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Latest News: Simplified Acquisitions

Simplified Acquisition Snapshot™: Virginia

Saturday, July 07, 2012   (0 Comments)
Posted by: SAP Task Force
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When we pulled the data for FY12 spending in the Old Dominion, we found that forty-five (45) federal agencies combined to spend nearly $748 million dollars using simplified acquisition procedures where Virginia is identified as the place of performance.

Want to see what is being purchased and by which agencies? Read on, and welcome to the the latest weekly edition of the Simplified Acquisition Snapshot™!

What is a Simplified Acquisition?
By definition, a simplified acquisition is one of the easiest ways for federal agencies to purchase goods and services in support of business and mission operations, and each fiscal
year, hundreds of thousands of contract actions worth billions of dollars are issued to companies located around the world.

The Federal Acquisition Regulation (FAR) indicates this method is intended to reduce the administrative burden associated with these acquisitions for both Government and Industry, and are used to procure goods and services including research and development, construction and commercial items, that fall within the Simplified Acquisition Threshold.

Additionally, the Simplified Acquisition Procedures (SAP) were established to create additional business opportunities for small and disadvantaged business concerns in government contracting. Often, this presents a great opportunity for companies new to an agency (or new to government contracting) to get a "foot in the door" because of the lower level of associated with these purchases.

Our Weekly Article Series
The Simplified Acquisition Snapshot™ is The American Small Business Coalition's weekly education and market intelligence brief about simplified acquisition spending based on the Place of Performance for each contract, task order or purchase order issued.
For more state reviews, visit www.theasbc.org/sapsnapshot.

This Week's Simplified Acquisition Snapshot

The top five contracting departments by spending are: Department of Defense, General Services Administration, State Department, Department of Homeland Security and the Department of Justice. These organizations have processed 17,409 simplified acquisition contract actions* fiscal year-to-date.

By comparison, FY11 saw Virginia named as the place of performance on a total of 33,611 simplified acquisition contract actions valued at $1.76 billion dollars.

The top five (5) products/services accounting for over $510 million of this state's total simplified acquisition spending fiscal year-to-date are:

  • Other Professional Services
  • Computer Aided Design/Mfg Services
  • Other ADP & Telecommunications Services
  • Miscellaneous Items
  • Training/Curriculum Development

Spending Highlights
Other factoids of interest as you pursue opportunities here include:

  • Total dollars awarded YTD to small business: $328,834,298.01;
  • Just over $381 million of the contract dollars spent fiscal year-to-date were competitive purchases.
  • The top five (5) contracting departments contributing to this year's streamlined purchase spendingaccount for $559 million dollars of the total YTD spending.
  • The top five (5) NAICS Codes by spending (of the 708 NAICS Codes used to-date) accounted for $339,877,901 of the total state spending YTD. Additionally, there were 49 contract actions valued at $243,157.26 that did not specify a NAICS Code.
  • Commuter Rail Systems represents the fifth most used NAICS Codes for simplified acquisition purchases in this state YTD.
  • 155 funding agencies and 1790 funding offices account for FY12 simplified acquisition spending YTD in this state.

GSA SmartPay/SmartPay 2 Purchase Card Payment Information

  • Twenty (20) contracting departments issued 1275 payments via the GSA SmartPay/SmartPay2Purchase Card for a YTD total of $11,630,414.80. DHS, DoD and Justice are the top three in this area.
  • Total purchase card spending YTD is distributed between 268 different NAICS Codes.
  • The top five (5) NAICS Codes account for $6,015,107.27 in purchase card payments YTD.
  • All Other Business Support Services was one of the top five NAICS Codes for payments issued by purchase card.
  • TSA, Federal Prison System, Navy, VA and the Army are the top five contracting agencies issuing simplified acquisition payments via the purchase card in Virginia for FY12.

Here's some additional information.

If your company is located in: Virginia, Maryland, Pennsylvania, Alaska or District of Columbia then you are in one of the top five states for contractors being awarded these streamlined purchase opportunities (states listed in order according to spending fiscal YTD).

Weekly Trivia:
Each week we give you a chance to score free passes to an upcoming Simplified Acquisition Spotlight™ webinar, a deep-dive into where, how much and on what goods and services a specific agency is spending their simplified acquisition dollars. Here is this week's trivia. Hint: The answers are sometimes in the report you just read.

#1 - For simplified acquisition payments made by the GSA SmartPay Purchase Card, which contracting departments represent the fourth and fifth ranked organizations for spending in Virginia? VA and Agriculture

#2 - What are the top two (2) NAICS Codes by spending for simplified acquisition purchases in Virginia YTD? 541512 and 541519

The first five correct answers emailed to cvo@theasbc.org will receive one free pass for each question answered correctly.

Would your company like to sponsor the Simplified Acquisition Spotlight™ and garner great exposure to a targeted segment of the business community? Every week we feature useful (actionable) information targeted to small government contractors around the Nation. Click here for details.

* "Contract action” means any oral or written action that results in the purchase, rent, or lease of supplies or equipment, services, or construction using appropriated dollars over the micro-purchase threshold, or modifications to these actions regardless of dollar value. Contract action does not include grants, cooperative agreements, other transactions, real property leases, requisitions from Federal stock, training authorizations, or other non-FAR based transactions.

 


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