Federal Administration Transition, 2020-2021

Published: December 18, 2020

FeaturedFederal Market AnalysisAdministration TransitionBudgetBusiness DevelopmentContracting Trends

Deltek’s Impact of the Administration Transition, 2020-2021 report examines the transition environment, new administration’s priorities, transition process and potential impacts on the federal contracting market.

In the coming month, the Biden administration will take office amidst an environment of challenges and disruption, but also great opportunity. The COVID-19 pandemic, economic struggle, racial tensions and overwhelming national debt set the stage for the incoming administration. President-elect Biden has ambitious plans to align budgets, policies and processes to a structured agenda for key areas including economic recovery, COVID-19 response, healthcare, immigration, climate change, and national security.

The 2021 administration transition will change the dynamics in the government landscape with new priorities and agency leadership, which will have near- and long-term implications for budgets and the contracting landscape. Some existing acquisition and operational reform initiatives will remain, while others will evolve as the new administration takes ownership. Federal contractors must navigate the change in administration with knowledge of the current environment and the opportunities and challenges a transition may pose to their business.

Deltek’s analysis will help industry leaders assess the framework of Biden Administration priorities, potential areas of opportunity, and steps contractors can take to reassess program positioning, value propositions and sales strategies.

Key Findings

  • Near-Term Priorities.The Biden Administration’s near-term priorities will be to address a multitude of policy changes that require immediate attention, including COVID-19 response, economic recovery, national security, immigration, and climate change.
  • Reshaping Management Initiatives.The majority of IT, acquisition and process initiatives developed or expanded in the Trump Administration will remain in some form in the Biden Administration, however, most will be “rebranded” or reshaped to align with Biden priorities.
  • Focus on Federal Customers.As the transition progresses, contractors should evaluate current customer organizations to determine potential agency turnover and where new relationships may need to be formed.
  • Align with New Priorities.As new leadership takes root, contractors should be prepared to make program adjustments on current contracts to align with new priorities, methodologies or metrics established by the new administration.
  • Small Business Prioritization.President-elect Biden plans to equalize opportunities for small business contractors, including the expansion of SBA programs supporting women and minorities, extension of participation time limits for 8(a) participants, increasing targets for Small Disadvantaged Business utilization, advocating for increased subcontracting opportunities, small business outreach and counseling, and an increase in small business contracting transparency.

Critical Insight for Vendors

Deltek’s Impact of the Administration Transition, 2020-2021 report takes a strategic look at the trends, drivers, and inhibitors shaping federal contracting during the transition and over the next four years.

The report will help federal contractors:

  • Understand the transition process, the current federal environment in which change will occur, and the past impact of administration changes on federal contracting.
  • Identify the incoming administration’s agenda and policy positions, and how they may impact federal budgets, human capital and programs.
  • Assess potential changes in Congressional makeup, political appointees and ancillary attrition that could impact federal contracting and the federal marketplace.
  • Identify the potential contractor implications that may stem from the changes in administration, Congressional makeup, and agency leadership.
  • Develop strategies to maximize opportunities and mitigate risks during the administration change.

Deltek's Impact of the Administration Transition, 2020-2021 report is delivered in PowerPoint® format, including a PowerPoint® Executive Briefing, and an Excel® data workbook.

IMPACT OF THE ADMINISTRATION TRANSITION, 2020-2021

TABLE OF CONTENTS

Introduction

Biden Administration Priorities

Transition Environment

  • Budget Environment
  • Management and Contracting Environment
  • Policy Environment
  • Human Capital Environment

Transition Process and Timeline

Contractor Strategies

Conclusions and Recommendations

Appendix