(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY14. Read previous posts at http://gsablogs.gsa.gov/technology/)
State and local governments are adopting Schedule 70 at a rapidly growing rate. They have the ability to receive the same benefits that federal agencies receive when using Schedule 70: fast and easy acquisitions and access to a large range of pre-vetted vendors at prices determined to be fair and reasonable. The program is called the Cooperative Purchasing Program and allows state and local entities to use Schedule 70 and Schedule 84.
State and local: by the numbers
- Growth: The usage of Schedule 70 by state and local governments increased almost 30% last year to $846 million in volume. The projected IT spend at the state and local level has increased over the past couple of years, and the growth of usage of Schedule 70 has outpaced that growth.
- Outreach: GSA has increased overall focus on outreach and training to state and local governments on the use of Schedules 70 and 84.
- Local vendors: An enormous benefit to state and local governments is access to companies in their local communities. Schedule 70 has thousands of vendors located across the US and many state/local entities encourage local businesses to consider GSA Schedule as an option. 80% of the companies on Schedule 70 are small businesses and GSA can provide support to those companies seeking to obtain a Schedule contract.
- Positioned for future growth: for state and local, growth in spend is occurring in areas such as software, IT services, systems, and IT outsourcing. These are areas that we expect to see continued future growth in state and local markets.
Improving efficiencies in all levels of government
The state and local IT market is valued at over $60 billion. Although the market is significantly more fragmented than the federal market, GSA is ready to help all forms of government become more efficient, spend smarter, and support delivery of services to the citizens. We will continue to work with local governments and vendors in an effort to drive greater value for the taxpayer.
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