GAO has its doubts that FSS offers best prices

The Federal Supply Service is taking heat from Congress for not guaranteeing that it is getting the best prices available when negotiating schedule contracts, according to a new Government Accountability Office report.

The audit agency said in the report released earlier this month that it found FSS had conducted on average 21 pre-award audits but no post-award audits between fiscal 1998 and 2004 on schedule contracts to ensure the government is getting the best price possible.

The General Services Administration's inspector general found and GAO confirmed that 60 percent of FSS acquisition centers did not document negotiations for best-value prices.

GSA has a goal of conducting 70 pre-award audits in 2005. Officials said GSA has provided funding to the IG's office for pre-award audits and to increase audits of large-dollar contracts. It also has revised FSS' operating procedures to require reports on pre-negotiation offers.

To read the GAO report, go to and enter 389 in the box.

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