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Published Aug 28, 21
4 min read

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And one discussion we often have with small businesses is whether they are all set to take on dealing with the federal government as it is a special customer and this is just contributing to the conversation that they are not ready, which is an expense to the government (GSA SER Services).

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Mr. Horan-- Hardy? Mr. HARDY. Mr. Stanford, in your testament, you had talked about Amazon as an example of how the GSA-- and I hope somebody has not asked this question already-- would put the concern on professionals and report agreement details although the agency currently has actually the information granted to the contract.

Being a small service individual, I have needed to handle federal agreements prior to. It appears to me that this is just another way of federal government trying to solve their problem instead of look after the issues themselves that they have the details at their hands. Would you agree to that in rather of that fashion? I have a bit harder way of stating it, but that is-- Mr.

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Yes. And I believe the chairman put it well. It is data that the government currently has, and it does seem counterproductive and there is agreement among the panel that this does not make any sense. And there really-- in the commercial world, it really would not make good sense for the individual who is functioning as the platform to procure the goods, to then require to be told what those items and services cost.

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Does any person believe that GSA has perhaps ignored the real expense of what this is going to impact the companies? Our members at the Coalition for Government Procurement, we conducted a survey and I think that is one of the most significant areas-- it is the biggest area of detach between federal government and market on this specific guideline, the burden itself.

The concern goes to increasing expenses for the taxpayer and for customer companies who utilize GSA. Looking at it, we have actually addressed it in our composed testimony. But at the end of the day, based upon our estimates and our feedback from our members, and we performed a survey where we were going to attempt to utilize GSA's language that they utilized in the rule, in their formula to come up with the numbers based on feedback from our members, it would cost over $800 million simply to implement this guideline throughout the GSA Schedules program.

And at the very same time, GSA indicated in the guideline that it would be too expensive for the government or for it to adjust its systems. I think, if I remember, we were talking in the 10s of millions of dollars, and what they failed to, I believe, appreciate, or to their credit, having a public conference and asking talk about it, they stopped working to comprehend or value the hundreds of millions of dollars that it will cost industry who take part in the GSA Schedules program to comply.

HARDY. I will take it another instructions. Being a business man, you understand, I deal with quotes. I was a basic engineering contractor, so I put out bids. Now they are asking you to detail everything you got (GSA Search Engine Ranker). All your information that you have that may put you in the competitive movement, they are wanting us to offer that info, which they request for line product quotes.

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It is seen, I believe, in market as competitively delicate information. The guideline is not clear on how it can be utilized, or more notably, I think, how it will be protected.

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So I think I can say that usually, industry is very concerned about that, that competitively delicate details will be out there for competitors to acquire. And I guess I would also include that this information could cause damage if it is out there to specialists both in the industrial market and the federal government market because this type of pricing details would be valuable for commercial competition also.