Behind the Spike in Contract Bundling and How It’s Hitting Small Businesses the Hardest

This practice of consolidating federal procurement contracts, known as contract bundling, is seen as spurring efficiencies and savings for agencies—and, by extension, taxpayers—as it can create economies of scale. But contract bundling also creates a barrier to entry, as scores of businesses like BMA can no longer vie for contracts, which can become too big and too complex once bundled.

Contract bundling soared more than 2,000 percent under the Trump administration, displacing hundreds of businesses. Then it reached a 10-year-high under Biden.