GSA PROJECT TO REBUILD SMALL BUSINESS CONTRACT SHOWS VULNERABILITIES IN IDIQ MODEL

The General Services Administration continues to create a phoenix to rise from the ashes of what was the Alliant II SB program.  The process, though, shows why new large indefinite delivery indefinite quantity (IDIQ) programs may be vulnerable in a marketplace that increasingly favors speed and, to some extent, innovation.  Simply put, no agency creating a new IDIQ program has the luxury of making it a multi-year proposition.  Federal agencies and industry customers simply vote with their feet and use other acquisition projects.  The demise of Alliant II SB has led to work for the main Alliant contract, GSA’s 8(a) STARS, and the Schedules program, to name three.  It is problematic that work originated under other vehicles will be available to transition back to a new small business GWAC. 

Current examples, though, are not promising.  Both GSA’s aging WITS and Networx contracts continue to see telecom business.  Industry has had to again go to Congress to force agencies to use the newer EIS contract. All of those delays cost companies money, well over seven figures for large programs like the one now being re-created at GSA, all before a single cent of revenue, let alone profit, is seen.  At some point, industry will lose patience with multi-year lead times, labyrinthine RFP’s, and protests. 

Customers, too, continue to fill their needs from other available contract sources. Look no further than the JEDI contract debacle at DOD to see that military agencies readily brought cloud solutions elsewhere during the years-long struggle to have that procurement break free of the tractor beam.  New IDIQ programs must be put in place quickly in order to be relevant. Promising the moon and the stars to industry and customers alike guarantees delays.  To quote one of our previous bosses, “There’s a lot to be said for being a helluva a middleweight”. 

If GSA really wants to innovate it can set an example that all other acquisition shops can shoot for.  The agency should set a goal to have a new small business GWAC in place by April 30, 2021.  The benefits of a good GWAC shouldn’t just be that task orders can be filled quickly.  The contract, itself, should be able to be quickly implemented as well.  That will keep industry partners’ costs down, maintain customer interest, and ensure that a new vehicle is on line in time for the FY’21 fourth quarter.