PSC Welcomes OMB Memo on Accelerated Payments; Urges Congress to Include Key Financing Language in Final COVID Package
 
 
Arlington, Va. (July 24, 2020) The Professional Services Council (PSC) today welcomed a new Office of Management and Budget (OMB) Memorandum directing agencies to utilize smart buying practices during the fourth quarter of Fiscal Year 2020, including a top PSC priority of expanding accelerated payments to contractors.

The Memorandum ‘Buying for America’ (M-20-28) references current law requiring accelerated payments to small business prime and subcontractors and encourages agencies "to extend this goal to medium and large businesses during the pendency of the fight against COVID-19."

“The COVID-19 pandemic is now impacting, and will continue to impact, the ability of contractors to finance their day-to-day operations,” said Cate Benedetti, PSC Vice President for Government Relations. “PSC wholeheartedly agrees that expanding accelerated payments will maximize the government’s return on investment and help to boost America's economic recovery.”

Congressional action in the Fiscal Year 2019 and 2020 National Defense Authorization Acts (NDAA) was designed to ensure that small businesses who work as primes and subcontractors are paid in a timely manner for the goods and services they provide. PSC was the originator of the FY19 NDAA provision (section 852) to accelerate payments for small businesses who support DoD; PSC then worked to expand this provision government-wide in section 873 of the FY20 NDAA.

In April, PSC requested that accelerated payments be expanded to companies of all sizes during the pandemic; this request was included as Section 70404 of the Contractor-focused provision of the House-passed Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act (H.R. 6800). In our May 29, letter to the Senate leadership, PSC requested that this provision be included in the Senate’s next COVID-19 legislation. 

“The House and the Administration have now recognized the economic value of accelerated payments and PSC urges the Congress to prioritize including this language in the final COVID-19 relief package currently under development,” Benedetti concluded. 

 
Click here to view a PDF of this release.

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Media Contact:
Pheniece Jones
Director, Media Relations 
703.875.8974
media@pscouncil.org 


About PSC:
 PSC is the voice of the government technology and professional services industry. PSC’s more than 400 member companies represent small, medium and large businesses that provide federal agencies with services of all kinds, including information technology, engineering, logistics, facilities management, operations and maintenance, consulting, international development, scientific, social, environmental services, and more. Together, the trade association’s members employ hundreds of thousands of Americans in all 50 states. Follow PSC on Twitter @PSCSpeaks. To learn more, visit www.pscouncil.org.