$114 billion still available for federal contractors before Sept. 30

The federal government still has $114 billion in play for contract spending before the end of the fiscal year on Sept. 30, an industry analyst has concluded. FedSources predicts fourth quarter contracting activity will pick up significantly compared to the previous three quarters of fiscal 2010, particularly for smaller purchases.

The government's fiscal 2010 budget included $756 billion for contracts. Ray Bjorklund, senior vice president and chief knowledge officer at FedSources and the report's author, said fourth quarter spending is very important for the information technology community, especially for resellers whose sales are commodity-based. The jump in spending represents demand for lower-cost purchases for which agencies might not have expected to have sufficient funds, he added.