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Rulemaking » GSAR Case 2008-G517; Cooperative Purchashing-Acquisition of Security and Law enforcement Related Goods and Services (Schedule 84) by State and Local Governments Through Federal Supply Schedules) (Comment #7)
GSAR Case 2008-G517; Cooperative Purchashing-Acquisition of Security and Law enforcement Related Goods and Services (Schedule 84) by State and Local Governments Through Federal Supply Schedules) (Comment #7)
Document ID: GSA-GSAR-2008-0007-0055
Document Type: Public Submission
Agency: General Services Administration
Received Date: October 20 2008, at 01:11 PM Eastern Daylight Time
Date Posted: November 18 2008, at 12:00 AM Eastern Standard Time
Comment Start Date: September 19 2008, at 12:00 AM Eastern Standard Time
Comment Due Date: November 18 2008, at 11:59 PM Eastern Standard Time
This bill is not a good thing for the Fire and Rescue Service of this country.
Products typically sold into this industry require a series of complicated standards
be met, require pre-sale demonstration and post sale training/education, often
sizing and fitting of personal protective clothing items is needed, and finally
service of expensive items, subject to harsh environments, and often responsible
for protecting the fire fighter's life, is accomplished by the local distributor. Local
distributors also provide local inventory available to the Fire & Emergency Service,
which is often needed during or immediately after an emergency. If the GSA is
successful in persuading enough Municipal Fire Depts. and manufacturers to
participate, local distribution will be unable to continue in business, and once
gone, who will be there to provide these services?
I recently attended a meeting in Tucson, AZ, where Josh Sawislak, Senior
Advisor to the Administrator of the U.S. General Services Administration spoke.
He outlined a program which effectively fixed prices to a complete industry. If the
manufacturers or distributors had joined to set national pricing to the complete
industry, we would have been guilty of any number of felonies. I am confused how
the GSA is exempt from these same practices. In example, Akron fire nozzle
model ###, is placed on GSA schedule 84 by Akron for $100., Akron has been
required by GSA, to give them the "Best Customer" pricing for this nozzle. Akron
may or may not choose to administer sales through it's regional distribution,
possibly cutting the distributor out of the sale. Either way, virtually the entire fire
industry, State, County, City, Town, and Volunteer ( even Volunteer Fire Depts.
are a part of a local county,city etc.) now have a nationwide price set for this item.
No dealer participating in the GSA system, through their manufacturer, nor the
manufacturer can sell anyone nozzles for a dollar under the GSA price, nor can
they sell for one dollar more, because virtually all customers qualify for the GSA
pricing. This could be a major problem in the competitive bid process, when non-
GSA bidders are free to quote what they wish, but GSA bidders cannot bid lower
without compromising the existing GSA price, and possibly all the previous
business done on GSA, involving this item. In competitive bid situations non-GSA
bidders will obviously know what the GSA affiliated bidders can bid, giving them an
unfair advantage.
I would also suggest, current GSA contracts and pricing, do not allow for the
supported sales I described earlier in this comment. Should this program be
successful, pricing will eventually be adjusted to allow for that needed support,
and the Federal Government will be paying more for the GSA products they
currently buy from our industry.
I recognize this bill was signed into law, and we must muddle through it, at least
for now, but let the record show, it is not a good thing for our industry. Fortunately
many of our manufacturers and Fire & Rescue service customers are not
considering this as a workable opportunity, and intend to opt away from the
program. I would hope if and when, this proves not to work for our industry, Fire
and Rescue products could be removed from the Security and Law enforcement
Schedule and this potentially dangerous situation could be put behind our
industry.
GSAR Case 2008-G517; Cooperative Purchashing-Acquisition of Security and Law enforcement Related Goods and Services (Schedule 84) by State and Local Governments Through Federal Supply Schedules) (Comment #7)
This is comment on Rule
GSAR Amendmnt 2008-02; GSAR Case 2008-G517; Cooperative Purchasing-Acquisition of Security and Law Enforcement Related Goods and Services (Schedule 84) by State and Local Governments Through Federal Supply Schedules (Change 23)
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