GovCon in 2026: A Strategic Guide to What’s Next

FY26 Wins Are Already in Motion. Are You in the Room?

The federal market is shifting, quietly but fast. Agencies are obligating earlier, using fewer vehicles, and integrating AI, cyber, and cloud capabilities into complex, mission-focused programs. Budgets are growing, but accessible contract dollars vary widely by agency.

This guide uses complex data, not estimates, to surface where those dollars are likely to flow, when awards are most active, and which vehicles still matter. It cuts through noisy forecasts to give you the timing, access, and targeting intelligence needed to shape real pipeline strategy.

GovDash built this report to help federal contractors act, not react.

We track obligation timing, budget baselines, vehicle usage, and tech priorities to show you where to move and why it matters. You’ve heard this before. If your FY26 plan relies on SAM.gov alerts, you’re too late. What wins now: earlier visibility, sharper positioning, and actionable data.

GovDash gives you the tools to make that shift. This report shows you where to start.

What Agencies Have vs. What They're Awarding

Each year, Congress allocates budgetary resources to federal agencies. It reflects the total amount an agency can legally obligate, not just discretionary spending.

The charts below show two key data points for each agency in FY24 and FY25:

  1. Total budgetary resources available

  2. Planned contract obligations: The portion of those funds the agency expected to obligate through contracts, task orders, and indefinite delivery vehicles (IDVs)

This comparison distinguishes between overall agency funding and the portion intended for direct contracting. The gap between these two numbers varies by agency depending on mission type, internal ops, and grant-heavy versus contract-heavy functions.

By tracking both numbers, you get a clearer picture of where contracting opportunities are most concentrated. It’s not enough to know how much an agency has; you need to know how much they plan to spend through contracts.

This insight is key to building a focused pipeline and shaping your federal sales strategy.

Targeting Opportunity in the FY26 Budget Cycle

While USAspending hasn’t yet released FY26 budgetary resources or contract obligations, we can still extract useful signals from what’s already public. The President’s FY26 Budget Request, released in May 2025, outlines each agency’s proposed discretionary budget authority, a starting point for how much funding an agency may receive to operate programs, issue grants, and award contracts.

These figures aren’t final, and they don’t show how much will go to contracts. But they provide a clear baseline for agency priorities. As appropriations move through Congress, this data helps contractors gauge where new funding could land and which agencies may have room to launch or expand contract-driven programs.

Knowing where discretionary dollars are expected to go gives you early insight into which agencies are positioned for growth. This forward-looking view is essential for shaping your FY26 pipeline and staying ahead of competitors before final appropriations are set.

Q4 So Far: What the Data Shows

With FY25 Q4 still in progress, obligation data through August gives an early look at how agencies are spending in the final months of the fiscal year. While September is often one of the busiest contracting months, the year-to-date numbers already show clear patterns in when and where funds are being obligated.

The chart below shows quarterly prime contract obligations for FY25, including contracts, task orders, and IDVs. While Q4 totals will grow once September data is in, the first three quarters already account for the majority of spending across top agencies.

Even without the full Q4 picture, one thing is clear: agencies aren’t waiting to obligate funds. The September push may bring a final wave of awards, but for many programs, the work is already done.

If you're aiming for a year-end award, visibility needs to happen well before September.

Most contract dollars are obligated earlier, and by the time an opportunity hits SAM.gov, decisions are often already in motion.

Looking ahead to FY26, shift your focus to Q2 and Q3.

That’s when influence happens, and when you need to be visible, engaged, and ready to move.

Where the Work Is: Best-In-Class Vehicles

Best-in-Class (BIC) vehicles continue to drive billions in federal IT obligations—but access and timing are everything. Some vehicles are fully awarded and stable, others are in their final stretch, and a few are delayed or still in development.

The key is knowing which ones to pursue directly, and where to team or subcontract while you wait for the next open door.

The table on the following page outlines key IT BIC vehicles; however, the real value lies in knowing how to act based on the current status of each vehicle.

Where to Focus, and How

Vehicles You Can Leverage Directly

  • GSA MAS IT is open with no ceiling. If you’re not on it, get on it. Easy entry, high usage, broad scope.

  • GSA EIS and VETS 2 both run into the 2030s. These are stable platforms worth deeper investment if you’re already awarded.

  • 8(a) STARS III remains active through 2029. If you're an 8(a) firm or can team with one, keep an eye on the rumored STARS IV successor.

Vehicles Nearing the End of Life

  • SEWP V ends in Oct 2025. If you're not a prime, now’s the time to subcontract with incumbents to build past performance ahead of SEWP VI.

  • CIO-SP3 and CIO-SP3 SB are extended through 2026, but CIO-SP4 is delayed with no
    award date in sight. If you're not on CIO-SP3, partnering is your only play right now.

Vehicles in Development or Transition

Follow the Money: AI, Cyber, Cloud

Federal investment in AI, cybersecurity, and cloud remains strong. Agencies aren’t pulling back; they’re prioritizing. The early FY25 data (with Q4 still open) shows lower reported funding in these categories compared to FY24, but the work hasn’t slowed. Agencies are shifting funding into integrated programs with tighter scopes and faster paths to execution.

The charts on this page show how FY24- 25 spending in these categories is evolving across major agencies.

Why Cyber, AI, and Cloud Remain High Priority

Cybersecurity is non-negotiable

  • Agencies are under federal mandate (OMB M-22-09) to implement Zero Trust Architecture.

  • Key focus areas: identity access, endpoint protection, and SOC-as-a-Service.

  • DHS, HHS, VA, and Treasury continue to allocate billions for cyber-readiness.

AI is moving from exploration to execution

Cloud isn’t slowing, it’s evolving

  • Agencies have completed the migration.

  • Current spend supports multi-cloud integration, security hardening, and cost optimization.

  • Cloud solutions are now embedded inside CX, data, and mission support programs, not purchased as a standalone.

Close Q4 Strong

Q4 isn’t the time to start chasing opportunities. It's time to close them. Most awards landing in September are already scoped, internally approved, and waiting on paperwork. If you're not already known to the buyer, you're likely too late.

Follow up on active RFPs and RFQs daily. Respond fast. Delay = lost revenue. Make it easy for COs to award and move on.

Plan for What’s Coming

Alliant 3 and SEWP VI are shaping up now. If you plan to prime, it’s time to build your past performance, validate your compliance, and form the right teams.

GovDash helps you prep with tools like automated capability matrices, past performance tagging, and teaming partner tracking, all in one place.

Be Visible Before FY26 Budgets Hit

By the time FY26 funds start flowing, your name needs to be in the room. Agencies will obligate quickly, especially under continuing resolutions. Review forecasts, RFIs, and pre-solicitations now.

Use GovDash Bid Match to track forecasted opportunities and save searches that align with your core capabilities. Weekly recaps and smart filters make it easy to focus on what matters.

Use the Vehicles You’re On

Too many firms sit idle on awarded contract vehicles. If you're on:

  • GSA MAS, push your SINs and stay in front of buyers.

  • VETS 2, SEWP V, CIO-SP3, 8(a) STARS III are still awarding high-value task orders.

Not on a vehicle? Subcontracting is still a winning strategy.

GovDash helps you track opportunities across all your vehicles. You can filter by vehicle, monitor task order volume, and prioritize fast-moving work, all from your pipeline view.

Pitch the Outcome, Not the Tech

Agencies aren’t buying buzzwords. They’re buying impact. Speak to mission outcomes, not just features.

Use GovDash to build proposal content that’s compliant and compelling, based on your actual performance data. The Word Assistant helps you write outcomes, not jargon.

Schedule your demo to see how GovDash helps you enter FY26 with a clear strategy, actionable insights, and the agility to act before the RFP drops.

Download the full report here.

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Submit the form to schedule your GovDash tour and get your custom quote started.

By clicking "Submit," you agree to the use of your data in accordance

with GovDash’s Privacy Notice, including for marketing purposes.

Drive GovCon success with AI-powered capture, proposal and contract management.

© 2025 All Rights Reserved. Made in America 🇺🇸

Less expensive than a lost bid

Submit the form to schedule your GovDash tour and get your custom quote started.

By clicking "Submit," you agree to the use of your data in accordance

with GovDash’s Privacy Notice, including for marketing purposes.

Drive GovCon success with AI-powered capture, proposal and contract management.

© 2025 All Rights Reserved. Made in America 🇺🇸