Agency Consolidation

GSA considers takeover of contracting work at other agencies amid reorganization

The General Services Administration is exploring a possible takeover of contracting functions of other federal agencies, as part of a reorganization of its procurement shop.

GSA told employees, in an email that the Federal Acquisition Service is “looking at the possibility of standing up a new organization to take on civilian agency contracting work.”

“For example, [the Office of Personnel Management] previously did their own contracting activities. It looks like their contracting needs (and other civilian agencies’ contracting needs) will likely transition to GSA,” the email states.

The agency is planning to take over the contracting functions at several agencies, including the Office of Personnel Management, the Education Department, the Small Business Administration and the Department of Housing and Urban Development.

FAS Reorganization and Pilot Agencies

“FAS is reorganizing and one of our new functions will be consolidating the contracting activities across the government, starting with those agencies as a pilot,” the GSA employee said. “Those other agencies are not going to have acquisition staff remaining after either RIF or pulling personnel over to GSA.”

According to the email, “FAS is looking for employees to help us stand up this new organization,” and is asking current and former contracting officers to complete an online form to express interest in joining the new program.

According to the GSA employee, FAS Commissioner Josh Gruenbaum is receiving regular updates on this potential reorganization. The employee added that a “tiger team” is working with senior procurement executives and chief financial officers on the project, “given the risk is notable.”

Timeline and Broader Impact

“Vendors are not yet aware, and it would be surprising if there is material disruption in some contracts,” the employee said.

According to the employee, GSA is planning to take over these contracting functions at these pilot agencies by March 30.

The employee said contracting functions at the Public Buildings Service will also be impacted by this reorganization.

Some of the agencies GSA is looking at are going through their own major changes.

GSA’s reorganization plans also link back to the Trump administration’s longstanding plans to merge OPM and GSA into a single agency.

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