Even though I got my start with Simplified Acquisitions in the 1990s, for the last decade I’ve had the pleasure of watching this procurement method grow and grow and all I can say is that it’s simply FASA-nating to see it happen! I predicted that the growth I saw get underway in FY2009 would continue into this fiscal year as I’ve done the past six. Little did I know help would arrive in the form a PALT-influenced increase to the threshold for buys made using the Simplified Acquisition Procedures at FAR Part 13. But enough with the jibber jabber, let me give you what you came here to see!
The graphic below shows you the current obligations by 65 contracting departments during FY2018. Additionally, it details 29 of those agencies who have increased their spend compared to spending for the same period (October 1 – February 18) during fiscal year 2017. Why did I end the report on that date? Because it’s outside of the 90-day OPSEC window for DoD obligations and gives us a true picture for the spending comparison. Now, the actual obligation total for FY2018 shows it $283 million ahead of this time last year, but as you review the graphic you will note the individual agency increases net out to nearly $700 million more than this period last fiscal year. When these 29 agencies obligations’ are blended with the other agencies who have flat spending or decreases, the overall difference is the $283 million.
As you review this information and begin to associate these increased obligations with the recent rule change in the 2018 NDAA that increases the Simplified Acquisition (and Micro-Purchase) Thresholds, keep in mind the end date of this report occurs 2 days after the Civilian Agency Acquisition Council memorandum allowing agencies to write class deviations to take advantage of the increases and nearly one month before DoD exercised its authority to make the increase.
The point is, agencies are already on-track for another record-breaking fiscal year in Simplified Acquisition spending without the benefit of the increased obligations that will surely occur due to the threshold increase, coupled with a late-arriving budget. From my perspective, this is the makings for a perfect storm for smart companies prepared to take advantage of Simplified Acquisitions!
Are you ready to ride the wave of streamlined purchases to close out FY 2018?
Guy Timberlake, Chief Visionary Officer and Go-To-Guy for the Simplified Buy!