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Providing Infrastructure Solutions to the U.S. Federal Government
By Panduit | February 19, 2025
Read Time: 5 Minutes
The United States Federal Government (Fed) is considered the number one buyer across the globe, spending a grand total of $1.7 trillion on discretionary goods and services in FY 2023.1 With the Fed being considered “recession-proof” and this amount of spending being distributed between defense and nondefense expenditures, they need to be considered a key customer. To dive a little deeper into the 2024 budget allocation; information technology (IT) totaled around $132 billion with an expected increase in 2025.2,3
How the U.S. Federal Government Purchases Goods
The U.S. Federal Government consists of civil agencies and defense agencies that operate on a fiscal year from October 1 through September 30. This timeframe is important because it tells us when budgets should be appropriated and when they need to be spent. Like the commercial market, the fed is driven by similar initiatives, the main ones being IT modernization, cybersecurity, and artificial intelligence (AI)/machine learning (ML).4 The main difference between the Fed and the commercial market is how they purchase goods. The Fed rarely purchases products directly, instead, they go through an open and fair bidding process where vendors get awarded to fulfill the contract. Awardees may be subject to have specific set-asides, like veteran-owned, minority-owned, etc. The work may be subcontracted out, leading to subcontractors, suppliers, consultants and teaming partners getting involved. It’s important to note that these projects can be subjected to sourcing rules like the Trade Agreements Act (TAA), Buy American Act (BAA), or Build America, Buy America Act (BABA) which is explained further in this article. Understanding this process and sourcing rules in depth helps Panduit ensure success in this market.
The U.S. Federal Government’s Focus on Smart Buildings
The U.S. federal government is investing in smart buildings and sustainability. We can see these efforts through the initiatives put out by officials and recent funding that got approved through the General Services Administration (GSA). The GSA is utilizing the Inflation Reduction Act, which provides “$3.4 billion to build, modernize and maintain more sustainable and cost-efficient high-performance facilities”. Recently at RealComm (a leading commercial real estate conference), the GSA mentioned it “plans to invest $80 million from the Inflation Reduction Act (IRA), the largest climate investment in U.S. history, into smart building technologies that will help reduce emissions, increase efficiency and reduce costs, and enhance comfort across an estimated 560 federal buildings”.5 This smart building investment will focus on new meters of measure for building operations, installation of smart sensors, manage operations with data, and new HVAC controls.5 The U.S. Government is encouraging the adoption of smart, secure and sustainable technologies as a means to achieve IT modernization, reducing energy consumption while ensuring the health of families and kids who work in or use facilities daily.
Panduit’s Focus on Infrastructure Solutions Tailored to the Federal Government
Panduit has been providing the U.S. Federal Government with infrastructure solutions that are customized to meet their unique needs for over 50 years.
Panduit is expanding its core IT infrastructure products to address smart building applications’ need for higher power PoE, power efficiency and longer distance capable Ethernet solutions. Panduit’s newly introduced 22AWG UTP high-power PoE cable enables agency facilities to implement Type 3 or 4 PoE devices at Cat 6 speeds with more optimal power efficiency over traditional 23AWG or 24AWG Ethernet PoE cabling. This extended reach ethernet cable delivers power directly to individual workspaces reducing energy consumption and aligning perfectly with the GSA’s vision. Panduit can supply network infrastructure solutions for a variety of applications within smart buildings including equipment rooms and data centers, telecommunications rooms, open office spaces, conference rooms/huddle spaces, lobby/entrance and building control.
Winning with the Panduit Fault Managed Power System (FMPS)
Another way the government is adopting more power-saving solutions has been with Panduit’s recently launched Class 4 power system called the Panduit Fault Managed Power System (FMPS). It’s TAA compliant and designed to provide safe, long-distance power to remote equipment. FMPS is an easy-to-install, safe, and reliable Class 4 system that has been thoroughly tested to comply with UL 1400-1, using low-voltage wiring methods while monitoring circuit faults. One Fed customer that adopted this solution was able to achieve long-distance power capabilities that exceeded the limits of traditional PoE. By deploying FMPS, they were able to power their intelligence-based devices that extended further than 100 meters.
Panduit Helps You with Government Product Compliance
Panduit is a proud U.S.-based company that understands the U.S. Federal Government has strict compliance laws that relate to manufactured products. Common compliance laws that we need to be aware of are Trade Agreements Act (TAA), Buy American Act (BAA), and Build America, Buy America Act (BABA). Each of these compliances relate to where products are manufactured giving preference to “Made in the USA” or “Made in TAA Designated Countries,” but more details may be needed like material sourcing. Panduit has multiple manufacturing locations in the United States and in designated countries which allows them to offer a range of compliant products.
1 Congressional Budget Office. “Discretionary Spending in Fiscal Year 2023: An Infographic.” Congressional Budget Office, 2023
2 U.S. Department of Defense. “TAB A_FY24_ITCA_Budget_Overview_Final.” Microsoft Word document, 2024
3 Executive Office of the President. “Analytical Perspectives, Budget of the U.S. Government, Fiscal Year 2024.” White House, 2024
4 General Services Administration. “Government IT Initiatives.” GSA, 2024
5 GSA Administrator announces $80 million for Smart Building Technologies as part of Biden-Harris Administration’s investing in America Agenda. U.S. General Services Administration, 2024
ABOUT THE SPONSOR
This article was brought to you in partnership with Panduit.
Panduit is a global manufacturer of physical infrastructure equipment that supports power, communications, computing, control and security systems. Since 1955, Panduit has delivered innovative connectivity solutions that help their customers compete and succeed in a constantly evolving global marketplace.