[Congressional Record Volume 143, Number 124 (Wednesday, September 17, 1997)]
[Extensions of Remarks]
[Page E1780]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              IN SUPPORT OF REPEAL OF SECTION 1555 OF FASA

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                        HON. ROBERT B. ADERHOLT

                               of alabama

                    in the house of representatives

                     Wednesday, September 17, 1997

  Mr. ADERHOLT. Mr. Speaker, in 1994, the 103d Congress voted to turn 
the General Services Administration into a competitor with private 
employers for billions of procurement dollars generated by State and 
local governments. That something of this magnitude can be enacted into 
Federal law without so much as a hearing is a prime example of how 
disconnected Washington can become from the American people.
  Let me briefly discuss what I understand to be the conceptual case 
for this program. In a nutshell, proponents seem to contend that non-
Federal public entities will get more bang for their procurement buck 
by purchasing items off the Federal supply schedules, making State and 
local taxpayers the ultimate beneficiaries of the cooperative 
purchasing program.
  Now I certainly support saving taxpyers' money, but where is the 
evidence in this instance? On the contrary, I am not convinced the 
cooperative purchasing program will provide anticipated savings to 
State and local governments and their taxpayers on a sustained basis.
  Despite the moratorium, the cooperative purchasing program has 
already had a disruptive effect in the marketplace, and the potential 
for further disruption is far, far greater. In what I am sure is 
reflective of the experiences of my colleagues, I have heard from small 
business persons in my district who fear for their futures if the 
cooperative purchasing program goes into effect.
  The more I hear, the more I am convinced section 1555 of the Federal 
Acquisition Streamlining Act should be repealed. The sooner we get rid 
of this program, the better. If we fail to do so, it is highly unlikely 
that appropriate remedial action will be taken prior to implementation 
of the program, and countless small business persons and their 
employees--our constituents will see their worst fears about the future 
materialize.
  This issue quite simply pits big government against small business, 
and it's pretty clear that small business won't make out very well in 
that competition. That's what my constituents are telling me. These 
small companies which compete each and every day with very little if 
any margins for error, are fearful not of competition, but rather of 
unfair competition. All they ask for, I would say to the members of 
this committee, is a level playing field. They have a right to that, 
and by repealing the cooperative purchasing program we can meet their 
rightful expectation.

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