Marginal Cost of Soliciting Automated Data Processing Equipment

Abstract

The Defense Logistics Agency Automated Data Processing (ADP) contracting Office (DLA-DACO) is responsible for procuring ADP equipment which can be acquired in two ways: (1) through the General Services Administration (GSA) ADP schedule; or (2) off-schedule through normal solicitation channels by way of a request for proposal (RFP). ADP equipment ordered via RFP has an administrative cost added for comparison purposes to the vendor's quote that includes the additional quantifiable costs of going off-schedule. This is permitted under the Federal Information Resources Management Regulation and provides for a more realistic comparison between an off-schedule bid and the GSA schedule price. In December 1985, DACO estimated this marginal cost to be $40, 000 and has been adding this cost to vendor's bids for comparison purposes. On 16 February 1990 the GSA Board of Contract Appeals judged the $40,000 amount to be excessive. This study was conducted to determine the marginal cost which accurately reflects the additional cost of soliciting via and RFP instead of ordering from the GSA ADP schedule. Keywords: Procurements, Automated data processing, Cost, Data processing, Economics, Acquisitions.

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Document Details

Document Type
Technical Report
Publication Date
Nov 01, 1990
Accession Number
ADA229970

Entities

People

  • David ClĂ©ment

Organizations

  • Defense Logistics Agency

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Abstracts
  • Acquisition
  • Classification
  • Contract Administration
  • Contracts
  • Data Processing
  • Data Processing Equipment
  • Economic Analysis
  • Economics
  • Government Procurement
  • Governments
  • Law
  • Logistics
  • Operations Research
  • Processing Equipment
  • Procurement
  • Standards

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  • Government Contracting/Procurement.
  • Life Cycle Cost Analysis