VA Extends Federal Supply Schedule Contracts to 20 Years: What Contractors Need to Know
The Department of Veterans Affairs (VA) has announced a major enhancement to the Federal Supply Schedule (FSS) program—one that will significantly benefit both government buyers and current FSS contractors. For the first time, VA FSS contracts can now span up to 20 years, doubling the previous maximum performance period.
A Longer Contract Lifecycle
Historically, FSS contracts included a five‑year base period plus one five‑year option, totaling 10 years. Under the new authority, contracts may now include:
- A five‑year base period, plus
- Three additional five‑year option periods
This change extends the potential contract lifespan to 20 years, giving contractors more stability and allowing federal buyers to better align long‑term procurement strategies—such as blanket purchase agreements—with the underlying FSS contract.
What This Means for Contractors
To implement this change, VA will issue a Mass Modification (MM) to all current FSS contract holders. This bilateral modification will add a new Evergreen Option to Extend clause, enabling the additional option periods.
Before the modification is incorporated, each Contract Specialist will review the contract for administrative updates. This includes reassessing the contract’s estimated value, since the original valuation was based on a 10‑year period. In some cases, regulatory requirements—such as establishing a small business subcontracting plan—may be triggered by the updated contract value.
What Contractors Need to Do
Once the Mass Modification is released, contractors will need to review and return the signed modification to their assigned Contract Specialist.
If additional updates—such as revised contract value or performance period—are required, the Contract Specialist will issue a separate modification and provide guidance.
Key Dates
- Mass Modification Release: April 17, 2026
- Contractor Response Deadline: May 1, 2026
If you have any questions on the changes or on how to accept the Mass Modification please contact BH Sky for assistance.
Need Help?
Contact a BH Sky GSA Contract Schedule Expert today for assistance.