The General Services Administration is exploring a possible takeover of contracting functions of other federal agencies, as part of a reorganization of its procurement shop.
GSA told employees, in an email obtained by Federal News Network, that the Federal Acquisition Service is “looking at the possibility of standing up a new organization to take on civilian agency contracting work.”
“For example, [the Office of Personnel Management] previously did their own contracting activities. It looks like their contracting needs (and other civilian agencies’ contracting needs) will likely transition to GSA,” the email states.
Federal News Network spoke with four sources familiar with GSA’s plans, who all requested anonymity for fear of retaliation.
According to one GSA employee, the agency is planning to take over the contracting functions at several agencies, including the Office of Personnel Management, the Education Department, the Small Business Administration and the Department of Housing and Urban Development.
“FAS is reorganizing and one of our new functions will be consolidating the contracting activities across the government, starting with those agencies as a pilot,” the GSA employee said. “Those other agencies are not going to have acquisition staff remaining after either RIF or pulling personnel over to GSA.”
According to the email, “FAS is looking for employees to help us stand up this new organization,” and is asking current and former contracting officers to complete an online form to express interest in joining the new program.
GSA is giving employees interested in standing up this new office until noon Tuesday to complete an online form.
According to the GSA employee, FAS Commissioner Josh Gruenbaum is receiving regular updates on this potential reorganization. The employee added that a “tiger team” is working with senior procurement executives and chief financial officers on the project, “given the risk is notable.”
“Vendors are not yet aware, and it would be surprising if there are material disruption in some contracts,” the employee said.
According to the employee, GSA is planning to take over these contracting functions at these pilot agencies by March 30.
The employee said contracting functions at the Public Buildings Service will also be impacted by this reorganization.
Some of the agencies GSA is looking at are going through their own major changes.
GovExec first reported last month that OPM laid off its entire procurement team and that their positions were being “abolished.”
GSA’s reorganization plans also link back to the Trump adminstration’s longstanding plans to merge OPM and GSA into a single agency.
Federal News Network first reported last month that Trump administration officials are pursuing a merger of GSA, the Office of Personnel Management and the Office of Management and Budget into a single agency.
President Donald Trump, during his first term in office, sought to merge GSA and OPM together but ultimately scrapped those plans.
Meanwhile, President Donald Trump is considering an executive order “eliminating” the Education Department.
The Education Department, in the unsigned draft memo obtained by Federal News Network last week, states that an upcoming executive order would direct the department to identify functions, programs and offices not mandated by statute, “and eliminate them.”
The memo states that Trump has also tasked the Education Department with creating a plan to reallocate and reassign its functions “that would be more effectively managed by other agencies.”
Education Secretary Linda McMahon acknowledged during her confirmation hearing last month that the Education Department is set up by Congress, and “it clearly cannot be shut down without it.”
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