On the recordSeptember 25, 2018
I would like to thank Ms. Adams for leading this important piece of legislation. Category management is a procurement initiative that is currently being rolled out across the Federal Government. It can be a positive tool, allowing the Federal Government to better understand its purchasing habits and identify cost savings where appropriate. However, setting mandatory targets to manage agency spending may result in unintended consequences. Specifically, there is concern that this initiative may have the effect of reducing competition to only a few select vendors. As we continue to see increased use of these best-in-class vehicles by Federal agencies, it is important to remember that it is not the job of the government to pick winners and losers. We must be vigilant and ensure that maximum opportunities are given to small businesses, even as we continue to pursue cost savings across the Federal Government. H.R. 6382, as amended, takes that critical first step by tracking the potential impacts of category management on small businesses. The bill requires the SBA to report exactly how much of these dollars spent through best-in-class vehicles are awarded to small businesses. Obtaining this data and identifying trends or patterns affecting small businesses will become increasingly important as category management continues to be used in years to come.…





