If you are a government contractor or vendor that is seeking compliance with the General Services Administration (GSA), then you can improve your chances of approval by taking measures to ensure GSA compliance.
This can also help you keep your GSA schedule contracts long-term, which provides more consistent and higher-value work as a government contractor. GSA compliance is necessary to procure, receive, and maintain government issued contracts through the General Services Administration.
This review highlights how you can obtain GSA compliance for your business in order to receive indefinite delivery, indefinite quality (ID/IQ) contracts through the GSA.
What Is GSA Compliance?
The General Services Administration (GSA) is a government agency that provides contracts (which are also known as “schedules”) to GSA approved vendors and contractors. To be eligible for GSA issued contacts, contractors and vendors must be in GSA compliance. This entails meeting the guidelines put forth by the GSA and other relevant government entities.
Why Is GSA Compliance Important?
Failing to comply with GSA requirements could lead to your business being turned down for a GSA schedule. If you already work as a government contractor, then you could be subject to penalties and fines or lose a large portion of your contracts if you do not adhere to these requirements.
You Could Lose Business If You Do Not Adhere To The Requirements
Your first or second infraction with the GSA requirements is not likely to result in the loss of your GSA approval status. However, a failure to correct the mistakes that led to the lack of compliance could lead to the loss of your GSA schedule contract.
There Could Be Penalties And Fines
The first course of action the GSA may take for minor infractions to the GSA requirements are penalties and fines. In some cases, failure to comply could result in the temporary loss of contracts.
In addition to any possible fines provided by the GSA, this can have a significant impact on your organization’s profitability. Therefore, doing all that is necessary to remain GSA compliant is of the utmost importance.
Areas Of GSA Compliance To Consider
There are several key areas of GSA compliance with which to become familiar. This includes supply chain risk management, contractor assessment, teaming, TAA compliance, labor qualification compliance, federal acquisition regulations, and invoicing and scope requirements.
Supply Chain Risk Management
GSA schedule contractors work together with the Federal Acquisition Regulations (FAS) to ensure the integrity of our national supply chain. It is important for GSA contractors to understand supply chain risk management (SCRM) and how it applies to the services or products you provide to the GSA.
As a part of becoming a GSA contractor, you may be required to complete contractor assessments with an Industrial Operations Analyst (IOA). This assessment is done to ensure contractual compliance by verifying the volume and nature of the work performed by the contractor.
Teaming is an aspect of GSA contracts in which two GSA contractors work together to complete a project. For contractors, this can be a great way to qualify for certain jobs that you may not qualify for independently. Having the ability and willingness to make teaming a part of your GSA strategy could be important for GSA compliance.
The Trade Agreements Act (TAA) requires that all GSA approved contractors that sell products manufacture them in the United States or another “designated country” the TAA approves. The TAA applies to all GSA schedule contracts. It is important to ensure TAA compliance to avoid being turned down for GSA schedule contracts or losing a contract that you have already obtained with the GSA.
Labor Qualification Compliance
Your GSA schedule contract will have mandatory labor qualifications that must be met in regard to your personnel for projects completed. It is important to ensure that you understand what is required to remain compliant with labor requirements with the GSA.
Federal Acquisition Regulations
The Federal Acquisition Regulations (FAR) are the established set of rules the government follows when purchasing from GSA contractors. Learning the rules established by FAR is important to ensure compliance with the GSA as you start to procure government contracts through the GSA.
Invoicing And Scope Requirements
You are only allowed to provide products or services that are included in your GSA contract and your organization must document all non-contract items that are included in a transaction.
Subsequently, invoicing, along with other accounting-related tasks, are crucial for ensuring GSA compliance. The failure to record and present all details of your products and services could result in penalties from the GSA.
Get In Touch With The Government Contracting Professionals
Here at Diener & Associates, we help our clients remain in GSA compliance by offering professional advice and providing accounting services. If you have additional questions or would like to work with our outsourced accountants to become and remain GSA compliant, then contact Diener & Associates online today.