the burdens and cost of a new procurement under applicable prescribed procedures. Except when procuring automatic data processing equipment, related software and maintenance services, the procurement office shall not solicit bids, proposals, quotations, or otherwise test the market for comparison with the schedule price see § 185.106). Where a procurement from a source of supply other than the nonmandatory Schedule indicates that such source might be more advantageous to the Government as a general source, the name and address of the supplier together with other details of the procurement action shall be forwarded to the General Services Administration through the Regional Office of the GSA region in which the procuring activity is located. The provisions of § 18-5.102(a) are applicable when determining whether a contractor can meet delivery requirements.

NASA Form 1379 or Standard Form 147 should be used as a delivery order in purchasing supplies or services from Federal Supply Schedule contractors. $ 18-5.105 Federal Supply Schedules with multiple source provisions.

§ 18-5.105-1 Description.

(a) Multiple-award Federal Supply Schedules cover contracts made with more than one supplier for comparable items at either the same or different prices for delivery to the same geographical area. These schedules are identified by the inclusion, in the Special Provisions, of a paragraph entitled "Multiple Awards."

(b) Federal Supply Schedule contracts are made on a multiple award basis when one or both of the following circumstances apply:

(1) The most effective utilization of industry production and distribution facilities in meeting the needs of the Government can be accomplished through making multiple awards and such awards are otherwise advantageous to the Government. (Considerations in determining that multiple awards should be made include price, quality, facility of delivery, availability of production and distribution facilities, technical advice or service in connection with products involved, and other pertinent factors.)

(2) In the absence of prescribed standards or specifications, selectivity, with respect to the choice of one item from a group of comparable items, is to the advantage of the Government in terms of suitability to accomplish or produce required end results.

§ 18-5.105-2 General.

The provisions of § 18-5.103 shall be applied in determining whether an order should be placed under a multiple-award schedule. Each purchase made from a multiple-award schedule must be made at the lowest delivered price available under that schedule, unless the procurement office fully justifies the purchase of a higher priced item.

§ 18-5.105-3 Justifications.

(a) Justifications of purchases made at prices other than the lowest delivered price available should be based on specific or definitive needs which are clearly associated with the achievement of program objectives. Mere personal preference cannot be regarded as an appropriate basis for a justification. Justifications should be clear and fully expressed. Recital of, or reference to one of the factors set forth in paragraph (b) of this section is not sufficient.

(b) The following examples illustrate factors that may be used in support of justifications, when used with assertions that are fully set forth and documented.

(1) Special features of one item, not provided by comparable items, are required in effective program performance.

(2) An actual need exists for special characteristics to accomplish identified

tasks.

(3) It is essential that the item selected be compatible with items or systems already existing within using offices.

(4) Trade-in considerations favor a higher priced item and produce the lowest net cost.

(5) Time of delivery in terms of actual need cannot be met by a lower priced contractor.

(6) Justifications which incorporate features of the following examples must be based on objective factors which adequately establish the advantages inherent in purchase of the higher priced item when:

(i) Probable life of the item selected, as compared to that of a comparable item at a lower cost, is sufficiently greater so that the additional purchase price is economically warranted;

(ii) Warranty conditions of a higher priced item are sufficiently advantageous to justify the added cost; and

(iii) Greater maintenance availability, lower overall maintenance costs, or the elimination of problems anticipated with respect to machines or systems, especially at isolated use points, will produce longrun savings greater than the difference in purchase prices.

§ 18-5.105-4 Responsibility of procurement office.

The possibilities of selectivity among items listed in multpile-award Federal Supply Schedules do not relieve the procurement office of its responsibility to place its orders at the lowest delivered prices available (after application of Buy American differentials, when appropriate, as set forth in the Federal Supply Schedule under the paragraph "Foreign Origin") unless there are factors for consideration which definitely justify the purchase at other than the lowest price. This responsibility exists whether or not the value of an order is more or less than the applicable open market limitation. When orders are placed with Schedule contractors at other than the lowest schedule price available for the type of services or supplies required, the procurement office shall include in the contract file a memorandum for record setting forth the facts and conclusions justifying the order.

§18-5.106 Use of Federal Supply Schedules for automatic data processing equipment (ADPE) and related software and maintenance services.

(a) Nothing in this Subpart 18-1 is intended to preclude or otherwise detract from the procurement of ADPE from a number of different sources, if such action will be in the best interests of the Government. The existence of a Federal Supply Schedule contract does not preclude or waive the requirement for full and complete competition in obtaining ADPE, software, or maintenance services. Suitable ADPE not on a Federal Supply Schedule contract, as well as that which is on such a contract must be considered. Bids or proposals should be solicited from all qualified sources, including those on Federal Supply Schedules, if such action will be in the best interest of the Government.

(1) Purchase orders issued against Federal Supply Schedule contracts

should delineate specifically both the hardware and/or the software being procured. Care should be taken to ensure that specific requirements and commitments are included in the purchase orders.

(2) In any case where ADPE, software, or maintenance services are procured under a Federal Supply Schedule contract at other than the lowest available delivered price, justification for the action shall be documented in the contract file in accordance with the provisions of § 18-5.105-4.

(3) Except in those instances where a determination as to lowest overall cost can be reached and documented without further solicitation or negotiation, proposals or bids should be solicited to determine the ADPE, software, or maintenance services which would satisfy requirements at the lowest overall cost to the Government, price and other factors considered.

(b) In accordance with the authority of 40 U.S.C. 486 (c) the General Services Administration (GSA) has authorized agencies to procure ADPE, software and maintenance items from Federal Supply Schedule contracts without prior review and approval of GSA.

(1) In these instances, two copies of the solicitation document and any subsequent amendments thereto, shall be forwarded to the Director, ADP Procurement Division, Office of Automated Data Management Services-FTP, Federal Supply Service, General Services Administration, Washington, D.C. 20405, as soon as available, but in no event later than the date issued to industry. In addition, one copy of the resulting purchase order, delivery order or contract shall be forwarded upon issuance.

(2) If, as a result of such solicitation, all or any part of the general purpose commercially available, mass produced ADPE, related software or maintenance service items selected are not available from a FSS contract, a request for procurement authority shall be forwarded to the Commissioner, Federal Supply Service, General Services Administration, Washington, D.C. 20405 through the Director of Procurement (Code KDP-1). This request shall consist of two copies of the solicitation document together with such other clarifying or explanatory information as may be available. No award shall be made until the re

This subpart is applicable to supplies procured within the United States.

§ 18-5.401 General.

Supplies of the classes listed in the "Schedule of Products Made in Federal Penal and Correctional Institutions" shall be purchased in accordance with the policies and procedures set forth in this subpart.

§ 18-5.402 Preference as between prison-made and blind-made supplies.

In any case where similar supplies are manufactured or offered for sale both by Federal penal and correctional institutions and by agencies for the blind, the supplies must be purchased from Federal Prison Industries, Inc., to the extent available.

§18-5.403 Schedule of supplies which are prison-made.

Supplies which are manufactured by Federal penal and correctional institutions are in strict conformity with Federal Specifications. These supplies are listed in the "Schedule of Products Made in Federal Penal and Correctional Institutions" (referred to in this Subpart 18-5.4 as the "Schedule"). Copies of the Schedule are available from Federal Prison Industries, Inc., c/o Department of Justice, Washington, D.C. 10537.

§ 18-5.404 Mandatory procurement of prison-made supplies.

§ 18-5.404-1 Mandatory procurement from Federal Prison Industries, Inc. Supplies listed in the Schedule shall be procured directly from Federal Prison Industries, Inc., when

(a) Supplies require overseas packaging or packing;

(b) Supplies are required in carload lots, as described in the Consolidated Freight Classification for the commodity concerned; or

(c) Supplies are required in less than carload lots, but are not stocked by General Services Administration Stores Depots.

§ 18-5.404-2 Mandatory procurement of prison-made supplies from General Services Administration Stores Depots.

Supplies listed in the Schedule which are required in less than carload lots and which are stocked by General Services Administration Stores Depots shall be procured from such depots, except that procurement shall be made directly from Federal Prison Industries, Inc., when (a) the procurement office is so located that it is more practical and economical to procure directly from Federal Prison Industries, Inc., rather than from or through the General Services Administration, or (b) the General Services Administration Stores Depot is temporarily unable to furnish the required supplies, in which instance the depot will so advise the procurement office so that the procurement may be made directly from Federal Prison Industries, Inc.

§ 18-5.405 Nonmandatory procurement

of prison-made supplies.

Contracting officers are encouraged to utilize the facilities of Federal Prison Industries, Inc., to the maximum extent practicable in the procurement of supplies which are not listed in the Schedule, but which are nevertheless of a type manufactured in Federal penal and correctional institutions.

§ 18–5.406 Procurement procedure.

§ 18-5.406-1 Procurement from Fed

eral Prison Industries, Inc.

Procurement directly from Federal Prison Industries, Inc., will be made by placing a purchase order with the Federal Prison Industries, Inc., % Department of Justice, Washington, D.C. 20537.

§18-5.406-2 Procurement from Gen

eral Services Administration Stores Depots.

The Federal Standard Requisitioning and Issue Procedure (Federal Property Management Regulation, Subpart 10126.2) shall be used to obtain prison-made supplies from General Services Administration Stores Depots.

§ 18-5.407 Exceptions.

Supplies listed in the Schedule may be procured through National Industries for the Blind or from commercial sources under any of the following conditions:

In addition to the exceptions provided in § 18-5.407, supplies of the types listed in the Schedule may be purchased through National Industries for the Blind or from commercial sources if such procurement is specifically authorized in clearances issued by Federal Prison Industries, Inc., as set forth in paragraphs (a) and (b) below.

(a) General clearances are issued by Federal Prison Industries, Inc., when classes of supplies are not available from Federal penal and correctional institutions, or when it is otherwise in the best interest of the Government to allow procurement of those classes of supplies from agencies for the blind or from commercial sources. Purchase orders or contracts written pursuant to a general clearance need not be supported by a copy of the clearance, but the clearance number must be cited on the purchase order or contract as well as on the initial voucher.

(b) Formal clearances are issued in response to requests initiated by purchasing offices desiring to procure from agencies for the blind or from commercial sources supplies of the type listed in the Schedule when such supplies are not covered by a general clearance. Requests for formal clearances shall be addressed to Federal Prison Industries, Inc., % Department of Justice, Washington, D.C. 20537. Actual purchase of the required supplies shall not be consummated prior to the issuance of the formal clearance. A copy of the clearance certificate must be attached to the initial voucher.

Subpart 18-5.5-Procurement of
Blind-Made Supplies

§ 18-5.500 Applicability.

This subpart is applicable to supplies procured within the United States. § 18-5.501 General.

Supplies listed in the Schedule of Blind-Made Products shall be procured in accordance with the policies and procedures set forth in this subpart.

are blind-made.

Supplies manufactured by agencies for the blind are listed in the Schedule of Blind-Made Products, hereinafter referred to as the Schedule, copies of which may be obtained from the General Services Administration Regional Offices or Depots Items available from stocks at General Services Administration stores depots are so identified in the Schedule. Requests for copies of the Schedule will be submitted on GSA Form 457, will specify the exact organizational mailing address, and will request placement on the mailing lists for revisions. § 18-5.503 Mandatory procurement of blind-made supplies.

Except as provided in § 18-5.402 supplies listed in the Schedule shall be procured as follows:

(a) Orders for centrally managed supplies shall be placed through the National Industries for the Blind (NIB) in accordance with § 18-5.504-1.

(b) Orders for supplies which have been decentralized for local purchase shall be submitted to the General Services Administration Stores Depot which can best serve the Procurement Office, except that when one of the conditions set forth below is present, procurement shall be through the NIB:

(1) Supplies require overseas packaging or packing;

(2) Supplies are required in carload lots, as described in the Consolidated Freight Classification for the Commodity concerned;

(3) Supplies are stocked by General Services Administration Stores Depots, but the procurement office is so located that it is more practical and economical to purchase directly from the agency for the blind which manufactures the supplies, rather than from the stores depot;

(4) The Schedule indicates that the supplies are not stocked by General Services Administration Stores Depots;

or

(5) Delivery requirements cannot be met.

(c) Supplies listed in the Schedule may be procured from commercial sources under any of the conditions set forth below:

(1) Necessity requires delivery within two weeks and the NIB cannot give assurance of positive availability; or

(2) The procurement is for $25 or less. § 18-5.504 Procurement procedure.

[36 F.R. 25115, Dec. 29, 1971]

§ 18-5.504-1 Through National Industries for the Blind.

When procurement of blind-made supplies is to be effected through the NIB, such procurement shall be made by submitting directly to the National Industries for the Blind, 1511 K Street NW., Washington, DC 20005, a request, in letter form, for an allocation. Upon receipt of the request, requirements will be allocated by NIB, and the procurement office will be notified of the name and location of the agency designated to manufacture the requirements. Upon receipt of such notification, a purchase order shall be issued to the designated agency for the blind and a copy thereof will be forwarded to the NIB. Such orders may be issued without limitation as to dollar amount. A certification of fund availability must be obtained before an order may be issued.

[36 F.R. 25115, Dec. 29, 1971]

§ 18-5.504-2 From General Services

Administration Stores Depots..

The Federal Standard Requisitioning and Issue Procedure (Federal Property Management Regulation, Subpart 10126.2) shall be used in obtaining blindmade supplies from General Services Ad

ministration Stores Depots.

§ 18-5.507

Procurement of services

from agencies for the blind.

(a) Services, as distinguished from supplies, shall not be procured pursuant to the procedure in § 18-5.501 which does not apply to labor or services or anything other than tangible articles produced by the blind.

(b) Agencies for the blind may be solicited in connection with proposed procurements of services but contracts must be awarded pursuant to normal contracting procedures.

(c) When it is known that agencies for the blind are qualified to furnish services, requests for bids or proposals shall be forwarded to: National Industries for the Blind, 1511 K Street NW., Washington, DC 20005. Phone: (202) 347-5119.

[36 F.R. 21485, Nov. 10, 1971]

Subpart 18-5.6-Procurement of
Printing and Related Supplies

§ 18-5.601 Printing and related supplies.

Printing, duplicating, binding, and related supplies, including the printing, duplicating and other reproduction of documentation (e.g., reports, statistical data, etc.) required by NASA contracts shall be procured in accordance with (a) the Printing and Binding Regulations published by the Joint Committee on Printing, Congress of the United States, and (b) NMI 1490.2 "Responsibilities, Procedures, and Standards for NASA Printing, Duplicating, and Binding." The standards set forth in Attachment B to NMI 1490.2 shall be made a part of the contract schedule when any of the above items are required as a part of the contract.

§ 18-5.602 Contract clause.

The clause set forth below shall be inserted in all contracts which have requirements for printing, duplicating, or other reproduction of documentation.

LIMITATION ON PRINTING, DUPLICATING AND

OTHER REPRODUCTION (JULY 1970) Printing, duplicating, binding, and related supplies, including the printing, duplicating and other reproduction of documentation (e.g., reports, statistical data, etc.) required under this contract are subject to the provisions of the Government Printing and Binding Regulations published by the Joint Committee on Printing, Congress of the United States and shall comply with the standards set forth in the Schedule.