Under a new policy, the Defense Department wants its contracting officers to determine fair and reasonable pricing for each purchase when using General Services Administration schedules contracts.

      Richard Ginman, director of defense procurement and acquisition policy, issued the class deviation on March 13. It states that while GSA schedules prices are fair and reasonable for the purpose of obtaining a schedules contract, that does not absolve DOD contracting officers from making their own determinations of fair and reasonable prices.

      Ginman explained the new policy to Federal News Radio.

      “The price range on the schedules can (vary by) 70%, 80%, 90% or 200%,” Ginman said. “The same nationally stock-numbered item (stapler) is listed on the schedule at $11 and $31," he said. "I gotta tell you, I really don't want to pay $31 for the same stapler I could buy for $11.”

More information: DOD memo http://goo.gl/GgAr73
Federal News Radio interview:http://goo.gl/jm6QuE