Photo by Darren Halstead on Unsplash

The Government Accountability Office found that federal agencies in the U.S. spent $584 billion on procurement in 2019. This $20 billion higher compared to 2018 and $120 billion higher compared to 2015.

Civilian agencies accounted for $205 billion while the Department of Defense spent $381 billion. Most of the contracts were fixed price. GAO found that 83.5% of all contracts were procured competitively while cost-reimbursement type contracts accounted for around 32% of all deals. Agencies spent more on services than products.

Multiple award contracts (MAC) spending increased in 2019 and accounted for 23% of all procurement deals. The Defense Department spent $84 billion through MAC while civilian agencies spent $74 billion. The top markets for Mac spending are information technology at $38 billion and professional services at $35 billion.

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