Updates on Enterprise Infrastructure Solutions (EIS)

We at GSA, customer agencies, and industry partners have been working diligently to prepare for Enterprise Infrastructure Solutions (EIS) — the 15-year, multi-billion-dollar contract that can transform government infrastructure and telecommunications while improving government efficiency and effectiveness and saving hundreds of millions of dollars.

Our road to EIS has been a collaborative, open, and transparent journey, and we’re almost there.

We want to be sure you’re aware of the next steps and when you can expect each one.

Transition Readiness

We’ve been talking over the past year about how important it is for your agency–and others–to prepare for transition, including confirming final inventories and delivering your transition plan to GSA by October 2016. The goal is for agencies to be ready to start transitioning and do fair opportunity competitions for EIS task orders early in calendar year 2017 after EIS is ready for agency use.

With EIS just around the corner, you need to already be planning to move services to EIS now. All agency transitions will need to be completed by 2020, and it’s going to be complicated.

To meet this deadline, think of us as your business partners. We hope you’ve already started to plan. Download a copy of GSA’s EIS Transition Handbook from the GSA Interact community site. If you need help with agency transition or other matters, reach out to us at the IT Customer Service Center at (855) 482-4348 or ITCSC@gsa.gov.

Proposal Evaluation Status and Discussions with Offerors

We are evaluating offers submitted on February 22, 2016 in response to the EIS Request for Proposal (RFP), issued in October 2015.

On July 28, 2016, we posted on the GSA EIS Interact site that we planned to contact offerors by mid-August. We are finalizing the information we intend to discuss with offerors.

Award Date and EIS Availability for Use

We want to award EIS as quickly as possible and plan to do so in early calendar year 2017. EIS can transform government infrastructure and telecommunications for the next decade.

Since we take this responsibility seriously, we’re being diligent, thoughtful, and thorough to maximize value for the government, industry, and the American people.

We remain committed to collaborating and working openly with you now and going forward.

Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

Better Pricing, Better Value, & Better Shopping Equals A Better Schedule 70

Since 1949, GSA’s mission has been to deliver the best value in real estate, acquisition, and technology to government and the American people. We pursue this mission relentlessly, and have always welcomed input from all stakeholders as we seek new and effective ways to bring more value to our federal customers. That’s why we appreciate the recommendations presented in a recent audit by GSA’s Office of Inspector General (OIG). Conducted between 2011 through early 2016, this audit  found that some contracts on GSA’s IT Schedule 70 offered identical products at widely varying prices. And that some items were being offered at prices higher than commercial sales.  

We agree with these concerns, which is why we have been working for the past three years to fundamentally transform the Multiple Award Schedules (MAS) program, reduce prices, and streamline processes. I’m a consumer too. I’ll come back to a store when I know I’m getting the best deal — anything to avoid going from store to store comparing prices. And that’s exactly what IT Schedule 70 shoppers have told us they want, too. As FAS Commissioner Tom Sharpe laid out in his October 2015 blog, we’ve responded to our customers by working to meet that challenge. Over the past few years we’ve been adding new tools and innovations to IT Schedule 70 so that we can give our customers what they want: better pricing, better values and a better shopping experience.

We heard from procurement leaders across government that price variability on Schedules was a problem. In response, we spearheaded the Competitive Pricing Initiative (CPI), which looks at the current prices of identical products offered by suppliers through MAS and identifies opportunities for more competitive prices. Since it began in FY 2015, CPI has led to price reductions on roughly 1.4 million items across all of GSA’s 15 products Schedules –savings we passed directly to agencies.

Our customers told us it was difficult and time consuming to compare prices between different contractors. To fix this, we asked vendors to standardize part numbers and collected existing Universal Price Codes (UPCs). Now government buyers can more easily find and compare products and prices on Schedules.

To help small businesses that don’t have the resources to conduct extensive analyses, we added a Horizontal Pricing Analysis application to our e-toolbox. This market-research resource  provides MAS contracting officers (COs) with additional data to pass on to MAS suppliers so they can be as competitive as possible.

To help our COs navigate pricing in a rapidly moving IT market we implemented GSA Price Point (XSB), an automated tool that lets them compare products and evaluate prices of all existing and future GSA Advantage! product listings and contract price modifications.  

And we developed the Formatted Product Tool (FPT) to help our MAS contractors and COs negotiate competitive prices for products on Schedule. FPT automates price comparisons for identical items, removes burdensome processes for both vendors and federal buyers, and improves our customers’ GSA Advantage! experience.

All these tools and capabilities help government contracting professionals negotiate prices that are in line and competitive with government and commercial marketplace prices. They also provide transparency and better value to both the government and Industry. Central to GSA’s mission is that we deliver value to the federal government and the American people. While IT Schedule 70 is not perfect, we recognize the challenges we’re facing and have have taken concrete steps to make pricing more competitive and to provide the tools to help buyers make smart purchasing decisions.

However, we are aware that we must continue to address the very issues identified by the IG and continue to transform the MAS program, reducing prices and streamlining processes.

Since that study began in 2011, we have fundamentally changed the way we do business with industry and how our contracting officers work. We have made significant improvements as we tackle pricing issues across the Schedules program. At the same time, we have also cut the time it takes to award contracts, determined a new path for startups to get on Schedule faster, and strengthened our focus on compliance.  With the new Transactional Data Reporting pilot we’ll start to collect and share more information on what the government buys and how much we pay for products and services. After looking at all the changes we have implemented, and looking forward to the improvements we’ll be making down the road, I am more confident and proud than ever that IT Schedule 70 will continue to provide the very best value to all of our important stakeholders.

GSA Continues to Develop Health IT Service Offerings

As stated in the Federal Health IT Strategic Plan, federal agencies are purchasers, regulators, developers, and users of health IT. In their various roles, they set policy and insure, pay for care, or provide direct patient care for tens of millions of Americans. Over the past seven years, our nation’s health information technology (health IT) landscape has experienced a remarkable transformation.  

With an annual growth rate of 7.4%, Health IT Services is one of the fastest growing markets in both the government and private sector.  Therefore, it is not a surprise that GSA’s IT Schedule 70 is seeing increased attention and interest in its Health IT Services solutions.  So, to ensure that IT Schedule 70 stays at the forefront of the Health IT market and to make it even easier for our government partners to get access to new and emerging health IT services, I’m pleased to announce the release of the new Health IT Services Special Item Number (SIN 132-56).  

GSA’s growing subject-matter expertise in the Health IT market, coupled with our existing online procurement tools, will allow us to provide a best-in-class solution for Health IT market research, acquisition planning, and procurement.

What are Health IT Services?

Health information technology (Health IT) makes it possible for health care providers to manage patient care through the secure sharing of health information. A simple example of Health IT is having an electronic health record (EHRs) instead of your medical history and health information on many pieces of paper stuck in a manilla folder.

Other products and services that fall under Health IT include mobile and tele-health technology, ePrescribing, medical sensors, remote monitoring devices, and other assistive technologies.  Health IT allows individuals and healthcare providers from federal, public health and community-based support organizations to electronically collect, share, and use health information.

Given the wide range of activities, and agencies’ desire for Health IT accessibility, the government is in an optimal position to improve healthcare and reduce costs through the secure use of information technology–making Health IT a valuable and strategic market for GSA.

Goals of the Health IT SIN

The Health IT SIN simplifies the procurement process, making it easier for IT Schedule 70 customers to get access to new and emerging health IT services. At the same time, it fosters competition and promotes small business participation. The new Health IT SIN gives industry partners a way to distinguish their Health IT services offerings from other IT related services already under the IT Schedule 70 program, letting them stand out to agencies seeking Health IT services.  It will also allows agencies to more easily identify Health IT solutions and the experts within the healthcare market.  

The Health IT SIN also supports the Federal Health IT Strategic Plan to expand adoption of Health IT services, reduce prices, advance secure and interoperable health information solutions, and strengthen healthcare delivery systems.

Health IT SIN Development and Collaboration

The new Health IT SIN is the result of collaboration between federal agencies and industry partners.  IT Schedule 70 worked closely with the Veterans Health Administration (VHA) and the Defense Health Agency (DHA) to ensure the Health IT SIN is a valuable resource to federal, state, local and tribal governments. We co-hosted industry days and agency meetings, and issued multiple RFIs to ensure we captured comments from both customer and industry partners.  Since the beginning of the Health IT SIN development process, VHA has referred vendors to IT Schedule 70 for possible inclusion under the Health IT SIN.  Additionally, DHA has entered into a Memorandum of Understanding (MOU) with GSA as DHA’s singular Health IT procurement solution.  

This collaboration creates a win-win for both agencies and industry. Our customer agencies stay involved as active participants by using the Health IT SIN, while our industry partners are committed to providing innovative Health IT Services to government users.

Participation is Easy

Current IT Schedule 70 contract holders must submit a modification to their contract through GSA’s eOffer/eMod web page. Industry partners not yet on Schedule 70 must submit an offer. Please follow the steps outlined in our convenient online guide.

Both new and existing industry partners may be eligible for our FASt Lane program, which gives suppliers shorter processing times for IT Schedule 70 contract actions.  Contact FAStLane@gsa.gov for assistance and visit the IT Schedule 70 Interact page to download detailed instructions and a pricing proposal template.

Also, I encourage agencies visit the IT Schedule 70 Health IT SIN web page for more information on how to use the SIN to purchase Health IT services.

Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

Focusing on the EIS Customer Experience

Note: This is a guest blog post by Amando E. Gavino Jr., Director, Office of Network Services, ITS/FAS/GSA. He is responsible for a portfolio of acquisition vehicles that provide government agencies with a diverse set of telecommunications solutions, including Networx, Enterprise Infrastructure Solutions (EIS), SATCOM, Enterprise Mobility, Connections II, and the Federal Relay Service.

On June 22, the General Services Administration (GSA) joined more than 200 representatives from across government and industry for a dynamic, customer-centric discussion about next-generation telecommunications under the Enterprise Infrastructure Solutions (EIS), a comprehensive solution-based vehicle to address all aspects of federal agency information technology telecommunications, and infrastructure requirements.

EIS will provide mission-critical telecommunications infrastructure to the federal government for the next 15 years. It replaces the Networx, Washington Interagency Telecommunications System (WITS) 3, and GSA Regional telecommunications services contracts that expire in May 2020.

This event allowed us to hear from agency officials on a wide range of topics, including:   

  • What they need from EIS
  • How important it is for each agency to find opportunities when transitioning telecom services under current contracts to EIS
  • How they will meet the aggressive transition challenges

I’d like to take this opportunity to share more of the valuable feedback we received during the event. The customer-focused themes and advice give EIS stakeholders across government and industry more insight as we collectively move to EIS.

Top Customer Takeaways

  1. Every federal agency is affected – more than 150 agencies and 60 Tribal organizations
  2. Agencies need to have a sense of urgency, focusing continuously on preparing for their complete transition until finished
  3. The EIS program holds opportunities for agencies, including modernizing, securing and transforming agency infrastructure. Think transformation as a key goal, rather than simply transition to the new acquisition vehicle.  This means approaching EIS transition as an opportunity to transform agency telecom operations and add mission value.
  4. Top priorities for agencies include:
  • Complete transition before the current contracts expire in 2020
  • Increase bandwidth demands
  • Meet agency cybersecurity requirements (cyber is built into EIS)
  • Focus on network modernization
  • See both short and long-term cost savings
  • Pay only for what the agency uses
  • Improve performance at lower cost

  5. Agencies are driving demand, not the EIS acquisition vehicle

  • For example, due to local area networks increasingly connected to wide-area telecommunications networks over Ethernet interfaces (that time-division multiplexing interfaces were challenged to provide), demand drove Ethernet transport to be a mandatory service

  6. To have a successful transition, each agency needs an accurate inventory and strong senior leadership commitment

  • Inventory includes everything from traditional long distance to fully redundant, mission-critical, secure VPNs
  • More than seven million inventory items across 90 regional and eight Networx contracts must move

  7. Engage with GSA early, get the agency contracting officer on board early, and put agency governance in place

  8. Agency Transition Plans are due to GSA in October 2016

  9. Download a free copy of GSA’s just-released EIS Transition Handbook from the GSA Interact site

Industry Takeaways

  1. Industry needs to prepare for the anticipated tsunami of EIS task order requests;  Partners, teams, and processes have to be ready to go
  2. Agencies will be looking for high-quality proposals for task and service orders
  3. EIS wants to deliver tomorrow’s technology today and GSA encourages industry to work with government on ways to make that happen

Common Threads for Everyone

  1. EIS is designed as a flexible and dynamic acquisition vehicle that will require continued collaboration with GSA, government, and industry going forward
  2. All current federal government telecom inventory must be moved to EIS before the end of May 2020 – 47 months from now
  3. EIS will address changing technology needs throughout the life of the acquisition vehicle
  4. The EIS acquisition vehicle is expected to extend into 2031 with continuous technology refresh
  5. Year 2020 is just around the corner. Even though we’re in the midst of the EIS acquisition, we are also planning further into the future. We are updating the NS2020 strategy, which will become the NS2025 strategy

GSA looks forward to continuing this EIS transition customer-centric dialog with our industry and government colleagues. We will continue the conversation on this blog and our GSA EIS Interact community. If you need assistance with agency transition, reach out to us at the IT Customer Service Center at 855-482-4348 or ITCSC@gsa.gov.  And again, please download a free copy of GSA’s just-released EIS Transition Handbook from the GSA Interact site.

Thanks to @ACTIAC and @ITAlliancePS  for supporting our June 22nd transition conversation.  The event was hosted by the ACT-IAC Networks and Telecommunications (N&T) Community of Interest (COI),Information Technology Alliance for Public Sector (ITAPS), and other industry groups.

Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

ITS Builds Partnerships Improve Health IT

In February 2016, we started a strategic seven-year partnership with the Defense Health Agency (DHA) that represents an estimated $5.4 billion in spend for critical Health IT services and solutions (GSA-DHA Health IT Partnership, 2/4/2016. In just a few short months, it’s already succeeded and proven a model of how we can work across federal agencies to foster collaborative, integrated partnerships to create innovative IT solutions for various mission areas, such as healthcare.

I’m proud to recognize three GSA employees and their DHA counterparts who were recently nominated for the 2016 AFFIRM Leadership Award for their leadership in developing the DHA/GSA Health IT Partnership. The DHA/GSA Health IT Partnership will be recognized and honored at the 2016 AFFIRM Annual Leadership Celebration, Thursday, June 23, 2016.

We continuously strive to grow customer relationships and serve as a trusted advisor to help federal agencies make smarter, more strategic decisions. We work across agencies to foster collaborative, integrated partnerships to not only improve IT acquisition and procurement for our government customers, but also to leverage current IT services and solutions to meet their unique mission and operational requirements.

Jennifer Auble, a customer engagement manager; Larry Hale, director, IT category customer engagement division; and Michael Williams, national account manager with GSA’s Customer Accounts and Research, along with their DHA partners, have worked hard through many political and organizational barriers facing government procurement to achieve a groundbreaking partnership between GSA and DHA that is in the best interests of the federal government and the American taxpayer.

This partnership began when GSA’s Federal Acquisition Service (FAS) and DHA entered into a strategic seven-year partnership representing an estimated $5.4 billion in spend for critical health IT services and solutions. Through this partnership, DHA will direct new health IT procurements to GSA IT contracts, including IT Schedule 70 and the Alliant, Alliant Small Business, 8(a) Streamlined Technology Acquisition Resources for Services II (STARS II), and Veterans Technology Services Governmentwide Acquisition Contract (VETS GWAC).

DHA uses these vehicles as the primary means of procuring supplies and services to support their existing and emerging health IT requirements. In addition, DHA has entered into partnership with GSA’s One Acquisition Solution for Integrated Services (OASIS) program and with the Assisted Acquisition Services organization.

Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

Moving Toward a Better Marketplace for Desktop and Laptop Procurement

Recently, I talked about how important it is to keep up with the latest technology trends and changes taking place across government for purchasing IT products and services. ITS continually strives to streamline procurement processes and maximize federal spending to achieve better acquisition and operational efficiencies for government agencies while at the same time acting as effective stewards of taxpayer dollars.

One great example of how we’ve been able to do just that for IT hardware products is the Government-wide Strategic Solution (GSS) for Desktops and Laptops. This particular project focused on key areas of importance to me: leveraging the buying power of the federal government, collaborating with other federal agencies and industry, and creating acquisition efficiency.

Leveraging Our Buying Power

First, the Office of Management and Budget (OMB) recognized an opportunity for the government to improve how we buy IT hardware and issued a memo on October 16, 2015 mandating that all civilian agencies use three existing “Best in Class” vehicles to fulfill most of their laptop and desktop needs. OMB stated that cross-agency collaboration and industry feedback were the keys to taking full advantage of the government’s buying power in this space.

Inter-Agency Collaboration

Second, based on the need for increased collaboration and integration between services, OMB created the Workstations Commodity Team (WCT), now known as the Workstation Category Team (WCT). The WCT comprises IT and procurement professionals from NASA, the General Services Administration (GSA), and the National Institutes of Health (NIH). The group spent over two years working with our industry partners and a consortium of over 20 federal agencies to develop a framework and strategy for solving some of the issues, like limited transparency and terms and conditions that were not common, that the government was facing in the IT hardware space.

As a result of the great cross-agency collaboration and in consultation with OMB, the Government-wide Strategic Solution (GSS) for Desktops and Laptops was developed. On February 2, 2016, GSA, NASA, and NIH hosted an industry day. We used this forum to share the updated specifications with industry and to seek their input for moving forward with the first technical refresh under the effort.

Efficiency

Lastly, the GSS currently gives agencies a choice of three desktop and three laptop configurations that meet the federal government’s requirements for more than 80 percent of systems purchased.

In addition to the six standard configurations, GSS for Desktops and Laptops has pre-negotiated policies and terms and conditions, and includes significant small business participation–over 85 percent, ensuring that agencies save time and meet socioeconomic goals.

A significant feature of the GSS for Desktops and Laptops is the continued focus on keeping up with fast-paced technology change. The program incorporates a technical refresh schedule every nine months, so specifications  reflect feedback from customer agencies and industry, aligning available configurations to market conditions and available technology.

Current configurations are now available for purchase on all three contracts. You can access the configurations on GSA Advantage and see all three contracts on the Acquisition Gateway.

By using existing best-in-class contract vehicles, streamlining procurement processes, and maximizing federal spend, we not only achieve better acquisition and operational efficiencies but also act as one and as effective stewards of taxpayer dollars.

The Challenge

Just to give you some perspective on how significant this particular initiative is, in fiscal year 2014 alone, federal agencies awarded more than 10,000 individual contracts and delivery orders for desktops and laptops, totaling approximately $1.1 billion. These products’ prices varied by almost 300 percent. If agencies requested different configurations, the prices went up even more.

Next Steps

On June 1, 2016, OMB released a GSS Desktop/Laptop buying event announcement to the CIO/CAO communities to increase awareness and encourage agency participation in the GSS initiative. GSA, NASA, and NIH will each  conduct buying events for laptops and desktops between June and September 2016. The planned buying events are in support of OMB Memo M-16-02, Improving Demand Management Practices (Aggregate demand to support leveraged buying events).

Accordingly, GSA IT Schedule 70 will conduct its first buying event during 4th Quarter 2016. GSA will request federal agencies to provide estimated quantities by June 17, 2016, in order to obtain maximum volume discounts, which will  streamline agency buying and drive down costs.

GSA’s acquisition will be conducted through the GSA Reverse Auction Platform based on estimated agency requirements, resulting in awards for manufacturer-specific, single-award government-wide Blanket Purchase Agreements (BPAs) for each of the six GSS standard-configurations to the Original Equipment Manufacturer (OEM) authorized resellers. These BPAs will be made accessible via the GSA AdvantageSelect platform, which allows agencies to purchase online without further competition.

ITS will continue to add new industry partners that offer the standard configurations and encourage small business participation. You can also use the GSA Advantage GSS icon GSS icon to identify products meeting the minimum specification on GSA Advantage.

To learn more about the program and how to order, visit the GSS for Desktops and Laptops webpage.
Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

Improved Software Policy through Category Management Best Practices

Last week, the Office of Management and Budget (OMB) announced its latest policy leveraging Category Management, this time focusing on software as a means to drive greater efficiency in how we buy and manage mission-critical IT solutions while saving taxpayers’ money.

In order to meet federal agencies’ increasing demands and expectations, the government must come together as one to identify our common needs and maintain the highest levels of quality in the products and services we purchase to meet those needs.

This latest policy advances ITS’ use of industry best practices beyond what we’ve already implemented with computers and mobile devices and expands the great work we’ve done with software solutions. Expanding to better manage software enables us to better handle the billions of government dollars spent in this category.

We are part of the Enterprise Software Category Team and have already been working diligently to improve efficiencies in the software contracting space.

Geospatial Software Success

As an excellent example of Category Management success, in January we announced that our Office of IT Schedule 70 had worked closely with other agencies and the Environmental Systems Research Institute (Esri) on a modification to their existing Schedule 70 contract. This effort resulted in improved efficiency, pricing, terms and conditions, and transparency, better managing the government-wide $294 million annual spend on geospatial software licenses. Esri is a principal among our industry partners as they capture $74 million of the annual federal spending on geospatial software.

With a few months under our belt, we are already seeing positive outcomes and are happy to report that agencies are already saving 10-14 percent on over $100 thousand worth of orders since the agreement was signed. We are estimating that the federal government will save over $1.5 million in FY 2016 and over $3 million in future years.

Salesforce Services Success

Late last year, we announced the award of the Salesforce Implementation, Integration, and Support Services (SIISS) BPA. Working closely with our customer agencies, industry partners, and the GSA Office of Information Technology, we developed – a governmentwide blanket purchase agreement (BPA) to centralize and streamline $503 million in IT Schedule 70 awards over five years. This BPA brings all Salesforce-related professional services, from development to implementation, under one easy-to-use acquisition vehicle.

Since launching this initiative, there has been a flurry of positive activity. Key among them is that multiple customer agencies are close to finalizing procurements leveraging the BPA.

We are also excited about several new Salesforce applications created this year that are now in queue to be packaged and placed on GSA Labs, a common repository of applications that leverages existing efforts and reduces duplication. Some of these applications include a vendor management module (VMO), executive business case tracking (EBC) and the presidential innovation tracker currently under development.

Based on feedback from partner agencies, GSA IT is creating a new utility that will organize the government’s existing Salesforce applications into one easy to read virtual library. This utility will provide a more comprehensive view of the different Salesforce implementations while reducing the burden on partner agencies by allowing them to only package applications in high demand.

Looking Forward

Using these as models of success, we look forward to continuing our work with OMB and other federal agencies to analyze the possibilities of other targeted agreements with our suppliers, looking for further opportunities to leverage the government’s buying power, reduce duplication, and bring significant spend under management. Innovative, Category Management-focused projects like these help agencies better meet their missions with direct and positive impacts for U.S. taxpayers.

Government IT Buying New Year’s Resolutions

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/)

Time to make our New Year’s resolutions for 2016!

In my last 13 blog posts, we looked at government IT trends for FY15 and what might be ahead in FY16 technology acquisitions for telecommunications, cloud, cybersecurity, mobility/wireless, hardware, software, and small business. We’ve got a good sense of the technology trends.

But how we go about buying the technology is equally important. I recommend these New Year’s resolutions:

  • Use existing government-wide contracts, like those from GSA and other agencies, instead of new and open market contracts.
  • Each time you need IT or telecommunications products, services, or solutions, check out the latest GSA offerings, which we continuously enhance.
  • Use the Acquisition Gateway for market research, to link to existing contracts that offer the IT solution you’re looking for, and to stay informed on best practices.
  • Collaborate across agencies every step of the way.

We can save lots of taxpayer dollars and achieve better acquisition and operational efficiencies with this resolution.

For more information about who we are and what we do, check out the slide presentation posted below.

And be sure to follow and engage us on Twitter @GSA_ITS and on the ITS LinkedIn page we launched last year.

This presentation covers ways to improve the acquisition process for customer agencies, by leveraging existing contracts, using category management and the acquisition gateway, and reducing IT acquisition duplication and costs.
Government IT Buying New Years Resolutions: To Improve What and How You Buy (PDF, 125 KB)

GWAC Program Expanding Opportunities for Small Businesses

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/.

Small Business GWACs: Year in Review

I’m proud to say that FY15 was a banner year for our Small Business Governmentwide Acquisition Contracts Center. The Center, which supports agency efforts to meet socioeconomic goals through IT services acquisitions, received 755 task orders in FY15. These acquisitions, and exercised options, represent a total government spend of $2.6B in obligations. Projects on these acquisitions represent a wide range of IT services, from technology consulting to cloud computing.

As the Center moves forward into FY16 with a number of new contract opportunities, its focus remains steadfast on helping small businesses succeed in the federal marketplace. Let’s take a brief look at the current contracts and what’s on the horizon.

Current Contracts

The Small Business GWAC Center currently operates three contracts with specialized socioeconomic designations. Each contract is designed to provide a streamlined method for agencies to utilize highly qualified small businesses to meet their IT needs, while achieving U.S. Small Business Administration (SBA) and agency socioeconomic contracting goals. Additional information on SBA goals may be found on the SBA website.

The 8(a) STARS II GWAC is a set aside contract for 8(a) technology firms (as designated by SBA). This contract is available for use through 2024, and includes nearly 600 skilled 8(a) IT service providers. In FY2015, more than $1.6 billion was obligated against more than 650 new task orders on the 8(a) STARS II GWAC. This represents the most successful year for 8(a) STARS II. More information on the 8(a) STARS II GWAC, including its directed order authority, can be found at 8(a) STARS II site.

The Alliant Small Business GWAC focuses on providing government contract opportunities to a wide range of highly qualified small businesses. This small business contract provides flexible access to customized IT solutions from a diverse pool of nearly 50 industry partners. With availability through 2024, Alliant Small Business allows for long-term planning of large-scale program requirements, while strengthening opportunities for small businesses. During FY15, Alliant Small Business received 90 task orders and over $1.2 billion in obligations. This is an increase of 8% in obligations from FY14. Details on how the Alliant SB contract can help your agency meet its goals are available at the Alliant SB website.

The VETS GWAC is a contract designed to strengthen federal contract opportunities for our nation’s service-disabled veteran-owned small businesses. Agencies receive SDVOSB credit when issuing tasks on the contract, which is available through 2020. The VETS GWAC continues to be a successful program, with nearly $139 million obligated on the contract in FY2015. The GSA VETS website has a wealth of information on how this contract assists in developing opportunities for SDVOSB firms.

Our small business industry partners, across all three SB GWACs have been very successful. On 8(a) STARS II, 378 out of 562 small disadvantage businesses (67.3%) have at least one award.  On Alliant SB, 63 out of 68 primes (92.6%) have one or more awards. On VETS, 100% of the current SDVOSB contract holders have an award.

Next Generation Contracts

In addition to a focus on current contracts, the SB GWAC Center is currently working on three new acquisitions:

  • 8(a) STARS II (set-aside for 8(a) firms) is currently conducting evaluations on an open season held in mid-FY15. This open season will provide opportunity to additional 8(a) firms to join the contract, increasing the pool of quality vetted 8(a) firms to meet federal agency requirements.
  • VETS 2 (set aside for service-disabled veteran-owned small businesses) issued a draft RFP in 2015. This follow on contract will build upon the success of the original VETS contract, and include the capability to issue cost-type task orders. A final solicitation for VETS 2 is anticipated in FY16. For those interested in more information on the VETS 2 procurement, visit our VETS 2 Interact community.
  • Alliant 2 Small Business (set aside for small businesses) held industry one-on-one sessions in FY16 for to develop the draft RFP. This next generation contract solicitation is anticipated to be issued in the spring of 2016. GSA invites interested government and industry partners to join our Alliant 2/Alliant 2 SB Interact community.

We are thrilled with agency interest in and use of the SB GWAC programs and are predicting a very successful FY16 as well. For more information on the SB GWAC program and how it brings small businesses and federal agencies together, please visit the SB GWAC website.

And, as always, please follow us on Twitter @GSA_ITS to join the conversation.

IT Schedule 70 Business Volume By The Numbers

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/)

Schedule 70 is growing again!

IT Schedule 70 continues to be the largest, most widely used acquisition vehicle in the federal government. In FY15, the program started growing again, bouncing back after a downturn in business volume in prior years.

IT Schedule 70 provides federal agencies with direct access to more than 4,700 pre-vetted innovative companies, who provide high-quality IT products, services and solutions.

In FY15, federal agencies bought more IT products and services through IT Schedule 70 than in the previous fiscal year, growing the program’s business volume by 3% ($424M) to a total of $14.8 billion.

bar chart showing IT schedule 70 Business Volume FY12-FY15

In addition, federal agencies spent the majority of their IT procurement dollars through three Special Item Numbers (SIN) on IT Schedule 70 in FY15:

  • IT Professional Services,
  • Perpetual Software Licenses, and
  • Hardware, making up over 75% of business volume.

pie chart showing distribution of top 3 Schedule 70 SINs (special Item Numbers)

We expect further growth in business volume in FY16 as a result of our many initiatives to increase value of the program. Examples are: the Cloud SIN, the Cyber Security/Information Assurance Project(Cyber IA), the upcoming Health IT SIN, and our recent FITARA initiatives with Salesforce and Esri.

Hardware and IT Services lead the pack in year-over-year growth

In FY15, the Hardware SINs topped the list in year-over-year growth with a 14% jump from $1.6 billion to $1.74 billion over FY14. IT professional services posted the largest real dollar growth of $211 million. IT professional services remain the majority of the IT Schedule 70’s business volume.

Year-Over-Year Growth for Top Five SINs

bar chart showing year over year growth for top 5 Schedule 70 SINs

There is also more good news ahead for hardware business volume in IT Schedule 70.

OMB recently selected IT Schedule 70 (PDF, 4,120 KB) to be one of three federal contract vehicles tapped to participate in the Government-wide Strategic Solutions for Laptops/Desktops. The initiative’s goal is to develop a framework and strategic approach to buying from specific government-wide contracts with standardized configurations, and bring transparency into terms and conditions and pricing, all aimed at helping federal agencies get better value for their laptop and desktop dollars.

We continued to help more companies succeed

No analysis of business volume would be complete without reviewing how our Schedule 70 partner companies are using the contract. We want Schedule 70 to be an effective tool for both the government buyer and the private sector.

In May 2015, we established a tiger team to work with IT Schedule 70 business partners who were not meeting minimum sales requirements. “No sale” or non-productive contracts result in an administrative cost to the government. And we know that companies expend effort and resources to obtain and maintain a Schedule contract in the first place so we want Schedule 70 to be of great value to our partners as well.

As a result, all IT Schedule 70 contracts contain a clause requiring vendors to generate $25,000 in sales in the first two years of the contract and $25,000 each year afterwards. This clause exists to make sure business partners are productive on their contracts.

In all, we identified and worked with over 200 business partners to become productive, reducing the administrative costs of their contracts in the process, while helping them to be more successful in the federal market.

The now-productive business partners either made the necessary sales, developed a comprehensive marketing plan, or hired personnel to support their business development efforts.

Ultimately, we are committed to supporting our business partners toward meeting their contract sales requirements. We will do all we can to help them succeed in the federal market.

That’s a wrap!

Well, that’s the IT Schedule 70 FY15 business volume data story:

  • IT Schedule 70’s business volume grew by 3% ($424 M) to $14.8 billion;
  • Hardware and IT Services saw the largest growth in business volume; and
  • We helped over 200 business partners stay compliant with their sales requirements.

FY15 was a great year for IT Schedule 70, and FY16 promises to be even more successful.

For more news and updates about IT schedule 70 and other GSA ITS programs, please follow us on Twitter @GSA_ITS and join the conversation.