WSCA computer equipment contracts out for bid

The Western State Contracting Alliance (WSCA) and National Association of State Procurement Officials’ (NASPO) “Computer Equipment, Peripherals and Related Services” contracts are the most successful WSCA/NASPO contracts by sales volume. They provide computer equipment including PCs, laptops, printers and copiers to participating states and localities. The success of the WSCA/NASPO computer equipment contracts is evident by the spend volume and the number of participating entities, including 45 states, the District of Columbia, and several dozen localities. In 2012 alone, the spend volume was more than $2 billion.

The 22 vendors currently associated with the contracts provide states the chance to seek multiple quotes and request the lowest price available on a wide variety of products ranging from desktop computers, laptops, tablets, servers, storage equipment, and accessories such as printers and monitors. The contracts provide states the opportunity to purchase computer equipment from multiple vendors as needed and also reduce contracting costs by streamlining procurement, sharing the administrative load, and providing volume-leveraged pricing.

As much as this contract benefits states, it also offers many advantages to awarded vendors. One of the biggest factors is the sales volume throughout the duration of the contract. The sales volume through these contracts since 2009 has exceeded $8 billion, with certain states spending upward of $100 million or more per year. The top 10 states per sales volume for 2012 can be found in the graph below.

Not only do these contracts provide great financial returns, but the high number of participating states gives awarded vendors a chance to build strong business relationships with many states and their entities. The awardees also see savings in only managing one master agreement with common terms and conditions instead of having to balance several contracts. It also provides resellers and partnering vendors the potential to participate at the option of the states and awarded vendors.

Key Take Away

As states and localities increasingly look to purchasing consortiums for administrative and purchasing savings, vendors must seriously consider these purchasing vehicles and determine if they fit their products and services. Minnesota, the lead state for the WSCA/NASPO computer equipment contract, recently released a new request for proposal (RFP), with proposals due November 18, 2013. More information regarding the current contract set to expire in August 2014 can be found in Deltek’s State and Local Term Contract Resource, which has more than 15,000 IT term contracts.

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