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    Why do we have to conduct market research when the BPAs we are using are binding contracts that have alrady been negotiated with the Government? Also, since the service is already in place, our budget office is allowing the payments, and the bills are being paid on time, why the need to place call orders every year? Please advice, Bill


    Answer

    The following answer is based solely on the background and question provided as we do not have all of the facts pertaining to your particular situation.  We always recommend you consult your contracting officer and or legal for
    guidance.
     
    We believe the question being asked can be summarized thusly, "Since we have  three orders on three BPAs, why does HQ require even more quotes?"  Responding to that question, each order must be treated individually even though all three orders are for essentially the same service.  FAR 8.405-1(c) states at, "(1) .... Before placing an order, an ordering activity shall consider reasonably available information about the supply or service offered under MAS contracts by surveying at least three schedule contractors through the GSA Advantage! on-line shopping service, or by reviewing the catalogs or pricelists of at least three schedule contractors (see 8.405-5)."
     
    This calls for each order to have some market research and competition take place before award.  When using FSS BPAs, the sources are among those on the schedules.
     

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