OMB releases final round of 2001 outsourcing lists

The Office of Management and Budget on Thursday released the third and final round of 2001 lists of agency jobs that could be performed in the private sector under the 1998 Federal Activities and Inventory Reform (FAIR) Act.

Seventeen agencies, including the Departments of Transportation and Justice and the Central Intelligence Agency, were included in the third round of 2001 FAIR Act lists published by OMB in Thursday's Federal Register. Thursday's list is the last round of 2001 FAIR Act job inventories, according to an OMB official.

The third round covers 556,084 federal jobs, of which 126,078, or about 22.7 percent, are eligible to be performed in the private sector under the FAIR Act's rules. To date, OMB has reviewed the outsourcing lists of 108 agencies. Of the more than 1 million jobs in those agencies, 428,341, or about 40 percent, are potential candidates for outsourcing, agencies reported.

The Defense Department has yet to list any jobs-except those in its inspector general office-on any of the 2001 job inventories, which OMB began publishing in September. Defense identified 260,000 jobs in 2000 as eligible for competition under the FAIR Act.

As of Thursday afternoon, neither Defense nor OMB officials could explain why the 2001 Defense inventory had not been issued.

The FAIR Act requires agencies to compile annual lists of jobs that are commercial in nature and could be performed by contractors. Every year, OMB reviews the lists and releases them to Congress and the public in three rounds. Agencies' FAIR Act inventories for 2001 were due to OMB on June 30.

Defense's absence from the 2001 inventories may signal a shift in the attitudes of agencies toward outsourcing, according to Brendan Danaher, a policy analyst at the American Federation of Government Employees.

"The Defense Department leads the way in government procurement and government contracting, so if they are backing away from arbitrary privatization, then other agencies need to think twice about arbitrary privatization," Danaher said. "We have heard through back channels that there are real concerns in the Pentagon over OMB's headlong rush to privatize."

OMB requires agencies to post their FAIR Act inventories on their Web sites. But the inventories can be difficult to find. Even though OMB provided a link for each agency, in many cases the link pointed to the agency's home page, with no reference to where the FAIR Act list is located on its Web site.

In March 2001, the Bush administration revitalized the FAIR Act by ordering agencies to directly outsource or perform public-private competitions on 5 percent of their 2000 FAIR Act inventories, or 42,500 federal jobs, by October of this year. In budget guidance for fiscal 2003, OMB directed agencies to outsource or perform public-private competitions on an additional 10 percent of all commercial jobs by October 2003, for a total of 15 percent.

Under the FAIR Act, contractors, unions and employees can challenge the lists if they think jobs should have been, or should not have been, included. In 1999, when the first FAIR Act lists were published, contractors and unions filed several challenges with agencies, but only about 6 percent of the challenges to the largest federal agencies' FAIR Act lists were successful.

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
Close [ x ] More from GovExec

Thank you for subscribing to newsletters from
We think these reports might interest you:

  • Sponsored by Brocade

    Best of 2016 Federal Forum eBook

    Earlier this summer, Federal and tech industry leaders convened to talk security, machine learning, network modernization, DevOps, and much more at the 2016 Federal Forum. This eBook includes a useful summary highlighting the best content shared at the 2016 Federal Forum to help agencies modernize their network infrastructure.

  • Sponsored by CDW-G

    GBC Flash Poll Series: Merger & Acquisitions

    Download this GBC Flash Poll to learn more about federal perspectives on the impact of industry consolidation.

  • Sponsored by One Identity

    One Nation Under Guard: Securing User Identities Across State and Local Government

    In 2016, the government can expect even more sophisticated threats on the horizon, making it all the more imperative that agencies enforce proper identity and access management (IAM) practices. In order to better measure the current state of IAM at the state and local level, Government Business Council (GBC) conducted an in-depth research study of state and local employees.

  • Sponsored by Aquilent

    The Next Federal Evolution of Cloud

    This GBC report explains the evolution of cloud computing in federal government, and provides an outlook for the future of the cloud in government IT.

  • Sponsored by Aquilent

    A DevOps Roadmap for the Federal Government

    This GBC Report discusses how DevOps is steadily gaining traction among some of government's leading IT developers and agencies.

  • Sponsored by LTC Partners, administrators of the Federal Long Term Care Insurance Program

    Approaching the Brink of Federal Retirement

    Approximately 10,000 baby boomers are reaching retirement age per day, and a growing number of federal employees are preparing themselves for the next chapter of their lives. Learn how to tackle the challenges that today's workforce faces in laying the groundwork for a smooth and secure retirement.

  • Sponsored by Hewlett Packard Enterprise

    Cyber Defense 101: Arming the Next Generation of Government Employees

    Read this issue brief to learn about the sector's most potent challenges in the new cyber landscape and how government organizations are building a robust, threat-aware infrastructure

  • Sponsored by Aquilent

    GBC Issue Brief: Cultivating Digital Services in the Federal Landscape

    Read this GBC issue brief to learn more about the current state of digital services in the government, and how key players are pushing enhancements towards a user-centric approach.

  • Sponsored by CDW-G

    Joint Enterprise Licensing Agreements

    Read this eBook to learn how defense agencies can achieve savings and efficiencies with an Enterprise Software Agreement.

  • Sponsored by Cloudera

    Government Forum Content Library

    Get all the essential resources needed for effective technology strategies in the federal landscape.


When you download a report, your information may be shared with the underwriters of that document.