General Services Administration Acquisition Regulation; White Paper-Adding Ancillary Repair and Alteration Services to the General Services Administration Schedules Program, 48953-48961 [05-16254]
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Federal Register / Vol. 70, No. 161 / Monday, August 22, 2005 / Notices
A. Federal Reserve Bank of New
York (Jay Bernstein, Bank Supervision
Officer) 33 Liberty Street, New York,
New York 10045-0001:
1. NBT Bancorp, Inc., Norwich, New
York, to merge with CNB Bancorp, Inc.,
and thereby indirectly acquire City
National Bank and Trust Company, both
of Gloversville, New York.
B. Federal Reserve Bank of San
Francisco (Tracy Basinger, Director,
Regional and Community Bank Group)
101 Market Street, San Francisco,
California 94105-1579:
1. Zions Bancorporation, Salt Lake
City, Utah; to acquire 100 percent of The
Commerce Bank of Oregon (in
organization), Portland, Oregon.
Board of Governors of the Federal Reserve
System, August 16, 2005.
Robert deV. Frierson,
Deputy Secretary of the Board.
[FR Doc. 05–16561 Filed 8–19–05; 8:45 am]
BILLING CODE 6210–01–S
FEDERAL RESERVE SYSTEM
Formations of, Acquisitions by, and
Mergers of Bank Holding Companies;
Correction
This notice corrects a notice (FR Doc.
05-16089) published on page 53354 of
the issue for Tuesday, August 9, 2005.
Under the Federal Reserve Bank of
Cleveland, the entry for Rurban
Financial Corporation, Defiance, Ohio,
is revised to read as follows:
Federal Reserve Bank of Cleveland
(Cindy West, Manager) 1455 East Sixth
Street, Cleveland, Ohio 44101-2566:
Rurban Financial Corporation,
Defiance, Ohio; to merge with Exchange
Bancshares,Inc., and thereby acquire
The Exchange Bank, both of Luckey,
Ohio.
Comments on this application must
be received by September 8, 2005.
Board of Governors of the Federal Reserve
System, August 16, 2005.
Robert deV. Frierson,
Deputy Secretary of the Board.
[FR Doc. 05–16563 Filed 8–19–05; 8:45 am]
FEDERAL RESERVE SYSTEM
Notice of Proposals to Engage in
Permissible Nonbanking Activities or
to Acquire Companies that are
Engaged in Permissible Nonbanking
Activities
The companies listed in this notice
have given notice under section 4 of the
Bank Holding Company Act (12 U.S.C.
1843) (BHC Act) and Regulation Y (12
17:01 Aug 19, 2005
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Board of Governors of the Federal Reserve
System, August 16, 2005.
Robert deV. Frierson,
Deputy Secretary of the Board.
[FR Doc. 05–16562 Filed 8–19–05; 8:45 am]
BILLING CODE 6210–01–S
(R&A) services to the GSA Schedules
Program. The Federal Acquisition
Regulation (FAR) describes R&A
services as a subset of construction
services. As such, the GSA Schedules
Program has not been able to provide
fully-integrated solutions that often
involve R&A services. The GSA requests
that interested parties provide
comments.
Interested parties should submit
written comments to the FAR
Secretariat on or before October 21,
2005 to be considered in the
formulation of a final rule.
DATES:
Submit comments
identified by GSAR notice 2005–N02 by
any of the following methods:
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
• Agency Web Site: https://
www.acqnet.gov/GSAM/
gsamproposed.html. Click on Proposed
Rules, and the GSAR Case number to
submit comments.
• E-mail: gsarnotice.2005–
N02@gsa.gov. Include GSAR notice
2005–N02 in the subject line of the
message.
• Fax: (202) 501–4067.
• Mail: General Services
Administration, Regulatory Secretariat
(VIR), 1800 F Street, NW., Room 4035,
Attn: Laurieann Duarte, Washington, DC
20405.
Instructions: Please submit comments
only and cite GSAR notice 2005–N02 in
all correspondence related to this
notice. All comments received will be
posted without change to https://
www.acqnet.gov/far/ProposedRules/
proposed.htm, including any personal
and/or business confidential
information provided.
ADDRESSES:
The
Regulatory Secretariat (VIR), Room
4035, GS Building, Washington, DC
20405, (202) 208–7312, for information
pertaining to status or publication
schedules. For clarification of content,
contact Ms. Linda Nelson, Procurement
Analyst, at (202) 501–1900 or by e-mail
at linda.nelson@gsa.gov. Please cite
GSAR notice 2005–N02.
FOR FURTHER INFORMATION CONTACT:
GENERAL SERVICES
ADMINISTRATION
[GSAR 2005–N02]
General Services Administration
Acquisition Regulation; White Paper—
Adding Ancillary Repair and Alteration
Services to the General Services
Administration Schedules Program
BILLING CODE 6210–01–S
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CFR Part 225) to engage de novo, or to
acquire or control voting securities or
assets of a company, including the
companies listed below, that engages
either directly or through a subsidiary or
other company, in a nonbanking activity
that is listed in § 225.28 of Regulation Y
(12 CFR 225.28) or that the Board has
determined by Order to be closely
related to banking and permissible for
bank holding companies. Unless
otherwise noted, these activities will be
conducted throughout the United States.
Each notice is available for inspection
at the Federal Reserve Bank indicated.
The notice also will be available for
inspection at the offices of the Board of
Governors. Interested persons may
express their views in writing on the
question whether the proposal complies
with the standards of section 4 of the
BHC Act. Additional information on all
bank holding companies may be
obtained from the National Information
Center website at www.ffiec.gov/nic/.
Unless otherwise noted, comments
regarding the applications must be
received at the Reserve Bank indicated
or the offices of the Board of Governors
not later than September 6, 2005.
A. Federal Reserve Bank of New
York (Jay Bernstein, Bank Supervision
Officer) 33 Liberty Street, New York,
New York 10045-0001:
1. NordDeutsche Landesbank
Girozentrale, Hannover, Germany; to
engage de novo through its subsidiary,
Nord/LB Financial Services LLC, in
financial advisory services, pursuant to
Sections 225.28(b)(1),(6) and (7) of
Regulation Y.
48953
AGENCIES: Office of the Chief
Acquisition Officer, General Services
Administration (GSA).
ACTION: Notice with a request for
comments.
SUMMARY: The General Services
Administration (GSA) is considering
adding ancillary Repair and Alteration
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SUPPLEMENTARY INFORMATION:
A. Background
GSA invites the general public and
other Federal agencies to comment on
the following White Paper that includes
specific questions at the end. In
particular, GSA encourages comments
regarding its impact on small
businesses.
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Federal Register / Vol. 70, No. 161 / Monday, August 22, 2005 / Notices
Dated: August 11, 2005.
Roger D. Waldron,
Acting Senior Procurement Executive, Office
of the Chief Acquisition Officer, General
Services Administration.
White Paper—Adding Ancillary Repair
and Alteration Services to the GSA
Schedules Program
The General Services Administration
(GSA) is considering the possibility of
adding ancillary Repair and Alteration
(R&A) services to the GSA Schedules
Program. Over the past several years, we
have become increasingly aware of a
growing number of customer
requirements that fall within the scope
of the GSA Schedules but which require
ancillary R&A services. Historically, the
GSA Schedules have not provided an
avenue by which a customer could
obtain these combined requirements.
Consideration of adding ancillary R&A
services is an attempt to extend the
benefits realized through the GSA
Schedules Program and to offer onestop, total solutions to our customers.
The first step is to determine whether
GSA should add ancillary R&A services
to the GSA Schedules Program. Should
GSA decide to proceed, the next step is
to determine the best approach for
implementation. The implementation
options GSA is examining include: (a)
Adding a new Special Item Number
(SIN) to existing GSA Schedules, (b)
create a new Schedule, or (c) utilizing
any other viable alternative to
incorporate R&A services to the GSA
Schedules Program.
The North American Classification
System (NAICS) and the Federal
Acquisition Regulation (FAR) describe
R&A services as a subset of construction
services. Contractors that are engaged in
this industry are commonly known as
general contractors (NAICS Subsector
236), or specialty trade contractors
(NAICS Subsector 238). General
contractor types may arrange the
performance of separate parts of the
project through subcontracts with other
contractors. The specialty trade
contractors perform a specific
component (e.g., electrical work,
painting) of the project. They often
perform remodeling and repair type
tasks associated with purchase of
various other supplies or services (visit
https://www.census.gov/epcd/www/
naics.html for additional information on
NAICS codes).
The following is a sample of GSA
schedules that include supplies or
services whose purchase often requires
the associated performance of ancillary
R&A services: Furniture Schedules 71–
I (Office Furniture), 71–II (Household
and Quarters Furniture), 71–II–H
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(Packaged Furniture), 71–II–k
(Comprehensive Furniture Management
Services), 71–III (Special Use Furniture),
72–I–A (Floor Coverings) and 72–II
(Furnishings); and Schedule 70
(Information Technology). A thorough
analysis of the current Schedules to
determine which require inclusion of
ancillary R&A services will be
conducted upon decision to proceed. A
complete listing of current GSA
Schedules is available on the Schedules
e-Library (www.gsa.gov/e-library).
Given the GSA Schedules identified
above, the following scenario
realistically describes the current
challenge a customer faces when
acquiring supplies and services covered
by the GSA Schedules that require
ancillary R&A services: An agency
customer purchases new office furniture
using GSA Schedule 71–I and new
computers using Schedule 70. The
customer’s requirement also includes
room alterations to accommodate the
new furniture and installation of
network cable for the new computers.
Thus, the customer’s total solution
requires ancillary R&A type tasks
associated with the purchase of office
furniture and computers. The current
GSA Schedule model fails to provide
customers with the integrated program
design necessary to achieve the total
solution needed because the abovementioned customer must procure
additional R&A services to—
• Alter a wall to appropriate the new
furniture: a general contractor, NAICS
236210 (Industrial Building
Construction—Addition, Alteration and
renovation, general contractors); and
• Install computer and network cable
for the new computers: A specialty trade
contractor, NAICS 238210 (Electrical
Contractors—Computer and network
cable installation).
Currently, when utilizing the GSA
Schedule to procure the principal
supplies and services, the customer
must acquire the ancillary R&A services
from another procurement vehicle. As a
result of the need to conduct an
additional procurement, the customer is
subject to inefficiencies, increased costs,
unnecessary complexities as well as
delay in realizing the end results.
Adding ancillary R&A services to the
GSA Schedule would allow GSA to
provide the customer with a one-stop,
total solution process.
This document discusses the various
relevant issues such as: Statutory/
regulatory considerations, scope,
pricing, competition, and clause
applicability. Additionally, a primary
GSA concern is the impact this
initiative will have on small business.
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GSA seeks comments from all
stakeholders, and in particular, from
small businesses to determine both the
feasibility of this effort and how best to
achieve the desired results.
I. The GSA Schedules Program
Overview
In a general sense, the role performed
by the GSA under the GSA Schedules
Program is that of a market maker,
providing industry and customer
agencies the necessary vehicles to come
together and transact their business.
Specifically, the GSA Schedules
Program provides Federal agencies with
a simplified process for obtaining
commonly used commercial supplies
and services at prices associated with
volume buying. GSA awards indefinite
delivery contracts to commercial firms
to provide supplies and services at
stated prices for given periods of time.
GSA schedule contracts are firm fixed
price or firm fixed price with economic
price adjustment type. They are
typically evergreen (awarded with a 5year base period and three 5-year
options) and include conditions under
which a contractor may offer price
discount to authorized users without
triggering mandatory across-the-board
price reduction.
Prior to awarding a schedule contract,
GSA determines the contractor to be
responsible in accordance with FAR
subpart 9.1, negotiates and approves an
acceptable subcontracting plan for large
businesses, and negotiates and awards
fair and reasonable pricing based on the
firm’s Most Favored Customer rates.
Because GSA performs much of the upfront work, agencies then benefit from a
streamlined ordering process.
Under the GSA Schedules Program’s
continuous open solicitation policy,
offers for commercial supplies or
services may be submitted at any time.
Similarly, contractors may request to
add supplies/services to their contracts
at any time during the term of their
contract.
GSA Schedule Pricing Policies
Because GSA Schedule contracts are
awarded under commercial terms and
conditions, GSA uses a price-based
approach to negotiate contract pricing.
This approach relies on the prices of the
supplies/services that are the same or
similar to those in the commercial
marketplace. Under this approach,
submission of cost or pricing data is not
required.
GSA’s negotiation objective is to
receive prices that are equal or better
than a company’s ‘‘Most Favored
Customer’’ pricing. To arrive at a price
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that the Government considers fair and
reasonable, offerors are required to
submit information pertaining to their
commercial sales and discounting
practices using the Commercial Sales
Practices Format (see Attachment) that
is included in each GSA Schedule
solicitation.
Under the Economic Price
Adjustment clause, Schedule
contractors may increase or decrease
prices according to their commercial
practice. Price decreases may be
submitted at any time during the
contract period. Price increases,
resulting from a reissue or modification
of the contractor’s commercial catalog
that formed the basis for award, can
only be made effective on or after the
initial 12 months of the contract period,
and then periodically thereafter for the
remainder of the contract term.
services. In a July 2003 memorandum
entitled ‘‘Applicability of FAR part 12 to
Construction Acquisitions,’’ Angela
Styles, former Office of Federal
Procurement Policy Administrator,
indicated that routine alteration and
repair services are considered
commercial and may be acquired using
FAR part 12 procedures (this
memorandum may be accessed at the
following Web site under ‘‘Memos’’:
https://www.acqnet.gov/AcqNet/Notes/).
Consistent with the memorandum, it is
not GSA’s intent to circumvent the
unique construction-related
requirements contained within FAR part
36 when incorporating ancillary R&A
services to the GSA Schedules. The
following excerpt from the
memorandum describes the scope of the
ancillary R&A services envisioned by
this initiative:
The Ordering Process
* * * routine painting or carpeting, simple
hanging of drywall, everyday electrical or
plumbing work, and similar noncomplex
services, as well as for purchases of
commercial construction material and
associated ancillary services.
The GSA Schedules Program provides
a streamlined ordering process for
customer agencies. The specific
ordering requirements that a customer
must follow are governed by whether
the requirement is for supplies or for
services and the dollar value of the
order. The ordering procedures are
contained in FAR subpart 8.405–1 and
8.405–2 and may be accessed via the
following Web site: https://
www.acqnet.gov/far/.
A unique feature of the GSA
Schedules Program is the Maximum
Order Threshold (MOT). The MOT
represents the level above which
customers should seek additional price
reductions from Schedule contractors.
Contractors are not required to accept
orders above the MOT, but they may
elect to accept any size order.
The GSA Schedules Program also
affords contractors an opportunity to
join with other Schedule contractors in
teaming arrangements to fill specific
customer orders. Not only does this
increase a contractor’s opportunities for
business, but it also enables customers
to achieve a ‘‘total solution’’ to meet
their needs.
II. Issues, Questions, and Alternatives
for Consideration
Statutory/Regulatory Requirements for
R&A Services
There are statutory and regulatory
considerations associated with the
addition of R&A services to GSA
Schedules Program.
A primary issue is the fact that GSA
Schedule contracts are typically
awarded using the procedures outlined
in FAR part 12, which governs the
acquisition of commercial supplies and
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In order to safeguard the government’s
interests and to comply with applicable
labor laws, GSA proposes including all
of the required statutory/regulatory
requirements pertaining to ancillary
R&A services. Some of the major
statutory requirements applicable to
R&A services include:
• Davis Bacon Act
• Copeland Act (Anti-Kickback)
• Contract Work Hours and Safety
Standards Act
• Miller Act (bonds)
Matrices detailing all of the required
clauses for both construction and
commercial item contracts may be
found at https://www.arnet.gov/far/
current/matrix/Matrix_01.html and at
https://www.arnet.gov/GSAM/gsam.html.
A second issue is the consideration of
whether to implement the abovementioned requirements at the contract
level or at the task order level.
Currently, when an agency customer
uses the GSA Schedules to procure a
requirement to which additional
agency-specific restrictions are
applicable, the agency-unique
provisions may be incorporated at the
task order level as long as they do not
conflict with the underlying Schedule
terms and conditions. Security
clearances are an example of such a
requirement.
Just as agency-unique provisions are
addressed at the task order level, it
appears that the Miller Act requirements
should be dealt with in a similar
fashion, for similar reasons. The FAR
contains thresholds and differing
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48955
provisions for bonding at various
thresholds. Acknowledgement of the
Miller Act and other FAR mandated
payment/performance protection
requirements should take place at the
contract level. However, the
implementation of the actual
requirement would be enacted at the
task order level as appropriate.
Contract Scope and Its Impact on
Competition
GSA ensures that the GSA Schedules
afford ordering agencies the maximum
opportunity to compete requirements
under the program (as of June 2004,
there are 15,546 Schedule contracts in
effect). Additionally, increasing
procurement opportunities for small
businesses is and has been a major GSA
initiative. GSA works hard to ensure
that small, veteran-owned small,
service-disabled veteran-owned small,
HUBZone small, small disadvantaged,
and women-owned small business
sources have every opportunity possible
to participate in the Federal
procurement process.
GSA is fully committed to
strengthening the sustainability of the
25 million small businesses in America.
Under the Schedules Program, GSA
actually exceeds the expectations of the
Small Business Administration. The
governmentwide goal for contracting
with small businesses is 23 percent. In
FY 2002, small businesses received 34.8
percent of the total $21.1 billion in
Schedule sales and in FY 2003, small
businesses received 35.6 percent of the
total $25.6 billion in sales. As of Q3 FY
2004, small businesses received 35.7
percent of the total Schedule sales; and
approximately 80 percent or 12,414 of
15,546 GSA Schedule contracts awarded
is with small businesses.
Many existing GSA Schedule
contracts are worldwide in scope in the
sense that firms may elect to offer
delivery of supplies and services
domestically, overseas, or
internationally. It is possible that the
inclusion of ancillary R&A services in
contracts having worldwide scope may
have an adverse impact on certain
businesses. While some R&A firms are
national in scope, most are regional or
locally based and they must be duly
licensed under local jurisdictions.
Therefore, GSA may consider narrowing
the scope of a resultant R&A Schedule
to designated regional areas.
As indicated previously, the scope of
the R&A services being contemplated is
ancillary in nature to existing Schedule
supplies/services and represent minor
repairs and alterations. The GSA
Schedules containing ancillary R&A
services must be consistent with all
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rules and regulations and the SOW must
be well-defined.
Pricing
One of the most difficult questions to
address in this area is how to negotiate
pricing for ancillary R&A services under
the GSA Schedules Program. As noted
above, Schedule contracts are
predicated on the Government’s
negotiation of most favored customer
discounts from contractors’ established
prices for commercial supplies/services.
On a typical Schedule contracts
providing services, pricing is negotiated
based on fully-loaded hourly rates for
the type of service to be provided.
Ordering agencies seeking services
would provide the SOW and ask
Schedule contractors to quote fixed
rates and the level of effort/mix of labor
for such services. However, it has been
suggested that ancillary R&A services do
not readily lend themselves to such a
pricing methodology due to the
numerous labor categories generally
involved in an R&A project and all of
the variables that come into play at the
work site.
Listed below are some alternatives for
pricing ancillary R&A services under a
GSA Schedule contract:
a. Award the R&A Schedule contracts
without pricing, allowing customers to
compete and negotiate pricing for
individual requirements among the
various Schedule contractors. This is
similar to the method that GSA’s Public
Buildings Service (PBS) currently
utilizes in the award of multiple award
indefinite delivery/indefinite quantity
construction contracts. Although
customers would still need to negotiate
prices under this alternative, they
would still benefit from GSA having
completed much of the up-front work in
awarding the Schedule contract.
The Schedule contract would provide
them with a source of contractors
already deemed responsible in
accordance with FAR Subpart 9.1. In
addition, GSA would negotiate
subcontracting plans and incorporate
basic terms and conditions into the
contract.
b. Negotiate pricing based on labor
rates for specific geographic areas at the
contract level (including utilization of
techniques such as fixed price
multiplier, applied to the localityspecific Davis Bacon base rates) and
allow the customer to seek price quotes
for individual orders based on the
negotiated labor rates.
c. Negotiate pricing based on the
commercially-accepted Means Cost Data
(e.g., RSMeans Cost Data). The Means
Cost Data is a series of publication that
cover general construction costs in such
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categories as labor, materials,
equipment, as well as pricing for
subcontracting specialties such as
mechanical, concrete/masonry,
plumbing, electrical, and repair and
remodeling. The Means Cost Data also
contain adjustment factors covering
various cities in the United States. If
this approach were adopted, GSA would
need to ensure that the costs contained
in the Means Cost Data are reflective of
and include wage rates that are in
compliance with the Davis Bacon Act. It
may be possible for GSA to negotiate an
agreement with the publishers of the
Means Cost Data to publish an
electronic GSA-unique version of the
publication.
d. Allow firms to propose various
pricing strategies depending upon their
commercial practice. This may take the
form of labor rates, fixed unit prices,
overhead adjustors, markups, share-insavings, etc.
Award Considerations
The following are three suggested
methods to include ancillary R&A
services into the GSA Schedules
Program:
Alternative One—Add an R&A
services SIN to those GSA Schedules
where the purchase of the supply/
service often requires ancillary R&A
services be performed. An issue
associated with this alternative is
whether to restrict award of such a SIN
to only contractors who provide the
primary supply/service or to allow all
responsible offerors to be considered for
award under the ancillary R&A SIN
regardless of whether they are under
contract to provide the related supplies
and services. This decision may impact
access to small businesses and it may
also require customers to deal with
multiple contractors under teaming
arrangements.
Alternative Two—Establish a new
Schedule specifically for minor R&A
services. An independent schedule for
these services would highlight R&A’s
unique requirements, allowing for a
clear definition of the types of minor
services applicable, identification of the
specialized clauses, unique pricing
instructions if required, different scope
requirements, etc. Existing Schedule
contractors could team with the R&A
Schedule firms to provide a total
solution to customers.
Alternative Three—Combine
Alternative One and Two. This
alternative provides maximum
flexibility to the customers.
Other Considerations
The Public Buildings Act of 1959, as
amended, provides that only GSA and
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those agencies having a delegation from
GSA or having their own independent
authority may enter into construction
contracts. The Department of Defense
(DoD), National Aeronautics and Space
Administration (NASA), and GSA’s
Public Buildings Service (PBS)
represent three dominant procurers of
construction services. Language will be
added to the Schedule and any
associated user-related brochures to
stipulate clearly that only warranted
construction Contracting Officers
representing authorized agencies may
use this Schedule to procure R&A
services.
GSA will need to address how tenants
residing in Government-owned/leased
buildings that are managed by other
authorized Federal agencies (e.g. PBS)
will coordinate the purchase of
Schedule R&A services with the
appropriate building owner/manager.
Agencies that fail to coordinate R&A
services with the appropriate building
owner/manager may find themselves
monetarily responsible for restoring the
space to its original condition. For
example, any alteration of PBScontrolled real property requires
approval/oversight by the PBS Building
Manager. This should be the policy of
all building owner/managers.
Concerned parties have also suggested
that drilling a simple hole in a wall may
interrupt an entire building’s HVAC
system. Therefore, GSA believes it may
be necessary to add requirements for
customers to coordinate all Schedule
R&A services with, and receive approval
from, the appropriate building owner/
manager prior to placing an order
against the R&A Schedule. These
instructions will be included in unique
ordering procedures for Schedule R&A
services and should include:
a. Discussion of the project scope in
detail with the building owner/manager.
b. Proposed work shall not exceed
basic alteration of stud walls of nonstructural gauge hollow metal framing
and will not impact structural
assemblies or load bearing walls. The
work does not preclude utility work
within the basic alteration.
c. All work shall be in strict
accordance with ‘‘Building Standards.’
d. Work shall have no impact on
historical preservation elements or
historic zones.
e. Work shall meet all applicable
building codes, including but not
limited to egress and fire safety
standards.
f. All contractors must comply with
existing policies involving security
requirements for working in federally
owned/leased buildings.
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g. All contractors must possess all
required credentials of the trade(s)
which are to be employed.
h. Work planned should not exceed
$25,000 in construction value.
III. Conclusion
Many issues must be carefully
analyzed and addressed if GSA is to
successfully add ancillary R&A services
under the GSA Schedules Program.
Prior to moving forward, GSA seeks
comments on the entirety of this white
paper and responses to the specific
questions identified below. For
reference, the questions below pertain to
the discussions contained within the
associated subheadings as stipulated
above.
Statutory/Regulatory Requirements
1. Would it be more advantageous to
incorporate and apply the Davis-Bacon
Act requirement at the contract level or
order level?
2. To comply with the Miller Act,
should contractors be required to obtain
the necessary bonds as a condition for
contract award or should this be a
requirement imposed only at the time of
order placement?
3. Other than those addressed above,
are there other significant statutory or
regulatory requirements that apply to
R&A services contracts?
Contract Scope and Its Impact on
Competition
4. Do construction firms typically
conduct their business within a specific
geographic area? If so, what is the usual
scope of that geographic area?
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5. What impact would retaining a
worldwide scope when adding R&A
services to the Schedules have on the
construction industry and on
competition among contractors
interested in participating in the
program? In particular, what would be
the impact on current GSA Schedule
contractors that are small businesses?
6. Would changing the contract scope
specifically for R&A services from
worldwide to regional (covering major
metropolitan areas) afford small firms a
better opportunity to compete for
business under the GSA Schedules
Program?
7. R&A services can include various
types of work on a particular building
or site that is dedicated to and deemed
a part of the worksite. Should
limitations be included in the SOW
contained within the Schedule
solicitation? If so, please provide
suggested language.
Pricing
8. Can GSA apply the same pricing
methodology of negotiating Most
Favored Customer pricing to R&A
service contracts? Does the construction
industry have different categories of
customer for pricing purpose, such as a
Most Favored Customer category?
9. Will the construction industry be
able to provide standard commercial
pricing, terms and conditions under the
Commercial Sales Practices Format so
that GSA can determine the price
reasonableness of a firm’s proposal?
10. How many different labor
categories would typically be involved
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in a contract for construction services
and how are commercial R&A tasks
typically priced?
11. Please comment on the usefulness
and applicability of the proposed
pricing methods. What pricing
alternatives, other than those discussed
in the Pricing section above, should be
considered?
12. Is there any reason why customers
would be unable to use a Firm Fixed
Price, Time and Materials type order to
procure these services from an R&A
Schedule?
Award Considerations
13. Which of the three alternatives set
forth previously do you believe offers
maximum benefit and why?
14. Please suggest any other
alternatives.
Other Considerations
15. Generally, are the GSA Schedule
ordering procedures in FAR Subpart 8.4
suitable for R&A services contracts?
16. Should a maximum order
limitation/threshold be established for
R&A services?
17. Are the items addressed in Section
II, a–h appropriate conditions for
inclusion in the ordering procedures for
Schedule R&A services?
18. What unique criteria, if any,
should be established for a buyer of
R&A services?
General
19. What other issues or concerns
need to be addressed?
BILLING CODE 6820–61–P
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[FR Doc. 05–16254 Filed 8–19–05; 8:45 am]
BILLING CODE 6820–61–C
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Solicitation of Nominations for
Membership on the Secretary’s
Advisory Committee on Human
Research Protections
Department of Health and
Human Services, Office of the Secretary,
Office of Public Health and Science.
ACTION: Notice.
AGENCY:
Authority: 42 U.S.C. 217a, section 222 of
the Public Health Service Act, as amended.
The committee is governed by the provisions
of Public Law 92–463, as amended (5 U.S.C.
Appendix 2), which sets forth standards for
the formation and use of advisory
committees.
SUMMARY: The Office for Human
Research Protections (OHRP), a program
office in the Office of Public Health and
Science, Department of Health and
Human Services (HHS), is seeking
nominations of qualified candidates to
be considered for appointment as
members of the Secretary’s Advisory
Committee on Human Research
Protections (SACHRP). SACHRP
provides advice and recommendations
to the Secretary, HHS, and the Assistant
Secretary for Health on matters
pertaining to the continuance and
improvement of functions within the
authority of HHS directed toward
protections for human subjects in
research. SACHRP was established by
the Secretary, HHS, on October 1, 2002.
OHRP is seeking nominations of
qualified candidates to fill three
positions on the Committee membership
that will become vacant on January 1,
2006.
Nominations for membership on
the Committee must be received no later
than 5 p.m. EST on October 1, 2005, at
the address listed below.
ADDRESSES: Nominations should be
mailed or delivered to: Dr. Bernard
DATES:
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Schwetz, Director, Office for Human
Research Protections, Department of
Health and Human Services, 1101
Wootton Parkway, Suite 200; Rockville,
MD 20852. Nominations will not be
accepted by e-mail or by facsimile.
FOR FURTHER INFORMATION CONTACT: Ms.
Catherine Slatinshek, Executive
Director, SACHRP, Office for Human
Research Protections, 1101 Wootton
Parkway, Suite 200, Rockville, MD
20852. Telephone: 1–240–453–6900. A
copy of the Committee charter and list
of the current membership can be
obtained by contacting Ms. Slatinshek
or by accessing the SACHRP Web site at
https://www.hhs.gov/ohrp/sachrp , or
requesting via e-mail at
sachrp@osophs.dhhs.gov.
The
Committee shall advise on matters
pertaining to the continuance and
improvement of functions within the
authority of HHS directed toward
protections for human subjects in
research. Specifically, the committee
will provide advice relating to the
responsible conduct of research
involving human subjects with
particular emphasis on: Special
populations, such as neonates and
children, prisoners, and the decisionally
impaired; pregnant women, embryos,
and fetuses; individuals and
populations in international studies;
populations in which there are
individually identifiable samples, data,
or information; and investigator
conflicts of interest.
In addition, the Committee is
responsible for reviewing selected
ongoing work and planned activities of
the OHRP and other offices/agencies
within HHS responsible for human
subjects protection. These evaluations
may include, but are not limited to, a
review of assurance systems, the
application of minimal research risk
standards, the granting of waivers,
education programs sponsored by
OHRP, and the ongoing monitoring and
oversight of institutional review boards
and the institutions that sponsor
research.
SUPPLEMENTARY INFORMATION:
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Nominations: The Office for Human
Research Protections is requesting
nominations to fill three positions for
voting members of SACHRP. The
positions will become vacant on January
1, 2006. Nominations of potential
candidates for consideration are being
sought from a wide array of fields,
including, but not limited to: public
health and medicine; behavioral and
social sciences; health administration;
biomedical ethics. To qualify for
consideration of appointment to the
Committee, an individual must possess
demonstrated experience and expertise
in any of the several disciplines and
fields pertinent to human subjects
protection and/or clinical research.
The individuals selected for
appointment to the Committee will
serve as voting members. The
individuals selected for appointment to
the Committee can be invited to serve a
term of up to four years. Committee
members receive a stipend for attending
Committee meetings and conducting
other business in the interest of the
Committee, including per diem and
reimbursement for travel expenses
incurred.
Nominations should be typewritten.
The following information should be
included in the package of material
submitted for each individual being
nominated for consideration: (1) A letter
of nomination that clearly states the
name and affiliation of the nominee, the
basis for the nomination (i.e., specific
attributes which qualify the nominee for
service in this capacity), and a statement
that the nominee is willing to serve as
a member of the Committee; (2) the
nominator’s name, address and daytime
telephone number, and the home and/
or work address, telephone number, and
email address of the individual being
nominated; and (3) a current copy of the
nominee’s curriculum vitae. The names
of Federal employees should not be
nominated for consideration of
appointment to this Committee.
The Department makes every effort to
ensure that the membership of HHS
Federal advisory committees is fairly
balanced in terms of points of view
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]]>Agencies
[Federal Register Volume 70, Number 161 (Monday, August 22, 2005)]
[Notices]
[Pages 48953-48961]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-16254]
=======================================================================
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GENERAL SERVICES ADMINISTRATION
[GSAR 2005-N02]
General Services Administration Acquisition Regulation; White
Paper--Adding Ancillary Repair and Alteration Services to the General
Services Administration Schedules Program
AGENCIES: Office of the Chief Acquisition Officer, General Services
Administration (GSA).
ACTION: Notice with a request for comments.
-----------------------------------------------------------------------
SUMMARY: The General Services Administration (GSA) is considering
adding ancillary Repair and Alteration (R&A) services to the GSA
Schedules Program. The Federal Acquisition Regulation (FAR) describes
R&A services as a subset of construction services. As such, the GSA
Schedules Program has not been able to provide fully-integrated
solutions that often involve R&A services. The GSA requests that
interested parties provide comments.
DATES: Interested parties should submit written comments to the FAR
Secretariat on or before October 21, 2005 to be considered in the
formulation of a final rule.
ADDRESSES: Submit comments identified by GSAR notice 2005-N02 by any of
the following methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments.
Agency Web Site: https://www.acqnet.gov/GSAM/
gsamproposed.html. Click on Proposed Rules, and the GSAR Case number to
submit comments.
E-mail: gsarnotice.2005-N02@gsa.gov. Include GSAR notice
2005-N02 in the subject line of the message.
Fax: (202) 501-4067.
Mail: General Services Administration, Regulatory
Secretariat (VIR), 1800 F Street, NW., Room 4035, Attn: Laurieann
Duarte, Washington, DC 20405.
Instructions: Please submit comments only and cite GSAR notice
2005-N02 in all correspondence related to this notice. All comments
received will be posted without change to https://www.acqnet.gov/far/
ProposedRules/proposed.htm, including any personal and/or business
confidential information provided.
FOR FURTHER INFORMATION CONTACT: The Regulatory Secretariat (VIR), Room
4035, GS Building, Washington, DC 20405, (202) 208-7312, for
information pertaining to status or publication schedules. For
clarification of content, contact Ms. Linda Nelson, Procurement
Analyst, at (202) 501-1900 or by e-mail at linda.nelson@gsa.gov. Please
cite GSAR notice 2005-N02.
SUPPLEMENTARY INFORMATION:
A. Background
GSA invites the general public and other Federal agencies to
comment on the following White Paper that includes specific questions
at the end. In particular, GSA encourages comments regarding its impact
on small businesses.
[[Page 48954]]
Dated: August 11, 2005.
Roger D. Waldron,
Acting Senior Procurement Executive, Office of the Chief Acquisition
Officer, General Services Administration.
White Paper--Adding Ancillary Repair and Alteration Services to the GSA
Schedules Program
The General Services Administration (GSA) is considering the
possibility of adding ancillary Repair and Alteration (R&A) services to
the GSA Schedules Program. Over the past several years, we have become
increasingly aware of a growing number of customer requirements that
fall within the scope of the GSA Schedules but which require ancillary
R&A services. Historically, the GSA Schedules have not provided an
avenue by which a customer could obtain these combined requirements.
Consideration of adding ancillary R&A services is an attempt to extend
the benefits realized through the GSA Schedules Program and to offer
one-stop, total solutions to our customers.
The first step is to determine whether GSA should add ancillary R&A
services to the GSA Schedules Program. Should GSA decide to proceed,
the next step is to determine the best approach for implementation. The
implementation options GSA is examining include: (a) Adding a new
Special Item Number (SIN) to existing GSA Schedules, (b) create a new
Schedule, or (c) utilizing any other viable alternative to incorporate
R&A services to the GSA Schedules Program.
The North American Classification System (NAICS) and the Federal
Acquisition Regulation (FAR) describe R&A services as a subset of
construction services. Contractors that are engaged in this industry
are commonly known as general contractors (NAICS Subsector 236), or
specialty trade contractors (NAICS Subsector 238). General contractor
types may arrange the performance of separate parts of the project
through subcontracts with other contractors. The specialty trade
contractors perform a specific component (e.g., electrical work,
painting) of the project. They often perform remodeling and repair type
tasks associated with purchase of various other supplies or services
(visit https://www.census.gov/epcd/www/naics.html for additional
information on NAICS codes).
The following is a sample of GSA schedules that include supplies or
services whose purchase often requires the associated performance of
ancillary R&A services: Furniture Schedules 71-I (Office Furniture),
71-II (Household and Quarters Furniture), 71-II-H (Packaged Furniture),
71-II-k (Comprehensive Furniture Management Services), 71-III (Special
Use Furniture), 72-I-A (Floor Coverings) and 72-II (Furnishings); and
Schedule 70 (Information Technology). A thorough analysis of the
current Schedules to determine which require inclusion of ancillary R&A
services will be conducted upon decision to proceed. A complete listing
of current GSA Schedules is available on the Schedules e-Library
(www.gsa.gov/e-library).
Given the GSA Schedules identified above, the following scenario
realistically describes the current challenge a customer faces when
acquiring supplies and services covered by the GSA Schedules that
require ancillary R&A services: An agency customer purchases new office
furniture using GSA Schedule 71-I and new computers using Schedule 70.
The customer's requirement also includes room alterations to
accommodate the new furniture and installation of network cable for the
new computers. Thus, the customer's total solution requires ancillary
R&A type tasks associated with the purchase of office furniture and
computers. The current GSA Schedule model fails to provide customers
with the integrated program design necessary to achieve the total
solution needed because the above-mentioned customer must procure
additional R&A services to--
Alter a wall to appropriate the new furniture: a general
contractor, NAICS 236210 (Industrial Building Construction--Addition,
Alteration and renovation, general contractors); and
Install computer and network cable for the new computers:
A specialty trade contractor, NAICS 238210 (Electrical Contractors--
Computer and network cable installation).
Currently, when utilizing the GSA Schedule to procure the principal
supplies and services, the customer must acquire the ancillary R&A
services from another procurement vehicle. As a result of the need to
conduct an additional procurement, the customer is subject to
inefficiencies, increased costs, unnecessary complexities as well as
delay in realizing the end results. Adding ancillary R&A services to
the GSA Schedule would allow GSA to provide the customer with a one-
stop, total solution process.
This document discusses the various relevant issues such as:
Statutory/regulatory considerations, scope, pricing, competition, and
clause applicability. Additionally, a primary GSA concern is the impact
this initiative will have on small business.
GSA seeks comments from all stakeholders, and in particular, from
small businesses to determine both the feasibility of this effort and
how best to achieve the desired results.
I. The GSA Schedules Program
Overview
In a general sense, the role performed by the GSA under the GSA
Schedules Program is that of a market maker, providing industry and
customer agencies the necessary vehicles to come together and transact
their business. Specifically, the GSA Schedules Program provides
Federal agencies with a simplified process for obtaining commonly used
commercial supplies and services at prices associated with volume
buying. GSA awards indefinite delivery contracts to commercial firms to
provide supplies and services at stated prices for given periods of
time.
GSA schedule contracts are firm fixed price or firm fixed price
with economic price adjustment type. They are typically evergreen
(awarded with a 5-year base period and three 5-year options) and
include conditions under which a contractor may offer price discount to
authorized users without triggering mandatory across-the-board price
reduction.
Prior to awarding a schedule contract, GSA determines the
contractor to be responsible in accordance with FAR subpart 9.1,
negotiates and approves an acceptable subcontracting plan for large
businesses, and negotiates and awards fair and reasonable pricing based
on the firm's Most Favored Customer rates. Because GSA performs much of
the up-front work, agencies then benefit from a streamlined ordering
process.
Under the GSA Schedules Program's continuous open solicitation
policy, offers for commercial supplies or services may be submitted at
any time. Similarly, contractors may request to add supplies/services
to their contracts at any time during the term of their contract.
GSA Schedule Pricing Policies
Because GSA Schedule contracts are awarded under commercial terms
and conditions, GSA uses a price-based approach to negotiate contract
pricing. This approach relies on the prices of the supplies/services
that are the same or similar to those in the commercial marketplace.
Under this approach, submission of cost or pricing data is not
required.
GSA's negotiation objective is to receive prices that are equal or
better than a company's ``Most Favored Customer'' pricing. To arrive at
a price
[[Page 48955]]
that the Government considers fair and reasonable, offerors are
required to submit information pertaining to their commercial sales and
discounting practices using the Commercial Sales Practices Format (see
Attachment) that is included in each GSA Schedule solicitation.
Under the Economic Price Adjustment clause, Schedule contractors
may increase or decrease prices according to their commercial practice.
Price decreases may be submitted at any time during the contract
period. Price increases, resulting from a reissue or modification of
the contractor's commercial catalog that formed the basis for award,
can only be made effective on or after the initial 12 months of the
contract period, and then periodically thereafter for the remainder of
the contract term.
The Ordering Process
The GSA Schedules Program provides a streamlined ordering process
for customer agencies. The specific ordering requirements that a
customer must follow are governed by whether the requirement is for
supplies or for services and the dollar value of the order. The
ordering procedures are contained in FAR subpart 8.405-1 and 8.405-2
and may be accessed via the following Web site: https://www.acqnet.gov/
far/.
A unique feature of the GSA Schedules Program is the Maximum Order
Threshold (MOT). The MOT represents the level above which customers
should seek additional price reductions from Schedule contractors.
Contractors are not required to accept orders above the MOT, but they
may elect to accept any size order.
The GSA Schedules Program also affords contractors an opportunity
to join with other Schedule contractors in teaming arrangements to fill
specific customer orders. Not only does this increase a contractor's
opportunities for business, but it also enables customers to achieve a
``total solution'' to meet their needs.
II. Issues, Questions, and Alternatives for Consideration
Statutory/Regulatory Requirements for R&A Services
There are statutory and regulatory considerations associated with
the addition of R&A services to GSA Schedules Program.
A primary issue is the fact that GSA Schedule contracts are
typically awarded using the procedures outlined in FAR part 12, which
governs the acquisition of commercial supplies and services. In a July
2003 memorandum entitled ``Applicability of FAR part 12 to Construction
Acquisitions,'' Angela Styles, former Office of Federal Procurement
Policy Administrator, indicated that routine alteration and repair
services are considered commercial and may be acquired using FAR part
12 procedures (this memorandum may be accessed at the following Web
site under ``Memos'': https://www.acqnet.gov/AcqNet/Notes/). Consistent
with the memorandum, it is not GSA's intent to circumvent the unique
construction-related requirements contained within FAR part 36 when
incorporating ancillary R&A services to the GSA Schedules. The
following excerpt from the memorandum describes the scope of the
ancillary R&A services envisioned by this initiative:
* * * routine painting or carpeting, simple hanging of drywall,
everyday electrical or plumbing work, and similar noncomplex
services, as well as for purchases of commercial construction
material and associated ancillary services.
In order to safeguard the government's interests and to comply with
applicable labor laws, GSA proposes including all of the required
statutory/regulatory requirements pertaining to ancillary R&A services.
Some of the major statutory requirements applicable to R&A services
include:
Davis Bacon Act
Copeland Act (Anti-Kickback)
Contract Work Hours and Safety Standards Act
Miller Act (bonds)
Matrices detailing all of the required clauses for both
construction and commercial item contracts may be found at https://
www.arnet.gov/far/current/matrix/Matrix_01.html and at https://
www.arnet.gov/GSAM/gsam.html.
A second issue is the consideration of whether to implement the
above-mentioned requirements at the contract level or at the task order
level. Currently, when an agency customer uses the GSA Schedules to
procure a requirement to which additional agency-specific restrictions
are applicable, the agency-unique provisions may be incorporated at the
task order level as long as they do not conflict with the underlying
Schedule terms and conditions. Security clearances are an example of
such a requirement.
Just as agency-unique provisions are addressed at the task order
level, it appears that the Miller Act requirements should be dealt with
in a similar fashion, for similar reasons. The FAR contains thresholds
and differing provisions for bonding at various thresholds.
Acknowledgement of the Miller Act and other FAR mandated payment/
performance protection requirements should take place at the contract
level. However, the implementation of the actual requirement would be
enacted at the task order level as appropriate.
Contract Scope and Its Impact on Competition
GSA ensures that the GSA Schedules afford ordering agencies the
maximum opportunity to compete requirements under the program (as of
June 2004, there are 15,546 Schedule contracts in effect).
Additionally, increasing procurement opportunities for small businesses
is and has been a major GSA initiative. GSA works hard to ensure that
small, veteran-owned small, service-disabled veteran-owned small,
HUBZone small, small disadvantaged, and women-owned small business
sources have every opportunity possible to participate in the Federal
procurement process.
GSA is fully committed to strengthening the sustainability of the
25 million small businesses in America. Under the Schedules Program,
GSA actually exceeds the expectations of the Small Business
Administration. The governmentwide goal for contracting with small
businesses is 23 percent. In FY 2002, small businesses received 34.8
percent of the total $21.1 billion in Schedule sales and in FY 2003,
small businesses received 35.6 percent of the total $25.6 billion in
sales. As of Q3 FY 2004, small businesses received 35.7 percent of the
total Schedule sales; and approximately 80 percent or 12,414 of 15,546
GSA Schedule contracts awarded is with small businesses.
Many existing GSA Schedule contracts are worldwide in scope in the
sense that firms may elect to offer delivery of supplies and services
domestically, overseas, or internationally. It is possible that the
inclusion of ancillary R&A services in contracts having worldwide scope
may have an adverse impact on certain businesses. While some R&A firms
are national in scope, most are regional or locally based and they must
be duly licensed under local jurisdictions. Therefore, GSA may consider
narrowing the scope of a resultant R&A Schedule to designated regional
areas.
As indicated previously, the scope of the R&A services being
contemplated is ancillary in nature to existing Schedule supplies/
services and represent minor repairs and alterations. The GSA Schedules
containing ancillary R&A services must be consistent with all
[[Page 48956]]
rules and regulations and the SOW must be well-defined.
Pricing
One of the most difficult questions to address in this area is how
to negotiate pricing for ancillary R&A services under the GSA Schedules
Program. As noted above, Schedule contracts are predicated on the
Government's negotiation of most favored customer discounts from
contractors' established prices for commercial supplies/services.
On a typical Schedule contracts providing services, pricing is
negotiated based on fully-loaded hourly rates for the type of service
to be provided. Ordering agencies seeking services would provide the
SOW and ask Schedule contractors to quote fixed rates and the level of
effort/mix of labor for such services. However, it has been suggested
that ancillary R&A services do not readily lend themselves to such a
pricing methodology due to the numerous labor categories generally
involved in an R&A project and all of the variables that come into play
at the work site.
Listed below are some alternatives for pricing ancillary R&A
services under a GSA Schedule contract:
a. Award the R&A Schedule contracts without pricing, allowing
customers to compete and negotiate pricing for individual requirements
among the various Schedule contractors. This is similar to the method
that GSA's Public Buildings Service (PBS) currently utilizes in the
award of multiple award indefinite delivery/indefinite quantity
construction contracts. Although customers would still need to
negotiate prices under this alternative, they would still benefit from
GSA having completed much of the up-front work in awarding the Schedule
contract.
The Schedule contract would provide them with a source of
contractors already deemed responsible in accordance with FAR Subpart
9.1. In addition, GSA would negotiate subcontracting plans and
incorporate basic terms and conditions into the contract.
b. Negotiate pricing based on labor rates for specific geographic
areas at the contract level (including utilization of techniques such
as fixed price multiplier, applied to the locality-specific Davis Bacon
base rates) and allow the customer to seek price quotes for individual
orders based on the negotiated labor rates.
c. Negotiate pricing based on the commercially-accepted Means Cost
Data (e.g., RSMeans Cost Data). The Means Cost Data is a series of
publication that cover general construction costs in such categories as
labor, materials, equipment, as well as pricing for subcontracting
specialties such as mechanical, concrete/masonry, plumbing, electrical,
and repair and remodeling. The Means Cost Data also contain adjustment
factors covering various cities in the United States. If this approach
were adopted, GSA would need to ensure that the costs contained in the
Means Cost Data are reflective of and include wage rates that are in
compliance with the Davis Bacon Act. It may be possible for GSA to
negotiate an agreement with the publishers of the Means Cost Data to
publish an electronic GSA-unique version of the publication.
d. Allow firms to propose various pricing strategies depending upon
their commercial practice. This may take the form of labor rates, fixed
unit prices, overhead adjustors, markups, share-in-savings, etc.
Award Considerations
The following are three suggested methods to include ancillary R&A
services into the GSA Schedules Program:
Alternative One--Add an R&A services SIN to those GSA Schedules
where the purchase of the supply/service often requires ancillary R&A
services be performed. An issue associated with this alternative is
whether to restrict award of such a SIN to only contractors who provide
the primary supply/service or to allow all responsible offerors to be
considered for award under the ancillary R&A SIN regardless of whether
they are under contract to provide the related supplies and services.
This decision may impact access to small businesses and it may also
require customers to deal with multiple contractors under teaming
arrangements.
Alternative Two--Establish a new Schedule specifically for minor
R&A services. An independent schedule for these services would
highlight R&A's unique requirements, allowing for a clear definition of
the types of minor services applicable, identification of the
specialized clauses, unique pricing instructions if required, different
scope requirements, etc. Existing Schedule contractors could team with
the R&A Schedule firms to provide a total solution to customers.
Alternative Three--Combine Alternative One and Two. This
alternative provides maximum flexibility to the customers.
Other Considerations
The Public Buildings Act of 1959, as amended, provides that only
GSA and those agencies having a delegation from GSA or having their own
independent authority may enter into construction contracts. The
Department of Defense (DoD), National Aeronautics and Space
Administration (NASA), and GSA's Public Buildings Service (PBS)
represent three dominant procurers of construction services. Language
will be added to the Schedule and any associated user-related brochures
to stipulate clearly that only warranted construction Contracting
Officers representing authorized agencies may use this Schedule to
procure R&A services.
GSA will need to address how tenants residing in Government-owned/
leased buildings that are managed by other authorized Federal agencies
(e.g. PBS) will coordinate the purchase of Schedule R&A services with
the appropriate building owner/manager. Agencies that fail to
coordinate R&A services with the appropriate building owner/manager may
find themselves monetarily responsible for restoring the space to its
original condition. For example, any alteration of PBS-controlled real
property requires approval/oversight by the PBS Building Manager. This
should be the policy of all building owner/managers. Concerned parties
have also suggested that drilling a simple hole in a wall may interrupt
an entire building's HVAC system. Therefore, GSA believes it may be
necessary to add requirements for customers to coordinate all Schedule
R&A services with, and receive approval from, the appropriate building
owner/manager prior to placing an order against the R&A Schedule. These
instructions will be included in unique ordering procedures for
Schedule R&A services and should include:
a. Discussion of the project scope in detail with the building
owner/manager.
b. Proposed work shall not exceed basic alteration of stud walls of
non-structural gauge hollow metal framing and will not impact
structural assemblies or load bearing walls. The work does not preclude
utility work within the basic alteration.
c. All work shall be in strict accordance with ``Building
Standards.'
d. Work shall have no impact on historical preservation elements or
historic zones.
e. Work shall meet all applicable building codes, including but not
limited to egress and fire safety standards.
f. All contractors must comply with existing policies involving
security requirements for working in federally owned/leased buildings.
[[Page 48957]]
g. All contractors must possess all required credentials of the
trade(s) which are to be employed.
h. Work planned should not exceed $25,000 in construction value.
III. Conclusion
Many issues must be carefully analyzed and addressed if GSA is to
successfully add ancillary R&A services under the GSA Schedules
Program. Prior to moving forward, GSA seeks comments on the entirety of
this white paper and responses to the specific questions identified
below. For reference, the questions below pertain to the discussions
contained within the associated subheadings as stipulated above.
Statutory/Regulatory Requirements
1. Would it be more advantageous to incorporate and apply the
Davis-Bacon Act requirement at the contract level or order level?
2. To comply with the Miller Act, should contractors be required to
obtain the necessary bonds as a condition for contract award or should
this be a requirement imposed only at the time of order placement?
3. Other than those addressed above, are there other significant
statutory or regulatory requirements that apply to R&A services
contracts?
Contract Scope and Its Impact on Competition
4. Do construction firms typically conduct their business within a
specific geographic area? If so, what is the usual scope of that
geographic area?
5. What impact would retaining a worldwide scope when adding R&A
services to the Schedules have on the construction industry and on
competition among contractors interested in participating in the
program? In particular, what would be the impact on current GSA
Schedule contractors that are small businesses?
6. Would changing the contract scope specifically for R&A services
from worldwide to regional (covering major metropolitan areas) afford
small firms a better opportunity to compete for business under the GSA
Schedules Program?
7. R&A services can include various types of work on a particular
building or site that is dedicated to and deemed a part of the
worksite. Should limitations be included in the SOW contained within
the Schedule solicitation? If so, please provide suggested language.
Pricing
8. Can GSA apply the same pricing methodology of negotiating Most
Favored Customer pricing to R&A service contracts? Does the
construction industry have different categories of customer for pricing
purpose, such as a Most Favored Customer category?
9. Will the construction industry be able to provide standard
commercial pricing, terms and conditions under the Commercial Sales
Practices Format so that GSA can determine the price reasonableness of
a firm's proposal?
10. How many different labor categories would typically be involved
in a contract for construction services and how are commercial R&A
tasks typically priced?
11. Please comment on the usefulness and applicability of the
proposed pricing methods. What pricing alternatives, other than those
discussed in the Pricing section above, should be considered?
12. Is there any reason why customers would be unable to use a Firm
Fixed Price, Time and Materials type order to procure these services
from an R&A Schedule?
Award Considerations
13. Which of the three alternatives set forth previously do you
believe offers maximum benefit and why?
14. Please suggest any other alternatives.
Other Considerations
15. Generally, are the GSA Schedule ordering procedures in FAR
Subpart 8.4 suitable for R&A services contracts?
16. Should a maximum order limitation/threshold be established for
R&A services?
17. Are the items addressed in Section II, a-h appropriate
conditions for inclusion in the ordering procedures for Schedule R&A
services?
18. What unique criteria, if any, should be established for a buyer
of R&A services?
General
19. What other issues or concerns need to be addressed?
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[FR Doc. 05-16254 Filed 8-19-05; 8:45 am]
BILLING CODE 6820-61-C
