Overview
This section establishes that the Committee for Purchase From People Who Are Blind or Severely Disabled (the Committee) has the sole authority to set "fair market prices" for items on the Procurement List and outlines the procedures for price adjustments and shipping terms.
Key Rules
- Pricing Authority: The Committee establishes all fair market prices and has the authority to do so without prior coordination with the contracting office.
- Shipping Terms: All prices for supplies under this subpart are provided as f.o.b. origin.
- Adjustment Intervals: Prices for supplies are typically adjusted semiannually, while prices for services are typically adjusted annually.
- Effective Dates: Price changes generally apply to orders received on or after the effective date, though the Committee may apply changes retroactively in special cases.
- Non-Standard Packaging: If an ordering office requests packing, packaging, or marking that differs from the Procurement List standard, the ordering office must reimburse the nonprofit agency for the cost difference.
- Agency Recommendations: Government ordering offices maintain the right to recommend price revisions to the Committee at any time.
Practical Implications
- Contracting Officers (COs) do not negotiate prices directly with AbilityOne participating nonprofit agencies; instead, they must treat the Committee’s established price as a mandatory "fair market price."
- Agencies must account for additional costs beyond the listed price, specifically shipping (due to f.o.b. origin terms) and any specialized packaging requirements.