Tuesday Insight – July 11th, 2023: Overview of GSA Modification Processing Changes

Jul 18, 2023

GSA in introducing a new modification process pilot called “Standardized Pricing Evaluation Logic,” which GSA has abbreviated as SPEL.  GSA  is looking to standardize the modification process in order to provide more consistent results and answer regardless of the individual contracting officer involved.  Please note the pilot is geared towards product modifications for Economic Price Adjustment and Addition modifications only within the New York City Center (Region 2) and Kanas City Center (Region 6) to start.  These Center’s handle products including office supplies and hardware and tools.  Also only contractors enrolled in Transactional Data Reporting (TDR) program are eligible for the new process.

As part of the SPEL process GSA has upgraded its algorithms to include TDR, Commercial, and Consumer Price Index data, which will automatically recommend approval of many more offered price changes and product additions compared to the current 4P evaluations.  In all cases GSA tested they found a significantly higher overall percentage of pricing approvals was recommended by SPEL compared to current 4P system.

GSA has acknowledged contractor frustration and have seen in their own metrics and data that modification processing has become bogged down, which is what triggered GSA recent improvement efforts. GSA hopes this process will speed up modification approvals.  Contact TGG or your TGG consultant for any questions related to the new GSA SPEL process.

Read the GSA SPEL Overview

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