PSC: Professional Services Council
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News
December 9, 2009
PSC Warns New Organizational Conflict of Interest (OCI) Policy Could
Hurt Competition, Impact Long-Term Industrial Base
Washington, D.C.—On December 8, PSC Executive Vice President and Counsel Alan Chvotkin encouraged the Department of Defense to carefully consider the short term impact any new organizational conflict of interest (OCI) policies may have on competition and the long-term impact those policies would have on the industrial base.
Chvotkin delivered his presentation to the Department of Defense during a public meeting hosted by DoD to discuss OCI and the department’s implementation of provisions in the May 2009 Weapon Systems Acquisition Reform Act (WSARA).
“It is important to approach the regulatory implementation of WSARA with a clear understanding of the characterization of the key segments of the weapons systems and services markets—one size will not fit all and one policy will not serve DoD or the industries well,” Chvotkin said. “These complex business issues are not readily solved with binary or linear regulatory approaches.”
Chvotkin urged DoD to take “actions [that] present a balanced approach that recognizes the symbiotic partnership that must exist for success, because DoD policies of the past have contributed significantly to the current environment.”
In July 2008, PSC commented on related OCI issues in response to a
FAR Council advanced notice of proposed rulemaking. Those comments
are available here.
