“It certainly is not a given” that contractors will recover costs caused by the 35-day shutdown, an attorney tells us. “It’s also not foregone conclusion that you automatically cannot recover those costs.”
Not all of the money flows to Greater Washington contractors, of course, but the overall hit underscores the financial impact that even a partial shutdown can cause for the region’s economy.
“As was true with the 2013 shutdown, while it is always hard, there seems to be something about the two-week window that has a real effect on its impacts,” says one market expert.
The big victims are the region’s smaller businesses with shallower cashboxes and slimmer margins.
“Contract workers and their families should not suffer the consequences of a shutdown that they did not cause,” they write.
Any thoughts that this latest federal government shutdown would be a fleeting annoyance to start the new year have likely dissipated.
The numbers in total paint a picture of protestors getting some form of relief in nearly half of all claims, perhaps fueling a view that “lawfare” is a worthy cost of doing business.
The GSA will consolidate two dozen multiple award schedules for products and services into a single schedule, a long-overdue move seen simplifying the government’s acquisition process.
Rely too much on standardization and sapping creativity, or using automation but not redeploying talent on higher-level work, and talent might flee, according to an industry analyst.
Federal market observers expect the House to increase oversight of the executive branch — and by extension its funding priorities — but not necessarily in ways that disrupt substantial investments in national defense and IT modernization.