MAIL BAG: SELLING TO STATE & LOCAL GOVERNMENTS

Loyal reader A. Weiner of New York, NY writes, “My new company wants to sell through our Schedule contract to a state government agency.  As a former Congressman, I should know this, but I don’t.  Can you help?”  There’s certainly some danger here, Carlos.  The rules that govern how, or if, you can sell to a state or local government through your Schedule are confusing.  Only the IT Schedule (70) and Security Schedule (84) have blanket coverage for state and local government purchases.  If you’re not on one of those schedules, your customer most commonly will be buying as part of their disaster relief or preparedness actions.  If none of these terms apply, the best you can do is to offer your Schedule pricing to a state or local customer.  Make sure, however, that these two terms apply:

1. The purchasing document is one issued by the relevant state or local authority and is not a Schedule purchase order

2.  State and local governments aren’t within your Schedule Basis of Award customer class.  Miss that one and you’ve likely just violated the Price Reductions Clause.  Make sure you and your non-federal customer both understand whether the transaction is, or is not, a Schedule sale.  As always, Schedule sales need to have the IFF collected and paid. Keep this answer in your pants pocket, along with your other important personal items.