July 22 2005 Copyright 2005 Business Research Services Inc. 301-229-5561 All rights reserved.
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GSA Promotes Preferences For Small Businesses on Schedules GSA has issued a policy letter permitting buyers to give preference to small businesses when ordering through GSA schedules. The letter, signed by GSA’s senior procurement executive, David Drabkin, says “ordering activities seeking to use the multiple award schedules program to achieve their agency small businesses goals, may make socioeconomic status a primary evaluation factor when making a best value determination.” Set-asides are not permitted under the schedules. The Federal Acquisition Regulation councils adopted a rule last year permitting buyers to consider socioeconomic status. The new GSA policy takes that one step further. The interagency group representing offices of small and disadvantaged business utilization had urged the councils to allow GSA schedule task orders to be set aside under the “rule of two,” to reserve all orders under $100,000 for small businesses and to give a 10% price evaluation advantage to small firms. None of those recommendations was adopted. (SAA, 6/25/04) GSA says small businesses won 37% of dollars awarded under the schedules in fiscal 2004. About 80% of schedule contractors are small.
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