21 Jul $$Cashing In on End of Federal Fiscal Year Spending$$
July 17, 2014. Washington, DC –
Because of my work as Washington government relations professional for entities that continually have in interest in securing federal funding through grants and contracts so tracking the spending trends of the federal government is essential.
So why is this important? If you have priorities for which you are seeking federal funding, an analysis of when and where the government spends its money is critical to your planning in submitting competitive grant applications and request for proposals for contracts. This is even more important for companies and other organizations that that do business with the government and focus on obtaining year-end federal funding. These entities can use analysis to strategically allocate its bid and proposal resources. Again, the key is to make the most of your efforts to take advantage of the fourth-quarter spending spree by the federal government. I can tell you from experience, through analysis, planning, and federal agency outreach, I have successfully helped clients capture year-end funding in the past, principally through the Department of Defense.
I recently participated on an informative Bloomberg Government Webinar that focused on the federal government’s anticipated high level of spending during the fourth quarter of its fiscal year 2014. It was emphasized that the government historically spends about a third of all contracting dollars in the fourth quarter of the fiscal year, a pattern that holds across agencies and major bureaus based on the period from FY 2011 through FY 2013. Although state and health and human services departments lead the way, obligating over 45 percent of their contracting dollars between July 1 and Sept. 30, we concluded that there are opportunities in many other agencies as well. Therefore, this is the opportune time to strategically search for funding opportunities that could advance private and public sector goals and objectives.
Detailed information was provided on estimates of how much money is still available in major categories at various agencies for FY 2014 based on Office of Management and Budget object class codes. These codes inform sellers of the goods, items, and services purchased by the federal government. The Bloomberg analysts confirmed that multiple-award contracts (MACs) showed a higher concentration of spending in the last quarter. Nearly 45 percent of the total amount of MAC spending occurred in the fourth quarter. Specifically, over 50,000 new task orders were awarded in September 2013 alone, representing 21 percent of the total. Therefore, I would advise federal contractors to focus on MACs as a tool to secure end of year spending by the government.
The prospects for a continuing resolution (CR) to fund the federal government until after the midterm elections are very likely. Consequently, contractors should make it a priority to be positioned at the end of FY 2014 to win contract funding in early FY 2015, when most new starts will not be allowed in the absence of final appropriations for FY 2015.
The approach that I share with my public and private sector clients is to stay of ahead of the funding when possible by:
- Using research and analysis
- Prioritizing contract and grant targets
- Building a relationship with program managers and maintaining communication
- Advocating your capabilities to the government buyers
- Collaborating ahead of time internally and externally to enhance competiveness
- Strategically allocating time and resources to pursue contracts and grants before they are announced to maximize chances of winning funding.
Please contact me at email@example.com or 202-596-8384 if you would like to discuss your strategies for securing federal fiscal year end funding and how we can work together to increase your overall funding success.
Click here to download : $$Cashing In on End of Federal Fiscal Year Spending$$