GPO Boosts Printing Prices, OMB Argues
By Lisa Cross, Business Editor -- graphic arts online, 6/1/2002
In support of its stand, OMB reports that, when the printing office contracts out its work, it does the following:
- Charges the government agency ordering the work a 7% premium above the cost of private printing. This figure increases to 14% if the lead time is 10 or fewer days; in turn, this premium decreases to 0.5% after the GPO recoups $20,000.
- Tacks on an additional processing fee of $7.50 to $15 per order.
- Retains all discounts for prompt payment (usually around 5%) offered by private printers, rather than passing the savings on to the government department or agency.
Also, OMB reports that when GPO performs the work in house, it charges government agencies a 35% premium if the lead time is 10 days or less.
