GovWin
B2G is moving!
Blogs posted after May 22, 2015 will be located on Deltek's central blog page at www.deltek.com/blog.
Just select the "B2G Essentials" blog to continue to receive this valuable content.
PSAP demographics across the United States

Last April, Deltek utilized the Federal Communications Commission’s PSAP Registry to give vendors an overview of public safety answering points (PSAPs) in counties nationwide. Now, we’re using the current registry to detail information on consolidation efforts and other changes that have taken place across the country in the last year.

 

Consolidation projects have been taking place for the last few years as cities and counties work to become more efficient and, ultimately, save more money; however, the total number of PSAPs actually increased by 64 from 2012 to 2013. Still, of the 8,393 PSAPs, only 7,485 act as the primary call-taking location – 908 are considered “orphaned” and are no longer utilized. These orphaned PSAPs will not be included in future filings with the FCC.

 

PSAP Quick Facts 2013

U.S. Population (July 2012 estimate)

313,914,000

Total number of PSAPs

8,393

Average number of individuals served by each PSAP

37,401

State with the most PSAPs

Texas

State with the fewest PSAPs

New Hampshire

Average number of calls to 911/ year (NENA)

240,000,000

Average number of calls to 911/day

657,534

Just as in 2012, Texas has the most PSAPs (667), followed by California (587) and Illinois (422) – all three states also saw slight increases in their total number of PSAPs year to year.

 

New Hampshire still has the fewest PSAPs (5), and Delaware’s nine puts it second from the bottom. Washington, D.C. held that spot in 2012, but an increase from seven to 11 PSAPs now ties the district with Vermont and Hawaii for having the third lowest number.

 

As of April 2013, a total of 719 PSAPs have changed name, state, county or city compared to only 679 that had as of April 2012. The majority of these took place in California, followed distantly by Nebraska – providing further evidence that dispatch centers in many locations are consolidating efforts and working to cover a wider geographical span.

 

The below chart provides a visual representation of PSAP locations by city and county in 2012 and 2013, as well as information on where vendors can find the most opportunities.

 

Analyst’s Take

 

The number of dispatch opportunities in each of the regional areas has remained steady since 2012, with nine solicitations in the works in Los Angeles and Boston, and 12 within 100 miles of Chicago and 21 within 100 miles of New York City. This should provide some hope for vendors that cities and counties are still interested in purchasing dispatching technologies despite the tough economic climate.

 

Dispatch technologies are among the most vital tools that police use, and localities have little choice than to purchase new ones once they reach the end of their life cycles. This trend, along with increasing number of PSAPs, is likely to continue as individuals’ ability to report where and when crimes take place becomes easier. 

Not a Deltek subscriber? Click here to learn more about Deltek’s GovWin IQ database and take advantage of a free trial.

 

A First Look at Army’s FY 2014 IT Budget

Like other areas of Defense spending, the Army’s information technology budget is shrinking in FY 2014. Despite the decline there are still areas of business opportunity if we dig deeply enough. This post takes a look at some Army programs with total FY 2014 funding <$50M that are slated to receive high percentages of development money.
 
Last week the Office of Management and Budget (OMB) released the Exhibit 53 document for Fiscal Year 2014. This document provides data concerning agency IT budgets for the last couple of years and outlines where agencies plan to spend in fiscal 2014. In this post we will take a look at the Army’s IT investments, including the overall numbers and programs experiencing declining funding. In an effort to identify potential business opportunities, we’ll also take a look at a few smaller programs (total FY 2014 funding <$50M) slated to receive high percentages of development money. We will focus on smaller programs because much of the funding for larger programs is already wrapped up in large multi-year contract efforts. Industry is going to have to dig deeper into the budget this year to find opportunities worth pursuing.
 
The Big Picture
Drilling into the available data, we find that like other areas of the Defense budget, Army IT funding has been declining. Specifically, Army’s IT budget has decreased from $9.76B to $9.27B, or -4.94%, over the period from FY 2012 to FY 2014.
 
 
Programs with Declining Funding
Starting with programs whose funding is declining, listed below are the five programs experiencing the largest percentage decrease.
 
 
Installation Information Infrastructure Modernization Program (I3MP) – Seeing I3MP on this list is somewhat surprising given the emphasis in recent years that Army leadership has placed on modernizing the infrastructure of the now primarily CONUS-based Army’s camps, posts, and installations. This said, budget trimming has forced the Army to downsize its modernization efforts. These are proceeding apace at select locations – Europe, Korea, and some CONUS – but the pace and extent of modernization has been reduced out of fiscal necessity.
 
Joint Battle Command-Platform (JBC-P) – Investment in the JBC-P remains a high priority for the Army, but the level of funding has been declining for a couple of years now. Looking at the Army’s detailed budget submission for JBC-P reveals that the drop in FY 2014 will be the largest, followed by a rebound in FY 2015. The Army anticipates funding required for the JBC-P will rise in FY 2015 to $119M and $113M in FY 2016.
Long Range Advanced Scout Surveillance System – LRAS3 is a legacy system that has been fielded.
 
Biometrics Enabling Capability (BEC) – Another surprising name on this list, funding for BEC in fiscal 2014 is limited to just under $4M to support the technology refresh of BEC Increment 0, ensuring requirements for system availability, throughput and capacity continue to be met by refreshing the hardware infrastructure with latest generation technologies. Given a pending Full Deployment Decision and designation of BEC as a Program of Record, I would expect funding to pick up in the years ahead.
 
Movement Tracking System (MTS) – Funding has been cut entirely for the MTS because it is converged into the PM FBCB2 Joint Battle Command-Platform (JBC-P), as the 'JBC-P Log'.
 
Programs Receiving Development Funding
Lastly, here is a quick look at programs receiving 100% DME funding. These programs may be efforts for which new contracts will be competed or which will require follow-on contracts for the work to be completed.

 
Army Processing Centers – An APC is an Army Theater-level hub located in a DoD facility where IT applications are centrally, executed, stored, replicated, and managed. Otherwise known as the “cloud,” APCs are provided via the Army Private Cloud (APC2) contract. GovWinIQ is already tracking the potential re-competition of these contracts in 2015.
 
Close Combat Tactical Trainer – The CCTT is a networked system of manned simulators that provide combat support, combat service support, and computer generated forces. It trains crew through battalion level combat elements of both the RC and AC in their collective tasks. This is a requirement managed by Army Program Executive Office Simulation, Training and Instrumentation (PEO STRI). Lockheed Martin holds the latest contract to be awarded for CCTT and this expires in 2016.
 
Electronic Data Manager v1.2 – The Electronic Data Manager is the rugged computer element of Air Warrior (AW) ensemble worn as a kneeboard.  A requirement managed by Army Aviation and Missile Command, work for EDM has been provided by Raytheon since 2006.
 
Army Contract Writing and Management System – A system to support the full spectrum of the Army's acquisition, technology and logistic (AT&L) end-to-end business processes. The requirement is for a single uniform solution for contract writing and management capability and financial auditability. This requirement is being competed under the name Army Procurement Execution Program (APEX).
 
Unified Command Suite – The UCS vehicle is a self-contained, stand-alone C-130 air mobile communications platform that provides voice and data to civil support teams. FY 2014 Base funding in the amount of $18.000 million will modernize, upgrade, and procure components for the Unified Command Suites for Civil Support Teams. Funding supports the UCS platform shelter and integration for 22 UCS systems, Video Teleconference (VTC) upgrade for 21 UCS systems, Satellite Communication (SATCOM) terminal upgrades for 22 UCS systems, and cryptological device modernization of 21 UCS systems. Two current contract competitions related to UCS are underway - The Unified Command Suite & Transportable Communications Package Advanced Echelon (ADVON) and UCS Basic Operator Course Instructional Support.
 
As we can see, the Army’s FY 2014 request registers a slight rebound from FY 2013, when annual Army IT spending sank below $9.2B for the first time in years. Given that Army’s IT budget is declining, what can be said about those programs that the Army is cutting spending on and those in which it is investing?

NIST to Sponsor First Cybersecurity Federally Funded R&D Center

Along with its recent work on the Cybersecurity Framework, the National Institute for Standards and Technology (NIST) has been laying groundwork for ongoing cybersecurity collaboration between the public and private sector. Mid April, NIST hosted the formal establishment of a public-private partnership that includes 11 major companies. The partnership will work with industry, academic and government experts to explore solutions for businesses’ most pressing cybersecurity challenges. Shortly after that event, the NIST announced its intention to establish the nation’s first Federally Funded Research and Development Center dedicated to improving information security.
 
National Cybersecurity Center of Excellence (NCCoE) was formed in February 2012 through a Memorandum of Understanding between the state of Maryland, Montgomery County and NIST. As government and industry work together to strengthen cybersecurity capabilities, the NCCoE  testbed will enable users and vendors to collaborate on new technologies prior to deployment to document and share each solution. The center follows a four-step process:
-          Identify the problem and define a project around relevant technical “use cases” in which needs are currently unmet.
-          Assemble a cybersecurity team from industry, government and academia.
-          Build practical model solutions based on commercially available technology. These solutions will aim to be repeatable, secure and flexible to enable use with various products.
-          Facillitate rapid, widespread deployment and implementation of these solutions.
NIST has called out examples use cases for this process, such as interoperable information security templates for health IT, cloud and mobile computing, and continuous monitoring of IT systems.
 
On April 15, 2013, NIST hosted a signing ceremony to mark the formal partnership with 11 private companies.

During her comments at the signing event, Senator Mikulski, chairwoman of the Senate Appropriations Committee, noted that, “Joining the forces of the National Cybersecurity Center of Excellence at NIST with these new private-sector partners will unite their private-sector savvy with the deep cybersecurity knowledge of the government to make our country safer and Maryland’s economy stronger.” Beyond the formal industry partnership that has been established, vendors, users and researchers are invited to participate in NCCoE activities through a variety of collaborative channels.
 
A week later, on April 22, 2013, NIST released a notice about sponsoring a Federally Funded Research and Development Center (FFRDC) to strengthen the nation’s information security. In short, the FFRDC proposal will enable a nonprofit organization to support the NCCoE. According to Peter Gallagher, Under Secretary of Commerce for Standards and Technology and NIST Director, “The FFRDC model is the most effective way to center can work with private companies to accelerate industry’s adoption of integrated tools and technologies to protect IT assets.”
 
The announcement of sponsoring the FFRDC marks the first of three notices that must be published over a 90-day period. The three primary purposes for the NCCoE FFRDC address (1) research, development, engineering, and technical support; (2) program/project management; and (3) facilities management. NIST is especially interested in feedback on the scope of work and any existing private or public capabilities that should be considered. Comments on the proposed FFRDC are due July 22, 2013.
 
 
Originally published for Federal Industry Analysis: Analysts Perspectives Blog. Stay ahead of the competition by discovering more about GovWin IQ. Follow me on twitter @FIAGovWin.

IRS’ Earned Income Tax Credit Program Continues to Make Billions in Erroneous Payments

The IRS estimates that 21-25% of Earned Income Tax Credits (EITC) payments were issued improperly in FY2012, according to a recent Treasury IG report, equating to between $11.6 billion and $13.6 billion.

 

EITC is the government’s single largest tax-credit program by providing tax breaks to low and moderate income Americans who work.  Due to its exponential growth in recent years, it has been ripe with fraud and erroneous payments, reaching the government’s highest error rate of 26.3% in FY2010.  The program often sends refund checks to multiple adult members of the same family, and frequently allows extended family members to claim the same children as dependents as long as they live together for at least six months of the year.

 

According to Paymentaccuracy.gov, the government’s website for tracking federal improper payments, the EITC program made $12.6 billion in improper payments in FY2012 or 22.7% of total program outlays.  Both Treasury’s IG and Paymentaccuracy.gov show that the EITC improper payment rate is on the decline.  However, it is the highest error rate federal benefits program based on percentage of program outlays, followed by the National School Lunch Program at 15.5%.  According to the Treasury IG report, the agency “has made little improvement in reducing EITC improper payments.”

 

Deltek recently included the EITC program as one of the high-risk federal programs profiled in its report, Technology Strategies for Federal Waste, Fraud and Abuse.  Many of the improper payments for the EITC program stem from the complexities of the tax code and the fact that the program relies on self-reporting.  In some instances, applicants make unintentional mistakes rather than committing outright fraud.

70% of the EITC recipients have their tax returns done by tax preparers.  Additional efforts to reduce WFA have included more training and oversight for preparers, as well as a $500 penalty for each failure to comply with tax due diligence rules.

Taxpayers can be assessed penalties and interest for EITC errors and in some cases, taxpayers can be barred from claiming EITC for 2 or 10 years.

The EITC program has a dual problem in that it wants to encourage those who are eligible for the program to participate, while also reducing improper payments.  To date, only 1 in 5 people who are eligible claim it.

The IRS will continue to address EITC noncompliance through its aggressive compliance program which includes examinations, reviews of income misreporting, systemic corrections during tax return processing, and an enhanced focus on paid return preparers.  Because tax return preparers handle two-thirds of returns claiming the EITC, the Department of the Treasury expects the implementation of new preparer requirements for registration, competency testing, continuing education, and compliance checks will improve EITC compliance, decrease fraud, and reduce overall program noncompliance.

 

Georgia's FY 2014 Budget

Despite a financially cautious approach, Georgia Governor Nathan Deal proposed an additional $2.1 billion to the FY 2014 budget compared to FY 2013, bringing total spending to $40.8 billion for the coming fiscal year.

 

The governor wants the FY 2014 budget to focus on eliminating waste, streamlining government operations, stimulating economic growth, and preparing for economic uncertainties. While most agencies’ base spending is reduced in FY 2014, investments will continue in key areas of health care and education. Governor Deal has defined health care as the largest cost driver in Georgia’s recent budgets, and that increased Medicaid expenses will require an additional $246 million in both FY 2013 and FY 2014 over current funding levels.

 

 

True to his word, the governor increased the Georgia Department of Community Health’s budget by $888 million, and the Department of Education saw an increase of $812 million. The University System of the Georgia Board of Regents also received a healthy increase of $220 million. The average reduced funding for departments was pretty minimal – the highest being a $23 million decrease for the Technical College System, and an $8 million decrease for the Office of the Governor.

 

 

Unlike states that report proposed IT budgets alongside new fiscal budgets, Georgia only reports actual IT expenditures from the year prior. The data collected for FY 2012 also reflects a change in IT reporting methodology. In previous years, project portfolio amounts were included, but those amounts are no longer included in an effort to ensure more consistent reporting and to better compare IT spending with other states.

 

It is also important to note that some state entities with large IT expenditures expected, like the University System of Georgia, are not required to report. Only 80 percent of required agencies reported in FY 2012, with just 41 agencies having a commissioner signature on their proposals. Due to the reporting style of Georgia’s IT spending, FY 2013 and FY 2014 are projected by Deltek.

 

Despite a cautious outlook on state and national futures, Georgia maintains a steady spending rate in its total fiscal budgets. The Georgia Technology Authority (GTA) has made several new investments in recent years, and its current momentum is self-described as the nation’s largest state IT modernization. GTA officials said the primary focus in FY 2012 was building strong partnerships with the state’s strategic IT service delivery partners in support of collaboration; this is expected to continue in the years ahead.

 

For more information on Georgia FY 2014 budget, visit the state profile here.

GovWin Recon - April 30, 2013

GovWin Recon, produced by Deltek's Federal Industry Analysis (FIA) team, is designed to support awareness and understanding of the issues impacting the government and the contractors that serve it. Recon highlights key developments surrounding government technology, policy, budget and vendor activities.

Headlines beginning with an * include quotes from Deltek analysts. 

Sequestration / Budget:

Federal IT:

Agency News:

Vendor News:

Cybersecurity:

Cloud Computing / Data Center Consolidation / Virtualization:

Health IT:

Defense / C4ISR / Embedded Technology:

Contracting / Acquisition:

Legislation:

State and Local:

GovWin Recon is Deltek's daily newsletter highlighting federal government contracting news and analysis from around the government contracting world. Get it delivered to your e-mail inbox, free!

 

 

Deltek releases annual state-of-the-states analysis: Webinar to be held this Thursday

Every year, Deltek analysts carefully comb through all 50 governors’ state-of-the-state and budget addresses to identity crucial trends in rising and falling priorities. Understandably, the past few years haven’t been so fruitful, with states cutting key programs, canceling major projects and shifting efforts to stay afloat amid recession’s strapped-budget undertow.
 
Fortunately, states are successfully weathering the storm, and this year’s report contains a bevy of potential vendor opportunities as governors’ agendas increased project items for the first time since 2008. Overall, the total number of governor agenda items rose a sharp 11.6 percent from 2012.
 
In addition to the report, Deltek is presenting a free webinar this Thursday at 2 p.m. EST so vendors can learn how to align technologies with current and emerging policy trends. Go here to register for the free event.
 
Major take-aways from “State of the States, 2013,” include:
  • Governors’ renewed interest in performance-based management, particularly in education
  • More effort to cut corrections and incarceration costs by investing in probation, parole and electronic monitoring programs
  • Heavy focus on Medicaid expansion (both for and against), and how to reduce its costs
  • Increased dedication to developing a strong future workforce by establishing a wealth of present educational opportunities, led by digital learning platforms
  • Amplified justice and public safety initiatives due to natural disasters (Hurricane Sandy) and national tragedies (the Newtown shootings)
  • Continued plans to streamline and consolidate government operations through technology
The report also breaks down governors’ 2013 goals per vertical market, with several charts detailing the number of agenda items mentioned year to year and technology-specific projects.

The full list of report graphs include:
  • 2013 by vertical
  • 2011-2013 comparison by vertical
  • 2008-2013 average by vertical
  • 2013 Agenda Item Popularity vs. 2011-2013 average by vertical
  • Top 25 cross-over agenda items
  • Agenda items with mention of technology, 2013
  • Agenda items mentioned by state, 2013
  • Community development, economic development/regulation, natural resources/environment, and transportation agenda items, 2013
  • Education agenda items, 2013
  • General government services and public finance agenda items, 2013
  • Health care and social services agenda items, 2013
  • Justice/public safety agenda items, 2013
To read the full, 33-page report, please go here. Deltek clients that subscribe to State & Local Industry Analysis (SLIA) may also request (via their Deltek Client Advisor) the Excel workbook containing all of the agenda data compiled for the report.
Lastly, please register for our free webinar this Thursday to learn more about the initiatives and implications of 2013’s state-of-the-state addresses.

 

GovWin Recon - April 29, 2013

GovWin Recon, produced by Deltek's Federal Industry Analysis (FIA) team, is designed to support awareness and understanding of the issues impacting the government and the contractors that serve it. Recon highlights key developments surrounding government technology, policy, budget and vendor activities.

Headlines beginning with an * include quotes from Deltek analysts. 

Sequestration / Budget:

Federal IT:

Agency News:

Vendor News:

Cybersecurity:

Cloud Computing / Data Center Consolidation / Virtualization:

Health IT:

Big Data / Analytics:

Defense / C4ISR / Embedded Technology:

State and Local:

GovWin Recon is Deltek's daily newsletter highlighting federal government contracting news and analysis from around the government contracting world. Get it delivered to your e-mail inbox, free!

 

 

 

 

GovWin Recon - April 26, 2013

GovWin Recon, produced by Deltek's Federal Industry Analysis (FIA) team, is designed to support awareness and understanding of the issues impacting the government and the contractors that serve it. Recon highlights key developments surrounding government technology, policy, budget and vendor activities.

Headlines beginning with an * include quotes from Deltek analysts. 

Sequestration / Budget:

Agency News:

Vendor News:

Cloud Computing / Data Center Consolidation / Virtualization:

Health IT:

Big Data / Analytics:

Transparency and Performance:

Defense / C4ISR / Embedded Technology:

Legislation:

State and Local:

GovWin Recon is Deltek's daily newsletter highlighting federal government contracting news and analysis from around the government contracting world. Get it delivered to your e-mail inbox, free!

 

 

 

GovWin Recon - April 25, 2013

GovWin Recon, produced by Deltek's Federal Industry Analysis (FIA) team, is designed to support awareness and understanding of the issues impacting the government and the contractors that serve it. Recon highlights key developments surrounding government technology, policy, budget and vendor activities.

Headlines beginning with an * include quotes from Deltek analysts. 

Sequestration / Budget:

Agency News:

Vendor News:

Cybersecurity:

Health IT:

Big Data / Analytics:

Defense / C4ISR / Embedded Technology:

State and Local:

AEC News:

GovWin Recon is Deltek's daily newsletter highlighting federal government contracting news and analysis from around the government contracting world. Get it delivered to your e-mail inbox, free!

 

 

More Entries