DC Area Contract Workers by Agency? (Norfolk: 2013, contractors, income)

[CAVA1990]

Just curious if there's any data on how many contract workers in the DC Metro are associated with each government department or agency. How big is DoD versus everything else?

[shamrock847]

I doubt it.

For one thing, it's really hard to measure. Lots of people on lots of different contracts.

And even if you do get a number, then there is the problem of how do you even define contract workers:

Are you just referring to the people sitting in seats embedded with the agency staff? I've seen them included on org. charts so you could probably measure this.

Do you include just the people working in cubes or do you include contractors working in the cafeteria, picking up trash, or providing security?

Do you include contractors who perform analysis or other support for an agency but work in another location, such as a contractor's corporate office?

What about experts and senior managers who split their time advising or managing work across multiple agencies?

What about people who work on a program funded by an agency, such as engineers employed by a contractor who are working on a new surveillance system for DHS or DoD?

[Carlingtonian]

My gut perception: DoD, followed by the State Department or DHS. I think a lot of IT jobs end up being contractor jobs.

[SmartMoney]

Originally Posted by Carlingtonian

My gut perception: DoD, followed by the State Department or DHS. I think a lot of IT jobs end up being contractor jobs.

This would be my guess.......although, DHS may come ahead of State, just due to the sheer number of agencies under DHS. Cyber-security is under DHS and is exploding. My observation is based on living in the DC area, plus, I take income/job information from people in the course of my day.

[Shelborne_22033]

What is the purpose of this data? All of the beltway bandits, bodyshops and many smaller companies contract out to multiple agencies in DoD, federal law enforcement, intel community, science and healthcare, etc... This diversification helps them during leaner times.

[CAVA1990]

Originally Posted by Shelborne_22033

What is the purpose of this data? All of the beltway bandits, bodyshops and many smaller companies contract out to multiple agencies in DoD, federal law enforcement, intel community, science and healthcare, etc... This diversification helps them during leaner times.

If one assumes Defense will incur major cuts in the years ahead relative to the other departments then the proportion of those contractors may give some indication of what's ahead for the local economy.

[Shelborne_22033]

Originally Posted by CAVA1990

If one assumes Defense will incur major cuts in the years ahead relative to the other departments then the proportion of those contractors may give some indication of what's ahead for the local economy.

Well I can tell you that the cuts are pretty deep "to the bone or removed" in my DHS component. What's been happening the last 2 years is impacting the entire government sector. I'm anticipating the official 30 day notice for furloughs to arrive before 1 March.

Prior to that, defense cuts to me meant a shift or change in focus which means more for one branch or command like JSOC or CENTCOM and less for others. There would be a top 10 list of DoD contractors and every few years there's a cyclical rearranging of the top 10. The company is still a top 10 but not top 3. It would be the same model in homeland security and federal law enforcement.

What new initiatives are in front of the Admin and Congress? There's immigration reform, CyberSecurity, Gun Control and the full implementation of ObamaCare. Last year didn't DoD change the focus from the operational missions in the Middle East and began focusing on China? Fighting a land war with China is not feasible but improving ISR capability is.

[CAVA1990]

Originally Posted by Shelborne_22033

What new initiatives are in front of the Admin and Congress? There's immigration reform, CyberSecurity, Gun Control and the full implementation of ObamaCare. Last year didn't DoD change the focus from the operational missions in the Middle East and began focusing on China? Fighting a land war with China is not feasible but improving ISR capability is.

What's your outlook for veterans' healthcare programs?

[Shelborne_22033]

Originally Posted by CAVA1990

What's your outlook for veterans' healthcare programs?

I saw this article last week. To me, this is an indicator of shrinking budgets, scope creep or out of control spending. This could be trouble for the incumbent contractor or an opportunity to bill for new work. The VA is politically popular for both sides (every politician wants to help the nation's vets) but their are limits to this capital. I can see how the big info flow transition from active solider, sailor, marine, airman to veteran could become a cash cow of opportunity for IT services companies.

Big companies are already betting on healthcare. IBM is leveraging Watson in the healthcare environment. IT spending in healthcare for records management & cost accounting is another opportunity if there is any accuracy in this article?

[shamrock847]

Originally Posted by CAVA1990

If one assumes Defense will incur major cuts in the years ahead relative to the other departments then the proportion of those contractors may give some indication of what's ahead for the local economy.

The problem with this approach is that it assumes the cuts to contractors in this area will be somehow proportional to overall defense cuts. I actually think this area will be less impacted than some others because so many of the decision makers are here. When cuts need to be made, the natural bureaucratic tendency is "MY headquarters staff has so much important work to do, we can't possibly cut there, lets cut some of those programs or personnel out in x" (the ones who are actaully doing the mission). Take for example all the rhetoric coming from Congress about bloated government bureaucracies and the need to make cuts. How many of them are calling for a reduction in their staffs, their travel budgets, committee staffs etc?

There are several ways to cut defense spending, which would have different impacts in different areas:
1. Cut headquarters staff - this would impact this area the most
2. Cut some areas, but maintain or enhance others - for example, cutting nuclear deterrance but investing in cyber warfare would probably be a gain for this area
3. Reduce end strength - would probably impact the areas where there are a large number of junior troops the most, like Norfolk and the communities around some of the big Army and AF bases
4. Reduce the installation footprint - basically another BRAC. Could go either way for this area
5. Reduce procurement spending - although most of the major defense contractor HQs are here, a lot of the production and engineering goes on around the country, so while there would be some impact it would be spread around
6. Reduce maintenance, modernization, sustainment spending - would hurt the areas where these take place the most, like the communities around the big depots and shipyards
7. Reduce health care costs - unlikely, but the net result here would probably be working military retirees with a bit less money in their pockets because their premiums went up
8. Reduce pay and benefits - politically unsustainable

It's still an interesting question though.