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Making best-in-class contracts better for innovation

In recent years, federal acquisition policy and practice has been a competition between two different priorities: Efficiency and innovation.

Instead of balancing these priorities, innovation has taken the backseat, denying agencies access to companies that can deliver transformational solutions.

The Office of Management and Budget and the General Services Administration have an opportunity to implement several straightforward changes that can address these competing priorities.

A recent report from the Government Accountability Office provided several recommendations for OMB and GSA to improve their category management initiative, which oversees efforts such as the best-in-class contracts (BIC). While most of the GAO recommendations focused on improving guidance around category management, better defining requirements, acquisition workforce training and cost savings, what was left unaddressed was how OMB and GSA can improve the most important outcomes — delivering the best and most innovative product and service solutions to agency customers and citizens.

Category management has pushed government agencies to buy more like a single enterprise. This focus has prioritized driving savings and efficiency by eliminating redundancy by developing more useful governmentwide acquisition contracts (GWACs), such as BICs. However, having a too narrow focus on streamlining and scale sacrifices the more important priority of attracting more innovative, non-traditional companies to the federal market. That focus — long championed by organizations like the Alliance for Digital Innovation — has pushed the government to leverage inventive acquisition authorities, prioritize commercial capabilities over onerous and restrictive requirements, and encourage speed in both the pilot and production phases of IT acquisition.

Keep reading this article at: https://federalnewsnetwork.com/commentary/2020/12/making-best-in-class-contracts-better-for-innovation/

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OMB should lead category management efforts to improve contract data, GAO says

Efforts to improve contract data must be led by the Office of Management and Budget, if its category management initiative is to improve, according to the Government Accountability Office.

GAO found OMB‘s category management initiative focused too much on how to buy things — at the expense of helping agencies determine what goods and services they actually need — when it assessed data for 28 agencies, reviewed guidance for four and interviewed officials.

The category management initiative saved $27.3 billion in three years by having agencies use existing contracts to buy similar products and services like those in the IT Category, but billions more could be saved if OMB pursues governmentwide solutions to data challenges.

“Agency officials told GAO that data challenges — particularly challenges in collecting, analyzing, and sharing data on their spending and the prices they pay — have hindered implementation of the category management initiative,” reads GAO’s congressional report released Monday. “OMB is aware of these government-wide challenges and has directed agencies to take certain steps on their own to address them.”

Keep reading this article at: https://www.fedscoop.com/omb-category-management-data/

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IRS moves to speed up contracting through new procurement research partnership

The Internal Revenue Service recently set sights on introducing new technology-driven capabilities and applying innovative data science techniques to improve and elevate its procurement operations.

And last week, the agency launched a research partnership valued at almost $1 million that marks a deliberate move in that direction.

Through the newly unveiled collaboration, agency officials, university professors and students equipped with procurement and machine learning experience, and members of Virginia-based small business Data and Analytic Solutions will form a multidisciplinary team intended to accelerate the IRS’ contracting and award processes.  It emerges as federal buying largely remains notoriously slow.

“When it comes to contracting, everyone seems to want it faster, cheaper, and better,” IRS Chief Procurement Officer Shanna Webbers told Nextgov over email Tuesday.  “We recognized that we cannot continue to do business as usual and expect a different result.”

With that view top of mind, Webbers’ office earlier this year embarked on what she called “a game-changing transformation” that drew from feedback shared by procurement employees within the agency, as well as its customers and industry partners.  Building on that, the organization is bringing forth new tools and techniques — like data analysis, visualization, and machine learning, among others — to advance how work is performed.

Keep reading this article at: https://www.nextgov.com/emerging-tech/2020/12/irs-moves-speed-contracting-through-new-procurement-research-partnership/170431/

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Projections on contract spending for 2021 are murky

Though the Defense Department’s actual numbers won’t come out until January, federal contract spending for fiscal 2020 is projected to land somewhere upwards of $600 billion — an $89 billion increase over 2019.  Around $30 billion of that increase was COVID-related spending.

With a vaccine still on the horizon, and a presidential transition now underway, projections on contract spending for 2021 are murkier than usual.  That said, Kevin Plexico, senior vice president for Information Solutions at Deltek, said there are a few things that can be expected.

First, the topline budget caps are already set for next year due to the Bipartisan Budget Act of 2019.  They provide for modest increases in discretionary spending, which tends to lead to increases in contract spending.  It’s worth noting as well that 2021 is the final year subject to the restrictions of the Budget Control Act.

Second, President-elect Joe Biden has presented a seven-point pandemic response plan, which includes testing and tracing, as well as potentially $25 billion for vaccine development and distribution.  It’s likely to include significant spending on personal protective equipment as well, and it’s possible he could invoke the Defense Production Act toward this end.

Keep reading this article at: https://federalnewsnetwork.com/contracting/2020/11/what-contractors-can-expect-in-2021/

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GSA releases tool for monitoring agency spending

The General Services Administration (GSA) has made its Governmentwide Category Management (GWCM) Awards Exploration Tool publicly available.

Now, federal agencies, vendors, and the general public have a new data source to see where agencies are spending contract dollars.

The database lets users find information at the award level such as by contract name and spend under various major contract management tiers.

Previously, GSA made the tool only available to federal employees.

The GWCM awards search tool is one of several offered by GSA for vendors and other stakeholders at https://d2d.gsa.gov/report/public-category-management-dashboards-analytics.

Screenshot of GSA’s publicly-available contract awards search tool.

Interestingly, the new tool displays data in 10 major categories of federal contract spending: facilities and construction; human capital; industrial products and services; IT; medical; office management; professional services; security and protection; transportation and logistics; and travel.

Screenshot of Facilities & Construction data.

While small business utilization data is viewable on individual category management pages such as the one shown above, as of May 26 the overall Small Business Dashboard was not functioning.

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