What specifically should we be doing to comply with 13.303-6(b)? What would be an exmaple of when we should "update the BPA"? How thorough is this review intended to be, and should this reiview be documented in the file?
1. FAR and DFARS do not provide a specific checklist for accomplishing the annual review. Based on our research, we recommend the following items for your consideration:
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- The purpose of the annual review required by FAR 13.303-6(b) is different than the requirement for an annual review required by FAR 13.303-6(a), which is to ensure ordering procedures are being followed.
- Based upon our review of FAR 13.303-6(b) paragraphs 1 and 2, the purpose of the annual review required by FAR 13.303-6(b) is to ensure the BPA still meets the Government's needs in the most appropriate manner. This review should include the following:
-- Is the BPA still with a qualified source (or sources) of supply (FAR 13.303-1);
-- Could the BPA be established with a mandatory source per FAR 8?
-- Is the acquisition situation still appropriate for a BPA, as described in FAR 13.303-2(a) through (c);
-- Should the buying office pursue addition competition or a new acquisition (FAR 13.303-2(b))?
-- In addition, based upon a review of FAR 13.303-6(d), GAO Report "GAO-09-792," and OFPP Memo, 22 Dec 09, entitled "Achieving Better Value from Our Acquisitions," we offer two additional recommendations:
--- Based on the previous year of orders, and the anticipated orders for next year, and your market research, does the BPA still offer the Government the best prices, terms and conditions?
--- If the BPA was established based on an existing contract (such as from a GSA Schedule), is the basic contract still in effect? If so, for how much longer?
2. Examples of "updating the BPA" could include deeper price discounts based upon market conditions or the Government's ordering history, or more favorable delivery terms for the same price.
3. The review should be thorough enough to make a convincing case that the existing BPA is still the best method for meeting the Government's needs, and that another procurement method would not provide significant benefits over the existing BPA.
4. Because this review is required by FAR 13.303-6(b), the contract file should include documentation of the review. Note, GSA's Multiple Award Schedule Desk Reference Guide Section 8 Page 6 includes a statement that orders must not be placed off of a BPA based on a GSA contract unless this review has been accomplished timely.