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How to Update GSA Schedule Prices

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Need to adjust your GSA Schedule pricing? Here’s a quick guide to help you navigate the process and stay compliant:

  • Timing Rules: You can request price increases after 12 months from the contract award and must wait 30 days between requests.
  • Annual Increase Caps:
    • Human Capital: 4%
    • Professional Services & Travel: 5%
    • All Other Categories: 10%
  • Key Documents:
    • Price Proposal
    • Market Analysis
    • Commercial Sales Practice (CSP) for non-TDR contracts
    • Sales History
  • Submission Process: Use the GSA eMod system to request changes. Include a cover letter, updated price lists, market data, and the CSP-1 form (if required).
  • Approval: GSA reviews your submission, conducts negotiations if needed, and approves or denies the request.

Quick Tip

Once approved, update your pricing on GSA Advantage and GSA eLibrary within 30 days.

This process ensures your pricing stays competitive, compliant, and aligned with market conditions. Let’s dive into the details!

MAS Modification Guidance Training Webinar

Getting Ready for Price Updates

Contract Review Steps

Before updating your prices, take a close look at your GSA Schedule contract documents. These include the Standard Form (SF) 1449 and its attachments, which are the basis for any changes you make. Pay special attention to the Economic Price Adjustment (EPA) clause to understand your options for making adjustments.

Here are the key documents you should review:

  • Final proposal revisions
  • Current price lists
  • Previous modification requests
  • Mass modifications
  • Small business subcontracting plan (if applicable)

Make sure to identify your Procurement Contracting Officer (PCO), as they are the only person authorized to approve price changes. Keep their contact details handy for future communications. Document your findings to streamline the next steps in the process.

Required Documents Checklist

Having the right paperwork ready is essential for a smooth price update process. The exact documents you’ll need depend on your EPA clause and whether you’re requesting a price increase or decrease.

Document Type Purpose Required For
Price Proposal Outlines current and proposed pricing All modifications
Commercial Sales Practice (CSP) Shows commercial pricing practices Non-TDR contracts
Market Analysis Provides justification for price changes Price increases
Sales History Details recent government/commercial sales All modifications

Market Price Research

Gathering accurate market data strengthens your case for price changes and ensures your documentation meets GSA standards. Alongside reviewing your contract documents, conduct thorough market research to back up your proposed adjustments. The GSA provides tools to help with this process. For instance, CALC+ on buy.gsa.gov/pricing offers data on awarded labor contract rates, helping you compare rates, spot trends, and set competitive prices.

Here are some GSA-approved methods for conducting market research:

  • Examine current federal spending patterns
  • Compare competitor pricing on GSA Advantage
  • Use the Bureau of Labor Statistics (BLS) wage rate data via the Quick Rate tool
  • Track upcoming federal contracting opportunities

These steps will help you build a solid foundation for your price update request.

Submitting Price Changes

Using eMod for Price Updates

The GSA’s eMod system simplifies the process of submitting price changes by allowing you to directly modify your Federal Acquisition Service contract.

To update your pricing in eMod:

  1. Log in to the System
    Use your FAS ID credentials to access the platform. The system will verify your login before granting access.
  2. Select ‘Price Update’
    Once logged in, choose the ‘Price Update’ option from the modification menu. The system will generate the necessary forms automatically.
  3. Complete the Required Fields
    Fill in all mandatory fields directly within the eMod interface.

After completing these steps, you’ll need to prepare your Price Proposal using the provided template.

Price Proposal Form Guide

Your Price Proposal should include details like SINs, units of sale, product or labor descriptions, current and proposed pricing, and GSA discount structures.

Important: For non-TDR contracts, ensure the discount difference between your Most Favored Customer (MFC) pricing and GSA pricing is maintained to avoid triggering the Price Reductions Clause.

Supporting Documentation for Price Changes

Submitting thorough documentation strengthens your request. Make sure your package includes the following:

Document Type Purpose Format Requirements
Cover Letter Explain the reasoning for price changes Business justification
Commercial Price List Show current market rates Updated within the last 30 days
CSP-1 Form Detail sales practices Complete all applicable sections (non-TDR)
Market Indicators Support price increase requests Industry-specific data points

Your submission will be reviewed by the Contracting Officer, who may request additional information. Once approved, update your rates in GSA eLibrary and GSA Advantage through either SIP upload or EDI.

If you’re unsure about the submission process, you may want to consult a GSA expert. Services like GSA Focus provide professional support, including document preparation, compliance checks, and negotiation assistance.

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Working Through GSA Review

Review Process Timeline

Once you submit your modification through eMod, GSA begins with an administrative review, followed by a technical review. If necessary, your Contracting Officer (CO) may enter negotiations before granting final approval. Keep in mind that processing times might stretch due to increased contract scrutiny. These steps outline how inquiries are handled and final terms are negotiated.

Answering GSA Questions

Responding quickly and accurately to GSA inquiries is key during the review process. Designate a single point of contact to manage all communication with GSA. Tailor your responses based on the type of inquiry using this guide:

Question Type How to Respond Required Documentation
Pricing Justification Share detailed market analysis and pricing data. Market research reports, sales history.
Technical Clarification Provide thorough details about your offering. Technical specs, certifications.
Compliance Verification Confirm alignment with government requirements. Updated SAM registration, FAR/DFARS acknowledgments.

Price Negotiation Steps

When entering the negotiation phase, rely on your documented market research to support your pricing. Here’s how to approach it:

  • Gather your evidence: Collect historical sales data, market research, and other relevant pricing documentation to back up your proposal.
  • Make your case early: Clearly explain any price differences, whether due to volume discounts, changing market conditions, or other factors. Be open to feedback from the CO.
  • Finalize in writing: Document all negotiated terms and submit any required revisions through eMod. Ensure your SAM registration is current to prevent delays in approval.

After Price Approval

Updating GSA Systems

Make sure to update pricing on all GSA platforms within 30 days. Double-check that product codes, descriptions, and prices are accurate on GSA Advantage! and GSA eLibrary.

Update Method Best For
Schedule Input Program (SIP) Most contractors
Electronic Data Interchange (EDI) High-volume sellers
FAS Common Catalog Platform (FCP) New platform users

After completing the updates, notify your customers about the changes.

Customer Communication

When price changes are approved, let your customers know. Your communication should include:

  • Your GSA contract number on quotes, along with Prompt Payment Discount terms.
  • Advance notice before applying the new prices.
  • A reminder that you can offer prices below the approved GSA Schedule rates if needed.

Maintaining Price Compliance

Stay compliant by following these steps:

  • Renew your SAM.gov registration every year, and update it immediately if there are any business changes.
  • Review your GSA Advantage! catalog at least every two years.
  • Monitor your pricing to ensure it meets Most Favored Customer (MFC) requirements and the minimum sales threshold: $100,000 for the first five years and $125,000 for every five years after that.
  • Keep detailed records of price changes, customer communications, sales reports, and Industrial Funding Fee (IFF) payments.

If managing pricing feels overwhelming, consider reaching out to specialists like GSA Focus for guidance.

Next Steps

Price Update Summary

To keep your GSA Schedule pricing current, follow these steps:

Phase Key Actions Timing
System Updates Update GSA eLibrary and GSA Advantage using SIP/EDI Within 30 days of approval
Documentation Submit sales reports and remit IFF payments Quarterly or monthly
Compliance Review BOA pricing and notify the Contracting Officer of changes Within 15 days
Registration Update your SAM.gov registration Twice yearly

Keep an eye on your pricing to ensure the discount margin between your Commercial Sales Practices (CSP) and GSA sales stays consistent. If this process feels like too much to handle, professional services can help make it easier.

Professional Support Options

After completing your pricing updates, professional guidance can help you stay compliant and competitive. Services like those offered by GSA Focus are designed to simplify the process and ensure accuracy.

GSA Focus offers:

  • Document preparation and compliance reviews
  • Price negotiation and ongoing contract maintenance
  • System update management

With a claimed 98% success rate in securing GSA contracts, their expertise can help you confidently manage price updates while staying compliant with GSA requirements.

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