The National Office Products Alliance (NOPA) is taking exception to President Barack Obama's remarks this week regarding the ability of the U.S. Government to save money by purchasing office supplies “in bulk.” Specifically, the President advised reporters that “Secretary Janet Napolitano at the Department of Homeland Security estimates that they can save up to $52 million over five years just by purchasing office supplies in bulk.” The remark was made during a discussion of the President's recent request to all Cabinet members to save at least $100 million through efficiency actions.
In a letter to the President, the Association applauded his determination to ensure that government purchasing is as efficient as possible, but pointed out that “bulk” purchasing does not produce that desired result. Decisions to “strategically” buy office products from a single, large national source have proven unsuccessful and have many unintended consequences. These include displacing competitive small businesses, precisely what our Nation does not need in this challenging economic environment.
In addition, sole-sourcing arrangements are subject to abuse, as an awarded vendor's pricing on thousands of distinct products is rarely audited and there are no competitors left to challenge the awarded company for the government's business every day.
NOPA proposes that a better model for government purchasing of office supplies is to use the GSA Multiple Award Schedule that preserves ongoing competition among many vendors and creates ongoing opportunities for successful, innovative small business participation.
“We strongly urge you to move your Administration's purchasing strategy in that direction,” said Bob Chilton, chairman of NOPA, in his joint letter to President Obama with NOPA president Chris Bates. The letter outlined specific practical reasons why “bulk purchasing” is inefficient, wasteful and fails to deliver “best value” to customers who buy industry products. “We also ask that you encourage your staff and all of your Cabinet Secretaries to give full consideration to our proposed alternative competitive purchasing strategy for office products. We believe it is the superior approach and will save government customers and taxpayers more while producing greater value,” Chilton added.
About NOPA
The National Office Products Alliance (NOPA) is the trade Association for independent office products dealers and their trading partners. For more information, visit www.nopanet.org or call 800.542.6672.
Contacts:
NOPA
Chris Bates, President
800-542-6672
cbates@nopanet.org
