ACEC Opposes Anti-Competitive Amendment to House Appropriations Bill.

WASHINGTON -- The American Council of Engineering Companies (ACEC) today is calling on House members to reject an amendment that would overturn new procurement rules designed to open more government services to competition from the private sector and benefit taxpayers.

The amendment by Representative Chris Van Hollen (D-MD) to the FY'05 Transportation, Treasury and General Government appropriations bill seeks to prohibit use of the revised OMB Circular A-76, governing public-private competitions.

A-76 was revised last year to streamline the competition process, ensuring that taxpayers enjoy the benefits and lower costs associated with these competitions. The rules also place new emphasis on qualifications, bringing them more in line with the federal government's longstanding tradition of procuring engineering services based on experience and qualifications as opposed to which firm submits the cheapest bid.

"If the amendment should pass, it would deny the private sector the opportunity to compete for federal work and guarantee that federal employees maintain a monopoly on services readily available in the private sector," said ACEC President Dave Raymond. "The amendment could also give the green light to agencies to base procurement of engineering services solely on lowest bid, thereby totally avoiding the Congressionally-mandated qualifications-based selection procedure.

"The amendment is a disturbing attempt to return to a process already determined ineffective and unfair when the OMB Circular A-76 process was revised 15 months ago," said Raymond, "and represents a serious disadvantage for federal agencies and for the taxpayer, and should be rejected."

The competitive process, detailed in the new Circular allows federal agencies to optimize the delivery of services to taxpayers. The Government Accountability Office contends that taxpayers could see savings as much as 30% through fair competitions between public and private service providers.

The American Council of Engineering Companies (ACEC) is the business association of America's engineering industry, representing more than 5,500 independent engineering companies throughout the United States engaged in the development of America's transportation, environmental, industrial, and other infrastructure. Founded in 1910 and headquartered in Washington, D.C., ACEC is a national federation of 51 state and regional organizations.