Here at GSA, we couldn’t be more proud of our small business partners – they are critical to our ability to deliver mission-enabling technology products, services, and solutions to agencies.
We’re also proud of the various paths to success we provide to small businesses of all types through our contract solutions. While the COVID-19 pandemic continues to present new challenges and obstacles to many of GSA’s partners in the small business community, we are doing all we can to help keep this important part of the federal IT ecosystem vibrant and successful. As we all navigate new realities and requirements, GSA is working to ensure small businesses have the opportunities to thrive; and that we’re fully supporting them.
The Importance of Small Businesses
The numbers drive this home. In fiscal year 2019, the federal government spent over $68.1 billion on IT, with approximately $47 billion allocated to the IT Services sub-category. Federal agencies awarded $15.6 billion in IT services alone to small businesses. $5.3 billion of that went through GSA contracts. That’s not a small chunk of change.
Considering that almost a third of IT services spend was conducted through GSA and 75 percent of companies on GSA’s Schedule are small businesses; not to mention the nearly 1,000 small businesses on GSA’s Governmentwide Acquisition Contracts (GWACs), the data show that customer agencies continue to rely on GSA and our small business partners’ solutions as invaluable tools to meet their acquisition requirements.
Long History of Supporting Small Businesses
Our small business GWACs have a long history supporting stakeholders – going back to the late 1990s. The GWACs have been focused on assisting customers in meeting statutory and other small business goals while meeting mission outcomes. The first GSA 8(a) GWAC, 8(a) FAST, was awarded in 1997. Since that time, customers have relied upon GSA’s small business GWACs to fulfill over $27B in task orders. Given their direct material contributions to the small business industrial base, the SBGWACs have been supported by every administration since their inception, having iteratively evolved through continuous improvement across each generational sprint.
Given this history, the popularity of these contracts, and the government’s reliance on GSA to deliver these solutions; we take our commitment seriously. Supporting small businesses has always been, and will continue to be, a key driver for GSA going forward.
Looking to the Future
Built with the future in mind, all of GSA’s GWACs have been designated as best-in-class (BIC) – preferred governmentwide solutions capable of supporting Tier 3 spend, a focus of the governmentwide category management strategic plan. We’re focused on ensuring our solutions meet the needs of our customers with a robust number of small businesses of all types.
GSA’s IT Category Small Business Vehicles
- GSA’s MAS – Information Technology has approximately 4,000 small business industry partners with periods of performance for up to 20 years.
- 8(a) STARS II GWAC has approximately 800 8(a) firms, supporting the most common IT services NAICS codes; it allows for direct buys up to $4 million, through the end of FY21.
- VETS 2 GWAC has 70 service-disabled veteran-owned small business contract holders. The initial period of performance through February 2023 with an additional five-year option.
- Enterprise Infrastructure Solutions (EIS), has three (3) small businesses supporting enterprise telecommunications and networking solutions with option periods through 2032- a first-ever for our flagship telecom contracts.
8(a) STARS III Update
The 8(a) STARS II GWAC has exceeded all of our expectations. We’ve raised the contract’s ceiling more than once to accommodate demand. In fact, it’s at its ceiling again and demand continues to be through the roof; we’re working on remedies now to ensure the government can continue to benefit from this easy to use and effective solution
As we move into this contract’s fourth generation we can say for certain that this program is a huge success. The 8(a) STARS program has served as a small business accelerator into the competitive government contracting marketplace, with a significant number of prior 8(a) STARS program participants growing their business so much that we now see them thriving with the big companies on GSA’s Alliant 2 GWAC.
Following that unprecedented success, we’re working on the release of the final solicitation for STARS III. The STARS III GWAC will increase opportunities for agencies to meet socioeconomic goals through our innovative solutions that, in addition to the great 8(a) STARS II foundation, will facilitate emerging technology and OCONUS requirements through specific master contract sub-areas. We plan to issue the final RFP for the 8(a) STARS III GWAC this fiscal year.
Planning The Way Ahead
As we look to the future, we intend to continue to support a large, diverse, and highly capable base of small business IT providers. GSA is pursuing creative strategies to increase the opportunities available to small businesses and expand the pool of small businesses on GSA contracts.
Emerging technology and security are key enablers for good government and GSA is looking at how we can provide more opportunities to innovative small and socioeconomic businesses (Women-Owned, HUBZone, 8(a), and Veteran-Owned), so customer agencies can tap into their expertise to drive IT modernization and improve service delivery.
We’re working to:
- ensure that contract holder capabilities meet the evolution of technologies and refresh as needed via onramps.
- remove small business barriers to entry by simplifying submission requirements for future GWACs.
- further increasing engagement with industry prior to the release of solicitations via industry days and targeted conferences.
- host regularly scheduled GWAC Program Meeting Reviews (PMR).
- provide industry partner training.
- encourage the establishment of an Industry Council for each SBGWAC.
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