Enacted within the 2021 Infrastructure Investment and Jobs Act, BABA mandates the use of U.S.-produced iron, steel, manufactured products and construction materials in federally funded infrastructure projects. Flood argued that while this may be appropriate for infrastructure work, applying the same rules to housing projects has created severe cost spikes and delays. He said this expansion has created real-world consequences for developers, nonprofits and public housing agencies navigating the federal funding process. Sadly, that decision has had disastrous effects, he said.
The contract has a total ceiling value of up to $89 million and will ultimately provide the department - which has more than 50,000 employees across the country - access to Google Workspace's cloud-native apps like Gmail, Google Drive, Google Docs, Google Meet and more, as well as popular AI tools Gemini and NotebookLM. Google declined to comment for this story and the Transportation Department was unable to comment due to the government shutdown.
Combined with the creation of the Department of Government Efficiency, there's renewed pressure for government to operate more like the private sector. In theory, that might sound reasonable. But in practice, the comparison is not only unhelpful; it's often misleading. It ignores the fundamental difference between the two sectors: government missions are defined by mandates, not markets. To meet current mandates, the government and its industry partners need to reevaluate and redefine their partnerships.
The deals were part of GSA's OneGov strategy, in which the government streamlines the acquisition of services by operating as one entity; that way individual federal agencies don't have to negotiate their own separate deals.
To succeed in transforming federal procurement, it is essential to learn from past initiatives like the Federal Acquisition Streamlining Act, emphasizing collaboration and non-partisanship.