There is more to come... I guarantee it...
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.
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 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.
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