Ineffective Management of GSA's Multiple Award Schedule Program--A Costly, Serious, and Longstanding Problem

The General Services Administration (GSA), through its Federal Supply Service (FSS), makes common-use items available to federal agencies through three basic buying programs: stores, nonstores, and Federal Supply Schedules. The multiple award program is the largest FSS program, with 53 percent of total FSS sales. Under the multiple award program, a number of commercial firms are awarded indefinite quantity contracts for a particular product category. Prices are based on a negotiated minimum discount off the vendors commercial prices. Agencies select the particular product that best meets their needs and order directly from the vendor. The purpose of the multiple award program is to decrease agency open market purchases by offering a wide selection of commercial products at prices lower than available through open market purchases, and make commercial items available when it is impractical to draft adequate specifications for bids.