Attention A T users. To access the menus on this page please perform the following steps. 1. Please switch auto forms mode to off. 2. Hit enter to expand a main menu option (Health, Benefits, etc). 3. To enter and activate the submenu links, hit the down arrow. You will now be able to tab or arrow up or down through the submenu options to access/activate the submenu links.
Attention A T users. To access the combo box on this page please perform the following steps. 1. Press the alt key and then the down arrow. 2. Use the up and down arrows to navigate this combo box. 3. Press enter on the item you wish to view. This will take you to the page listed.
Menu
Menu
Veterans Crisis Line Badge
My healthevet badge
 

Acquisition Flash! 22-18

What's Changed?

GSA’s Guidance Regarding GSA Economic Price Adjustment (EPA) in certain GSA contracts

Purpose: Inform the VA Acquisition Work Force (AWF) that GSA has issued a temporary moratorium on enforcement of certain limitations contained in certain GSA EPA contract clauses.

Effective Date: April 4, 2022

Affected VAAM Parts: VAAM Part M808

Background: Per GSA Acquisition Letter MV-22-02, GSA is allowing for temporary flexibility on limitations on price increases. The letter also provides a temporary moratorium on the enforcement of several limitations contained in certain GSA EPA contract clauses. The moratorium is in effect until September 30, 2022, unless otherwise extended.

As a result of the letter, GSA:

  1. Lowers the approval for price increases above the EPA clause ceiling in GSAR 552.216-70, from the contracting director to one level above the contracting officer;
  2. Relaxes time limitations on EPA increases;
  3. Relaxes limitations on the number of EPA increases a contractor may request; and
  4. Clarifies that if a contractor has removed an item from their Schedule contract, GSA will not enforce the limitation on adding the same item back at a higher price. Even with this added flexibility, contracting officers remain responsible for evaluating price increases and may accept them, negotiate them, or remove items from the underlying contract.
 

Applicability: This Acquisition Flash applies to all VA contracting activities awarding contracts against GSA Federal Supply Schedule (FSS) contracts, that contained the following clauses:

  1. GSAR 552.216-70, Economic Price Adjustment—FSS Multiple Award Schedule Contracts; Alternate I; and Deviation II;
  2. I-FSS-969, Economic Price Adjustment—FSS Multiple Award Schedule; and Alternate II; and
  3. GSAR 552.216-71, Economic Price Adjustment—Special Order Program Contracts; Alternate I; and Alternate II.
 

Action Required: Contracting officers should review the terms and conditions of their FSS contracts. GSA states that contracting officers remain responsible for evaluating price increases and may accept them, negotiate them, or remove items from the underlying contract. For up to date information regarding GSA matters, contracting officers may subscribe to GSA’s Email Updates.

Additional Information: Direct any questions or comments regarding this Acquisition Flash to Procurement Guidance and Instruction Service (PGIS) via email at VAPGISMailbox@va.gov.

return to top go