Game Planning, Not a Game

Federal News Network surveyed 100 or so government contractors during the final week of the shutdown about current contracted projects and expectations once the shutdown ended.

Not surprisingly, 71 percent said projects would be delayed and 40 percent believe it would take more than four weeks to get up to speed. Respondents also thought high costs would accrue during the re-start. Comments included the following:

  • Significant costs associated with re-start include rescheduled travel, reworked program plans, and employee hiring
  • Security clearance waits
  • Awaiting payment of invoices submitted before the shutdown
  • Permanent loss of employees to commercial firms due in part to fear of future shutdowns. (Federal News Network February 2019)

The Office of Management and Budget (OMB) requested that agencies move swiftly to pay contractors along with federal employees. However, agencies themselves are experiencing payment backlog, as several of the government’s invoice processing agencies had large portions of their own workforces furloughed. Before they returned, contractors’ unpaid invoices had been stacking up, awaiting formal acceptance and payment since 22 December 2018. (ibid)

We are hopeful that Congress passes legislation to make contractors ‘whole’ once future shutdowns ends, but we’re not holding our breath. Prudent contractors should plan for fiscal management upon another shutdown, possibly as early as 15 February.

Questions about your payments? We can try to help at 301-913-5000.

Sign on the dotted line…

On the recent-GSA-trend front, our EZGSA proposal specialists have noticed our Contracting Officers making a small but significant change to GSA Schedule awards.

Until recently, COs would provide us with a GSA Schedule contract number immediately upon issue and contractor signature of the SF1449. This allowed businesses to begin marketing their Schedules immediately, as well as prepare for new task orders with interested government clients. Recently, however, the COs have been waiting to give a contract number until it has been countersigned. And the number is being issued with a modification, effectively changing the contract before it’s been awarded.

A little confusing, yes. Tragic, no. But if you have questions, give us a call and we will do our best to answer them. 301-913-5000.

News You’d Rather Not Use…

Our sources throughout the GSA product schedules are indicating that the recent process for submitting a modification to the CO for approval before actually submitting it through eMod will be codified in the next round of Schedule refreshes.

While this will cut down on a CO’s official modification time in-house, it will probably mean longer wait times for contractors to obtain mod approval, as there will be no clock measuring the time that the CO will have the mod pre-submission.

We are hopeful that this analysis is incorrect, and your CO will understand that your Schedule modifications require timely approval and only assist the contractor in selling more products to the government. Hopeful….