However, states won't be able to make purchases through the schedules in the same way that federal agencies do, procurement experts say. Dispute resolution and the particular GSA contracts open to the states will differ.
When contractors have a dispute with a federal agency, they take it to the agency's board of contract appeals or to the General Services Board of Contract Appeals, said Jonathan Aronie, an attorney with Fried, Frank, Harris, Shriver and Jacobson in Washington, D.C.
"This is going to be a state agreement, and the boards can't hear a state agreement," he said. "GSA's going to have to find some creative way to handle disputes."
Larry Allen, executive vice president of the Coalition for Government Procurement, said he was disappointed that GSA didn't issue interim rules that would take effect until final rules are approved. Instead, the agency is publishing proposed rules that won't do anything until they become final.
"That's a little disconcerting," he said. "We had hoped these would be interim rules. I know GSA is interested in moving this along quickly."
He said he will be interested to see if the public comment period is a streamlined 30 days instead of the more typical 60.
Another question is which schedules will be included. Although the legislation refers to IT purchases, the reference is "not exclusive," Allen said. GSA could limit the states to purchasing IT, or GSA could broaden the system to include routine office buys like copiers and fax machines.
The larger question is, will the states use the system once it's available to them? Allen and Aronie believe states will, but not without some prodding.
"There is some ambivalence on their part about being able to buy from the schedule contracts," Allen said. "It's going to be driven by end-user interest." Some state agencies don't understand the GSA system well enough to compare it to their own systems accurately, he added. Some also have their own procurement systems that clash with GSA procedures.
"A lot of my clients for years have been getting calls from the states wanting to purchase through the federal program," Aronie said. "There has been a push for this for a long time."
The whole matter will no doubt take some time to work through and become clear to everyone, Aronie added. "It really is a substantive change. Adding an entire market to the schedule is a big thing."
RELATED LINKS
- "Fed rules may deter locals" [FCW.com, Dec. 5, 2002]
- "E-Gov agenda takes shape" [Federal Computer Week, Dec. 2, 2002]
- "E-gov bill offers state and local buying" [Government E-Business, Nov. 19, 2002]
- "Giving states access" [Federal Computer Week, June 24, 2002]
