The House Republican proposal to relieve the debt ceiling issue should be seen as a place to start negotiations and not much more.  While specific provisions in the plan would trim both civilian and defense spending this year, contractors should not get overly excited about the prospects of at least the defense cuts coming to fruition.  “We’re not going to cut defense. I just promise you that,” said Oklahoma Senator Tom Cole (R-OK).  In addition, the 10-year caps on discretionary spending that are also part of the proposal likely won’t survive in any final Read more

Federal information technology spending may reach an all-time record of $78 billion this year, according to a recent Bloomberg Government report.  Professional Service spending is expected to total $105 billion, a little below FY’22 totals, but still up over 14% over the past three years.  Combined, the two categories of spending equal 26% of all non-classified federal buying activity.  Although Bloomberg points out that debt ceiling negotiations and other factors could impact final numbers, right now it is projecting that professional services spending for the fourth quarter of FY’23 will be $36.8 billion, representing 35% of the fiscal 2023 market total.  They estimate that fourth quarter IT spending will reach $30.4 billion, representing a 39% share Read more

What government thinks citizens want is not what they always want, according to Customs and Border Protection CIO Sonny Bhagowalia.  While government solutions may be well-intended, they don’t always solve the issues facing citizens who interact with the agency.  Bhagowalia’s comments were supported by FEMA CIO Charlie Armstrong and Deputy ICE CIO Heidi Myers who collectively made up a panel at a recent AFCEA Bethesda breakfast.  Armstrong referenced a recent FEMA exercise that showed that available crisis solutions favored those whose first language was English, were tech savvy, and who had their own transportation.  That doesn’t often fit the profile of actual users seeking FEMA assistance.  The Read more

An increase in defense spending in 2024 is far from a certainty, despite rising international tensions.  A deal on the budget ceiling may require either flattened growth, similar to that proposed by the administration in its latest budget, or some degree of cuts if the support of spending-conscious Congressional Republicans is required to reach an agreement.  Defense News recently laid out five “what if” scenarios in trying to predict the future of defense spending.  They encompass everything from accelerated spending to prepare for a potential threat from China to cuts of as much as $100 billion under specific political scenarios.  Based Read more

House Republicans are requesting additional information from the Biden Administration on whether federal agencies can outsource more of their work to reduce spending.  Republicans believe that agencies may be increasingly adding to their workforces to conduct functions that are not “inherently governmental”, adding to government overhead. The group is also concerned that the administration is failing to compile annual lists of non-inherently governmental activities on an agency-by-agency basis as required by the 1998 Federal Activities Read more