Dancing the Limbo … Still

The government shutdown is now the longest in US history, costing around $200 million per day or nearly $1.5 billion per week. This just compounds as the days and weeks drag on. (Nextgov January 15, 2019)

Business size makes the difference in the shutdown’s effect on employees.  Large companies with government contracts generally have the ability to shift employees around (with agency approval), give them training opportunities, or allow them to take vacation time, personal time, or sick leave. All with the knowledge that they will have jobs once the government doors reopen. (ibid)

Unfortunately, though, contractors large and small cannot maintain payrolls when their customers fail to pay, and employees feel the brunt with layoffs. These employees will likely have a hard time finding work, even after the government reopens. It’s the smaller government contractor that will have the hardest time holding on, and the longer the shutdown continues, that harder it gets.

Planning for the future during the shutdown also seems dire because RFPs without functioning agencies languish. This bottleneck stalls the process, task orders stop, and ultimately everything comes to a complete standstill. Hurry-up-and-wait turns into wait-and-wait and, again, layoffs can be the only answer for the small government  contractor. We, with you, hope for the shutdown to end. Now.

Do you have questions about which agencies are open for business and what you can expect? Give us a call at 301-913-5000 and we will help you out.

Hard Shutdown

Shutdown? Shut up!

Since Saturday, the United States government has been closed, shut down, unplugged (etc.), including the General Services Administration (GSA) and FAS. Right now, GSA is deferring to 4220.1K ADM, the Order which dictates “Operations in the Absence of Appropriations.”

What does this mean for our clients? Unfortunately, if you currently hold a GSA Schedule, you will not see any work done on your contract modifications and will not receive any government payments. Work for government agencies under the GSA Schedule must be halted during this time unless it is of mission critical importance (you will have been notified if this is you). Companies with proposals into GSA will be in a holding pattern for now, whether they are recently submitted and being triaged to the correct Contracting Officer, under administrative review, in negotiations, or awaiting final award.

“GSA’s role as an aggregator of large numbers of government assets and a supplier of critical tools, equipment, and supplies to other Federal agencies requires that GSA retain adequate staffing under a lapse in appropriations in order to protect Federal property under GSA’s custody and control and to continue to provide critical support to other Federal agencies’ exempt and excepted activities necessary for the protection of life and Federal property.”

In other words, GSA is mostly shut down. Buildings remain open for maintenance, power, and cleaning in a reduced capacity. Small crews are also being kept around to ensure protection of GSA assets and property, and to support other essential Federal agencies. GSA is held more responsible than other agencies to maintain their regular tasks. Think of it as a GSA skeleton crew. When the shutdown is over, GSA will update plans, decide what to do about missed events, and catch up with all the work piling up right now.

We are hopeful this shutdown ends soon. Stay vigilant, folks!