From HHS to GSA: The New Reality in Federal Marketing Communications

For all of us in the federal marketing communications space, the past few months have been nothing short of a roller coaster. From contract pullbacks and cancellations to post-submission solicitations being withdrawn altogether, it’s been a season of disruption. We’ve even seen federal departments lose their standing or undergo major restructuring.

In times like these, it’s always refreshing to connect with other agency leaders navigating this constantly evolving landscape. We're all in this together. And, we will come out of this together. 

As we work to keep pace with the shifts across the market, here are a few key developments we’re watching closely:

  • Rewrite of the FAR: A significant update to the Federal Acquisition Regulation (FAR) is underway. This will change how we pursue and execute federal contracts, introducing new expectations and processes across the board.

  • GSA Vendor Scrub: Last month, President Trump signed an Executive Order aimed at streamlining government purchasing. GSA will now take the lead on consolidating common goods and services, cutting duplicative efforts across agencies. What this means: Expect increased scrutiny around your Schedule activity. Firms with low (or no) recent sales may find it harder to retain their Schedule status—even if they’ve previously demonstrated effort without results.

  • Procurements Centralized via GSA: Historically, about 20–30% of a firm’s pipeline may have flowed through GSA-led procurements. We expect that to flip—with the majority of federal marketing opportunities moving to GSA or its vehicles like OASIS+. What this means: If your firm doesn't have a GSA Schedule or experience leveraging it, now is the time to build that capability.

  • Contract Cancellations and Pullbacks: The recent DOGE cuts were eye-opening for many, but it's worth being critical of the narratives circulating. In several cases, we’ve seen line-item cancellations reported as full contract terminations inflating the perceived impact. 

  • HHS Reorganization & Market Shifts: As many of you know, HHS has long been a central driver of federal marcom dollars. With a newly announced restructuring—including workforce reductions, consolidation of divisions, and the creation of the Administration for a Healthy America (AHA)—we expect significant market realignment. Additionally, some of the larger campaigns are rumored to move from the division into the Office of the Secretary, reshaping how programs are competed and managed.

  • Competitive Landscape Reset: We’re seeing a noticeable shift in who’s showing up at the table. Some firms are pivoting away from federal to state/local or regulated commercial sectors. Meanwhile, new entrants—some closely aligned with the current administration—are stepping in. What this means: Now’s the time to refresh your black hat and competitive mapping exercises. 

And, while we aren't seeing a lot of volume and contract activity in 2025 ... there are a few notable contract awards, specifically: 

  • People Who Think and Safe America Media secured a multiple award IDIQ at DHS valued at $200M for National Emergency at the Southern Border: Stronger America Campaign Advertising and Media Support Services

  • Deloitte successfully recompeted their Know2Protect campaign at DHS valued at $18M which is currently under protest

  • Diversity Marketing and Communications won a $5M contract at USDA for Outreach on Dairy Cattle Health

Looking forward to continuing to monitor the landscape and play our part in staying successful and prevailing through these interesting times. 

Mike KapetanovicMarketing Communications, Professional Services