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FMHAC Chatter

Leadership Update Corner

  Category Corner 

  Farewell from the Center Director 

Schedule News

   51V Competitive Pricing Initiative (CPI)

Business Management Division Update

  GSA Marketing Sub-Committee 

  How to Market to the Federal Government      

  FedBizOpps; more then just a place to find RFQ's

Around the Center

  Andrew Pong Volunteers for Child Care Subsidy Program

Financial

   FY14 Q2 compared to FY15 Q2

New Contract Awards

    Welcome new Industry Partners! 

 

Leadership Update Corner

Category Corner:

Picture of May Ruwwe

The Importance of Robust Communication While Strategic Sourcing for Tools and Hardware

 I am going to use this Category Corner to discuss the importance of robust communications on the Strategic Sourcing vehicles currently in place in our Category. As most of you are aware, last year, we awarded a Maintenance and Repair Operations (MRO) Federal Strategic Sourcing Instrument (FSSI). This MRO FSSI is a Blanket Purchase Agreement (BPA) and contains tools, hardware and paints, sealants and adhesives. There are currently ten Schedule 51V contract awardees.

While this BPA was awarded against Schedule 51V, I believe it will be worthwhile for all contract holders in our Center to be aware of the FSSI vehicle and the importance of robust communications on these strategic sourcing instruments. We have learned that this communication is important between all stakeholders; our federal strategic partners, our industry community and our internal GSA associates.     

For starters, we need to keep our federal strategic partners in the communications loop regarding the scheduled roll out of the vehicle, achieved savings, pricing modifications, changes to GSA Advantage, etc. The more informed the vehicle users are, the more comfortable they will be with using the vehicle. We also learned the importance of constantly communicating with our industry partners regarding major milestones, on-ramp and off-ramp procedures, customer feedback, lessons learned, vehicle sales, etc. Our Industry Partners are frequently on the front line with customers and it is paramount that they understand all facets of the FSSI vehicles.

And lastly, regarding communication, we have also learned the importance of robust communications between our internal associates. Simple contract modifications on the Schedule side can have a direct impact to the BPA. A good example of this is pricing modifications. Contracting Officers on both the Schedule and the BPA need to always be aware that pricing modifications not only affect Schedule pricing but also the pricing on the BPA. 

Thank you 

Mary Ruwwe

Regional Commissioner FAS R6

 

Farewell from the Center Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                   

Effective, July 6, 2015, I will be leaving my position as the Director over the FMHAC (Future Heartland Acquisition Center) to take a position with our Region's National Customer Service Center. I look forward to my new challenge but will definitely miss my time spent in the Center.

When I started in the Center in 2000, I was an Acquisition Director in a Center that included both Schedules and Supply procurement. Throughout the years, the name of our Center has changed and my role has evolved, but along the way our main focus has always been our customers and our industry partners as valued stakeholders.

It has been a pleasure to work with many of you over the years and for those of you that are new to our program, I sincerely welcome you.

Elaine Rasmussen will serve as Acting Director over the Center so expect to hear from Elaine in the next edition of the Chatter.

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Schedule News

51V Competitive Pricing Initiative (CPI)

Recently all of the 51V Schedule contractors received a letter about the Competitive Pricing Initiative (CPI). As stated in the letter, Federal Acquisition Service (FAS) is committed to providing a Federal Supply Schedules (FSS) program that continues to deliver to our customers a best-in-class contract solution for commercial items that is adaptable and competitive in the Federal marketplace. Our customers tell us they turn to the FSS program for its speed, compliance, and access to small businesses. They also tell us that they want a more competitive pool of contractors at the contract level to improve competition at the task order level. Based upon the buying power of the Federal Government, it is imperative that 51V contractors offer Federal customers their very best price.  

An analysis of the FSS program has revealed wide pricing disparities across identical items resulting in customer confusion and decreased confidence in the ability of the FSS program to provide best-value solutions. In response to these customer concerns and changing market conditions, FAS is working with each of you to review the wide range of prices for identical products that are offered to our customers in an effort to ensure the Government is getting the benefit of your best prices.   

You were provided with spreadsheets as they pertained to your company in which GSA identified those items flagged outside the acceptable range for similar items. Recognizing that both price and non-price factors (such as contract terms, warranties, etc.) play an important role in the determination of competitive pricing, each of you has been asked to revisit pricing, to consider lowering your price, and to provide additional information in order to help us determine the rationale for the higher price if it cannot be lowered.     

We recognize that pricing is but one component of best value and would like to work with you to ensure that FSS pricing is competitive. Please help us improve further and expand the FSS program.  By addressing price variability, the program will better meet our customers’ expectations and help you be more competitive in the Federal marketplace. A recent pilot program making use of the pricing tool and analysis demonstrated that some suppliers provided with competitive pricing intelligence were able to make price adjustments that increased their Federal revenue. 

Price reductions are strictly voluntary at this time, but you are strongly encouraged to become more competitive. Thank you, in advance, for your cooperation as we partner to make the FSS program the obvious first-choice solution for Government buyers. We are happy to answer any questions you may have regarding this request. Please contact Ellen Upchurch at (816) 926-7808 (ellie.upchurch@gsa.gov), or Kim Kittrell, (816) 823-1288 (kim.kittrell@gsa.gov) for further assistance.

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Business Management Division Update

GSA Marketing Sub-Committee

The GSA Marketing Sub-Committee consists of 132 GSA contractors whose contract is either Schedules 51V or 03FAC. The mission of the committee is to exchange information pertaining to our contracts and keeping current with the changes within Federal Government procurement. Members email me questions asking for marketing help regarding DLA interpretations of data, and anything else where they don't know where else to go for the answers. My job, as the editor of the bulletin, is to find answers to their questions by using my contacts within GSA, PTAC, SBA, and the Business Development Center within the Heartland Acquisition Center (HAC). 

If you would like more information or want to join us, please e-mail  Marvin Steinlauf at All Foam Products or by phone (847) 913-9341. 

 

How to Market to the Federal Government

The Facilities Maintenance and Hardware Acquisition Center (FMHAC), Business Management Division (BMD) offers a half day course to all 03FAC and 51V contract holders. This course covers a variety of information to assist our contract holders with the best way to market to the federal government. This course is done via webinar at no charge to you.

During the half-day session, you will learn about:

  • Who in the federal government buys the products or services you sell;
  • How to start developing a contact list utilizing the Fed Biz Ops archives;
  • The importance of developing relationships with end users and contracting officers;
  • Assistance available to small businesses;
  • Where to look for federal buying trends;
  • Procurement Technical Assistance Centers (PTAC);
  • Where to advertise and how to make your company stand out;
  • Advantages of having a GSA Schedule contract and the highlights of the MAS program;
  • Trade shows;
  • Learn about ordering procedures; and,
  • FMHAC's partnering corner.

Sign up for a marketing session by sending an email to the Business Management Branch with your company information, GSA Schedule Contract number, and POC information. 

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FedBizOpps; more then just a place to find RFQ's

Did you know that FedBizOpps (FBO) can be used for more than finding RFQ's? You can utilize FBO by creating a customer contact list, see a specific agencies buying trend, as well as find out when a task order expires. You can set up keyword searches specific to your company and receive an automatic email of the opportunities that fall within your keyword. From there you can get the agencies point of contact, details about the task as well as the contracting agency. Go to FedBizOpps and under the Getting Started tab, Vendors, there are videos explaining how to do all this and more. If you need further assistance, please contact the Business Management Division at (816) 926-6760 or hssmarketing@gsa.gov

 

Around the Center 

Andrew Pong Volunteers for Child Care Subsidy Program

Andrew Pong, Business Development Specialist, with the Business Development Branch, will be assisting with a child care subsidy program that GSA administers during a 60-day detail. This program permits Federal agencies to assist Federal employees with their child care costs. Andrew will work to assist 10,000 Army soldiers and their families with subsidies for their families while they are deployed, their spouses are in school, or working.  

To help make childcare more affordable for Federal employees, Public Law 107-67 was enacted on November 12, 2001. The law permits agencies in the Executive Branch of the Federal government to assist Federal employees with their child care costs. For more information about implementation of this law, go to the OPM Work/Life Child Care Subsidy website.

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Financial

FY14 Q2 compared to FY15 Q2

Schedule 51V sales are up more than 24% in the 2nd quarter alone. Year to date through March, Schedule 51V is up more than 18%. This continues to e a good news story and is directly attributable to the MRO FSSI. 

Schedule 03FAC sales are down by 3% year to date through March. We did anticipate a small amount of negative growth in the Schedule 03FAC this year due to declining federal budgets. 

FY14 Q2 compared to FY15 Q2 Only

Schedule FY14 Q2 FY15 Q2 Percent Change
51V 130,198 161,628 24.14%
03FAC 125,329 117,114 -6.55%
Total 255,527 278,742 9.09%

              

FY14 Q2 compared to FY15 Q2 CUMULATIVE

Schedule FY14 Q2 FY15 Q2 Percent Change
51V 320,046 377,970 18.10%
03FAC 250,273 242,499 -3.11%
Total 570,319 620,469 8.79%

 

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New Contract Awards

Contractor Name Contract Number Schedule
CHESAPEAKE PETROLEUM & SUPPLY GS-21F-039CA 51 V
EXCEL INDUSTRIES GS-21F-040CA 51 V
SYS-TEK GS-21F-022CA 03FAC
AXIS ELECTRIC GS-21F-038CA 03FAC
VICAL ENERGY CONSULTANTS GS-21F-041CA 03FAC
VETERANS DEVELOPMENT CORPORATION GS-21F-042CA 03FAC

 

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Redistribution of this newsletter or any part of it should be coordinated with GSA prior to use. 

 


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