In the first two quarters of fiscal 2010 the percentage of dollars awarded in new contracts without competition dropped 10 percent versus the same period in fiscal 2009, OMB has said.
However, according to a blog post by OMB director Peter Orszag the use of new competitively awarded contracts in fiscal 2010 that received only one bid dropped by just 2 percent despite a White House effort to promote competition and reduce the use of cost-reimbursement contacts.
Nonetheless, Orszag said agencies are on track to save $19 billion in fiscal 2010 by moving away from cost-reimbursement and sole source contracts, adding that 15 of the 24 largest contracting agencies have reduced the percentage of dollars awarded in new noncompetitive contracts or competitive contracts receiving only one bid by at least 10 percent in the last year.
Agencies are also using fewer time-and-materials/labor-hour contracts, Orszag said.
He said the first half of fiscal 2010 showed a 7 percent drop in the percentage of dollars awarded through new T&M/LH contracts and a 6 percent drop though new cost-reimbursement contracts.
