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GSA Details Reorganization of Acquisition Units

The General Services Administration has begun implementing the reorganization of two major procurement units, the Federal Supply Service and the Federal Technology Service.

GSA Administrator Stephen Perry said the merger of the two units cannot be completed until Congress passes authorizing legislation. The House has passed the bill, H.R. 2066, sponsored by House Government Reform Committee Chairman Tom Davis (R-VA), but no Senate action has been scheduled.

In a conference call with reporters Aug. 4, Perry said the original reorganization plan had been changed to answer objections from some contractor groups and members of Congress. One big point of contention was the authority of the new Federal Acquisition Service headquarters in Washington over regional offices.

Perry said the Acquisition Service will be organized in six regional zones. Personnel who work on nationwide procurement programs, such as governmentwide acquisition contracts, will report directly to headquarters, but customer service personnel will continue to report to regional administrators.

GSA’s 11 existing regional offices will be responsible for managing buildings and dealing with local customers.

Perry said the lines of authority were aimed at “striking the right balance between centralization and decentralization.”

One major industry group expressed cautious optimism about the reorganization. “The direct reporting to headquarters, as well as a consolidation of the regional offices, is a tremendous improvement under the new structure,” said Chris Jahn, president of the Contract Services Association of America. “This will improve efficiencies and consistency with policy guidance and operations. In the past, customers and industry were frequently confused about what was being done or how things were done, how they were priced, and what they were paying for. These inconsistencies have long been a major source of problems identified by GSA-initiated audits of the various Regional [Customer Service Centers] and they often led to ‘answer shopping’ across Regions until one found an answer he liked. The new organizational structure should address that concern.”

The Federal Acquisition Service, headed by Acting Commissioner Barbara Shelton, will have five organizational units:

Integrated Technology Services will manage information technology, professional services, and telecommunications business lines, including multiple-award schedules and GWACs. The assistant commissioner in charge of this unit is Deidre Lee, former director of defense procurement and acquisition policy and former administrator of OMB’s Office of Federal Procurement Policy.

General Supplies and Services will manage schedules for non-IT products and related services.

Travel, Motor Vehicles, and Card Services will manage travel services, travel and purchase cards and vehicle purchasing and leasing.

Customer Accounts and Research will collect and analyze information on customer buying needs and patterns and handle strategic planning and marketing.

Acquisition Management will ensure “consistency and accountability,” Perry said.


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