Various elements within the RFP document were going to have various effects on the industry. Obviously, the potential to go from 41 companies to seven would potentially force over 100 companies out of business.
Number one, the fact they were looking at forcing the rates down was going to have a negative impact on wage earners. It would be a situation where any one of us in the industry would sit there and say, “If I were one of the seven I'd be okay for the most part, but I can't take that chance”.
Number two, do I even want that business of one of seven if they're going to force the rates down so low that I'm not going to be able to provide the quality service I'm used to providing to the federal government, and the federal government is used to receiving? The margins are going to be so small, do I even want to be in this business in this city any more?
Number three, can I afford to be one of seven suppliers? Can I even go out and get the lines of credit required for me to support my payroll? You've got to understand I provide a temporary employee to the federal government on an hourly basis and I pay that employee every week and then I invoice the federal government. Eight to ten weeks later I get paid, so I'm floating a payroll on these people for eight to ten weeks. Would my bank even look at me if I went to them and said, “I have a potential for this contract; the margins are lousy on it, but I'm one of seven suppliers to it, and I need to increase my line of credit by a multitude of 20 in order to do it”? I don't think the banks would look at me.