Forecasting is a tool used by federal agencies and private businesses alike to evaluate budgets and identify future spending and sources of income. These forecasts are built on careful analysis of past, present, and future financial conditions to help determine upcoming spending trends and influence government policies. 

Important Note: Forecasts are not simply budget plans. Budgets tend to be short term plans solely based on expected revenue and expenses. Forecasts analyze data from the past to build models and formulas to predict both short and long term outcomes for the business/agency. 

Forecasting allows businesses to plan for future contracting opportunities and develop capture plans to position your business to win contracts well before the job is even posted. For companies that was to expand into a new market, or find their niche in the federal space knowing which agencies are planning to spend to the most money in your industry is critical for success. 

Some forecast tools will even allow you to view upcoming contracts before they get released to the public. 

The federal government has a publicly available tool for businesses to see the forecasts for each industry, federal agency, and geographic area. It has a number of filters to help vendors refine their searches to see accurate predictions of all the contracts that these agencies are planning to release. To get started we recommend inputting your business’ NAICS Code, City or State, and any applicable Set-Asides your business has acquired. 

Recompetes occur when a contract between the government and a business (Prime) is reaching its end, and the government decides to make the contract available for open bidding rather than letting it expire or directly renewing it with the current or previous contract holder. Once the agency has decided to allow vendors to compete on an expiring contract they will often release a brand new solicitation in the form of a Request for Quote (RFP). From there aspiring businesses can bid on the project like normal. 

If the agency responsible for the contract is not sure if there will be enough qualified and interested vendors to justify a recompete they will release a Request for Information (RFI). This is a marketing and intelligence gathering tool where prospective businesses can network with contracting officers and pitch their products and services. From there the government can determine if competition is likely, and decide whether or not to proceed with releasing the full RFQ. 

Recompetes are a crucial part of forecasting and understanding government spending strategies. They provide businesses with a chance to do vital research on upcoming jobs before they are released. That way when the contract does become available they won’t be rushing around to assemble a competent and responsive bid. 

Recompetes allow new vendors to apply for existing contracts, and continue the work already being done with better prices or services. 

Before we begin the next module, work with your team to complete the following items.