ISSA protests impact of GSA federal strategic sourcing initiative on jansan industry

by Brianna Crandall — August 28, 2013—ISSA, the Worldwide Cleaning Industry Association, formally protested on August 21 the U.S. General Services Administration (GSA)’s proposed implementation of the Federal Strategic Sourcing Initiative (FSSI) as being in violation of the Small Business Act’s provisions related to the consolidation of contracts. The association also issued a simultaneous call to action for all members of the professional cleaning industry to contact their U.S. Congressional representatives in opposition to the FSSI.

In its formal protest letter to GSA Administrator Dan Tangherlini dated August 15, ISSA contended that GSA’s proposed implementation of the FSSI is in direct contravention of the policy established in Section 15(a) of the Small Business Act (SBA) related to the awarding of government contracts to small businesses. The association noted that the SBA states that a federal agency may not carry out an acquisition strategy that includes a consolidation of contract requirements unless federal procurement officials “identify any negative impact by the acquisition strategy on contracting with small business concerns.”

ISSA pointed out that despite this legal requirement, GSA has failed to give any consideration at all to the economic consequences to small businesses that will result from implementing FSSI in the jansan sector. Moreover, GSA’s proposed approach of limiting the Blanket Purchase Agreements to 21 vendors does not adequately contemplate the long-term consequences of reducing competition and relying on only a handful of vendors to set prices, the association contended.

ISSA went on to argue that the GSA approach to implementing FSSI will restrict competition, eliminate business opportunities for hundreds of small businesses, and does not serve the national interests in maintaining a robust economy.

In its simultaneous call to action, ISSA is urging all members of the professional cleaning industry to contact their U.S. Senators and U.S. Representative to protest the FSSI, asserting that distributors and manufacturers who are GSA schedule holders and currently doing business with the federal government stand a good chance of losing that business and being locked out of any future government contracts.

ISSA contends that implementation of the current version of the jansan FSSI, originally scheduled for final contract announcements this month, will severely impact the industry in the next few months and years to come. Under the proposed jansan FSSI, the number of GSA Blanket Purchase Agreement (BPA) awards will be drastically reduced from the estimated 1,000-plus current vendors to just 21 vendors recognized to supply jansan products to the government, explains ISSA, and all federal agencies will be required to purchase jansan products from only the selected 21 vendors.

Under the proposed Request for Quotation (RFQ), just six BPAs will be awarded for cleaning compounds and related dispensers, five vendors will be chosen to supply non-motorized cleaning equipment and waste receptacles, five vendors will be selected for providing paper products and related dispensers, and five vendors will be able to supply motorized floor cleaning equipment. This will lock out approximately 980 current businesses relying on GSA contracts for a portion of their revenue streams, says ISSA.

More information and resources are available from The JanSan FSSI Inform Initiative Web site.