Contractor Team Arrangements
A GSA Schedule Contractor Team Arrangement (CTA) is an arrangement in which two or more GSA Schedule contractors team together to provide a total solution to meet a customer's needs. Under Schedule CTAs, contractors complement each other and it allows teams to compete for orders for which they may not qualify independently. GSA encourages the use of CTAs to meet buyer’s requirements.
NOTE: FAR 9.6, Contractor Team Arrangements, does not apply to GSA Schedules teaming. Under GSA Schedules, Teaming allows contractors to use their individual GSA Schedules to develop a solution for the government.
The Schedules CTA does not create a separate legal entity, but allows Schedule contractors to meet buyer’s requirements by combining the supplies and/or services from each team member’s separate Schedule contract in response to a buyer’s Request for Quote.
Benefits for Schedule Contractors and Government Buyers
By using a CTA, government buyers can:
- Get a total solution by contractors who team together to complement each other
- Satisfy socioeconomic procurement goals.
By forming a CTA, GSA Schedule contractors can:
- Compete for Schedule orders for which they wouldn’t otherwise qualify
- Increase their market share and become more competitive
- Reduce risk by sharing responsibilities with other team members
- Focus on the supplies and services that best match their company’s resources and strengths
- Find greater success as a small and/or disadvantaged business
CTAs versus Prime/Subcontractor Relationships
The CTA differs from a partnership between a prime contractor and subcontractor in that all members of the team are equal parties to the contract. Other important differences are detailed below:
|Contractor Team Arrangement (CTA)
||Prime Contractor / Subcontractor Arrangement
|Each team member must have a GSA Schedule contract.
||Only the prime contractor must have a GSA Schedule contract.
|Each team member is responsible for duties addressed in the CTA document.
||The prime contractor cannot delegate responsibility for performance to subcontractors.
|Each team member has privity of contract with the government and can interact directly with the government.
||Only the prime contractor has privity of contract with the government and can interact with the government. The prime contractor is responsible for its subcontracting activities. Buying agencies are encouraged to specify in the Request for Quotation (RFQ) that the CO must approve using subcontractors before they can perform.
|The buying entity is invoiced at each team member's unit prices or hourly rates as agreed in the task or delivery order or GSA Schedule BPA.
||The buying agency is invoiced according to the prime contractor's GSA Schedule contract, including any applicable price reductions.
|Total solutions, otherwise impossible under individual GSA Schedule contracts, can be put together quickly and easily.
||The prime contractor is limited to the supplies and/or services awarded on its GSA Schedule contract.
CTA Guidance for Buyers
Under a Schedules CTA, each member of the team maintains privity of contract and is responsible for their portion of the work per the terms and conditions set forth in their Schedule contract. GSA Schedule contracts contain clause I-FSS-40, Contractor Team Arrangements, which state that contractors participating in contractor team arrangements must abide by all terms and conditions of their respective contracts.
The CTA teaming agreement should identify each team member’s role and responsibility for the work being performed at the order level. These roles and responsibilities are defined by the team, not the government.
CTAs and Small Business Set-Asides
When forming a Team in response to a small business set-aside, all team members must meet the socioeconomic status for the set-aside and the limitations on subcontracting (FAR 52.219-14) apply. i.e. the small business team members must perform at least 50% of the value of the work to be completed.
Buyers are responsible for accurately achieving and reporting on their small business goals, including accurate reporting to the Federal Procurement Data System (FPDS). Under CTAs, each contractor has privity of contract with the buying activity. When a GSA Schedules order is awarded with a CTA, small business achievement in contractual terms is based upon the dollar amount of the work the small business contractors perform under the order. FPDS currently will only accept information relating to one contractor per order. The buyer must determine which CTA member is realizing the preponderance of the revenue on an order and report that contractor's information to FPDS.
The shortcut to this page is gsa.gov/cta