Expiring Contracts give GSA a Chance for Change

Making government purchasing more streamlined and consolidated has been the mission of the GSA for the last couple years, especially since the new GSA Administrator Denise Turner Roth was sworn in. With so many professional services contracts expiring in fiscal year 2016 and even more coming up for expiration in fiscal year 2017, the opportunity is ripe to implement changes and get agencies working together and consolidate purchasing. The consolidation of multiple GSA contracts into the new PSS (Professional Services Schedule) was a starting off point.

Fewer contracting vehicles would mean a simpler way to purchase professional services that agencies need. The goal is to not increase the number of indefinite delivery indefinite quantity (IDIQ) contracts but to better utilize the ones that exist. Whether that means expanding GSA Schedules or OASIS, there are already vehicles out there for the services that the government purchases. There seems to be no need to increase the burden on the government by creating more and more IDIQs when existing contracts can be utilized and any new ones that would be created would exist within current frameworks.

Only 20 percent of government professional services spending is currently running through GSA with the rest going through the open market. Despite the governments wishes, open market competition is continually increasing, 10% between 2011 and 2014 (according to Bloomberg Government) creating the need for more contracting officers and more management, further bloating the government and its buying power.

Theoretically, this move will also increase competition. According to Bloomberg Government, about 80% of federal government spending on general professional services went to just 140 companies. Although there is a chance that those business then subcontracted to others, that is a very small number of companies gather a bulk of the work and money.

Utilizing the current vendor base (all vendors on the GSA have gone through a stringent approval process) and potentially making it easier for start ups to join the GSA can make this particular effort just what the government needs to stop creating new IDIQs and make sure they are utilizing government purchasing power in the best way!