utilize these tools. 

**Q&A**
**Dore Fessler, Assistant Director**
- 708-786-5223
- Dore.Fessler@med.va.gov
**VA NAC Business Solutions Team **
- 708-786-5157
- John.eldridge@med,va.gov
- Marsha.Jeffries@med.va.gov
- Mary.Haefner@med.va.gov
**VA NAC Office of General Counsel**
- 708-786-5169
- Barb.stuetzer@med.va.gov
**Copy of Presentation will be made available after 5 p.m. on October 4**** ****at**** **_**[www.va.gov/vastorenac](http://www.va.gov/vastorenac)**_
**	****	****	****	****	****	*****Thank You***