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GSA Plan Threatens Office Products Vendors

Some small vendors will likely be shut out when GSA awards blanket purchase agreements for a wide array of everyday office products.

The Government Accountability Office said about 60 small vendors sold items through GSA’s Global Supply Stock Program in 2007. GSA plans to begin offering 550 products such as pens, copier paper and tape through a new Direct Vendor Delivery Program.

GAO said, “While the precise effect is currently unclear, GSA’s proposed DVD Program would likely decrease the number of small businesses selling office supplies under Global Supply.”

GSA has not said how many BPAs it plans to award under the Direct Delivery program, but said it will give preference to small vendors. The solicitation for the BPA was issued in November.

Several small office-supply dealers told GAO they fear increased costs under the BPA, because they will be required to hold larger inventories and deliver shipments within four days.

GSA said it created Direct Vendor Delivery because of declining sales of office products through its Global Supply program as federal agencies turned to purchase cards, strategic sourcing and other ways of buying common office supplies.

Small businesses accounted for almost 40% of office products sales through Global Supply in 2007.


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