With FedRAMP and Apps.gov (from General Services Administration), there seems to be plenty of options for government agencies to utilize SAAS. Besides Google, of course. One common complaint: the services listed as available on Apps.gov lack specifics about what is provided. According to GSA Portfolio Management Division Director Bill Lewis, GSA aims to reduce transaction time and the complexity of purchasing cloud solutions in the future, an endeavor that may involve the development of online tools for agencies that allow for on-demand self-service or the ability to increase or decrease the size of their purchase.
Bluedog has some success with Treasury, NIH, DoJ and a few other agencies using Workbench, but it has been a slow slog getting adoption rates to go up.