Home Depot OK'd for government contracts

The General Services Administration has awarded Home Depot a schedule contract that will make it easier for the home improvement retailer to do business with federal agencies, the home improvement retailer said Tuesday. The contract opens a valve to billions in potential news business. The GSA spends $5 billion annually on maintenance, repair and operations, Home Depot said. Home Depot, with 1,407 stores in the United States, becomes the largest retailer with a GSA schedule contract to sell building, repair and maintenance products to federal agencies through the GSA's Hardware SuperStore Multiple Award Schedule Program. The announcement comes a year after Home Depot became embroiled in controversy after it sent memos to store managers reminding them that they should not accept purchase orders, credit cards or cash for items to be used by the federal government. Home Depot said at the time that being a federal contractor would create consider paperwork that it was not equipped to process. Two weeks later, in late June 2002, Home Depot changed its policy and said it was willing to become a federal contractor. That decision opened the door for Tuesday's announcement. "Home Depot values the opportunity to expand its government business," said Bob Nardelli, chairman, chief executive and president of Home Depot. "During the past year, we have been putting the people and processes in place to ensure we follow the correct procedure to act as a federally approved contractor." As a federal contractor, Home Depot will have to file certain affirmative-action reports and disclose details about the hiring and pay of women and minorities. "The Home Depot takes compliance very seriously," Nardelli said. "A GSA Schedule contract enables us to provide a higher level of commitment and service to the federal government, and it opens the door to additional, large-scale government business opportunities." To meet the needs of the federal government, Home Depot has established the Home Depot Government Solutions Group, part of which will be based in Washington. The group will work directly with federal agencies, and an outside sales team will handle the needs of agencies and military posts and bases across the country.