House chairman: Contracts should focus on taxpayer value

Rep. Tom Davis, R-Va., chairman of the House Government Reform Committee, on Tuesday told federal acquisition personnel that they should focus more on saving taxpayers money and less on outreach to disadvantaged people and businesses.

"Our job…is to get the best value for the taxpayer, period," he said, adding, "We try to accomplish too many societal goals." Davis named goals such as geographic diversity, set-aside programs such as those for small and disadvantaged businesses, and Buy America laws as among those that may unjustifiably cost taxpayers extra money.

He made his remarks at the Federal Acquisition Conference in Washington and echoed comments made earlier in the day by David Safavian, head of the Office of Management and Budget's Office of Federal Procurement Policy, regarding the need to hire more well-qualified federal workers. Davis said he was working on ways to speed up the hiring process to give the government more flexibility in hiring workers.

Davis initiated an investigation into the contracting advantages of Alaska Native Corporations in March. ANCs, which were created by the 1971 Alaska Native Claims Settlement Act, are allowed to participate in the Small Business Administration's 8(a) program for small businesses regardless of their size.

Davis and Rep. Henry Waxman, D-Calif., ranking member of the committee, requested documents on ANC contracts from the State, Homeland Security, and Defense departments, and sought a Government Accountability Office investigation.

On Tuesday, Davis said he was concerned about whether Alaska Natives are benefiting from the program and if taxpayers are overpaying for those contracts. He said he would hold a hearing on the subject later this summer.

Like Safavian, Davis warned other members of Congress about overreacting to publicized acquisition problems by writing legislation that eliminates innovative solutions.

For example, Davis said lawmakers who suggest that the government charge card program be abolished or restricted because of reports of misuse are overreacting. "They forget the original purpose of the program," he said.

Davis also promoted his Acquisition Systems Improvement Act (H.R. 2067), which he introduced in May. The legislation would encourage the increased use of online procurement services such as reverse auctions and would change cost accounting requirements.

Davis also said he was worried that the General Services Administration, one of the event's sponsors, was initiating too many acquisition projects with too few resources. "We just want to make sure GSA is set up to manage them," he said.

When told about Davis' comments, a GSA spokeswoman said, "Our goal is to be a high performing, continuously improving organization, and we remain committed to providing superior acquisition services for federal agencies so that together we can meet the needs of the American people."