GSA ramps up procurement consolidation with new agency guidance

GSA is accelerating efforts to centralize federal procurement, issuing new guidance to agency senior procurement executives on how to identify contracts for common goods and services suitable for transfer or shared management.

According to a Linked In post by industry expert Shauna Weatherly of Federal Subcontract Solutions, agencies are being asked to submit one-page summaries outlining key objectives, expected outcomes of contract transfers and retentions, and a timeline for full or partial transfers of their contracting functions. The guidance comes as part of the ongoing effort to streamline acquisition of commodity goods and services across the federal government.

Each agency must propose at least five initial products or services for GSA to consider under a new "central contract solution." Agencies may also request new GSA-managed contracts without transferring any existing agreements.

Eleven federal agencies, not yet publicly named, are currently participating in “wave 2” of the consolidation initiative, which aims to complete procurement transfers by 30 September 2025—an ambitious timeline that includes the traditional government buying season. The remaining agencies are expected to follow suit in fiscal year 2026.

GSA cannot issue grants, cooperative agreements, or OTAs, nor can it oversee contracts for most state and local government requirements. GSA does, however, have a powerful tool to meet commodity requests: its Multiple Award Schedule program, spanning a full range of professional, IT, and other services and products. However, even with streamlined ordering procedures under FAR subpart 8.4, many Schedule buys are labor intensive for both offerors and government, with RFQ requirements for separate technical and price volumes, and evaluations of technical, staffing, management, past performance, and corporate experience. Additionally, unlike orders under GWACs or agency IDIQs, GAO protests are allowed for all Schedule orders regardless of size.

Acquisition consolidation comes as GSA is reducing headcount but is a key component of its visioned state: more streamlined and efficient.