Problem Behind Biden’s Increasing Share of Contracts to Small Disadvantaged Businesses

There is a problem behind Biden’s Increasing Share of Contracts, and I am here to talk about it. 

The Biden-Harris administration is launching a government-wide effort to increase by 50% the share of contracts going to small, disadvantaged businesses by 2026.  

The administration plans on expanding federal contracting opportunities for undeserved small minority businesses across the country. The general goal is to lower barriers and increase opportunities for small businesses. 

In a statement made by Bibi Hidalgo, associate administrator for government contracting and business development at the Small Business Administration, to Government Executive, she said that the agency “is proud to be ushering in a new era for small business contracting.”

Although it’s excellent news that the government is taking action to narrow down the racial wealth gap, there are underlying issues that need to be addressed. 

CATEGORY MANAGEMENT & BEST-IN-CLASS 

What is category management & best-in-class (BIC)? This is the government’s current preferred method for procuring goods and services. For the federal government, this is one of the most effective and efficient ways of buying products.

This method involves multi-year contracts with large dollar amounts. To award these contracts, the government chooses from a select group of contractors. While that sounds like the usual government procurement process, there is more to it. 

For a small business to even be considered by these contracts, they need to pre-qualify first. The challenge with that is the fact that the pre-qualifications are high. 

It’s understandable that they would set high pre-qualification standards since they are working with billions of dollars. The threshold, however, is so high that it has become almost impossible for most small businesses to be included in the list.

Some of these pre-qualifications would require small businesses to have millions of dollars in revenue or have hundreds of employees, which creates an additional barrier to most small businesses.

IMPACT ON SMALL BUSINESSES

Going back to the administration’s plans on closing the racial wealth gap, it’s evident that the intent is for the good of all, as they are addressing wealth inequality. However, it still needs improving because, ultimately, the numbers show that it’s doing nothing for the little guys.

In an article published in May 2021 by the U.S. Women’s Chamber of Commerce, It was said that between FY 2017 and FY 2020, America lost 24% of small business federal suppliers, and they attribute that loss to category management. 

Ironically, the vehicle intended to solve the problem is making things worse and is driving most of the small businesses out of the marketplace. 

WHAT CAN SMALL BUSINESSES DO

1. QUESTION THE GOVERNMENT

No one denies that the administration’s plan is a great concept, but it’s a different story when it comes to its implementation.

The government needs to go down two levels and figure out the root of the problem. So, I encourage small businesses, like yourself, to ask the government. 

Ask the government how you can participate if you don’t qualify for BIC solutions. Ask them who small businesses should run to when they are unable to meet the prequalifications. Ask them if all the money intended for small businesses goes to BIC or other opportunities are available.

After you’ve done your market research and figured out who buys your services, have conversations with them about this topic. This is a great dialogue for people in this industry.

The more we talk about it, the more we question the government’s plans, the more likely they are to provide clear answers. 

ADVICE FOR THOSE STARTING OUT

When you’re new to the industry, hearing news like this is exciting because, in theory, it is excellent news, but I want you to understand that sometimes there’s more to the story than what meets the eye. 

So, this is where building relationships come in. When you start going out and connecting with people in the government contracting industry, you become less ignorant of the realities. 

Often, the realities may not be as good as we would’ve preferred them to be, but when you are aware, you can make more informed decisions, and now, you can be more involved. 

RESOURCES

If you want to learn more about the tips and tricks in winning government contracts, then join us here at GovCon Giants.

You could also visit our website and other social media platforms or check the new GovCon Edu, where you learn everything about government contracting!

To learn more about the topic above, check these resources below:

Administration intends to double share of contracts going to small businesses

https://www.youtube.com/watch?v=oi0zDg8DDEg&t=3455s

The Boeing Co. Awarded $28.5M for F-15 Advanced Display Core Processor II (ADCPII) interim contractor support.

The Boeing Co., St. Louis, Missouri, has been awarded a $28,470,853 firm-fixed-price, cost-plus-fixed-fee contract modification (P00030) to previously awarded contract FA8634-18-C-2698 for F-15 Advanced Display Core Processor II (ADCPII) interim contractor support. This contract action provides for support of the integration of ADCPII systems into the F-15 platform. Work will be performed in St. Louis, Missouri; Royal Air Force Lakenheath, United Kingdom; and multiple continental U.S. operating locations, and is expected to be completed by April 30, 2023. This award is the result of a sole source acquisition. Fiscal 2020 procurement funds in the amount of $20,981,460; and fiscal 2022 procurement funds in the amount of $7,489,393 are being obligated at the time of award. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity.

The Boeing Company is located in Saint Louis, MO, United States and is part of the Aerospace Product and Parts Manufacturing Industry. The Boeing Company has 6 employees at this location. (Employees figure is modelled). There are 924 companies in the The Boeing Company corporate family. (www.dnb.com)

SOURCES SOUGHT: USCG Base Alameda Material and Waste Management Services

This is not a request for proposal. We are seeking sources that can satisfy a follow-on requirement for USCG Base Alameda Material and Waste Management Services, Alameda, CA. The existing contract, awarded under HSCG84-17-C-AA1528 ends 31 May 2022. The period of performance for the new contract is anticipated to be 1 June 2022 through 31 May 2027. The following acquisition is anticipated to be a Firm Fixed Price contract. The North American Industrial Classification Code (NAICS) is 562112 for Hazardous Waste Collection applies with a size standard of $41.5 Million. The requirements of the Service Contract Labor Standard and Construction Wage Rate Requirements apply. More definite information concerning the site visit and pre-proposal conference will be included in the solicitation which is anticipated to be released in late winter of 2022.

The Material and Waste Management Services will require a contractor to provide materials and waste management on Coast Guard Island, utilizing Building 42 as the Central Material and Waste Management Area in accordance with all Federal, State, and local regulations Building 42 includes hazardous material storage lockers, refuse and recycling dumpsters, 90 day hazardous waste storage, universal waste storage, eWaste dumpsters, empty container storage, administrative office area, and supporting equipment The Contractor shall support the Coast Guard with trained and experienced personnel fully proficient and capable of completing the tasks required by this contract. The Contractor shall provide the proper mix of personnel to provide the most efficient and effective engineering services and all support to meet the requirements listed in this PWS.

Telephone responses will NOT be accepted. Responses are requested by 17 January 2022 at 4:00 pm PST and may be submitted via email: [email protected]. Please include the following information in your response:

1. A capability statement that explains what type of work your company has experience performing. Please provide information on whether your company can fill all of the requirements described above or if only interested in a portion of it. If only interested in a portion, please be specific on what services identified above are applicable. Also, please be sure to list your business size status, for example whether your company is a small business, 8(a), HUBZONE, women owned, small disadvantaged business, veteran owned, large business, etc.

Please provide any suggestions on how to combine types of work to achieve the best results for the government.
2. Past performance in this area including:

Contract Number, type of contract
Length of contract
Customer: (Agency or business), Contact information including name, address, telephone no. & email address
Description of work
Contract Dollar Value:
Date of Award and Completion (including extensions)
Type and Extent of Subcontracting
Quality of Performance, Contract Schedule, and Customer Relations
Problems encountered and corrective action taken
3. Does your company currently employ union personnel? What experience do you have dealing with a union? Have you ever had a collective bargaining agreement with a union?

4. Recommendations on handling of work that cannot be easily quantified.

5. Any best practices from previous contracts that may be relevant.

The solicitation will be released at the SAM.gov website at a future date. Interested parties should register on SAM.gov.

This notice is for market research purposes only and does not constitute a Request For Proposal; and it is not considered to be a commitment by the Government nor will the Government pay for information solicited. The Government reserves the right to consider a small business, 8(a) or any other set-aside arrangement as deemed appropriate for this procurement. No basis for claim against the Government shall arise as a result from a response.

  • Original Set Aside: 8(a) Sole Source (FAR 19.8)
  • Product Service Code: S222 – HOUSEKEEPING- WASTE TREATMENT/STORAGE
  • NAICS Code: 562112 – Hazardous Waste Collection
  • Place of Performance: Alameda , CA 94501 USA
  • Original Response Date: Jan 17, 2022 04:00 pm EST

Full details via beta.sam.gov


CAE USA Inc. Awarded $12.3M for helicopter flight training.

CAE USA Inc., Tampa, Florida, was awarded a $12,331,035 modification (P00011) to contract W9124G-20-C-0008 for helicopter flight training. Work will be performed at Fort Rucker, Alabama, with an estimated completion date of Dec. 9, 2027. Fiscal 2022 operation and maintenance, Army funds were obligated at the time of the award. U.S. Army Field Directorate Office, Fort Eustis, Virginia, is the contracting activity.

A subsidiary of Canadian company CAE Inc., CAE USA designs, builds, and sells a range of flight simulators for training on military and civil aircraft. The company also offers trainings course using its simulators for hands-on (if not in-air) experience. Its Tampa Training Center provides flight simulation services for the Lockheed Martin C-130 Hercules aircraft, a popular airplane that’s been in production since 1954 and used by some 70 countries. Parent CAE has a dozen other locations across the US that offer training for the civil aviation, mining, and healthcare industries. (www.dnb.com)

Joshua Duvall: The Value and Importance of Debriefings

Ever heard of the word “debriefing”? If you haven’t, it’s time you are made aware of the value and importance of debriefings to your small business’s success.

It is a requirement by the Federal Acquisition Regulation (FAR) that agencies debrief unsuccessful offerors upon written request. 

Despite the government’s efforts to create productive interactions with its industry partners, many misconceptions have been discouraging people from taking advantage of this tool. 

The last thing we want for you is to be in a situation where you wish you could’ve done something but weren’t able to because you lacked the information.

So learn from Joshua Duvall as he talks about debriefings and how you can use them as leverage in creating business relationships in the federal industry.

BACKGROUND

Joshua Duvall is the founder and managing partner of Matross Edwards LLC, a Washington, DC-based government contracts and cybersecurity law firm serving government contractors nationwide.

Joshua is a trusted counsel and outside general counsel to small and mid-size government contractors. He counsels clients in complex government contracts, including bid protests (agency level, GAO, COFC), disputes, teaming agreements, subcontracts, joint ventures, regulatory compliance, and cybersecurity. 

Joshua received his law degree from The George Washington University Law School and is a Certified Information Systems Security Professional (CISSP).

He has a blog, GovConJudicata.com, which provides news, insights, and legal analysis for anyone interested in staying current with government contracts and cybersecurity issues.

WHAT DEBRIEFINGS ARE REALLY FOR

It’s time we change the negative preconceived notions on debriefings. Joshua shares that there are only two ways people should look at debriefings: information gathering and relationship building. 

In the commercial sense, you can’t build a relationship with the private company after you’ve lost the procurement. They will not even explain why you lost.

In government contracts, however, you can learn what went wrong with the procurement through debriefings.  

You can use this time to leverage your expertise and build a relationship with the agency so that they can, after you’ve lost the procurement, consider you in future opportunities. 

“If you’ve received a notice of unsuccessful, they (the procurement officers) are anticipating it on their end. For a contractor to not avail that opportunity, they’ve lost the opportunity to learn what they lost and to put themselves in front of agency personnel.”

Debriefings are not supposed to be adversarial. When you lose the bid, that does not mean that it is the end of your government contracting journey. It could very well be the start, depending on your mindset.

BID PROTESTS

An effective debriefing process can significantly reduce protests, as protests are often driven by a desire to obtain additional information. If the government is exerting its efforts in conducting effective debriefings, why do people file bid protests?

According to data in the Government Accountability Office’s (GAO) Bid Protest Annual Report to Congress, the most common reason why unsuccessful offerors file protests is related to issues with the evaluation criteria in the solicitation. 

Although offerors have access to the evaluation criteria, they often lack insight into how the source selection officials assessed the proposal’s strengths and weaknesses.

At a base level, protest is just a written objection. The question is then, “what are you challenging?”

PRE-AWARDS vs. POST-AWARDS

There are two buckets when it comes to protests; Pre-awards and Post-awards. 

1. Pre-Awards

For the pre-awards side, it’s usually challenging the solicitation terms, like the use of ambiguous or internally inconsistent terms. You could also challenge unreasonable evaluation methods. 

A protest that challenges the terms of a solicitation must be filed before the time for receipt of initial proposals.

2. Post-Awards

As for the post-awards side, if you’re the unsuccessful offeror, you’re usually challenging an unreasonable technical evaluation, unreasonable past performance evaluation, cost evaluation, and unequal treatment.

The key phrase when it comes to post-awards protests is objective flaws trump subjective flaws. So you should be pointing out objective procedural flaws.

3 PLACES YOU CAN PROTEST

The U.S. Congress authorizes three forums for bid protests, and the applicable legal procedures and available remedies vary considerably under each level.

1. Agency Level Protest

Agency-level protests are filed with the contracting officer or any other agency official designated to receive bid protests for that agency

This level is most commonly known as the least expensive route for protests because often when you’ve filed for the protest, you are just waiting for the result.

While a protest is pending, the protestors can benefit from an “automatic stay” that bars an agency from awarding or implementing a contract.

Generally, protests before the procuring agency and GAO, as well, tend to be resolved faster and less expensively because they are not subject to specific resolution timetables and formal procedures. 

2. Government Accountability Office (GAO)

In GAO protests, you’re dealing with agency attorneys and GAO attorneys in the middle. 

Although GAO is a little more expensive because you have a little more briefing involved, its procedures have similarities to the agency-level protest.

Protests with GAO also benefit from an “automatic stay,” and GAO bid protest recommendations are not legally binding. However, since GAO is a legislative entity, its decisions are called “recommendations.” 

3. U.S. Court of Federal Claims (COFC)

Unlike the first two, filing a protest with the COFC is frequently more time-consuming and expensive and does not trigger an automatic stay. 

Moreover, Protests under the COFC can result in legally binding and conclusive judicial decisions and orders.

The interested parties that disagree with GAO or procuring agency decisions can still bring claims before the COFC. However, the reverse route is generally not permitted.

When you go to the Court of Federal Claims and don’t get the result you want, you can appeal to the US. Court of Appeals for the Federal Circuit.            

RESOURCES

If you want to learn more about Joshua Duvall’s experiences and insights learned along the way, then be sure to click the resources below. You can also visit the GovCon Giant website or the new GovCon Edu, where you learn everything about government contracting!

94: How to use Government Debriefing to Win Contracts – Joshua Duvall

https://www.youtube.com/watch?v=ggO435e7NVc&t=264s

116: Jackie Santisteban – From medical technology company to combat and weapons training

For our inaugural January episode. We bring you Jackie Santisteban.

Maria Martinez the host of Making a Giant podcast met Jackie at a Miami SAME event where she led the training session for contractors. Of course in typical Giant form she invited her to be on our show.

Ms. Santisteban’s held sales and management positions with major medical technology companies such as Abbott Laboratories and Somanetics. As the Military/Government Business Development Director for a major physical security company Ms. Santisteban developed a worldwide market and led a team that achieved $15 million in sales.

As a result of her success, Ms. Santisteban realized that a broader market for similar business development and consulting services existed. Consequently, she started JBS Business Consulting to provide new or existing GSA contractors with a resource who can readily identify markets and sales opportunities in order to rapidly win incremental government business.

Since its inception seven years ago, JBS consulting has worked with clients with specialties in physical security, antiterrorism and protection, aircraft maintenance and enhancements, logistics, IT, and more. As a spinoff she founded Anzen that trains military personnel in close quarters combat, weapons and defensive driving.

Today Jackie and I get into what it takes to be a successful contractor at any level. She discusses how she sets up meetings for her clients with Admirals, Generals, KO, program managers and end users.

Welcome our next Giant, Ms. Jackie Santisteban.

M&M Manufacturing LLC Awarded $9.9M for improved hot weather combat uniform female coats and trousers.

M&M Manufacturing LLC,** Lajas, Puerto Rico, has been awarded a maximum $9,969,600 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for improved hot weather combat uniform female coats and trousers. This was a competitive acquisition with 12 responses received. This is a one-year base contract with four one-year option periods. Location of performance is Puerto Rico, with a Nov. 30, 2022, ordering period end date. Using military service is Army. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-22-D-1517).

M&M Manufacturing, Inc. is located in Fort Worth, TX, United States and is part of the Architectural and Structural Metals Manufacturing Industry. M&M Manufacturing, Inc. has 480 total employees across all of its locations and generates $110.37 million in sales (USD). (Sales figure is modelled). There are 7,690 companies in the M&M Manufacturing, Inc. corporate family.(www.dnb.com)

 

HOW TO MARKET YOUR BUSINESS TO THE GOVERNMENT

What is the most effective way to win federal contracts? Market your business to the government. 

When people think about government contracting, the first thing that comes to mind is bidding contracts. Most people believe that bidding is the only way to get government contracts, and that is entirely false. 

You could win government contracts in so many ways, and quite frankly, bidding is not the route we advise you to take. 

When you bid, you are thrown into a pool of people, and some of them might not fully understand the contract requirements. Some might not be qualified or even capable of the work expected of the agreement. 

You’re saying, “So what? I’m capable, so it doesn’t matter.” but actually, it does. You aren’t putting your company in the best position.

CONSIDER NEGOTIATED CONTRACTS

How do you put your company in the best possible position? Through negotiated contracts! When you negotiate contracts, you become the expert. 

The government is turning to you and trusting you to give your opinion on solving their problem. This method, however, is not a process that is as direct as bidding contracts. 

Building relationships and getting connected to contracting people plays a vital role in this method.

For you to even have the opportunity of negotiating with the government, you need to market yourself. You need the government to know who you are and what you can offer. 

ABC’s OF MARKETING TO THE FEDERAL GOVERNMENT

1. Go to a business specialist.

When you are a small business, you can reach the government by talking to small business specialists. They are called different things; OSDBUs, Small Business Liaison Officers, or, in short, SBLOs. 

No matter what they are called, they do the same thing. More specifically, they can help introduce you to people who can negotiate directly with you, such as people from agencies or contracting officers.

Bear in mind that these small business specialists do not give contracts. They, however, can help facilitate government and small business relationships that will lead you to contract opportunities.

Assuming that you have already built your target market list, now you want to start talking to people about contracts. Since we follow a chain of command, the small business specialist is the first person you go to.

Most agencies have a forecast list that shows their upcoming projects and, instead of being pigeon-holed to the idea that these projects are projects that you want to get, use the forecast list as a marketing tool. 

Identify the projects you know you’re capable of performing, and you have past performance on, then present to these small business specialists.

2. Have a complete and updated SBA Profile

You did your presentation, and you spoke to the small business specialist, so what’s next? The small business specialist will most probably talk to the contracting people about you.

When that happens, the government will go to your SBA profile to know your past performance and experience. Please remember that the government is looking at this to judge you. So curate your profile in a way that speaks to a contracting officer.

The second way to market to the federal government is making sure that your SBA profile is complete and updated. Your profile should be a reflection of who you are and what you do. 

Make sure to put all your experience, even those not related to the federal government. Although this is something so easy, this is often overlooked by people. 

3. Respond to Sources Sought

Sources sought is another way to market yourself to the agency or the office. The contract specialist has your information, so there’s no need for you to contact that contracting officer.

It is an opportunity for you to tell your company’s capabilities, social-economic status, and past contract experiences. It’s like giving a free pitch.

The government has to do sources sought for market research, and by responding to them, you are helping them with it. In fact, in an interview with Donnie Harris, a former senior contracting officer, he said that he doesn’t return emails to people who don’t help with sources sought.

You’ve already spent your time with the small business specialist, updated your SBA profile, and now you’ve responded to sources sought, the contracting officers can’t get away from you.

4. Join Events

When you attend events, you meet many people from different industries, and those people know people who might be your company’s future clients.

If you leave a good impression, the chances of you being contacted are amplified, as they remember you and your company’s services. This is how you connect with people.

To make your way in the government contracting industry, you need to build relationships with people in the marketplace, and one of the most effective ways is by meeting and talking to them. 

Through this, you can let them know what you can offer, and who knows, maybe 2 or 3 years from now, they need people to perform services that you can do. 

Let’s take a few steps back. You’ve met with a business specialist, updated your profile, responded to sources sought, and now joined events with contracting specialists and people in the federal arena.

 Congratulations! You have now placed your company in the best position to get contracts.

RESOURCES

Now, you know the fundamentals of marketing to the government. It’s about time for you to go and do it! Government Contracting is more about building relationships than bidding contracts. 

With this in mind, if you want to learn more about the tips and tricks in winning government contracts, then join us here at GovCon Giants.

You could also visit our website and other social media platforms or check the new GovCon Edu, where you learn everything about government contracting!

To learn more about the topic above, check these resources below:

11: Unlimited Warrant to Write Billions in Contract Actions – Donnie Harris

https://www.youtube.com/watch?v=R_H15m0jKgY

ABC’s of Marketing to the Federal Government

https://www.youtube.com/watch?v=o_QFjjeZMCA&t=1427s

 

SOURCES SOUGHT: Engineering for Virtualized Enterprise and Remote Access Technology (EVEREST)

AFRL/RIKD is conducting market research for a potential requirement for Virtualized Enterprise and Remote Access Technology (EVEREST). Please note this Request for Information (RFI) is for planning purposes only. The information obtained from responses to this notice may be used to form a future acquisition strategy and solicitation, should one be issued.

The Government is considering establishing one or more contracts / task orders / other transactions with an overall performance period of 5-7 years. Anticipated contract type is Cost Plus Fixed Fee (CPFF). Anticipated funding types are Research Development Test & Evaluation, Procurement, and Operations & Maintenance. Please note that the contract type and duration are subject to change as the acquisition strategy is developed.

To fulfill this requirement, Contractor employees will need to obtain Common Access Cards (CACs), perform on Government facilities in the United States and other locations, and access up to Top Secret/Sensitive Compartmented Information (TS/SCI). It is anticipated that only United States (US) citizens may perform under this effort.

The requirement includes specialized software research, software development, integration, deployment, familiarization, testing, installation, maintenance, and lifecycle support activities. This effort will enable research, enhancement, and maintenance of Multi-Level Access (MLA) data, information, processes, and systems. MLA solutions are a type of Cross Domain (CD) system that provides authorized users the ability to securely access data from multiple security domains from a single client device, while protecting the security domains from unauthorized access or malicious attack.

The Contractor will concentrate effort on enhancing a current MLA solution, researching and developing new MLA technologies, and supporting these solutions to meet current and rapidly evolving intelligence and security needs of the Department of the Air Force (DAF), Department of Defense (DoD), and Intelligence Community (IC). As MLA requirements continue to evolve, consistent and rapid research, development, enhancement, and sustainment of SecureView and new applications will be required. Focus areas include Raise-the-Bar security requirements for cross domain, performance, commodity hardware compatibility, open source, lifecycle functions and phases to include studies, analyses, designs, development, recommendations, enhancements, integration management, configuration management, testing and evaluation of existing and new systems transitioning into an operational environment, software/hardware installation, certification and systems/network administration and operation. The effort will result in the availability of a scalable, certified MLA system to be utilized by the DAF, DoD, and IC agencies for increased security across multiple domains, accredited for operation at different classification levels within high-security environments.

The Contractor will participate in DAF efforts to provide other organizations with required CD Command & Control Intelligence Surveillance & Reconnaissance (C2ISR) information when and where needed. Representative customer organizations for cross security domain MLA solutions include an existing user base, DAF (such as 16AF), DoD, Combatant Commands, IC, Department of Homeland Security (DHS), and US Federal Law Enforcement Agencies.

Anticipated deliverables include: technical engineering throughout all aspects of the system and software lifecycle; technical, programmatic and gap analysis; prototype development; system and program administration; site support; and security engineering as well as computer software, documentation, engineering and security reports, installations analysis and support, and operations, maintenance, and system administration services.

  • Original Set Aside:
  • Product Service Code:
  • NAICS Code:
  • Place of Performance: USA
  • Original Response Date: Jan 14, 2022 03:00 pm EST

 

Full details via beta.sam.gov