Written by: Shauna Weatherly, President of FedSubK, SME Advisor to GovPort

For organizations in government contracting, acquiring and negotiating contracts can be tedious and time-consuming. Our team recently sat down with the President and founder of Federal Subcontract Solutions (FedSubK), Shauna Weatherly, to discuss Governmentwide Acquisition Contracts (GWACs). We talked about the perceived pendulum swing toward the Government’s reliance on these larger contracts and how businesses should view them in terms of optimizing existing relationships with federal agencies to provide mission-critical solutions.  

We also explored the benefits and pitfalls of these contracts and how businesses can find teaming partners and strategically leverage industry connections to participate in and successfully perform under GWACs.

What are GWACs?  

Governmentwide Acquisition Contracts (GWACs) are contracts established by one federal agency and made available for use by other federal agencies and organizations. These Indefinite Delivery Indefinite Quantity (IDIQ) contracts are typically awarded to pools of businesses classified by size and socio-economic program. While GWACs are primarily concentrated in the IT industry, many include other types of professional training, human capital, and building maintenance/operations services.  

GWACs are designed to simplify and expedite the procurement process. Most GWACs seek and often receive the designation of “Best in Class” from the Office of Management and Business (OMB), meaning they meet a set of key criteria under which use of the GWAC is encouraged (and could be mandated on an agency-by-agency basis) as a contract of choice for Federal purchasing.  

The goal when utilizing BIC contracts is to align categories of purchases across the Government for smarter spending while making it easier for agencies to meet their needs.  

GWAC Examples:

• OASIS and OASIS +: Professional and other Service Contract Labor Standards (SCLS) covered services, including a wide suite of services organized by related services into domains of individual NAICS codes. (gsa.gov/oasis-plus/)

• NASA SEWP: Information Technology, Communication and Audio Visual (ITC/AV) products and services (sewp.nasa.gov/)

• CIO-SP3: Full range of commercial and non-commercial information technology services and solutions (nitaac.nih.gov/gwacs/cio-sp3)

• GSA-managed GWACs (gsa.gov/technology/it-contract-vehicles-and-purchasing-programs/governmentwide-acquisition-contracts/)

• VETS 2:  IT services requirements, including new and emerging technologies, set aside exclusively for Service-Disabled, Veteran-Owned Small Businesses  

• 8(a) STARS III: Small business-focused GWAC offering IT services from 8(a) industry partners that expand capabilities for emerging technologies.  

• Alliant 2: BIC GWAC using AI and other emerging technologies for IT solutions.  

• Polaris: Customized IT services and service-based solutions from small businesses, women-owned small businesses, HUBZone businesses, and service-disabled veteran-owned small businesses.  

NOTE: The Interagency Contract Directory (ICD) is a central repository of Indefinite Delivery Vehicles and includes GWACs and other interagency contracts as well as intra agency IDVs. https://www.contractdirectory.gov/contractdirectory/  

GWACs Benefit Federal Agencies in Three Major Ways

1.Simplified Contracts and Negotiations  

GWACs streamline what are typically lengthy and complex federal procurement processes by providing a pre-negotiated and pre-vetted framework. Standardized terms and conditions ensure all parties adhere to known baseline requirements and rates are already established, reducing the administrative burden for all parties.

2.Reduction in Procurement Lead Times

Ordering agencies can simply place orders under the GWAC without the need to publicly solicit interest in a project. Agencies send requests directly to GWAC awardees, providing fair opportunity for all awardees within the selected pool to compete.  

3. Improved Compliance and Risk Management

With GWACs, compliance with federal regulations is more manageable for the ordering agency because they are not also burdened with the need to perform contract administration efforts. Contract administration is provided by the awarding agency. Since GWACs have already undergone a rigorous review of contractor qualifications, experience, performance, and pricing, this frees up the ordering agency acquisition personnel to focus solely on performance and risk management of the tasks at hand. Standardized terms and conditions ensure all parties adhere to known baseline requirements, lowering the risk of non-compliance and most often reducing the administrative burden for all parties.

Insights from Industry Experts

Like any contract your business may seek, GWACs only make sense when pursued strategically. There are common challenges and barriers to entry that businesses face. To learn more about how businesses can be smart in terms of their resources when looking at offering on a GWAC, Shauna Weatherly emphasized the importance of approaching the GWAC landscape holistically and ensuring that GWACs align with the business’s capabilities.  

Check out our upcoming webinar series to stay current on key topics affecting the GovCon community.

Here are a few practical tips she shared:  

• Building a team: Maintaining a strong network of potential teaming partners is important to your offer’s success on a GWAC. Businesses can use existing platforms like SAM.gov, GSA eLibrary, and the SBA’s SubNet to find subcontractors interested in teaming arrangements. Continually optimize participation on industry networking platforms link LinkedIn and in-person events and consider creating a partner portal to identify and vet new team members.    

• Leverage strategic partnerships: In addition to attending networking opportunities and other GovCon-related community events, it’s crucial to leverage existing partnerships and cultivate relationships with other businesses that may have a relationship with an agency or organization you don’t.  

Most importantly, “don't want to wait until a GWAC is available or coming out to bid to start building your network,” Weatherly advises.  

• Confronting common obstacles: When navigating the world of GWAC teaming agreements and partnerships, communication goes a long way. It’s vital to ensure that the division of work and responsibilities is clearly defined from the get-go to avoid disagreements and damaging outcomes, particularly during the offer period and performance. Since GWACs require marketing, this is an important responsibility of all team members and should not be overlooked or thought of as only the prime’s responsibility.

• Choosing the right GWACs: Weatherly also noted that while GWACs are powerful tools, it’s important not to spread resources too thin or to the point of becoming overwhelmed. To capitalize on the advantages of having a GWAC, it’s crucial to thoroughly evaluate the scope of services covered and plan for the compliance structure you’ll need to not only perform in accordance with orders but also comply with operational requirements such as management of subcontractors, flow down clauses, deliverables, and reporting. Ensure your organization has the capacity to do both sides of the work–technical and operational–particularly given the likelihood of managing multiple concurrent task orders as will likely occur under GWACs..  

The Bottom Line

Governmentwide Acquisition Contracts (GWACs) offer significant advantages for Federal agencies by simplifying the procurement process for complex groups of related services. Through leveraging pre-negotiated rates and terms agencies can often reduce costs and gain access to a wide array of services while ensuring compliance with federal regulations. Businesses interested in pursuing GWACs as a business strategy should prioritize developing relationships in the industry that allow you to offer a complete solution for agencies and leverage the strategic relationships of teaming partners to maximize the vast ordering potential GWACs provide.  

Learn more about how GovPort contractor management software can help your organization navigate GWACs and stay on top of your contracting needs.