Please Submit all Testimonials to INFO@STOPFSSI.ORG


    Creative Sales Solutions, Inc. has been a schedule 75 contract holder since March, 2001. We have served the federal government with excellent service, products, and compliant pricing for a decade. However, during this time we have also experienced growing bi-partisanship and apathy when dealing with GSA , especially when the people in charge have no clue as to what it takes in time, human resources, and capital to maintain compliance. I chalk this up to the fact that either they don't understand free market enterprise, or they don't care. In my opinion, it's probably BOTH.

     Below is our GSA 1st quarter sales for the last 4 years. Please note 2010 & 2011:

 

2008: $276,895.00

2009: $229,283.00

2010: $171,174.29 (-25%)

2011: $  93,884.33 (-45%)

 

In Nov.2009, I was given a new CO, who promptly informed me AFTER I had a " contactor assistance visit" the previous April, that he had no documentation that I was a full catalog dealer, and that I wasn't allowed to have my full-line catalog on GSA Advantage. I explained that I WAS a full-line catalog dealer, that it had been approved in 2001. Again, he stated he had no documentation of it. I countered that anything loaded in the SIP program HAD to be approved by the CO, that contractors cannot simply and randomly load any products they want on their GSA site and that surely he was aware of this. We went through this song and dance (compiling a lot of expense and time) until July 8th, 2010, when he finally approved my full catalog conversion. During this time, we were not allowed to update pricing or products on our site, thus the 25% drop.

     Now, after enduring all of that, we face extinction due to the reckless and uninformed in Washington. I have lost 45% of my business as a whole, and just in the last month, laid off the best damn employee (10 years) any business owner could ask for. Telling a Mid 30's mother of two small girls that you cannot afford to keep her, and that she needs to get on unemployment( welfare) is the hardest thing I've ever had to do. If the FSSI is allowed to continue, I cannot foresee us staying in business past May. What do I do about my responsibilities to my family? Especially my Father-in -law, who has Alzheimer's and I provide the funding for his assisted living? What about my partner, who is responsible for two children, one in college and one in grade school?

   

Very Truly Yours,

 

Brian W. Cassidy, President- Creative Sales Solutions, Inc.

 

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 When Federal Services Inc. received its GSA Schedule 75 in March of 2009 it was a SDVOSB.

Once FSI received it's GSA Sch. 75 MAS Contract, it immediately applied for a AbilityOne distributorship and were awarded one.

 

In June of 2010, FSI was awarded the first every Newcomer of the Year Award from the National Industries for the Blind.

 

Things were really looking up and two Vietnam Era Veterans felt that finally the US Government was trying to help VOSB's.

 

WRONG!!!!!!!!

 

Along came the FSSI in October of 2010 and sales of office products dropped by 87%.

 

This FSSI is a genuine" Made in the USA" Kick in the Ass and Slap in the Face when two Veterans are told that the US government is only going to allow and recognize one SDVOSB to be part of the FSSI BPA.

 

If this is true, then there should only be one Marker on Normandy.

 

Sincerely,

 

Jim Matter

President

 

Federal Services, Inc.

 

 

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Adams Marketing has been a successful schedule 75 contract holder for 27 years.  We have provided excellent pricing and service to the entire Federal Government customer across the world.  We have evolved over the years to be EDI friendly and increased our ability to supply over 25,000 office supplies in an inexpensive and efficient manor.  We have always been ranked in the top 10 of the, over 500, schedule 75 contractors.    Since the forcing of the FSSI BPAs, we have had an immediate and exorbitant drop in business in the past 6 months.  We have laid off 3 employees (one with a son in IRAQ) , given salary cuts to many employees,  and having to consider more layoffs in the very near future. 

 

Our customers are being diverted by the FSSI mandates from the Agency head level.  One customer from the Census Bureau spent 3 days getting 2 forms, one at their level, and one at the Dept. of Interior level, filled out and signed.   This was in order for them to purchase an item from Adams Marketing, saving them $300.00 over what they could find it for on FSSI.  Placing the order with Adams Marketing took 3 minutes and we shipped it out the next day.    We are getting many customers venting their frustration over the additional paperwork and man-hours involved in getting the best value for their purchase.  Also,  GSA has instructed it's New York City, Global Supply purchasing agents to also go to the 15 FSSI BPA holders, which in totally out of the realm of the micro-purchase cardholder use noted in the BPA. 

 

On page 11, of GSA's powerpoint presentation entitled, " FSSI Office Supplies Executive Summary",  in regard to the 24 month postponement of schedule 75 new offers,  it states "Schedule 75 sales, outside of FSSI BPA's, projected to decline as use of the FSSI BPAs increases."       This has been an unbelievable attempt to put 500 small businesses out of business, during the worst economic time of our lives.  And this is all done with no regard about the fate of the schedule holders by OMB and GSA.  After meeting face to face with them in front of my Congressman Bobby Scott,  they admitted that they did not do any study as to the impact this FSSI might have on small businesses across America and it is hard to believe the our President is supporting this initiative. 

 

 

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To echo the stories of the many small business owners that have had to face the decline in sales due to the FFSI contracts, we have also had to face the harsh reality this arrangement has had on the business.  We are grateful for our GSA contracts, a lot of time and resources went into getting and maintaining these contracts.  We work hard to provide quality goods at reasonable prices, so you can imagine how disheartening it is to see the rewards going to Office Depot, whether they have the best pricing or not. 

 

We want to stand with you and all the small business owners to ensure that "cost cutting" programs are not just a way to cut the small business owners out of the market all together. 

 

Thank you,

 

Maureen O'Toole

Alpha Sum Business Machines

 

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                CycleNet is one of those grass root American stories.  I was tired of the corporate grind in the late 90's and hitting the glass ceiling, so I started CycleNet a small woman owned business.  The company started in my basement and has grown to a multi-million dollar business employing eleven people.  The past years have not been easy.  I had to juggle raising my son by myself and meeting all of the financial needs of a growing company.  The GSA or government portion of our business has been a key dependable portion of our business.  I wrote our original schedule and submitted it for approval six years ago.  It took me five months to write and complete all of the paperwork working in the evenings and on weekends.  It then took the government five months to approve.

 

                We just had our GSA contract renewed last December for another five years.  What is ironic is that we received an "exceptional " rating from our GSA auditor.  Our GSA business was growing over 40% because our prices were fair, our customer service exceptional, our delivery perfect to all locations across the U.S. and dealing with the units in Iraq, Kuwait, Egypt, Djoubuti, etc...  Our business was founded on "uncompromising integrity";  it is present in all we do.  We do not lose customers or accounts.  Our GSA business has been down 95% since the first of the year through no fault of our own.  Our government clients tell us that they have been mandated to purchase off of the FSSI even though they don't want to.  We are located in Virginia, so we are close to many of the government agencies. 

 

                CycleNet is responsible for eleven families and their livelihoods.  We are a small company like the other companies on the GSA schedule that supports their local communities, pays taxes on time, contributes to the betterment of our communities and lead by example.  It is the American Way !  Has this been forgotten in Washington?   Please let someone walk in my shoes and see what we have to contend with on a daily basis.  In order to compete in an ever changing market the least we can ask for is a fair chance to succeed based on merit.

 

 

Sincerely,

Sue

 

Susan M. Saxion

Cycle-Net Inc.

 

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We received the request for quote. It was all or nothing on the office products and/or just for the toner. The products were limited to products not on our contract so we could not provide a bid. There was nothing on the RFQ that mentioned or listed all office products.

 

We only had our GSA contract for approx. two years and due to the increase in sales last year, we started to interview for two new positions with the company. Currently, sales are down significantly and we have cancelled any plans on hiring. In addition, the owner is looking for employment and doesn't know how long the company will be able to continue operating. Our federal government customers have commented on the great prices and customer service provided by our company.

 

The actions imposed by this FSSI/BPA are illegal. Based on the Small Business Act we are not being treated fairly or equitably.

 

Thank you,

Andy Lempa

Vice President

 

Andrews Office Supplies, Inc.

 

 

GSA Contract#: GS-02F-0172V

Woman Owned Small Business

 

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I am a Service Disabled Veteran, rated by the VA at 90%.  When leaving the military I discovered that my 24 years of "Experience and Skills" were not in demand and add in the disability factor.  After working through a temp firm, I decided to start my own business in 1992.  Over the years I heard about the GSA and the contracts they offered, but was discouraged from trying to get one, everyone said how impossible they were to get. In 2006, I decided to go for it,  downloaded the paperwork and got started.  I was told it could take months to get it all processed, but I was willing to try.  By the time I had everything filled out and submitted; they had changed the forms and I had to redo the entire packet.It was a major highlight to my business life to be awarded that GSA contract on January 31, 2007.  There is a lot about the contract system that takes time and effort, from the on-site inspections(nerve wracking to say the least) to the mandatory contract modifications.  I have always followed the regulations, from researching every item I list( I now have over 6,000 line items) to be sure were TAA compliant, percentage of recycled content, etc.  Over the past 19 years I have had many business ups and downs including taking out a very large second mortgage on my home for the business. The GSA sales were really beginning to help me see the light at the end of the tunnel.  Like anything else it has taken a while for the GSA customers to build up, I understood and was in it for the long haul; knowing that the other Schedule 75 contract holders were in the same situation.  Now comes the FSSI BPA.   No longer are things equal and fair.  I had been growing at a rate where I had begun to contemplate rehiring assistance.  At one time I was able to employ eight workers, but with the economy, employee benefits and taxes, I've had to cut way back.  Now just as I was seeing things turn around, I am slapped in the face with FSSI BPA.  'Customers' I had been able to count on ordering regularly ; were now being told 'they had to purchase from FSSI BPA only' even though my pricing was a better deal for them.  I have done everything required of me, getting certified as a "Service Disabled Veteran Owned Small Business" by the VA, Center for Veterans Excellence, going to the GSA Expo and all of the other 'little' things that have cropped up.  Not only has FSSI BPA made my business go down, it has made my wife's and my blood pressures soar.  This has made our lives teeter between anger and depression.  My wife and I spend about 60 or 70 hours working each week, sometimes more, seven days a week at the business.  It never seemed to be too much until we could no longer see the results of our labors.  Before FSSI BPA I was able to see a steady trend up to more than 60% of my total sales from my government sales, now I'm not even averaging one sale per day.  With the FSSI BPA injected into the equation, the mandated sales of $25,000 per year looms large over my head, fortunately,fortunately for this year I was able to make my quota before the FSSI BPA went into effect.  But what about my new year beginning in July, never before have I had to worry about that.  I went from growing and thriving to wondering how long I can keep the doors open.

 

And just this week I get a call from a GSA rep; it's time for my inspection again!

   

Dale L. Gettle

Owner

Deja'vu Laser Services

 

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MMG Technology Group Inc is a small, disadvantaged, woman-owned business that relies heavily on our GSA relationship. MMG has a total of (9) employees.

 

The FSSI has significantly impacted our overall business with the Federal Government to the point we may end up laying off long-time employees. MMG has had a very positive working relationship with GSA for (12) years and our service and commitment to GSA has been excellent. Needless to say our story is no different than any of the other Schedule 75 contract holders. The FSSI process created by GSA is irresponsible and without merit. With the exception of a few small and disadvantaged business the rest of the Schedule 75 contract holders have been hung out to dry.

 

MMG is currently is the process of turning the business over to our children and needless to say this FSSI program has been devastating to their long-term hopes of being able to carry this business forward as second generation owners of our family business.

 

This FSSI program needs to be terminated so that all small businesses have a chance to compete with our customers without them being told by GSA that it's FSSI or nothing.

 

Thank you,

 

Larry Marietti

Vice President Operations/Co-Owner

MMG Technology Group, Inc.

 

 

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  We are a Viet-Nam small veteran-owned business and have serviced VA's and other government institutions since 1991.  Our business has declined over 50% since this FSSI became in place.  The contact people I work with in the government VA's are calling me and telling me they have been told they can no longer do business with us because of the FSSI mandate.

  We went to considerable links and expense to get our GSA number and keep our prices very competitive with the other vendors.  In fact, we had a lot of extra services that we gave to the VA's because we wanted to support our veterans and keep their cost at a minimum; however, we are rewarded with a "slap in the face" with this FSSI.  This is not fair competition and goes against every facet of our American way - free enterprise and the right to compete.  It is very autocratic and undemocratic.  This is what happens when the "big" federal government think they know best.

  We are discussing the possibility that we may have to close our business if something is not done in the very near future to allow us the right to service our government institutions.

  Thank you,  Jackie Esnard/Vice President/Western Technologies

 

 

Jackie Esnard

Western Technologies

2401 Windy Ridge ~ Plano, TX 75025

 

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Pacific Ink, Inc. is a woman owned, small business that was awarded a GSA Schedule in January 2004 to sell printer cartridges. Over the last 7 years we have worked hard on our GSA Schedule both marketing it and keeping it in compliance and have bent over backwards keeping our government customers and GSA happy.  Since October 1, 2010 we have experienced a critical drop in our GSA sales, which in real dollars comes to a difference of $417,000.  The first quarter of 2011 has been the hardest to swallow as our sales are down 71% over 1st quarter 2010.  Because we haven't changed anything with regards to our marketing efforts and our monthly contact with all of our government customers we know that the reduction in sales is due entirely to the FSSI BPA. 

 

Our government business is very diversified which has helped us weather past budget delays, organization wide BPA's, etc. but approximately 32% of our government customers have contacted us to let us know that they are saddened that they can no longer purchase from us because they are mandated to buy from the FSSI BPA.  Looking at our customer list we estimate that closer to 60% can't order from us anymore due to the organizations mandates on them to order from the FSSI BPA.  We also have had reports from several customers that are able to order from us that they are having a hard time finding us on GSA Advantage the past few months due to the new GSA Advantage website.   We have had a hard time locating our products as well due to the new site and its favoritism to FSSI BPA companies. 

 

Due to the dramatic decrease in sales we have had to layoff 2 people that served our government customers and 1 warehouse employee during the last 3 months.    We have had a difficult time paying our vendors and covering our most basic expenses of rent, medical insurance, etc.   We are fighting for our livelihood and the livelihood of our employees.  While we are doing this we have reports from our customers that have to order from FSSI BPA but have not received their product for over 3 weeks, are having a hard time getting a hold of anyone for customer service, and last but not least, paid more than they would have for the product had they purchased it from us.  As a tax payer this is very disheartening knowing that the government can buy it for less from Pacific Ink, Inc. and several other small businesses, get better service, but are being mandated to buy elsewhere due to a decision made by our government. 

 

Sincerely,

 

Jaime Mautz

 

President

Pacific Ink, Inc.

GSA Contract#GS-02F-0073P

 

 

Pacific Ink, Inc

10531 4S Commons Drive, Suite 166-415

San Diego, CA 92127-9212

 

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Since this began I have lost 69% of my employees. I have had a reduction in revenue of 47 %( the percentage grows larger everyday). I had to reduce pay for all remaining employees. I have had to cancel all healthcare coverage for all employees including myself. I don't ever recall receiving an invite/solicitation for the FSSI. I went through the long ordeal of obtaining our GSA contract back in 2006 and I have greatly appreciated the support of the local base where I live up till 4Q09. As a veteran, it disheartens me that the committee didn't look into what the FSSI was going to do with all of the remaining vendors and their families. In October of 2009, the orders started to die off. We were told by numerous cardholders that where they were not allowed to purchase from local small business, they had to use advantage to enter orders. I said ok, I am on advantage, still no orders. We are lucky if I receive 1 order a day.

I finally learned of the FSSI in Jan 2011 and had a meeting with base contracting last month and they admitted to knowing about the FSSI and I was told there was nothing they could do.  We are on the verge of closing the doors. We all need to fight this before it is too late.

Richard Finn, USAF Veteran

Midwest Office Supply

GSA Contract Holder

 

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  We are a Viet-Nam small veteran-owned business and have serviced VA's and other government institutions since 1991.  Our business has declined over 50% since this FSSI became in place.  The contact people I work with in the government VA's are calling me and telling me they have been told they can no longer do business with us because of the FSSI mandate.

  We went to considerable links and expense to get our GSA number and keep our prices very competitive with the other vendors.  In fact, we had a lot of extra services that we gave to the VA's because we wanted to support our veterans and keep their cost at a minimum; however, we are rewarded with a "slap in the face" with this FSSI.  This is not fair competition and goes against every facet of our American way - free enterprise and the right to compete.  It is very autocratic and undemocratic.  This is what happens when the "big" federal government think they know best.

  We are discussing the possibility that we may have to close our business if something is not done in the very near future to allow us the right to service our government institutions.

  Thank you,  Jackie Esnard/Vice President/Western Technologies

 

Jackie Esnard

Western Technologies

 

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My business LCI Office Products, Inc. is AbilityOne vendor and we never received a notification for it as well.

Kind regards,

Parvaneh Nobari@LCi Office Products, Inc.

 

On Mar 14, 2011, at 8:29 AM, "Rita Hall" <ritahall@onyx-electronics.com> wrote:

It's my understanding the only ones informed were the AbilityOne venders (approx 125). But would it have really mattered? Even if you had an opportunity to participate, there would still be 15 vendors chosen and 500 kicked under the bus!

 

ONYX Electronics, Inc

Have a Blessed Day

Rita Hall    <><

Head of Government Sales

 

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Since this began I have lost 69% of my employees. I have had a reduction in revenue of 47 %( the percentage grows larger everyday). I had to reduce pay for all remaining employees. I have had to cancel all healthcare coverage for all employees including myself. I don't ever recall receiving an invite/solicitation for the FSSI. I went through the long ordeal of obtaining our GSA contract back in 2006 and I have greatly appreciated the support of the local base where I live up till 4Q09. As a veteran, it disheartens me that the committee didn't look into what the FSSI was going to do with all of the remaining vendors and their families. In October of 2009, the orders started to die off. We were told by numerous cardholders that where they were not allowed to purchase from local small business, they had to use advantage to enter orders. I said ok, I am on advantage, still no orders. We are lucky if I receive 1 order a day.

I finally learned of the FSSI in Jan 2011 and had a meeting with base contracting last month and they admitted to knowing about the FSSI and I was told there was nothing they could do.  We are on the verge of closing the doors. We all need to fight this before it is too late.

 

Richard Finn, USAF Veteran

Midwest Office Supply

GSA Contract Holder

 

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     Central Florida Data Supply has had a GSA schedule under 75 200 for two years now.  We are a Woman-Owned Small Business with 8 employees. As a recent graduate from the University of Central Florida, I was hired to head up the Government side of the business in September of 2010. Just as things got rolling, the FSSI was put into action, and we have ran into a brick wall. We have seen our GSA Advantage orders almost come to a stop since FSSI. Bids on E-buy are now being put out with FSSI restrictions on them. The GSA Advantage search engine directs every search to FSSI BPA holders first, regardless of price. These are all unfair practices that counter the sole purpose of having GSA MAS contract that we worked so hard for.

     One of our sales representatives had been servicing a local VA office for two years. Once FSSI was mandated, the $20,000 a month in orders suddenly disappeared. Roughly a quarter of a million dollars in revenue lost, and this is only one customer. On top of that, our contact/purchaser with the VA is very unhappy with the switch. She has reached out to us asking to please find a way to get rid of the FSSI. They are not pleased with pricing or customer service associated with their newly assigned dealer. My sole responsibility here at Central Florida Data Supply is our GSA contract. Therefore, if something is not done soon about FSSI, it is likely that my position and one other sales rep will no longer be needed.

 

Thank you,

Justin Harvey

GSA Sales

 

Central Florida Data Supply, Inc.

 

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Thank you so much for trying to fight for our right so hard and I hope to get somewhere with this huge problem we are facing and most of us suffering tremendously. My business LCI OFFICE PRODUTS, INC. is a small, women own and disadvantage business. After 4-years trying very hard and spending lot of time and energy, finally on 2002 I became a GSA contractor.

Since then I tried my best to be a perfect government contractor by giving the best pricing and the best service possible. Therefore until today, we never received any kind of complain from anyone for our misbehavior or mistaking in our invoices with higher prices! And through all these years each time we had a GSA officer to audit us here, we received (EXCELENT, OUTSTANDING REPORT) from them.

And now with FSSI issue which most of their pricing is higher than on the other GSA contracts on the GSA Advantage, my business is down 80%. Next month I will go to hospital and I am going to be there at least 1-month for a major surgery and my spouse is out of business for 2-years with no unemployment checks (It was his business) therefore I am providing for all family in this disaster situation.

I am hoping that the people who organized this FSSI! They will realize before we have close our businesses, how they are hurting all of small business contractors and they will reconsider their unfair decision.

 

Kind regards and good luck to you& all of us.

 

Parvaneh Nobari @ LCI Office Products, INC.

 

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It took us years of effort to learn several regulations that we would need to comply and to fill multi page application before we could negotiate best prices for several thousand office supply items with Contracting Officer of GSA. We have GSA Schedule since 2000. Believe me that it was an expensive effort, both monetarily and precious time wise for a small business. We are a Woman-owned, small disadvantage business, who

employed 15 employees and now down to 8 due to recession and impact of FSSI BPA. 

 

All our customers were extremely happy as we would provide them with best possible customer service to meet their office supply needs.  All gone in a matter of few weeks as most of our customers have been instructed to buy only through FSSI BPA.  Our prices for several items are better than those of FSSI BPA awardees.   

 

Ever Since the FSSI BPA started to implement, we have lost 90% of  Federal Business. Recently due to loss of business we had to lay off 5 full time and 1 part time employees who are now collecting unemployment and may eventually become dependent on welfare.  This is not a wise decision be Our Government.  

 

We have communicated our concern to our Congressman Chris Gibson and both our Senators, Senator Gillibrand and Senator Schumer.

 

I hope that GSA will realize that how FSSI BPA has hurt so many hard working small business. All of us put great effort in making sure that we provide best service to GSA and stay in compliance, looks like all those years of efforts are overlooked and GSA decided to pick and chose and reward few businesses,

 

Sincerely,

 

Seema Nepal

 

S&B Computer and Office Products, Inc.

Woman-Owned Small Disadvantaged Business

 

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The numbers are not in yet, so I can't tell you exactly what kind of loss we have suffered, but it is significant. I have worked extremely hard for the past few years to service the government in the best possible way, and was quite successful. It is unfortunate and unfair how this course has changed and how other's now benefit!! My competition used to be other dealers, now it's the government, who I worked so hard to please….…something is definitely wrong here!

 

Thank you Tom for standing up for us "little" people!!

Thank You and Have A Great Day

 

Joan Wunk

Gov't Sales Director

Complete Packaging & Shipping

 

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As ProSource Packaging, Inc. enters the final months of our 5 year Contract, our company received an Exceptional rating from our GSA auditor.  We are a Houston, TX based Hispanic woman owned business, heavily leveraged due to the collapse of the American economy since 2008.  Our Exceptional rating wasn't a surprise to us as we focus on quality, service, and value to our customers. To further this effort we spent a large amount of money and effort to become the only Office Equipment Supplier registered with the International Standards Organization, ISO 9001:2008.  Does the FSSI BPA recognize this business model?  No.  Stupid is as stupid does.

 

We had sales of approximately $2 million in fiscal year 2010 but I would guess that we would be lucky to achieve sales of $300,000 in fiscal year 2011.  Our sales in the first quarter of 2011 were a miserable $55,000. In the past we would receive GSAadvantage orders of 3 to 10 per day.  We are fortunate to receive 1 order per week due to the manipulation of the GSAadvantage website.

 

Upon release of the FSSI BPA, we were forced to lay off one employee.  I see very dark days ahead.  I can't sleep at night.  I worry about becoming homeless.  I worry about bankruptcy.  How many Contracts will I be forced to break? Landlord, telecom, utility, insurance, the list is long.  I worry about my employees.  Suicidal thoughts reoccur daily.  Suicide.  Suicide.  All because of this Anti American, Anti Democratic, Anti Competitive, Price Fixing business model of that thug, Daniel Gibson.  40 companies allowed to quote, must be Ability One and Schedule 75 in order to participate.  Thank you Daniel Gibson for my release from this earthly life. Daniel Gibson, the "man who has many friends at the GAO, I worked there for many years."  Daniel Gibson, he has somebody at the GAO watching his back, his many friends….  Daniel Gibson the man who should be indicted for official intimidation.

 

 

Paul Baumgarten

Sales Manager

ProSource Packaging, Inc.

 

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I do not have a downturn data specific to GSA because we have not been able to gain any momentum behind our GSA sales since the award in March of 2010. The assistance offered by GSA to obtain access to envelope rfp's and market our schedule have been less than helpful. To date our GSA sales are less than $5,000. We are currently in the midst of a GSA marketing campaign with a cost over $2,500. The unfortunate timing of the FSSI BPA's makes it difficult to forge ahead with such a hearty marketing project. We will continue to move forward however, due to the energy and encouragement provided by your initiatives.

 

Best regard,

 

Ella Leeper

President

Desert Paper and Envelope

 

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My company is in its 14th year of business.  I have been proud to have applied for and been granted the privilege of selling supplies to my federal government, which is not (and should not be) a simple and easily attainable position.  As such I have worked very hard to meet the very stringent standards for the approval process and then also to continue to uphold them.  I am constantly told by my federal customers that our value is superior.  We maintain levels of high quality and low pricing so that we are the best value to the taxpayers who fund these federal purchases.  Our nation deserves best value.  As a veteran I can appreciate that at least as well as anyone.  Being a veteran also affords me a nice ability to conduct business with the government, since there are mandates that a small percentage of purchases are made with special categories of vendors, like veterans.  I have paid dearly to hone my business to be competitive in this area, running costly pricing analysis often, so I can adjust my prices if they need to be lower. Despite being the best value, I have lost almost my entire revenue from federal purchasing.  Within the last year, Blanket purchase Agreements (BPAs) have become mandatory in the practices of my customers, forcing them to buy from sources that are not giving them the best value and eliminating free enterprise from the field.  I do not understand the details.  I am told the government has maneuvered to get better deals.  From my perspective, I hear that the prices are no better, but I am not doing that research.  What I do know is that over 500 competitive vendors are no longer engaged in competitive business to win those purchases.  Capitalism and free enterprise seem to have died.  The best products at the best prices - that seems the American Way.  Putting that trade with only a dozen or so companies instead, with a quick flick of the hand, has been devastating.  That competitive economic trade also fuels our local and nation economies.  I employ several other people but we have shrunken.  Our gross receivables in this recession are half what they were a year ago - half because we have lost all of our federal business.  We have been treading carefully but seem headed down the drain.  I've laid off my office manager a few months ago.  Those of us left are underpaid and barely employed.  We are hoping for better.  In this state, it is demoralizing to hear that a small handful of companies like Office Depot have claimed the near monopoly.  I wonder, is that responsible for their stock price nearly doubling in value since late summer last year (2010)?  Demoralizing, unfair, illegal, and …. Perhaps even other words yet unproven, like corrupt.  People are out of jobs.  And toner cartridges are no cheaper for the taxpayer-funded purchasing, regardless.  I ask anyone to logically (and with evidence) justify this ugly misadventure.

 

Sincerely,

 

Craig Hall

Owner & President

Eagle Technologies

 

 

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Lucille Maud Corporation has Schedule 75 since March of 2004. 

 

We attended the Industry Day(s) in D.C. on both the original FSSI and the subsequent re-compete.  It seemed unwinnable, although again, we spent hundreds of hours and thousands of dollars and submitted our proposal.  (both times)

 

We have been audited by GSA many times, including not only our Industrial Analyst for IFF compliance, but also out of D.C. in late 2009 from the United States of America, Office of Inspector General (OIG), for every single order, for the history of our contract, (looking for COO compliance).  This took hundreds of man-hours, and two trips to D.C to the OIG.  We worked on the audit preparation and subsequent "squawk list" of requested items for three (3) months.

 

Our sales are significantly down.  Orders now trickle in a few at a time.

 

If there is anything you can do to help, let us know.

 

Regards,

 

Todd Ricker | Vice President of Operations

 

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Our company, SCS LLC, worked for close to a year to secure a schedule 75 GSA contract, issued in 2008.  We have worked with narrow margins providing exceptional service and value to multiple government agencies.  Our sales went from (2009  $50,000), (2010  $150,000), (2011 ytd $10,000)   Now, no orders.   All our GSA orders have stopped from 12 or more agencies.  This shocked us as we have invested so much money and time into our GSA systems, and were counting on this initiative to drive our 2011 growth. 

 

I have formally addressed this with my C/O and have not heard any response as of yet.  During a recent onsite  midterm audit, a GSA officer related that the GSA promotes small business more than large, and want to help us grow our business.  Due to this sudden loss of business from GSA will be forced to lay off one full time employee by April. 

 

A GSA schedule is worthless if there is an exclusive GSA BPA (FSSI) that locks most contract holders out of government agencies?  Our pricing and service is better than the big box stores and we can compete if given a chance!  What we would like to see is our congressman get involved and review the mission objectives of the GSA, the consider the impact that the FSSI has on small business like ours.  I'll be contacting our representatives with this issue immediately.

 

All our 31 employees appreciate your efforts!

 

Don Hester

 

_____________________________________________________________

 

Don Hester

Southern Cross Systems, LLC DBA Flex Imaging

 

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Loss of Revenue:  $42,000/mo loss of gross sales due to FSSI BPA (Dec 10, Jan 11, Feb 11), if continues will be an annual loss of $504,000 this year.

Employees:  We are a very small business, 1 full time employee and 2 part time employees, Feb 11 had to lay off our full time employee due to the FSSI BPA

Sales have dropped 40% in our federal sector which is the majority of our business

 

 

This has been an extreme determent on our small, woman owned business and have had to recently lay off our only full time employee.  We have had a GSA Schedule 75 for 10 years have grown every year until the FSSI BPA came along and set us on a fatal landslide.  We are struggling to stay in business and many of our federal customers who purchased from us because of our free overnight service and price can no longer purchase from us, even though the items that they are purchasing are cheaper with us vs. the mandated FSSI BPA.  We feel that this BPA was put together with little research on the impact on small businesses, is a restraint of trade, monopoly, and clearly against the SBA and GSA's original procurement mission.

 

In appreciation for your concern,

 

Dixie Liening

Lazer Cartridges Plus

GS14F0035M

 

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We were awarded our 75 GSA Schedule in August of 2010. We were never offered a chance to compete for FSSI. We were never informed of FSSI. We were encouraged by GSA to spend the time and money to become a GSA Schedule holder. Everything was great............ for a month. Effective Oct. 1st, 2010 many of our most loyal customers informed us they could no longer use our company. They stated they were all forced to use FSSI vendors only. When I spoke to our GSA point of contact we were told that we just have to deal with it, we would not be allowed to compete for the FSSI, and there was no way they were going to let the FSSI collapse.

 

Half of the agencies we deal with have switched to FSSI Mandatory. Our sales are down close to 70% from last year.  VA, DHS, EPA, Labor, Commerce, Navy, Education, DHHS, all former clients gone to mandatory FSSI.

 

We have been forced to lay off 1/3 of our workforce. If things do not change we will be bankrupt and out of business in the near future. We are losing money, our lives, our sanity, and everything we have worked for. We soon will be added drain on the US tax payer.

 

Matt Donnelly

FedGov Supply

GSA Schedule #GS02F0213W

A Local, Woman Owned, Small Business!!!

 

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Since October 2010 we have had a critical drop in GSA orders.  We now receive only 1 GSA order a day on average (2 orders a day would be considered lucky at this point!).  This dramatic reduction in our business is directly related to the FSSI contracts.  For many years our GSA sales have helped sustain our business and provide growth opportunities, but our livelihood is now threatened. 

 

We bend over backwards and jump through GSA's hoops each year to ensure contract compliance, we endure the intimidating feel of annual audits, and we take whatever else they throw at us.  Years of effort, time and expense have essentially been rendered useless!  This is now a very one-sided "partnership".

 

A sad sales tale:

 

·57% drop in GSA sales from Sept. 2010 to Oct. 2010 (impact of the FSSI program was immediate)

 

·46% drop in GSA sales from Oct. 2009 to Oct. 2010.

 

·Number of GSA orders continues to diminish (compared to September of last year):

 

Oct. 2010 vs. Sept. 2010 Down 62% (this is when BPA's were kick-started)

Nov. 2010 vs. Sept. 2010 Down 48%

Dec. 2010 vs. Sept. 2010 Down 54%

Jan. 2011 vs. Sept. 2010 Down 37%

Feb. 2011 vs. Sept. 2010 Down 59% (most likely reflects changes made to search features on Advantage web site)

 

 

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Michelle Kalkhoff

Computer Wholesale Products of America, Inc.

 

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Thank you for contacting me and adding me on your email list, and for taking your precious time and resources  working on the FSSI issue.

 

We have all been affected by and large negatively by the FSSI directive.  I was not sure if you are familiar with NOPA, our national industry association, which is why I am bringing this to you.  During this time NOPA has been working hard to build a significant message to the legislators.  NOPA employs an extremely well known lobbyist in DC. As such, NOPA is employing a defined strategy to battle FSSI.   Have you spoken with Chris Bates, the president of NOPA with regard to this?  I believe that you may find a tremendous common ground that can add many more resources to our FSSI fight.   There have so many dealers affected by this and we need to find a unified industry voice and a way to pull together on this.  I will copy Chris on my email to you in hopes that you can contact one another and see if we can find an  optimum united approach to our FSSI problem.  I am always here to talk if you wish.

 

Thank You

Chip Jones

 

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    American Toner & Ink received it's GSA Schedule 75 MAS contract in April 2008 after almost a year of preparations and going through the GSA contract application process. We sell printing supplies such as ink, toner, ribbons, etc... In FY2010 we averaged over $20K/month in GSA sales. ($242K total for 2010) For the first quarter of 2011 we are on pace to achieve $23K total GSA sales for 3months. This constitutes an over 60% reduction in our GSA sales, and I fear it will get worse as FSSI compliance within government agencies spreads. As such, ATI is struggling financially and we are quickly trying to develop private sector sales to offset this loss of revenue and keep us going. It is particularly disheartening given the considerable investment in time and resources we spent getting and maintaining our GSA contract only to have the rug pulled out from under us after our investment. With our GSA contract award, I expected only a seat at the table in a fair marketplace and knew we would have to earn our business from there. With the exclusivity of the FSSI BPA's we have lost our ability to compete based on value and performance as should be the case in any fair market. We offer the same products available on FSSI BPA's at a lower cost and therefore better value to the government in many cases, yet buyers are encouraged to go elsewhere. How is this in the American taxpayers' best interest, let alone the best interest of the hundreds of small businesses that will be damaged or destroyed completely by this unilateral action? The fact that Office Depot has seen the greatest gain due to FSSI implementation is further proof that this program runs at the expense of small businesses like mine. Corporate fat cats get richer, more people work for meager wages instead of pursuing a dream, and small businesses and the communities around them suffer... Is this truly the American way now? I sincerely hope someone that matters will see the folly and smell the stench of corporate kickbacks in this program and do something to save the hardworking small business like ours that truly made this country a land of opportunity.

 

Sincerely,

 

Jeremy Meyer

American Toner & Ink

 

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My name is David Fox owner of Topsail Enterprises and I can't  understand what is going on when the President is heard saying that small businesses are the life blood of the country for jobs and it would really help our countrys economy if small business did well.

my co. a small business has the hardest time getting business with the government. There is no way to market to the buyers and all the business that are bigger get better prices because they do more business with their suppliers. To me it's a catch 22, and then this

fssi story happens and all of a sudden business really slows down and there is nothing we

can do. The office supply business is really strange and has a bad rap because many people can get into it easy and sell bad products( compatible toners made wrong) Compatible toners are the life blood of my business which by the way I have been in for

twenty years. And why is the government using so much HP product, its not made in the

us. How can we stop the people in government from acting like this.

why can't we work together to better the situation for all of us not just one side or the other

I never heard about the Fssi until last week WHY, we all should be able to be on the same playing field .WHAT IS GOING ON IN THIS WORLD.

 

David Fox

Topsail Enterprises

GS02F0057S

 

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We have seen purchases from GSA diminish considerably. We used to write 20-25 orders per day and now are averaging 2-3. As we are a fairly new contract holder (August 2010)we do not have much history to compare to. It has not affected our staff as the vast majority of our business is not GSA. We viewed earning a GSA contract as way to diversify our business and grow. We do about 95% or our business via our internet sites. We sell to some other smaller companies that are schedule 75 contract holders and we have seen their orders drop off to next to nothing. One example, is California based company. Last year they started buying from us and they were buying $30K per month. They would receive the GSA orders via Advantage and send them to us to fulfill. Their business is almost nothing. We went from receiving 12-15 orders per day to 4-5 per week.

 

GSA has clearly rigged the GSA Advantage website to favor FSSI BPA holders. As our business is selling on the internet we understand price comparison websites. The old GSA Advantage site was pretty comparable to sites like Amazon, Google shopping, Nextag, etc. GSA buyers used Advantage in much the same way they would use the internet to shop by price. Now product results from searches bring up

BPA holders first and they bring up several results for the same sku number because contractors have different descriptions. This did not happen before. If a sku was entered in a search results came up and the buyer could choose a source by socio-economic categories, price, etc.  This rigging of the search results to BPA holders is wrong. GSA always wanted to encourage competition, which is why there are 516 contract holders on the schedule. This combined with the mandating of use of FSSI BPA contracts is what has dramatically changed the rules of engagement that GSA established a long time ago. The bottom line is that by making the changes they have the following is happening:

1.         Jobs in small businesses are being lost and I am sure some businesses will fail that are not diversified enough outside GSA. This is completely counter to what the Obama administration wants to promote (job growth) in America.

2.         Big companies are being rewarded more business. This is very ironic in that one of the BPA holders is Office Depot which is under federal investigations by the U.S. Justice Dept. for alleged overcharging of government agencies over the last several years. Depot has been found guilty and has paid restitution plus legal fees to many public agencies already. The federal government has yet to state their findings, but I would think it would make sense to NOT award a BPA to a company that is under federal investigations. In fact, I would expect it as a tax payer.

3.            Ultimately, the tax payer will suffer as limiting the choice to purchase supplies from 15 BPA holders (that have been proven to have higher pricing in 70% of the skus in question) will cost the government more for the same products. We hear GSA buyers mention all the time that they have to buy from a BPA holder even though they know they are paying more. This is simply wrong. What makes America great is the ability to buy freely in a competitive marketplace. Limiting the people we tax payers pay to find the best deals possible makes no sense. These buyers are trained to find the best deals they can for their public agency and now they are being told to not do that and just buy from a BPA holder without concern for price. Does not make a lot of sense considering the financial woes of our country.

4.         Lastly, contract holders will find ways around the FSSI initiative. Contract holders without BPAs will find ways to partner with those who have them to be able to sell to public agencies that are mandated to use BPA contract holders only. I have heard deals like this are already done. It may even open the door for a company that is not a contract holder to partner with a BPA holder to solicit business of a public agency, which is definitely not what GSA wants to see happen.

 

FSSI is severely limiting small businesses from competing for government business for the reasons I have mentioned. All we ask is an even playing field with NO MANDATES to buy from BPA holders. It is fine with us if buyers are told to look at BPA holders first and then if they can buy better from a non-BPA holder to do so. Mandating is not the answer. We compete with the biggest players in the office products industry on the internet every day. We started our business in 2008 and have grown from zero to $5 million in sales and have created jobs for 6 people in one of the worst economies in American history. If we can do this in an open market competitive environment against $25 billion companies like Staples we can do the same for GSA. We just need the rules to be the same as the open market. FSSI BPA mandating changes those rules to a closed market which limits small businesses from growing by competing for market share of federal government business.

 

Ron Weber

iBuyOfficeSupply.com

Plymouth, MN

 

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In reference to FSSI,here are my comments. I am classified as a Veterans Small Business. I have been a schedule 75 GSA contractor for about 6 years. The Economy being so bad has caused me to live almost solely off of GSA in my business.

Because of the issuance of FSSI my GSA business has gone from about 20,000 a month to about

400.00 a month.

Due to the Benevolence of the dear Congressmen in Washington  DC I had to take out a reverse Mortgage on my Home because I cannot pay my taxes to the local politicians and my friends in Washington D.C..

The way FSSI has been set up for Office Depot and Staples I will very shortly be a ward pf all Government  facilities,State and Federal.

This is without a doubt the beginning for Staples and Office Depot of a very lucrative business scheme between them and some government officials to give them the business that should have come to small business but is now going solely and only to 2 of the largest office Supply Companies

in our Grand and Glorius United States of America that is now OWNED and controlled by LARGE business .

I say yes to you and your efforts with this matter.

I will be happy to participate in your endeavor to correct this criminal action that has been approved by the Government of the United States that was voted into office by all the people of this country who are presently taking a ROYAL SCREWING from the pweople who owe their jobs to us at the polls.

I am sure that much trouble is coming to them to repay them for their wonderfull efforts pon all our behalfs.

Tom Constantino   TRC Office Supplies

 

P.S. By the way I see that business is booming in the Washington DC area since Mr. Obama

has created so many $150,000 a year jobs for his poor constituants.

How would our congressman like to get on to an income of 0.0 dollars a week like I am now receiving.

God Bless America. We need HIS help!

 

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I am Lujuanne Holland President of M3 Technologies, a minority woman-owned small business enterprise currently on GSA Schedule 75. We have been a contract schedule holder since 2003. We have spent a great deal of time and money acquiring the GSA Schedule 75 and staying compliant. The FSSI BPA has caused great financial strain to our business and my family. My husband who works with me had to get a second job just to pay bills during the holiday season things were so bad. I have children preparing to leave high school for college how do you tell your child they cannot go to school to further their education. If our sales continue to decline we will longer be able to operate our business. Mr. Ubl thank you for time and care.

 

Lujuanne Holland

M3 Technologies

 

 

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We are a small minority (Native American) owned company dealing with mainly Information Technologies.  We have been doing business with the federal government since 2004.  We have worked hard each and every day to maintain a client base and have it grow at a healthy rate each year.  We have formed wonderful relationships with a lot of really great people whom we have helped to save money and keep within their budget requirements.  Our clients love us because of the hard work and honest prices and great service that they receive when they do business with Zee Technologies, Inc. 

In the recent months, there has been an unfair blanket purchase agreements within our federal government.  Our government spends millions every year to keep our country in operation.  These purchase card holders buy large amount of office supplies.  They have over the years fairly spread the wealth to many small disadvantaged businesses around our country.    Now, they are being forced to purchase unfairly from 13 companies.

Our company has been devastated by the FSSI II which we were never were aware of and never given the opportunity to quote.  We have lost over half of our clients overnight due to the mandatory implementation of the BPA.

We work hard each day to provide for our five children.  Our company also employs others whose families depend on them.

Answer me this:  Why would you do this to our citizens and to the small businesses in America?  To quote our President, "Small businesses are the backbone of our country."   Please help us to get back on track.  Please stop this unfair act and spread the wealth.

Sincerely,

Scott Zumbrum

Zee Technologies, Inc.

GSA Contract #GS-02F-0100U

8A Small Disadvantaged Native American Owned Business SBA# 302939 SB/DVBE 1057240 SBA Disadvantaged #P0635275