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R 202028Z AUG 09
FM SECSTATE WASHDC
TO ALL DIPLOMATIC AND CONSULAR POSTS COLLECTIVE
RUEHTRO/AMEMBASSY TRIPOLI 9208

UNCLAS SECTION 01 OF 02 STATE 087020 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ATRN AMGT APER KSEP
SUBJECT: Impact of GAO Decision on Purchasing Vehicles 
in the United States 
 
¶1.  Summary.  The General Accountability Office (GAO) 
recently ruled that the General Services 
Administration's (GSA) practice of accepting orders for 
motor vehicles based on pricing from expired contracts 
that will be filled in the next Fiscal Year (FY) do not 
constitute a binding obligation.  As a result, the 
Department cannot use FY-2009 funds to order vehicles 
through GSA contracts that will not be awarded until 
November 2009, which will be FY 2010.  This cable is 
meant to provide guidance on options for obtaining 
Program and ICASS vehicles based on the kind of funding 
posts will use to purchase vehicles in the United States 
through the mandatory State/GSA procurement process. 
http://www.gao.gov/decisions/appro/317249.htm . End 
Summary. 
 
¶2.  The timing of the GAO ruling this late in the fiscal 
year is unfortunate, but should not prevent the 
Department from meeting posts' vehicle requirements. 
The GSA contracts with Ford, General Motors (GM) and 
Chrysler automakers are still available to obtain model 
year 2009 vehicles in the States with FY 2009 funding. 
Options are outlined in para 3 for obtaining Program and 
ICASS Vehicles.  Posts are reminded that when buying 
vehicles from the United States it is mandatory to place 
the order through the Motor Vehicle Program's buying 
unit that obtains vehicles from GSA, and please remember 
that we still have a mandate to procure American 
vehicles if at all possible.  If posts instruct MVP to 
order ICASS vehicles off the Chrysler, Ford, and GM 
contracts effective in November 2010, please ensure that 
the appropriate funds are used.  If your post is 
scheduled for a replacement program vehicle in 2010, you 
will be contacted by MVP to inquire as to the kind of 
vehicle needed. 
 
¶3.  Options for obtaining Program and ICASS Vehicles. 
 
================ 
Program Vehicles 
================ 
 
a.      The contracts for purchasing 2009 model years from 
Ford, GM, and Chrysler automakers are still available 
through buying seasons ending 30 September 2009 and 
posts can request these vehicles from MVP.  Posts 
should go to GSA AutoChoice 
http://www.gsa.gov/Portal/gsa/ep/contentView. do?conten 
tType=GSA_BASIC&contentId=8161 to determine the model 
and options required in advance of the procurement 
discussions with MVP. 
 
b.      Model year 2010 vehicles will be available for 
purchase in November, but only with FY 2010 funding. 
No FY 2009 funding can be used to buy these vehicles 
as was done in the past. 
 
c.      MVP will be reviewing requests for right hand drive 
vehicles that can be bought through RPSO Tokyo or 
locally.  We expect posts to do everything possible to 
source American vehicles (if available) on the local 
market. 
 
d.      Armored vehicles are funded by Diplomatic Security and 
most likely will not be an issue for posts. 
 
============== 
ICASS Vehicles 
============== 
 
a.      If carryover funds are an issue for posts, follow the 
same process as described above for purchasing model 
year 2009 Program Vehicles. 
 
b.      If carryover funds are not an issue, posts may want to 
defer replacement vehicle procurements until FY 2010 
when new GSA vehicle contracts will be in place for 
model year 2010 vehicles. 
 
c.      Please share this information with your Financial 
Management Officer and encourage post management teams 
to discuss the options that best meet their ICASS 
fleet needs. 
 
¶4.  Local Procurement:  MVP will expedite the review of 
local procurement waivers for both ICASS and Program 
Vehicles.  Please keep in mind the guidelines that a 
 
STATE 00087020  002 OF 002 
 
 
local vehicle must cost one-third less to maintain over 
the life of the vehicle than a comparable US-made model. 
If a local dealer carries US made vehicles, we expect 
post to include pricing from that vendor.  To expedite 
the purchasing of program vehicles, MVP will provide 
posts with price ranges for different capacity vehicles, 
and asks that if post needs to procure a local vehicle 
that the cost be within in that price range. 
 
¶5.  Planning for Next Year:  GSA has stated that they 
will try to negotiate contracts with US automakers that 
begin in September rather than October or November (the 
next fiscal year) and last much longer into the year. 
As funds become available, MVP will aggressively move to 
procure replacement program vehicles for posts pending 
funding availability.  Posts should work early and often 
with MVP desk officers to assist in getting the vehicles 
early in the year. 
 
¶6.  If you have any questions, comments or concerns, 
please e-mail John Dockery, Branch Manager for the Motor 
Vehicle Program at dockeryjc@state.gov or your desk 
officer via motorvehicleprogram@state.gov. 
 
¶7. Minimized considered. 
CLINTON