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No Small Business Set-Asides For FSS Purchases


GSA has taken the position that GAO's "Rule of Two" established in the Delex protest (B-400403, Oct. 8, 2008), which requires an agency to set aside a procurement for small businesses when there are at least two qualified small businesses, does not apply to the Federal Supply Schedule program. GSA issued a memo to this effect on October 28, 2008 and recently has been taking efforts to ensure that agencies and FSS contractors understand its rejection of the Rule of Two for FSS purchases.

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Marc F. Efron
Retired Partner – Washington, D.C.