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Office of the Press Secretary

For Immediate Release March 18, 1994
                         PERFORMANCE AGREEMENT
                       WILLIAM JEFFERSON CLINTON
                             ROGER JOHNSON

I. Introduction

The American people deserve a government that works better and costs less. The departments and agencies of the federal government hold vital keys to improving performance and to restoring the faith of the American people in their government. Many changes will need to take place for this broad goal to be realized. The purpose of performance agreements with senior officials is to establish clarity and consensus about the priorities for departmental management. They are intended to improve the management of the Executive Branch and are not intended to and do not create any legally enforceable rights. From these agreements should flow the program and management priorities of the departments. These agreements represent a beginning, a basis for continuous improvement as we reinvent our government to meet the needs and expectations of the American people.

II. The General Services Administration

This Agreement reflects the program priorities developed by the Administrator for the General Services Administration (GSA) as a result of the National Performance Review and GSA's drive to reinvent the way it does business. It is an agreement to accept the challenge of becoming more efficient and less costly to the American taxpayer. It provides a framework for decisive action in a time that requires more than marginal change.

The agreement reflects multi-year objectives, as well as specific performance measures to be accomplished in Fiscal Year 1994. It also describes the specific support the Administration intends to provide to support the accomplishment of these objectives.

The Administrator undertakes to accomplish the following at the General Services Administration:


GSA will become a non-mandatory source of supplies and services and seek to be the provider of choice for customer agencies. Through increasing competition, GSA will demonstrate innovation and commitment to excellence in order to best serve its customers. To further its effectiveness and competitive position, GSA will separate government-wide policy and oversight functions from service delivery. GSA will maximize the effective use and value of Federal real property through the development of a government-wide property asset management function. GSA will develop procurement plans and practices that significantly reduce the cost of product, the cost of procurement and increase the effective utilization of commercial information products and services.

In some instances, GSA will delegate authorities to its customer agencies. Concurrent with its delegation of such authority to other agencies, GSA will assure that appropriate skills, objectives, measurements and controls are in place that are appropriate for that level of delegation.


GSA will be a preferred business partner by customers and the vendor community. GSA will be easier to do business with and empower agencies to accomplish their missions more effectively. GSA will provide one face to its customers and be a source of one-stop shopping. GSA will continue to reinvent and seek innovative ways to improve customer service.


GSA will be an employer of choice. GSA will develop programs to build and maintain a quality workforce that values diversity and offers career development opportunities and retraining as the agency "right sizes." GSA will empower line managers and push decisionmaking to the point of service delivery by flattening the current organizational structures.


GSA will establish performance standards to measure outcomes (as well as inputs and outputs). GSA will compare results against other Federal and private sector organizations and previous performance. GSA will reengineer as many of its functions as possible to be the best in its class. GSA will leverage the costs of doing business government-wide to reduce the costs for customer agencies and to provide substantial savings for the taxpayer.

III. Measurement of Performance

To measure progress against the above objectives, the Administrator is committed to the accomplishment of specific measurable results. Those specific measures for Fiscal Year 1994 are described in the Annex.

To maintain focus and a sense of urgency and to have a real impact on performance, there will be periodic reviews of progress, discussion of difficulties encountered and appropriate actions taken. Reviews of progress will be held between the President and/or his designees and GSA officials, and, with greater frequency, within the Agency. Any specific reporting requirements will be developed jointly with GSA.

IV. Administration Support

In order to assist in the accomplishment of the above described objectives and measures during Fiscal Year 1994, the Administration's objective is to provide GSA with the specific support described below within all applicable laws:

--Flexibility to manage personnel employment levels while adhering to agency-level constraints imposed by Administration policy.

--Flexibility to operate more like a business by pilot testing a capital budget that accounts for capital investments, operating expenses and outlays as discrete elements of a unified budget. Budget decisions will reflect sound management to ensure no bias against long term investment in fixed assets.

--Flexibility to operate in the context of Executive Branch policy but without unnecessary external program interventions for projects or operations and with strong Administration support to efforts to resist or eliminate Congressional earmarking.

V. Term of Agreement

This agreement will remain in effect until modified, It is expected that it will be updated at least annually to reflect significant changes in budget, policy, personnel or other factors that may effect the accomplishment of objectives.

This Agreement is intended only to improve the internal management of the Executive Branch and is not intended to and does not create any right, benefit, trust or responsibility, substantive or procedural, enforceable at law or equity by a party against the United States, its agencies, its officers, or any person.

This agreement reflects our joint commitment to a General Services Administration that works better and costs less and fulfills our sacred trust to the American people.

 Roger Johnson                            William J. Clinton
 Administrator                            President of the United States

General Services Administration

Annex: Performance Measures, Fiscal Year 1994

During Fiscal Year 1994, GSA's performance will be measured by the successful accomplishment of the following specific measures:

  1. Put procurement performance measures for commercial information technology products and services in place for GSA and each agency that is delegated procurement authority.

First measure in place by: 3/1/94

Measures in place for all agencies: 9/1/94

2) Reduce procurement cycle to less than eight weeks for all but major volume negotiated purchases. This includes commercially available commodities such as standard software packages, personal computers, copiers and furniture.

50% implementation: 12/30/94

100% implementation: 12/30/95

3) Reduce procurement cycle times to less than six months for major negotiated volume purchases.

50% implementation: 12/30/94

100% implementation: 12/30/95

4) Present real estate plans and programs to Congress that are in the best long term interests of government institutions and the American taxpayer and are consistent with the President's budget. GSA will demonstrate significant long term cost savings when compared with current practice.

First long term regional plans: 3/1/94

Complete by: 12/30/94

5) Change binding procurement rules to guiding principles; increase procurement authority of customer agencies through delegations; expand electronic ordering systems; and ensure the most cost effective ordering and timely methods of supply distribution.

6) Establish agency account executives to provide a "seamless" organization which presents one face to the customer.

First account executives: 12/30/93

Complete by: 6/30/94

7) Establish reimbursable centers of expertise for several of GSA's operations. If customer agencies desire, GSA will provide them with the information that they need so that they can conduct business GSA has performed for them in the past.

Centers identified by 3/1/94

8) Establish a high level inter-agency forum to receive customer input, develop strategy for new initiatives and ensure client satisfaction. Conduct customer satisfaction surveys at all levels of GSA's operation.

In place by: 3/1/94

Fully functional by: 12/30/94

9) Delegate significant authority to GSA regions to serve GSA's government customers better, provide first hand examples of effective government on a local level, and help restore the confidence of the American people that government can be customer-oriented and cost-effective.

Complete by: 6/1/94

10) Achieve a 95% approval rating by GSA's customers by 12/95.

11) Develop strategic and tactical plans that incorporate employee input and their vision of a quality workplace. Provide the resources for training to give employees the tools necessary to operate effectively in a reinvented GSA. Ensure that the principles of quality management are intrinsic to reinvention efforts and the business process reengineering of GSA. Conduct routine internal surveys to determine employee satisfaction. Improve supervisor:employee ratio from current ratio of approximately 1:6. The ultimate objective is a ratio of 1:12 by 1999.

Complete by: 12/95

12) Develop performance measures that focus on outcomes and are consistent with the Government Performance and Results Act of 1993. Reengineer organizational processes with employee and customer input and through reinvention laboratories. Provide benchmark data to determine best-in-class. Identify business areas where cost savings can be realized and attain these savings through negotiations with the private sector. Develop and introduce the use of a set of key result measurements for the agency.

Introduced in regions by: 6/1/94

Introduced throughout GSA by: 12/30/94