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On May 24, 2005, the U.S. House of Representatives approved H.R. 2066, the “General Service Administration (GSA) Modernization Act.”  The measure—after being placed on a fast track, approved unanimously and without debate—would combine the Federal Supply Service and the Federal Technology Service into a new Federal Acquisition Service. 

Rep. Tom Davis (R-VA), the House Government Reform Committee Chairman, co-sponsored the bill with House Armed Services Committee Chairman Duncan Hunter (R-CA).  According to Rep. Davis, “This legislation offers fundamental organizational change within GSA by removing the old structures that inhibit efficient federal purchases. We can help bring GSA in line with the current commercial market that has evolved from stand-alone hardware or services to solutions that are a mix of products, services and technology.”  One of the reasons that Rep. Davis cited for the reorganization was the reality that “IT investments … are now as ubiquitous as desks and phones.”

The measure would appoint up to five Regional Executives for the Federal Acquisition Service who would be responsible for closer oversight.  This structure appears to be a reaction, at least in part, to recent Inspector General reports that, according to Rep. Davis’s website, “revealed evidence of acquisition mismanagement” within existing GSA regions.  The legislation also addresses employee retention bonuses and economic incentives for government workers who transfer positions within the federal government-acquisition field.

While some insiders have expressed skepticism about what they consider to be hastily thought-through restructuring, GSA Administrator Stephen A. Perry has made clear that the changes should be implemented by July of this year.