Is a unit allowed to buy items (unit T-shirts) from a company owned by someone in that unit?

2014-02-01T09:30:14-05:00

I have a small clothing company that my unit has found out about, and now they are asking me if I can make unit T-Shirts. I have no problem doing so, but I was wondering if there was any regulation stating that since I am in that unit, I can't do business through my storefront with my unit. Any help would be greatly appreciated.

Response by CPT Aaron Kletzing made Feb 1 at 2014 10:19 AM

2014-02-01T10:19:44-05:00

Yes, I second the advice on just chatting with JAG about it.  When you talk with JAG, have them give you a written legal opinion on it, which they sign with their authority to give a formal legal opinion.  This could just make life easier for you in case anyone asks what's up.  So, takeaways: (1) talk with JAG; and (2) get a written legal opinion from JAG, which really doesn't take long at all.  You can be in and out with documents in hand in an hour.  Good luck!

Response by LTC Paul Labrador made Feb 1 at 2014 11:49 AM

2014-02-01T11:49:00-05:00

It can be perceived as a major conflict of interest.  Tread carefully.

Response by SGM Private RallyPoint Member made Feb 1 at 2014 5:03 PM

2014-02-01T17:03:07-05:00

Definitely a touchy subject. As long as it is business you will be fine. JAG can give you the specifics. I would suggest a signed contract once a proof t-shirt is complete. This lays out the qty, price and processing times. That way if something happens it is in black and white.

I have to agree with the others that it would probably not be the best business move you would make.

Response by MAJ Private RallyPoint Member made Feb 2 at 2014 4:20 AM

2014-02-02T04:20:21-05:00

As with other posts, JAG is a great resource. Here are some thoughts for you:

Most of the time when trying to utilize the Government Purchase Card (Government Spending) you will need to get a minimum of three quotes from other vendors prior to submitting the request. Doesn't mean that your preferred company will have less of an opportunity, but it will protect your organization in allowing other competitors an opportunity. It will also, show proof that the preferred company is not too expensive for the services rendered in comparison to the other competition. It could even show that other companies have a higher cost, making your preferred company save the government money. (There is a certain dollar threshold per month, so make sure the unit budget officer and the GPC card holder are in the know).

FYI--If the shirts are personalized with Names/Ranks/etc. then they cannot be purchased with government funding. However if they are generic in nature and available to all members then yes, it could be feasible. The sticky part is that you cannot sell them in bulk to unit members for profit. The other option is to check with your unit MWR Funding to see their regulatory guidance.

Best case, register the unit on post and seek approval for fund raising activities such as car washes, bake sales, local sponsors, etc. to raise the money for the shirts. As with anything else, you need to have proof in writing before pursuing actions. (JAG, Command, Installation Agencies).