The term ‘Basis of Award’ (BoA) is used during a GSA contract proposal, and determines the class of commercial customer on which to base your GSA award.
During proposal negotiations, GSA will look in detail at your commercial price structure and discounting practices – the discounts or concessions you offer your commercial customers, or if you offer different discounts to different categories of customers.
The discounts and concessions you offer GSA should be at least equal to those you offer your best customer (Most Favored Customer-MFC)
You and GSA will establish which customer (or category of customers) will form the Basis of Award (BoA).
During the life of the contract, the price/discount relationship between your BoA and GSA will remain firm – if your BoA prices increase, your GSA prices will also increase at the same rate.