Alliant protests won’t stop GSA

The General Services Administration is stuck at the starting gate with its latest major information technology contract, Alliant.

Seven companies have filed eight protests against the contract’s award, and GSA must await a Government Accountability Office decision. GAO has until early December to uphold or dismiss the protests.

In the meantime, GSA officials said, they plan to do as much as possible to prepare for launching the contract.

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GSA fights to regain market share

The General Services Administration expects to receive $3.7 billion in revenue this year from its assisted acquisition services portfolio, but that will still leave the agency $46 million below the revenue it needs to cover costs for providing those services, Kathleen Turco, GSA’s chief financial officer, said recently.

GSA has launched several initiatives to reclaim its acquisition services business, and customer agencies can expect to see additional marketing efforts from the procurement agency that is desperate for their business.

“Overall in government, we are seeing a trend in people putting their own contracts in place, period,” said Mary Davie, assistant commissioner for GSA’s Office of Assisted Acquisition Services.

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Political climate could make agencies wary of undertaking new IT projects, Input says

Proposed new administrative rules and reporting requirements for federal contracting would dampen information technology sales, according to market research firm Input. Company analysts say those accountability measures could slow an already slow-growing federal IT market.

Federal IT spending will maintain its modest growth rate for the next two years because the political climate will make agencies wary of beginning major new projects, according to Input’s new market report. President Bush’s fiscal 2008 budget proposal would increase civilian agency IT spending to $65.5 billion, a 2.6 percent increase compared with budgeted spending for fiscal 2007.

Kevin Plexico, executive vice president of operations at Input, said the new Democratic-led Congress is sparring with Bush over the budget and the 2007 continuing resolution, which is discouraging large agency investments and hindering robust market growth.

However, the federal IT market is stable, despite sputtering growth, according to Input. The firm expects a 5 percent increase in federal IT spending through 2012, when it will reach about $80 billion.

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Input: IT market is still growing but slowly

Federal spending on information technology will maintain its modest growth rate over the next two years, as the political climate keeps agencies wary of major new projects, according to a new market report.

IT spending will increase by 2.9 percent across the three branches of government, according to Input, a market research firm. President Bush's fiscal 2008 budget proposal increases total civilian agency IT spending to $65.5 billion, or 2.6 percent over fiscal 2007.

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