Hot Topics Whats New in Acquisition Dianne Rose

Hot Topics: What’s New in Acquisition Dianne Rose, Social Security Administration Joanie Newhart, GSA Jack Kelly, OMB Karen Pica, Ph. D, OMB May 2010 GSA Training Conference & Expo

Hot Topics • • Meeting the President’s Challenge Strengthening the Acquisition Workforce Acquisition Savings Reducing Risk Improving Transparency & Data Quality Rebalancing Contractors and Federal Employees Maximizing Small Business Participation And…Strengthening the Acquisition Workforce May 2010 GSA Training Conference & Expo

Meeting the President’s Challenge • Memorandum on Government Contracting – – Competition Contract Type Acquisition Workforce Multi-Sector Workforce • Acquisition Savings Initiative • OMB Guidance – Improving Government Acquisition – July 2009 (M-09 -25) – Managing the Multi-Sector Workforce – July 2009 (M-09 -26) – Improving the Use of Contractor Past Performance Information – July 2009 – Increasing Competition and Structuring Contracts for Best Results – October 27, 2009 May 2010 GSA Training Conference & Expo

Meeting the President’s Challenge • OMB Documents – Increasing Competition and Structuring Contracts for Best Results – October 27, 2009 – Acquisition Workforce Development Strategic Plan for Civilian Agencies FY 2010 -2014 – October 27, 2009 – Achieving Better Value from Our Acquisitions – December 22, 2009 – Acquisition and Contracting Improvement Plans and Pilots – December 2009 May 2010 GSA Training Conference & Expo

Strengthening the Acquisition Workforce • You are the key to success with all these initiatives • Focus on building capacity and capability • More in a few minutes… May 2010 GSA Training Conference & Expo

Acquisition Savings • OMB Memorandum M-09 -25 required acquisition savings plans and target reductions • Agencies submitted savings plans November 2, 2009 • Savings of $19 B in FY 10 • Strategies include – – – Terminations and reductions after review Conversions to lower risk contract type Negotiate discounts E-procurement Strategic Sourcing May 2010 GSA Training Conference & Expo

Acquisition Savings – Strategic Sourcing • Agency Savings Plans – Strategic Sourcing Initiatives (mostly enterprise-wide) – FY 2010 -- $857 million – FY 2011 -- $591 million • Round 2 of Federal Strategic Sourcing Initiative (FSSI) is showing better results than Round 1 – Domestic Delivery Service (DDS)2 offers lower prices than DDS 1 – Office Supplies acquisition underway now with $260 million in committed agency spend to drive lowest prices – Commodity Teams being re-constituted for wireless programs and printers, copiers, and multi-function devices • Savings opportunities have attracted senior level OMB attention and support May 2010 GSA Training Conference & Expo

Reducing Risk • • • Reducing improper reliance on high-risk contract type Improving the use of past performance information Data quality Increasing competition Improving source selection using past performance Federal Awardee Performance and Integrity May 2010 GSA Training Conference & Expo

• • Reducing Risk – Increasing Competition Several successive FAR changes in the last few years, driven by statute, are designed to encourage and enhance competition, especially under multiple award contracts (e. g. , fair opportunity, requiring clear statement of requirements, disclosure of significant factors and subfactors, written documentation of the basis for award when best value used, providing opportunity for post award debriefing of unsuccessful awardees). Other statutory changes implemented in the FAR include – requiring public disclosure of Justification and Approval documents for noncompetitive contracts – limiting the length of non-competitive contracts for unusual and compelling urgency to 270 days without an agency head determination of exceptional circumstances; – prohibiting award of single award task or delivery order contracts exceeding $100 M without agency head determination OFPP reinvigorated the role of Agency Competition Advocates Coming Attractions – NDAA FY ‘ 09 requires Fed. Biz. Opps notice for “sole source” orders under multiple award contracts (including GSA Multiple Award Schedules) and ensuring three quotes received under GSA MAS or fair notice provided under other multiple award contracts. President’s Memorandum of Government Procurement, March 4, 2009 Maximize use of competitive contracts May 2010 GSA Trai. ng Conference & Expo

Improving Transparency & Data Quality • • Recovery Act Federal Financial Accountability & Transparency Act Federal Procurement Data System USAspending. gov Integrated Acquisition Environment FAPIIS PPIRS OFPP working to ensure contracting officers have enough of the right information to make best recommendations and decisions May 2010 GSA Training Conference & Expo

Work Reserved for Federal Employees • NDAA FY 2009 required review of inherently governmental function • President’s Memorandum of March 4, 2009 required OMB to clarify when outsourcing for services is appropriate • OMB Memorandum Managing the Multi-Sector Workforce – July 29, 2009 (M-09 -26) • Dec 22 2009 OMB Acquisition & Contracting Improvement Plans and Pilots • OFPP draft guidance Work Reserved for Performance by Federal Government Employees comment period ends June 1, 2010 May 2010 GSA Training Conference & Expo

Maximizing Small Business Participation • April 26, 2010 - Executive Order establishing an Interagency Task Force on Veterans Small Business Development – To coordinate Federal agency efforts to improve opportunities for small businesses owned by veterans and service-disabled veterans – Provide an annual report to the President • April 26, 2010 - Executive Order establishing an Interagency Task Force on Federal Contracting Opportunities for Small Businesses – To develop recommendations on expanding contracting opportunities and outreach to small businesses – Within 120 days, provide a report to the President on recommendations for using innovative strategies and new technologies to achieve this goal May 2010 GSA Training Conference & Expo

Maximizing Small Business Participation • Parity Among Small Businesses – GAO issued decisions on International Program Group, Inc and Mission Critical Solutions – OMB Memorandum of July 10, 2009, SBA’s parity regulations remain in effect – Department of Justice opinion of August 21, 2009, SBA’s regulations remain in effect – FAR has not changed • GAO Delex Decision - Set-Asides Apply to Task/Delivery Orders under MACs: – FAR has not changed • Women Owned Small Business Set-Aside Program – On March 4, 2010 SBA withdrew final rule – SBA published new proposed regulations – more to follow… May 2010 GSA Training Conference & Expo

And…. Acquisition Workforce • • Strategic and Tactical Focus on Workforce President’s FY 2011 Acquisition Workforce Initiative OFPP Administrator Priority and Outreach Acquisition Workforce Development Strategic Plan Functional Advisory Boards FAI Competencies Survey Streamlined contract specialist recruitment and immersion training program • Federal Acquisition Fellows Coalition May 2010 GSA Training Conference & Expo

What’s Next • • Building capacity and capability of workforce Implementation of sub-award reporting Work reserved for Federal employees Acquisition savings • Questions? ? May 2010 GSA Training Conference & Expo