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Can State and Local Governments Buy From Your GSA Schedule for Disaster Recovery?

Under 40 U.S.C. 502(d), eligible state, local, tribal and territorial governments can buy directly from your GSA Multiple Award Schedule (MAS) contract for disaster preparedness, response, and recovery. Participation is voluntary, you can decline any order within five business days, and every one of those sales counts toward your reported MAS sales and Industrial Funding Fee.

With hurricane season running through November 30, county emergency managers are buying generators, pumps, debris removal, and recovery consulting right now. I spent eighteen years in federal acquisition as a Contracting Specialist and Contracting Officer at GSA, IRS, DoD, DOI, HHS, FTC, and Energy. Most schedule holders I talk to have never looked at whether their contract is even visible to these buyers.

What is the GSA Disaster Purchasing Program?

The Disaster Purchasing Program lets eligible non-federal governments place orders, or set up blanket purchase agreements (BPAs), against GSA MAS contracts when the purchase facilitates disaster preparedness or response, recovery from a presidentially declared major disaster under the Stafford Act, or recovery from terrorism or a nuclear, biological, chemical, or radiological attack.

Preparedness is covered. A county does not need a hurricane declaration to buy sandbag equipment or an emergency operations plan from your schedule.

How does Disaster Purchasing differ from Cooperative Purchasing?

Cooperative Purchasing under 40 U.S.C. 502(c) is narrower in what it covers but has no disaster trigger. It opens IT products and services, plus law enforcement, security, firefighting, and rescue items, to state and local buyers for any purpose. Disaster Purchasing opens the whole MAS catalog, but only for disaster-related purposes.

FactorCooperative PurchasingDisaster Purchasing
Statute40 U.S.C. 502(c)40 U.S.C. 502(d)
What can be boughtIT (the old FSC group 70) and security, law enforcement, firefighting, and rescue items and related services (FSC group 84)All MAS products and services, per the DHS determination
Purpose limitNone beyond eligibilityDisaster preparedness, response, or recovery
Icon on GSA Advantage and eLibraryCOOP PURCHDISAST PURCH
Contractor participationVoluntaryVoluntary

Separately, 40 U.S.C. 502(e) lets the American National Red Cross and qualified disaster relief organizations use schedules, but never to buy supplies for resale.

Who is eligible to buy from your schedule in a disaster?

Eligible buyers are state, county, city, town, and other local governments, tribal and territorial governments, and organizations created by state statute, including public school districts, community and technical colleges, and public universities. Contractors and grantees of state or local governments are not eligible buyers.

That last "not eligible" line matters more than contractors think. As a Contracting Officer, I saw vendors accept orders routed through a state's prime contractor on the assumption that the state's eligibility carried through. It does not. Under GSAR 552.238-114, the seller is expected to confirm the buyer is an eligible non-federal entity before accepting.

How do you opt your MAS contract into Disaster Purchasing?

You elect participation when you submit your MAS offer, or you add it afterward through a modification in eMod. Once it is active, your contract carries the Disaster Purchasing designation in eLibrary and the DISAST PURCH icon on your GSA Advantage listings, which is how state and local buyers filter for eligible sources.

  1. Pull up your contract in GSA eLibrary and check which state and local program icons appear next to your contract number.
  2. If Disaster Purchasing is missing, submit the participation change as a modification through eMod, signed by an authorized negotiator on the contract.
  3. After the mod is executed, confirm the icon appears on your GSA Advantage catalog and in eLibrary.
  4. Update your commercial sales materials and state vendor registrations to say plainly that you accept Disaster Purchasing orders on your MAS contract number.

If you hold IT or security SINs, check Cooperative Purchasing at the same time. When I reviewed mods as a Contracting Specialist, participation changes were simple. The delays came from unrelated problems, like an outdated authorized negotiator or SAM registration, that had to be fixed first.

What terms apply when a county or city places an order?

When you accept a non-federal order, a separate contract forms between you and that government. Your schedule terms flow down except the federal Disputes clause and the disputes, patent indemnity, and compliance-with-government-laws paragraphs of GSAR 552.212-4. The U.S. Government is not a party and is not liable for payment.

GSA recommends the buyer cite your MAS contract number and the Disaster Purchasing authority on the order. If that language is missing, ask for it.

Does buying off a GSA Schedule satisfy FEMA reimbursement rules?

Not automatically. FEMA grant recipients must still follow the Federal procurement standards in 2 CFR 200.317 through 200.327. FEMA's Procurement Under Grants Policy Guide treats GSA MAS purchasing programs as cooperative purchasing, and says local governments and nonprofits meet full and open competition when they follow GSA ordering procedures.

Buyer typeWhat FEMA expects
State or Indian TribeComply with its own state or tribal procurement rules when ordering from a schedule
Local governmentFollow ordering procedures that satisfy local law and the minimum full and open competition requirements in 2 CFR Part 200; documented procurement policies required under 2 CFR 200.318
All grant-funded buyersFollow the granting agency's rules in addition to GSA ordering guidance

GSA's own guidance says the same thing from the other side: buyers using grant money must follow their local procurement rules and the granting agency's requirements, and GSA recommends the Federal Supply Schedule ordering procedures in GSAR Subpart 538.71. Read FEMA's Procurement Under Grants Policy Guide before you tell a county its purchase is reimbursable. That is their call and their auditor's.

What the regulation allows and what an audit accepts are two different conversations. The files that hold up show the buyer compared schedule sources and documented why it picked you. Make that comparison easy with a clean quote package.

How do federal agencies use your schedule during emergency response?

Federal buyers, including FEMA and the agencies supporting a disaster response, order from MAS under the standard FAR Subpart 8.4 ordering procedures. Emergencies do not change your contract terms, but they compress timelines, so buyers favor contractors whose catalogs, pricing, and delivery terms are already current and orderable.

From the Contracting Officer seat, the schedule holders who won emergency business were rarely the biggest. They were the ones whose contract was clean on the day the need arrived: current pricing, current points of contact, and no pending mods holding things up.

What should you do now?

Across our 70+ GSA contract awards, the contractors who capture state and local disaster work are the ones who set it up in advance. I hold FAC-C Level III and a Harvard Master of Liberal Arts, and I have managed these modifications from both sides of the desk. If you want your contract checked and your program participation, SINs, and catalog ready for emergency buyers, our GSA contract maintenance service handles the eMod work and keeps your schedule orderable year-round.

Frequently Asked Questions

Can state and local governments buy from the GSA Schedule during a hurricane?

Yes. Under the GSA Disaster Purchasing Program, authorized by 40 U.S.C. 502(d), eligible state, local, tribal, and territorial governments can buy from GSA MAS contracts for disaster preparedness, response, and recovery. The contractor must participate in the program, and participation is voluntary.

Does a disaster have to be declared before a county can use Disaster Purchasing?

No. A 2010 amendment added disaster preparedness and response to the statute, so purchases that prepare for a future disaster qualify. A presidential Stafford Act declaration is only required for the recovery portion of the authority.

Can I refuse a Disaster Purchasing order from a city or county?

Yes. GSAR 552.238-114 lets you reject an order from an eligible non-federal entity for any reason within 5 business days of receipt, or within 24 hours for purchase card orders. If you do not reject it in time, the order is accepted.

Do I pay the Industrial Funding Fee on state and local disaster sales?

Yes. GSAR 552.238-114 applies the sales reporting and Industrial Funding Fee requirements of GSAR 552.238-80 to sales made to eligible non-federal entities. Report them with your federal MAS sales.

Is a GSA Schedule purchase automatically reimbursable by FEMA?

No. FEMA grant recipients must still comply with 2 CFR 200.317 through 200.327. FEMA guidance says local governments and nonprofits meet full and open competition when they follow GSA ordering procedures, while states and tribes must follow their own procurement rules.

What is the difference between Cooperative Purchasing and Disaster Purchasing?

Cooperative Purchasing, under 40 U.S.C. 502(c), lets state and local buyers purchase IT and security, law enforcement, firefighting, and rescue products and services for any purpose. Disaster Purchasing, under 40 U.S.C. 502(d), opens all MAS products and services, but only for disaster-related purposes.

Can a state contractor or grantee buy off my GSA Schedule for disaster work?

No. GSA states that its state and local purchasing programs are not open to contractors and grantees of state or local governments. The order must come from the eligible government entity itself.

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