Source: https://cao.gov/content/part-538-federal-supply-schedule-contracting
Timestamp: 2019-06-19 01:41:00
Document Index: 525004912

Matched Legal Cases: ['art 538', 'art 538', 'art 538', 'art 538', 'art 538', 'art 538', 'art 15']

Part 538 - Federal Supply Schedule Contracting | Acquisition.GOV
Subpart: Select538.2538.70538.71538.72
Part 538 - Federal Supply Schedule Contracting
Subpart 538.2 - Establishing and Administering Federal Supply Schedules
538.270 Evaluation of Federal Supply Schedule (FSS) offers.
538.270-2 Evaluation of offers with access to transactional data.
538.271 FSS contract awards.
538.273 FSS solicitation provisions and contract clauses.
Subpart 538.70 - Purchasing by Non-Federal Entities
Subpart 538.71 - [Reserved]
Subpart 538.72 - Order-level Materials
538.7200 Definitions.
538.7201 Applicability.
538.7202 Awarding Order-Level Materials in FSS contracts.
538.7203 Administering Order-Level Materials in FSS contracts
538.7204 Contract clauses.
(c) The Government will seek to obtain the offeror’s best price (the best price given to the most favored customer). However, the Government recognizes that the terms and conditions of commercial sales vary and there may be legitimate reasons why the best price is not achieved.
(e) When establishing negotiation objectives and determining price reasonableness, compare the terms and conditions of the MAS solicitation with the terms and conditions of agreements with the offeror’s commercial customers. When determining the Government’s price negotiation objectives, consider the following factors:
(5) Warranties, training, and/or maintenance included in the purchase price or provided at additional cost to the product prices
(a) Applicability. Utilize this evaluation methodology for negotiating MAS offers when the commercial sales practices format is not included in the solicitation (see 515.408).
(b) Contracting Officers shall utilize the techniques in FAR 15.404 when evaluating pricing for MAS offers.
(c) Order of preference. When evaluating MAS offers and establishing negotiation objectives, Contracting Officers shall–
(1) Use the following data that is already readily available in accordance with FAR 15.404-1(b)(2)(ii):
(i) Prices paid information on contracts for the same or similar items.
(ii) Contract-level prices on other MAS contracts or other government-wide contracts for the same or similar items.
(iii) Commercial data sources that consolidate and normalize prices offered by commercial vendors to the general public to compare prices for the same or similar items.
(2) If the Contracting Officer cannot determine the prices offered to be fair and reasonable based on the data described in 538.270-2(c)(1), perform market research to compare prices for the same or similar items in accordance with FAR 15.404-1(b)(2)(vi).
(3) If the Contracting Officer cannot determine the prices offered to be fair and reasonable based on the data described in 538.270-2(c)(1) or (2), perform an analysis of data other than certified cost or pricing data (as defined at FAR 2.101) provided by the offeror in accordance with FAR 15.404-1(b)(2)(vii).
(a) FSS awards will be for commercial items as defined in FAR 2.101. Negotiate contracts as a discount from established catalog prices.
(b) Before awarding any FSS awards determine that the offered prices are fair and reasonable (see FAR Subpart 15.4 and 538.270). Document the negotiation and your determination using FAR 15.406-3 as guidance.
(a) Applicability. This section applies when the contract contains the basic clause 552.238-80 Industrial Funding Fee and Sales Reporting.
(b) The basic clause and Alternate I of 552.238-81, Price Reductions, requires the contractor to maintain during the contract period the negotiated price/discount relationship (and/or term and condition relationship) between the eligible ordering activities and the offeror’s customer or category of customers on which the contract award was predicated (see 538.271). If a change occurs in the contractor’s commercial pricing or discount arrangement applicable to the identified commercial customer (or category of customers) that results in a less advantageous relationship between the eligible ordering activities and this customer or category of customers, the change constitutes a “price reduction.”
(c) Ensure that the contractor understands the requirements of section 552.238-75 and agrees to report all price reductions to the Contracting Officer as provided for in the clause.
(a) As prescribed in this paragraph, insert the following provisions in the beginning of FSS solicitations:
(1) 552.238-70, Cover Page for Worldwide Federal Supply Schedules. Use in all FSS solicitations. Use Alternate I for single award Federal Supply Schedules.
(2) 552.238-71, Notice of Total Small Business Set-Aside. Use in FSS solicitations containing special item numbers (SINs) that are set aside for small business.
(3) 552.238-72, Information Collection Requirements. Use in all FSS solicitations.
(b) As prescribed in this paragraph, insert the following clause and provision as an addendum to 52.212-1, Instructions to Offerors–Commercial Items:
(1) 552.238-73, Identification of Electronic Office Equipment Providing Accessibility for the Handicapped. Use only in FSS solicitations for electronic office equipment.
(2) 552.238-74, Introduction of New Supplies/Services (INSS). Use only in FSS solicitations allowing the introduction of new supplies/services. Note: GSA Form 1649, Notification of Federal Supply Schedule Improvement, may be required if revising a Special Item Number (SIN).
(c) As prescribed in this paragraph, insert the following provisions as an addendum to 52.212-2, Evaluation—Commercial Items:
(1) 552.238-75, Evaluation – Commercial Items (Federal Supply Schedules). Use in FSS standing solicitations.
(2) 552.238-76, Use of Non-Government Employees to Review Offers. Use only in FSS solicitations when non-government employees may be utilized to review solicitation responses.
(d) As prescribed in this paragraph, insert the following clauses as an addendum to Clause 52.212-4, Contract Terms and Conditions-Commercial Items:
(1) 552.238-77, Submission and Distribution of Authorized FSS Price Lists. Use in all FSS solicitations and contracts.
(2) 552.238-78, Identification of Products that have Environmental Attributes. Use only in FSS solicitations and contracts that contemplate items with environmental attributes.
(3) 552.238-79, Cancellation. Use in all FSS solicitations and contracts.
(4) 552.238-80, Industrial Funding Fee and Sales Reporting. Use Alternate I for Federal Supply Schedules with Transactional Data Reporting requirements. Clause 552.238-81 Alternate I should also be used when vendors agree to include clause 552.238-80 Alternate I in the contract.
(5) 552.238-81, Price Reductions. Use Alternate I for Federal Supply Schedules with Transactional Data Reporting requirements. This alternate clause is used when vendors agree to include clause 552.238-74 Alternate I in the contract.
(6) 552.238-82, Modifications (Federal Supply Schedules). Use in all FSS solicitations and contracts.
(i) Use Alternate I for Federal Supply Schedules that only accept eMod.
(ii) Use Alternate II for Federal Supply Schedules with Transactional Data Reporting requirements. This alternate clause is used when vendors agree to include clause 552.238-80 Alternate I in the contract.
(7) 552.238-83, Examination of Records by GSA (Federal Supply Schedules). Use in all FSS solicitations and contracts. With the Senior Procurement's Executive approval, the contracting officer may modify this clause to provide for post-award access to and the right to examine records to verify that the pre-award/modification pricing, sales or other data related to the supplies or services offered under the contract which formed the basis for the award/modification was accurate, current, and complete. The following procedures apply:
(iii) The determinations under paragraph (9)(ii) must be made on a schedule-by-schedule basis.
(8) 552.238-84, Discounts for Prompt Payment. Use in all FSS solicitations and contracts.
(9) 552.238-85, Contractor's Billing Responsibilities. Use in all FSS solicitations and contracts.
(10) 552.238-86, Delivery Schedule. Use only in FSS solicitations and contracts for supplies
(11) 552.238-87, Delivery Prices. Use in all FSS solicitations and contracts.
(12) 552.238-88, GSA Advantage!®. Use in all FSS solicitations and contracts except the Department of Veterans Affairs Federal Supply Schedules.
(13) 552.238-89, Deliveries to the U.S. Postal Service. Use only in FSS solicitations and contracts for mailable articles when delivery to a U.S. Postal Service (USPS) facility is contemplated.
(14) 552.238-90, Characteristics of Electric Current. Use only in FSS solicitations and contracts when the supply of equipment which uses electrical current is contemplated.
(15) 552.238-91, Marking and Documentation Requirements for Shipping. Use only in FSS solicitations and contracts for supplies when the need for outlining the minimum information and documentation required for shipping is contemplated.
(16) 552.238-92, Vendor Managed Inventory (VMI) Program. Use only in FSS solicitations and contracts for supplies when a VMI Program is contemplated.
(17) 552.238-93, Order Acknowledgement. Use only in FSS solicitations and contracts for supplies.
(18) 552.238-94, Accelerated Delivery Requirements. Use only in FSS solicitations and contracts for supplies.
(19) 552.238-95, Separate Charge for Performance Oriented Packaging (POP). Use only in FSS solicitations and contracts for items defined as hazardous under Federal Standard No. 313.
(20) 552.238-96, Separate Charge for Delivery within Consignee's Premises. Use only in FSS solicitations and contracts for supplies when allowing offerors to propose separate charges for deliveries within the consignee's premises.
(21) 552.238-97, Parts and Service. Use in all FSS solicitations and contracts.
(22) 552.238-98, Clauses for Overseas Coverage. Use only in FSS solicitations and contracts when overseas acquisition is contemplated. The following clauses and provisions shall also be inserted in full text, when applicable.
(i) 52.214-34 Submission of Offers in the English Language.
(ii) 52.214-35 Submission of Offers in U.S. Currency.
(iii) 552.238-90 Characteristics of Electric Current.
(iv) 552.238-91 Marking and Documentation Requirements Per Shipment.
(v) 552.238-97 Parts and Service.
(vi) 552.238-99 Delivery Prices Overseas.
(vii) 552.238-100 Transshipments.
(viii) 552.238-101 Foreign Taxes and Duties.
(ix) 52.247-34 FOB Destination.
(x) 52.247-38 FOB Inland Carrier, Country of Exportation.
(xi) 52.247-39 FOB Inland Point, Country of Importation.
(23) 552.238-99, Delivery Prices Overseas. Use only in FSS solicitations and contracts when overseas acquisition is contemplated.
(24) 552.238-100, Transshipments. Use only in FSS solicitations and contracts when overseas acquisition is contemplated.
(25) 552.238-101, Foreign Taxes and Duties. Use only in FSS solicitations and contracts when overseas acquisition is contemplated.
(26) 552.238-102, English Language and U.S. Dollar Requirements. Use in all FSS solicitations and contracts.
(27) 552.238-103, Electronic Commerce. Use in all FSS solicitations and contracts except the Department of Veterans Affairs Federal Supply Schedules.
(28) 552.238-104, Dissemination of Information by Contractor. Use in all FSS solicitations and contracts.
(29) 552.238-105, Deliveries Beyond the Contractual Period-Placing of Orders. Use only in FSS solicitations and contracts for supplies.
(30) 552.238-106, Interpretation of Contract Requirements. Use in all FSS solicitations and contracts.
(31) 552.238-107, Export Traffic Release (Supplies). Use in FSS solicitations and contracts for supplies, except vehicles.
(32) 552.238-108, Spare Parts Kit. Use only in FSS solicitations and contracts for items requiring spare part kits. This information is to be specified at the order level.
(33) 552.238-109, Authentication Supplies and Services. Use in Federal Supply Schedule 70 solicitations only, and only contracts awarded Special Item Numbers (SINs) associated with the Homeland Security Presidential Directive 12 (HSPD-12).
(34) 552.238-110, Commercial Satellite Communication (COMSATCOM) Services. Use only in FSS solicitations and contracts for COMSATCOM services.
(35) 552.238-111, Environmental Protection Agency Registration Requirement. Use only in FSS solicitations and contracts for supplies when items may require registration with the Environmental Protection Agency.
(b) The Consolidated Schedule contracts containing information technology Special Item Numbers (SINs);
(d) Pub. L. 109-364, the John Warner National Defense Authorization Act for Fiscal Year 2007 authorizing state and local governments, to use Federal Supply Schedule contracts to purchase products and services to be used to facilitate recovery from a major disaster declared by the President under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.) or to facilitate for recovery from terrorism or nuclear, biological, chemical, or radiological attack. Public Law 111-263, the Federal Supply Schedules Usage Act of 2010 authorizing state and local governments to use Federal Supply Schedule contracts to purchase products and services to be used to facilitate disaster preparedness or response.
(f) Public Law 111–263, the Federal Supply Schedules Usage Act of 2010, authorizes other qualified organizations to use Federal Supply Schedule contracts to purchase products and services in furtherance of purposes determined to be appropriate to facilitate emergency preparedness and disaster relief and set forth in guidance by the Administrator of General Services, in consultation with the Administrator of the Federal Emergency Management Agency. Other qualified organizations must meet the requirements of 42 U.S.C. 5152.
(g) A listing of the participating contractors and SINs for the goods and services that are available under these authorized Federal Supply Schedules, is available in GSA’s e-Library at www.gsa.gov/elibrary.
(m) 52.246-6, Inspection—Time-and-Material and Labor-Hour.
(a) The contracting officer shall insert the clause at 552.238-112 , Definition (Federal Supply Schedules)–Non-Federal Entity, in solicitations and contracts for all Federal Supply Schedules.
(b) The contracting officer shall insert the clause at 552.238-113 , Scope of Contract (Eligible Ordering Activities), in solicitations and contracts for all Federal Supply Schedules.
(c) The contracting officer shall insert the clause at 552.238-114 , Use of Federal Supply Schedule Contracts by Non-Federal Entities, in solicitations and contracts for all Federal Supply Schedules.
“Order-level materials” means supplies and/or services acquired in direct support of an individual task or delivery order placed against an authorized (see GSAR 538.7201(b)) Federal Supply Schedule (FSS) contract or FSS Blanket Purchase Agreement (BPA)), when the supplies and/or services are not known at the time of Schedule contract or FSS BPA award. The prices of order-level materials are not established in the FSS contract or FSS BPA. However, order-level materials are purchased under the authority of the FSS program, pursuant to 41 U.S.C. 152(3), and are not open market items, which are discussed in FAR 8.402(f).
(a) The GSA Senior Procurement Executive authorizes the use of order-level materials on Federal Supply Schedules.
(b) The list of Federal Supply Schedules authorized to allow for order-level materials is available at https://www.gsa.gov/olm.
(c) HCAs may request additions or deletions to the list in paragraph (b) by submitting a GSA Form 1649 for SPE approval. Justifications to add this authority to a Federal Supply Schedule must address the need for the authority, including why it is impractical to price the items at the contract level, and a description of the market research conducted (see FAR 10.002(e)).
(a) Federal Supply Schedules authorizing order-level materials must include a separate Special Item Number (SIN) with the following scope:
(1) Order-level materials are supplies or services acquired in direct support of a contractor's offerings and which are unknown before a task or delivery order is placed against the FSS contract or FSS BPA); including, direct materials, subcontracts for supplies and incidental services for which there is not a labor category specified in the FSS contract, other direct costs, and indirect costs. Order-level materials are subject to a negotiated price ceiling that the contractor exceeds at its own risk.
(2) Items awarded under ancillary supplies or other direct cost (ODC) SINs are not order-level materials.
(b) The order-level materials SIN cannot be the only awarded SIN on a FSS contract or FSS BPA.
(c) Price Pricing analysis for order-level materials is not conducted when awarding the Federal Supply Schedule FSS contract or FSS BPA; therefore, sections 538.270 and 538.271 do not apply to order-level materials.
(a) Federal Supply Schedule Contracting Officers should consider requesting the assistance of members of the acquisition team responsible for contract administration functions (e.g., Administrative Contracting Officers, Industrial Operations Analysts) when evaluating the use of order-level materials at the FSS contract-level.Task or delivery orders including order-level materials placed against FSS contracts should be monitored to ensure special ordering procedures are being followed at GSAR 552.238-115(d).
(b) Except as stated in 552.238-115(d)(10)(11), all terms and conditions that otherwise apply to the FSS contract also apply to order-level materials. For example, order-level materials must comply with the Trade Agreements Act clauses, the Environmental Attributes clause, and the Industrial Funding Fee and Sales Reporting clauses.
(a) Use FAR clause 52.212-4 Alternate I in all Federal Supply Schedules authorized for the acquisition of order-level materials (see 538.7201(b)). Use the following language for the clause fill-in—
(1) Insert “Each order must list separately subcontracts for services excluded from the FSS Hourly Rates” in paragraph (e)(1)(iii)(D).
(2) Insert “Each order must list separately the elements of other direct costs for that order” in paragraph (i)(1)(ii)(D)(1).
(3) Insert “Each order must list separately the fixed amount for the indirect costs and payment schedule; if no indirect costs are approved,” insert “None” in (i)(1)(ii)(D)(2).
(b) Use 552.238-115, Special Ordering Procedures for the Acquisition of Order-Level Materials, in all Federal Supply Schedules authorized for the acquisition of order-level materials (see 538.7201).