Agencies to get new IT buying guidance
A GAO review highlighted an overall lack of understanding of how to procure IT services on the Federal Supply Service schedules
To address booming sales and a lack of understanding, the General Services
Administration and the Office of Management and Budget will put out revised
guidance for all federal agencies on how to buy information technology services
off the Federal Supply Service schedule contracts.
A General Accounting Office review of four Department of Defense contracting
offices highlighted an overall lack of understanding of how to procure information
technology services on the FSS schedules.
The GAO review of 22 DOD IT services buys — together totaling more than
$112 million — found that 17 contracting officers did not follow GSA and
Federal Acquisition Regulation procedures.
The review covered just a portion of the total increase in use of the
FSS schedules to procure IT services. Overall, government services purchases
off schedule increased from $1.2 billion in fiscal 1998 to $4.4 billion
in fiscal 2000.
GSA and the Office of Federal Procurement Policy have made some guidance
revisions since 1998 to cover services buys. But GAO is concerned that the
key reason the Defense contracting officers did not follow procedure is
that many were not aware of GSA's competition requirements, and the guidance
from the FAR is not clear.
"The lack of clear guidance on when to seek competitive quotes increased
the risk that agencies would not identify and acquire the lowest-cost alternatives
to meet their needs," the report states.
In a response to the report, Carolyn Alston, FSS' deputy assistant commissioner
for acquisition, said that GSA would step up its outreach programs in an
effort to educate agency contracting officers and program managers about
the requirements for placing and managing service orders on the schedules.
Additionally, the OFPP pointed out a draft rule change to the FAR that
would clarify procedures for ordering services from the schedules. Kenneth
Oscar, acting deputy administrator of OFPP, wrote that the agency will be
working with the FAR Council to develop a proposed rule that will address
the GAO concerns.
OFPP is also working with GSA and DOD to write a discussion paper to
address the "effective use" of interagency contracts, including the schedules.
This paper will be included in a handbook that the Department of Defense
is developing on acquiring commercial products and services, and "once the
handbook is issued, we intend to highlight this coverage to civilian agencies
as a handy reference," Oscar wrote.
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