CSP Caveats

As many of you know, when you obtain a GSA contract you are now bound to the Price Reduction Clause. This puts a lot of constraints around what pricing your company can charge to GSA and non-GSA clients alike. (Please refer to previous blog posts on the Price Reduction Clause) However, if there are specific contracts where the pricing is inflexible- perhaps in the case of multi year contracts that were put into place prior to the GSA contract acquisition, or in such cases where your company is the subcontractor to a prime wherein you cannot control pricing, then GSA should be made aware of this.

On the Commercial Sales Practices document (a template from GSA), disclose these special circumstances under question #4B. Select that GSA does not always receive the best discounts and provide a brief explanation of these specific circumstances.

Now this is on file with GSA and when assessments or audits come up, your reviewing officer knows of these caveats in advance and your company doesn’t get flagged for noncompliance. It is always better to be up front with GSA, rather than facing consequences down the line.

As always if you have any questions about this topic or about the general management of your GSA contract, please don’t hesitate to reach out to info@elevategsa.com.

Links:

Price Reduction Clause: https://www.elevategsa.com/gsablog/2021/1/11/price-reduction-clause