Term Paper on Government Contracting

The government’s delivery of welfare and services to the people is basically characterized by its policies on budgetary controls. Budget appropriations and allocations are systems of governance that finance various government programs. In this regard, for the government to be able to ensure the delivery of welfare and services specifically in forms of infrastructural projects, public utility, medical supplies, school books, it engages in contracts with the private sector through an acquisition and procurement process.

This process usually involves the participation of private individuals or supplier groups who address the specific needs of various governmental agencies on operational facilities, equipment and the daily office supplies. The standard operating procedure of acquisition and procurement is done through public bidding wherein the best pricing offer gets the purchase order.

In view of government contracting in acquiring and procuring required resources for welfare and services, this paper will discuss the effects and benefits of contracting on people, in particular, the consumers, buyers, and benefactors of services. The Bid to Contract The government’s negotiation with the private supplier is enjoined with an open policy to acquire the best possible products and the required volume of supplies at a discounted price.

In addition, the supplier conforms to all the contract’s stipulations and procedures. But since the contract enables an open policy in acquisition which allows the supplier to source out the required volume in order to provide discounting at his or her own discretion, the middlemen are given the opportunity to participate in the process of procurement. In effect, the participation of middlemen forms the sub-contracting by and between the government and contracted supplier.

Moreover, the practice of government’s bid to contract with the private supplier does not only include acquisition of goods but also manpower procurement. The inclusion of manpower procurement contracted with private firms represents public works, professional consulting services, manning of election coverage and other governmental functions. According to a study conducted by the United States’ Department of Defense (US-DOD), the US-DOD needs to incorporate its contractual non-combatant personnel with people contracted with a private manpower pooling firm.

The DOD cited that the manpower procurement is brought about by the needed and exigent work of the department (United States Department of Defense, 1999). Like in this case of the US-DOD, the manpower pooling of non-combatant and other contractual personnel is acquired through a contract with the private sector. The issues concerning the US-DOD’s policies on security of employment tenure and the compensation of contractual personnel rely on the scheme of the private contractor, in which, the only benefit the contractual employee may get is being at least employed.