Will Protests and DOGE Initiative Stir the SEWP

NASA collected final proposals this week for its $60B Solutions for Enterprise Wide Procurement VI (SEWP VI) government-wide acquisition contract (GWAC) and projects awards by May 1.

However, three bid protests remain outstanding with May 19 decision dates. This, along with the executive order (EO) “Implementing the President’s ‘Department of Government Efficiency’ Cost Initiative could delay the awards or result in a restructured procurement. While NASA has not indicated either, the ever-changing federal marketplace leaves many unanswered questions.

According to the EO, effective immediately and within the next 30 days all agencies must, “review all existing covered contracts and grants and, where appropriate and consistent with applicable law, terminate or modify (including through renegotiation) such covered contracts and grants to reduce overall Federal spending or reallocate spending to promote efficiency and advance the policies of my Administration.” Furthermore, “The Agency Head may approve new contracts prior to the issuance of such guidance on a case-by-case basis.” This impacts incumbent SEWP V contracts and task orders and the ongoing SEWP VI procurement.

To date, 22 SEWP V small business task orders have been terminated. Since the SEWP VI procurement includes services covered under the PSCs for the terminated task orders except the Professional Services for Real Estate Brokerage it’s unclear why the task orders were terminated or if others will follow. Half of those terminations are not listed on the DOGE site, but the cancellations began in late January after DOGE reviews started. According to the Federal Procurement Data System (FPDS), the combined value of those task orders is about $24.1B. All except three provided software licenses, software or training subscriptions and support services, or IT telecom and business application services. 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SEWP Activity

A review of the SEWP GWAC since its inception shows an exponential growth in spending and number of awards. The $6.9B reported spending on SEWP V indicates continued high utilization over the past 24 years. The number of contract awards for SEWP V rose to 212 (+308%) with an increased 10-year lifecycle. All of these could indicate possible scenarios for efficiency gains. 

 

 

 

 

 

 

 

 

 

 

 

 

 

Closing Thoughts

With three open protests (and possibly more) on the current procurement and the GWAC size, SEWP VI could face scrutiny in the days ahead. However, as a Best in Class contract with a proven track record of high utilization, it’s not likely to be eliminated. However, it could be restructured and/or the number of awards reduced. Incumbent contracts are scheduled to expire April 30, but extensions may become necessary if open task orders cannot provide services until new contracts are awarded or if DOGE reviews lead to a restructured scope of work and more task order cancellations. In the meantime, contractors should ensure they meet all compliance and reporting requirements and stay informed and agile to respond during the federal marketplace evolution. Track SEWP VI progress through GovWin IQ. For an in depth analysis on the SEWP GWACs see GovWin's Historical Analysis of NASA's $60B SEWP Evolution.

For more resources and analysis on the Trump Administration transition, check out GovWin’s First 100 Days Resource Center.

The SLED and Canadian teams are providing updates and analysis on key Trump Administration actions impacting state and local and Canadian contractors. Learn more about their insights through the following links:

Impacts on the Canadian public sector

• Impact of Trump Administration 2.0 on Canada-U.S. Supply Chains

Impacts on the State and Local markets

• The Impact of Trump's 2025 Executive Actions on State, Local and Education (SLED) Government Funding
• Headwinds Facing the SLED Market in 2025
• What's in Store for SLED Government Contracting in 2025?