Nearly all commentators predict a significant increase in federal proposal activity in 2018. These predictions are welcome to contractors after the slowest year for solicitation releases in the 21st century.

Releases have been slow enough that, we hear complaints — even from large companies — that they don’t have enough RFPs to bid. And some independent consultants have complained about slow business.

A primary reason for slow RFP releases is the fact that President Trump has been slowest of any president in the last five Administrations to get onboard his team of senior executive civil servants. The political appointees still not onboard include some of the lead procurement executives who approve RFP releases at the different agencies.

In spite of the delay in appointments, we believe proposal activity in 2018 will be substantially faster than in 2017.   Following below are some of the reasons:

  1. Many of the RFP releases pushed to the right in 2017 will come out in 2018
  2. The appropriations for 2018 will almost certainly support a healthy increase in proposal activity. This is because:

(a) The appropriations will (hopefully) be completed in or about the mid February timeframe; and

(b) They will almost certainly include a healthy increase in funding for the military services as well as a lesser increase in civilian spending.

The most significant items are (1) having so many urgent programs pushed into 2018; and (2) the increase in DoD spending. Item (2) is notable for contractors because, the DoD traditionally outsources more than half of its spending, while the civilian agencies outsource far less.

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