GSA officials announced, or added details to, a series of steps they intend to take to streamline acquisition, improve transparency and bring new companies into the government marketplace this week. Taken together, these initiatives indicate the agency’s intent to stay at the forefront of innovative acquisition. First, GSA is asking Congress for the ability to pilot test non-priced service schedules. The idea is that contract-level labor hours are only somewhat Read more
Those expecting GSA’s commercial e-commerce portal initiative to radically change the way the government buys commercial products can relax – for now. The agency intends to implement the program, sometimes known by its Congressional name “Section 846”, as a pilot, with only a few agencies, or even parts of agencies, participating in the first phase. In addition, GSA is considering the viability of having only certain products covered during this phase. These Read more
Long-time reader K. Kardashian writes, “I’ve been working with a potential customer to help create an acquisition my company wants to bid on. I’m not getting paid, but I’ve written half the scope of work. Could this be a problem when the RFQ is issued?” Every contractor wants to get an edge, K. Relationships matter in government acquisition and, as such, companies work to provide extra information to prospective buyers and recommend acquisition strategies. Read more
Two Requests for Information (RFI’s) released last Friday by GSA seek answers to a wide range of questions from both product suppliers and e-commerce portal providers as part of the agency’s Section 846 implementation work. The RFI’s are required reading by any company interested in this project and serious consideration should be given to submitting comments prior to the July 20th closing date. The portal provider RFI asks more questions than a parent of a teenager coming home after curfew. Spend analysis, spot discount capabilities, third party supplier agreements, and other implementation questions are all part of a 21 page document. The product supplier RFI, weighing in at 16 pages, asks questions about whether a supplier is willing to register in SAM and how companies sell through e-commerce portal providers currently. Significantly, GSA asks only how the implementation of e-commerce portals in government will help a supplier’s federal business, not so much on how it could be harmed. The RFI’s indicate that GSA is indeed serious about gathering as much information as possible from industry. Along with the June 21st public meeting, the agency is providing ample opportunity for comment, either pro or con. It is incumbent upon companies to respond and ensure their views are heard. See the links here: https://www.federalregister.gov/documents/2018/06/15/2018-12891/request-for-information-from-platform-providers-of-commercial-e-commerce-portals
https://www.federalregister.gov/documents/2018/06/15/2018-12893/request-for-information-from-suppliers-selling-on-commercial-e-commerce-portals
“…as CM has transitioned from what began as a management technique into a procurement policy, there have been negative consequences for the supplier base and for the marketplace,” according to testimony last week from Alan Chvotkin of the Professional Services Council. Chvotkin’s comments were part of a House Small Business hearing highlighting the negative impact on small businesses of OMB’s Category Management initiative. While hearing witnesses said that the goal of reduced government spending is laudable, the concern is that the small business supplier base is being harmed. Fewer contract vehicles mean fewer opportunities for small businesses to be prime contractors. The impact is especially large given the fact that small firms typically do better when competing for business when on an Indefinite Delivery Indefinite Quantity contract than when selling against larger businesses on open market procurements. Witnesses echoed industry concerns that Best-In-Class policies also hurt small firms. “In its current form, the Best-in-Class acquisition process picks winners and losers without assuring full and fair competition, thereby locking out thousands of small businesses…” said Beth Laurie Strum testifying on behalf of the US Women’s Chamber of Commerce. As we’ve said before, promoting best practices is one thing, but making specific vehicles mandatory often backfires. The small business backlash is just example of this. OMB would do well to remember this piece of classic (rock) poetry: “Just hold on loosely/But don’t let go/If you cling too tightly/You’re gonna lose control.”