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Friday, April 20, 2012

Want the truth about what is really going on at the GSA? Here are the facts...


In a time when we and our Administration should be focused on job creation and retention, Obama gave Dan Gordon (OMB) and Martha Johnson (GSA) the green light to implement the Federal Strategic Sourcing Initiative (FSSI). The result is 3,000 small and small disadvantaged businesses, to include service disabled veterans, being put under and 30,000 jobs going to the unemployment line, private sector jobs.

Why? GSA in their infinite wisdom formed Blanket Purchase Agreements (BPA’s) from with inside the GSA Multiple Award Schedule program. BPA’s are usually formed at the government agency or military activity level per the ADM 4800 Eligibility Order issued by the GSA. Certain classifications were targeted, such as office supplies, class 75. The result was a reduction of 500 companies to 15 by issuing a BPA that supposedly reduces operational overheads. Companies already vetted and issued GSA Schedule contracts.

Companies awarded a FSSI BPA included Office Depot, Office Max and Staples all of whom have been brought up on fraud charges under 31 USC 3729 and SEC charges and were fined and penalized for millions of dollars. On the second round of FSSI BPA's that were awarded, originally only 12 companies were awarded this BPA. Staples forced their way in by threatening litigation against another contractor. So you have the GSA rewarding contractors that are known to be cheating the system. Even after the whistle has been blown, GSA Officials continue the let the contractors reap the rewards of the privilege to work with the government instead of cutting them off. So yes besides the wasteful spending, there is fraud and mismanagement going on as well.

GSA is receiving a kickback of a 2% fee of all the money they funnel to these few contractors. In the last two years, GSA received a kickback of $9,463,066 from these 15 contractors on total sales of $473,153,324.00! GSA claims to expect a $48 million annual savings (less than 7% of annual Schedule 75 spending) by issuing the BPA's. If that's the case, why wouldn't GSA accept more offers that ensure continued competition, thus increasing the governments savings? Why shut out new offers and increased competition? The fifteen awardees garnered less than 25% of GSA schedule 75 sales in 2009. Additionally, 66% of those sales were captured by (big surprise) Office Depot and Staples (large business concerns). BPA's are not mandatory and I hope that agencies continue to purchase from GSA awardees that they like, based upon the "best value" or developed relationships.

Lurita Doan was scandalous during the previous administration when she routed contract dollars into GOP PAC’s. Before Doan was Perry who was at the helm during the Safavian and Emily Murphy hearings, which had linkage to the Abramoff scandal. When you go all the way back to 1950 when the program was started, Administrator Larsen was involved in a Cuban silver mine scandal.

Do you think this is just more of the same? No, this time it is not just about grease, it is about the demise and decimation of our small and small disadvantaged businesses. What we have here is Obama cleaning up the trail that leads back to him. Gordon at OMB is gone and now Johnson from GSA is gone. Total plausible deniability and the potential of blowback significantly reduced. However, the committees in their infinite wisdom will focus on public buildings and maybe the “Best Value Evaluation” of bicycle construction or palm reading.

Want some more truth? Ask for the real reason why Senator Coburn ran the committee hearings against Safavian and Murphy. How about some more truth or have you had enough? Why does the DOJ turn down 85% of all fraud cases filed? Why did Assistant U.S. Attorney Richard Sponseller meet Ex Parte with Federal judge, T. Rawles Jones in the U.S. Eastern District located in Alexandria, VA, after hours, to intentionally derail a fraud settlement that was in the process of paying millions of dollars back to the U.S. Taxpayers?

What should we expect next, the closing of Schedule 70 to new offers ($16 billion a year in sales), when the government issues fifteen BPA's with an expected savings of $1.2 billion annually? There is already in the works a FSSI BPA for Schedule 70, and no one seems to have any idea that it is happening. OMB has already outlined that after the Schedule 70, several others are to follow as per a report put out by Jack Kelly on April 5, 2012.
The GSA story in the news is a misdirect courtesy of Uncle Sugars mind candy machine. A political volleyball during an election cycle, imagine that! After all what happens in Vegas, well you know...

You now have the truth...

The Office of Management and Budget and General Services Administration Federal Strategic Sourcing Initiatives (FSSI), National Information Technology Commodity Program (NITCP), and OASIS programs represent the Death of Small Business Federal Contracting in America, and are poised to greatly damage the US economy through drastic drastic job loss, and cannibalization of the tax basis. The unintended consequences of these programs have already impacted over 500 Small Businesses... and counting. It is our hope that you will support this effort based upon the fact that our economy is in a precarious state, and massive unintended job losses of this nature will wreak havoc on our ability to stabilize and rebuild. America has a vested interest in the success of our cause.

One way to get involved...

stopFSSI.org
4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.org– www.stopFSSI.org

For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com

Monday, April 16, 2012

GSA is rewarding contractors that are known to be cheating the system.

Even after the whistle has been blown, GSA Officials continue the let the contractors reap the rewards of the privilege to work with the government instead of cutting them off. The irony of the Schedule 75 GSA BPA's issued to Office Depot and Staples - they (and OfficeMax) were previously fined over $22 million for selling non trade compliant items against their schedules.

GSA's decision to stop accepting new GSA Schedule 75 offers for two years is simply illogical (and limits competition) based upon the issuance of Blanket Purchase Agreements (additional GSA discounts granted based on expected volume) to fifteen companies. Total Schedule 75 sales in FY 2009 were $690,209,736, shared amongst 536 awardees.

GSA claims to expect a $48 million annual savings (less than 7% of annual Schedule 75 spending) by issuing the BPA's. If that's the case, why wouldn't GSA accept more offers that ensure continued competition, thus increasing the governments savings? Why shut out new offers and increased competition? The fifteen awardees garnered less than 25% of GSA schedule 75 sales in 2009. Additionally, 66% of those sales were captured by (big surprise) Office Depot and Staples (large business concerns). BPA's are not mandatory and I hope that agencies continue to purchase from GSA awardees that they like, based upon the "best value" or developed relationships rather than lowest price.

What should we expect next, the closing of Schedule 70 to new offers ($16 billion a year in sales), when the government issues fifteen BPA's with an expected savings of $1.2 billion annually?

stopFSSI.org
4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.org– www.stopFSSI.org

For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com

Wednesday, April 11, 2012

GSA did not get the memo to keep jobs...

GSA has been implementing a new procurement policy that favors two large contractors and 13 small ones while causing massive layoffs and business closures at hundreds of other small businesses throughout country.
GSA is receiving a kickback of a 2% fee of all the money they funnel to these few contractors. In the last two years, GSA received a kickback of $9,463,066 from these 15 contractors on total sales of $473,153,324.00!
Plus GSA is rewarding contractors that are known to be cheating the system. Even after the whistle has been blown, GSA Officials continue the let the contractors reap the rewards of the privilege to work with the government instead of cutting them off. So yes besides the wasteful spending, there is fraud and mismanagement going on.
stopFSSI.org – 4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.orgwww.stopFSSI.org
For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com

Tuesday, April 10, 2012

GSA did not get the memo to keep jobs...

In a time when we and our Administration should be focused on job creation and retention, the General Services Administration (GSA), with marching orders from the Office of Management and Budget (OMB), has moved forward with the implementation of a second round of FSSI purchase agreements, regardless of the lack of savings created during the first round of contracts, or the unprecedented impacts to small business contractors within the GSA programs caused by this new set of strategic sourcing agreements.

The Office of Management and Budget and General Services Administration Federal Strategic Sourcing Initiatives (FSSI), National Information Technology Commodity Program (NITCP), and OASIS programs represent the Death of Small Business Federal Contracting in America, and are poised to greatly damage the US economy through drastic drastic job loss, and cannibalization of the tax basis. The unintended consequences of these programs have already impacted over 500 small businesses… and counting.

It is our hope that you will support this effort based upon the fact that our economy is in a precarious state, and massive unintended job losses of this nature will wreak havoc on our ability to stabilize and rebuild. America has a vested interest in the success of our cause.

stopFSSI.org – 4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.orgwww.stopFSSI.org

For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com

Monday, April 9, 2012

The $825,000 spent by GSA in Vegas is just the tip of the iceberg.

GSA has been implementing a new procurement policy that favors two large contractors and 13 small ones while causing massive layoffs and business closures at hundreds of other small businesses throughout country.

GSA is receiving a kickback of a 2% fee of all the money they funnel to these few contractors.  In the last two years, GSA received a kickback of $9,463,066 from these 15 contractors on total sales of $473,153,324.00!

stopFSSI.org – 4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.orgwww.stopFSSI.org

For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com

Sunday, April 8, 2012

GSA program funnels millions to 15 vendors while causing mass layoffs at hundreds of other businesses.

The Office of Management and Budget and General Services Administration Federal Strategic Sourcing Initiatives (FSSI), National Information Technology Commodity Program (NITCP), and OASIS programs represent the Death of Small Business Federal Contracting in America, and are poised to greatly damage the US economy through drastic drastic job loss, and cannibalization of the tax basis. The unintended consequences of these programs have already impacted over 500 small businesses… and counting.

For many years, federal contracting revenues have represented the life-blood of small and socio economically disadvantaged businesses nationally. This message is intended to sound the alarm, and notify the American public that the GSA Federal Strategic Sourcing Initiative (FSSI), NITCP, OASIS, and any future strategic sourcing implementation, though intended as cost-saving measures, will in fact result in dramatic unintended consequences which will be disastrous to all Federal Contractors, both large and small.

The GSA Pilot FSSI Program: Toxic to Small Business Federal Contractors:
GSA is responsible for the management of the majority of federal supply purchases. GSA’s initial Pilot FSSI Program for Schedule 75 (Office Supplies) was intended to save money for the government. GSA estimated that the government saved $16 million from June 2010 to August 2011. Under this FSSI, GSA entered into agreements with only 15 vendors, whereas previously, in FY 2010, there were 569 vendors on Schedule 75. This shrinkage of the majority of Schedule 75 contractors caused the loss of more than 70 million dollars in Federal contractor revenues. These Federal contractors are now struggling to survive. This GSA pilot FSSI program is a harbinger of what is to come if GSA is successful in implementing the FSSI program to Schedules 70, 36, 71, and to all government purchases of goods and services across all government agencies. This will be catastrophic to the vast majority of Federal Contractors.

The US Government Accountability Office (GAO) Report (Dec 20, 2011) on GSA FSSI, Failed to Recognize the Negative Impact on Job Loss and the Health of the US Economy:

It is unfortunate that the GAO report on FSSI, which Congress relied upon to confirm the Schedule 75 initial savings of $16 million, was flawed. The GAO report failed to consider the offsetting damage caused by the shrinkage and displacement of a significant number of small business federal contractors including minority, women-owned, and disabled veterans. The financial distress for these small businesses and resulting job loss for their employee’s, is the cause of much pain and suffering which is adversely impacting our economy by contributing to small business failure, bankruptcies, unemployment, mortgage defaults, foreclosures, and the drop in housing prices.

PLEASE PUBLISH / BROADCAST OUR MESSAGE, AND DO NOT HESITATE TO CONTACT US FOR ADDITIONAL DATA

Media inquiries may be placed with our Committee Chair,
Rick Vogel, by calling (805) 416-4180, or by writing to info@stopfssi.org.

Together we can help avoid the proliferation of strategic sourcing in the federal public market, and the potential impacts of these initiatives to over 6000 contractors (estimated job losses, resulting from these programs, exceeds 80,000 American workers).

It is our hope that you will support this effort based upon the fact that our economy is in a precarious state, and massive unintended job losses of this nature will wreak havoc on our ability to stabilize and rebuild. America has a vested interest in the success of our cause.

stopFSSI.org – 4949 St. Elmo Ave., Suite 221, Bethesda, MD 20814‐6067
(301) 652‐7410 – info@stopFSSI.orgwww.stopFSSI.org

For more info please call (877) 653-5129 or Visit us on the Web at http://www.NationalOfficeOutlet.com