SUPPLEMENTALS MAY INCREASE FY’19 SPEND
The Department of Homeland Security is requesting $4.5 billion in additional money from Congress to handle an influx of people crossing the southern US border. Over $1 billion of that amount would be for operational and technology enhancements, presenting opportunities for contractors. In addition, Congress is also contemplating a disaster aid package to assist states impacted by last fall’s hurricanes and this spring’s floods. DOD, too, may get into the game with the Air Force threatening to shut down work at several air bases if additional funding isn’t provided. All of this means that contractors may be looking at increased opportunities over what is already shaping up to be a significant federal third and fourth quarter. Birchgrove Consulting President Ray Bjorklund recently stated on the Federal News Network’s “Off the Shelf” that agencies impacted by the partial government shutdown had to make up for between $8-11.5 billion in spending that was placed on hold. DOD and other agencies also have full appropriations over last year’s levels. It is clear that there is business to be won. GSA’s FEDSIM operation has already stopped taking new business and other assisted service organizations are filling their books quickly. To use a variation on a popular commercial tag line, “What’s in your pipeline”? This is the time of year when those fuzzy dots on your radar should be taking shape. If you aren’t seeing action, make sure you’re looking in the right places. We are again poised for a ride that doesn’t end till September 30th.