What are Contractor Team Arrangements?
Benefits for Schedule Contractors and Ordering Activities
By using a CTA, ordering activities, agencies can procure a total solution rather than making separate buys for each part of a requirement; and satisfy socio-economic procurement goals.
By complementing each other’s capabilities, the team offers a total solution and meet ordering activity needs that they might not be able to win individually. 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 (products) and services that best match their company’s resources and strengths; and
- Find greater success as a small and/or disadvantaged business.
What is the difference between a CTA and a Prime/Subcontractor Relationship?
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. 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. (Ordering activities are encouraged to specify in the Request for Quotation (RFQ) that the use of subcontractors requires prior approval by the ordering activities.)|
|The ordering activity 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 ordering activity is invoiced in accordance with 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.|