Media Contact: 
Pheniece Jones 
Director, Media Relations 

PSC Supports and Recommends Changes in Key FY23 NDAA Provisions
Arlington, Va. (Sept. 14, 2022) On September 6, 2022, the Professional Services Council (PSC) sent a letter to leaders of the House of Representatives and Senate Armed Services Committees regarding certain provisions in the Fiscal Year 2023 National Defense Authorization Act (NDAA) bills that have passed the full House and the Senate committee (H.R.7900 and S.4543, respectively). Each year, the NDAA includes many provisions with significant implications for the contractor support that is essential to the success of Department of Defense (DoD) missions, and PSC offers its comments to help make those provisions as effective and efficient as possible.  
PSC strongly supports the bills’ funding levels that will help DoD meet the impact of inflation. In addition, the PSC letter highlights provisions that promote improvements to DoD’s materiel readiness and extend the Small Business Innovation Research (SBIR) program for two years. 

“We commend both the House and Senate for drafting strong bills that support national security while also recognizing the critical roles and contributions that contractors play in DoD’s mission success,” said David J. Berteau, PSC’s President and CEO. “The NDAA is vital annual legislation that helps achieve long-term success in our nation’s defense and security objectives.”

However, PSC objects to the inclusion of several provisions that would reduce efficiencies and unduly burden agencies and their contracting partners. The letter offers details on these, including:
1) a progress payment incentive pilot, which is premature and should await results from the ongoing DoD contract finance study; 
2) non-meritorious contract selection processes which would require contracting officers to predict offerors’ future actions based only on paper plans while also creating goals that cannot be measured; 
3) supply chain provisions that, as currently written, would undermine supply chain resiliency and would benefit from additional analysis and industry consultations; and 
4) contractor “blacklisting” mandates that would duplicate existing agencies and regulations while adding unnecessary administrative burdens to already-overworked contracting officers.  

“PSC looks forward to working with the Congress on these and other key provisions and stands ready to provide additional information as needed,” Berteau concluded.