Strategic sourcing vehicle expected to deliver millions in savings
The General Services Administration’s Federal Acquisition Service announced this week it has awarded 23 blanket purchase agreements for a strategic sourcing solution aimed at helping federal agencies purchase discounted maintenance, repair and operations equipment.
The MRO equipment will be sold at 12 percent lower than standard government pricing. GSA expects use of the MRO solution will deliver $16 million in potential savings in the first year, and possibly $30 million annually with increased use.
“We’re taking cues from the private sector to apply common-sense solutions to simple commodity purchasing,” FAS Commissioner Tom Sharpe said. “This is about smart shopping. GSA role is to help federal agencies acquire commonly purchased items at prices that are representative of the high volume of products purchased across the federal government.”
GSA’s MRO solution is in line with several goals set forth by the administration, including cutting $40 billion in procurement spending per year and including a variety of “green” products.
“The consolidation of purchasing under programs such as these will help save taxpayer dollars and drive necessary spending on these type of products to our small business partners, making a positive impact for government agency budgets and improving the bottom line for selected small businesses and suppliers,” Sharpe said.
The GSA Federal Strategic Sourcing Initiative now includes more than 20 agencies, both military and civilian, that have worked to develop common procurement vehicles.