The top 20 federal opportunities for the 2015 federal fiscal year offer $220.3 billion in total contract value, representing the highest value of the past five fiscal years; a continued increase from a low of $92.2 billion in fiscal 2013; and a $59.6 billion increase over the top 20 combined contract value of $160.7 billion in fiscal 2014.
Information Technology opportunities total $161.5 billion, representing 73 percent of the top 20 total contract value, a shift from last year when professional services opportunities dominated.
Driving the increase in IT value are several large follow-on contract programs expected to be solicited this year. Follow-on opportunities account for 99 percent of the value in the top 20 opportunities.
The split between this year’s defense and civilian top 20 opportunities is the most even of the past five years — essentially 50/50, with near-even values and 10 opportunities each.
Typically, the value of the defense opportunities dominates. At $110.8 billion, fiscal 2015’s total contract value for defense is $7.4 billion less than last year, and is the second-lowest total reported of the last five years.
Fiscal 2013 marked a low point for defense opportunities, with $56.5 billion. Fiscal 2015’s total contract value for civilian agencies, $109.6 billion, is two-and-a-half times that of last year’s value.
The three highest-value opportunities of 2015 are all IT-related follow-ons:
The General Services Administration’s Alliant is a government-wide acquisition contract used to procure complex IT solutions; awarded in 2009, it is set to expire in 2019. Like the original GWACs, the government plans to manage two distinct procurements. Deltek estimates that Alliant II Unrestricted will have a $50 billion ceiling and Alliant II Small Business will have a $15 billion ceiling. Draft solicitations are expected at the end of October, and Deltek estimates the final solicitations will be released late in the second quarter of fiscal 2015.
The Army’s Responsive Strategic Sourcing for Services is the consolidation of Strategic Services Sourcing and Rapid Response Third Generation contracts. The new RS3 will be used to support IT and related services requirements in support of command, control, communications, computers, intelligence, surveillance and reconnaissance (also known as C4ISR) and Command and Control Systems Integration Directorate (also known as C2SID).
Deltek estimates a $30 billion ceiling for the vehicle, based on reported spending against existing contracts. The draft solicitation is expected in October, followed by an industry day to discuss the buy in November. The final solicitation is expected in January 2015.
Transformation Twenty-one Total Technology Next Generation, also known as T4NG, will continue to provide solutions in support of the Department of Veterans Affairs’ IT, health IT and telecommunications requirements. The ceiling value for T4NG has been set at $23 billion. An industry day to discuss the effort was held on Oct. 6, and the final solicitation is expected in November.
Jennifer Sakole is a principal research analyst for Herndon-based Deltek, which conducts analysis on the government contracting market and can be found at www.deltek.com.
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