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PSC Joins Industry Coalition Recommending Intelligence Authorization Reforms
Recommendations Reflect Need to Modernize Policies That Directly Impact National Security
Arlington, VA (May 26, 2026)—The Professional Services Council (PSC) joined five industry organizations representing federal contractors and the U.S. defense industrial base in a letter to congressional leaders proposing legislative recommendations related to security clearance modernization, fixed-price contracts, and facility security standards ahead of markups for the Intelligence Authorization Act for Fiscal Year 2027.
Identical letters were delivered to the leadership of the House and Senate Armed Services Committees, as well as the House Permanent Select Committee on Intelligence and the Senate Select Committee on Intelligence.
“These recommendations improve mission success and reflect the operational realities facing today’s military and intelligence communities,” said PSC CEO James Carroll. “A more agile and resilient security framework will help government and industry work together more effectively to address emerging national security challenges.”
Joining PSC in this effort to inform and educate policymakers were the Aerospace Industries Association, Center for Procurement Advocacy, Intelligence and National Security Alliance, National Defense Industrial Association, and U.S. Chamber of Commerce.
The coalition highlighted specific statutory fixes to modernize public-private coordination and reduce risk to sensitive missions, focusing on three critical areas:
- Modernizing Clearance Sponsorship: Establishing clear guidelines for companies to sponsor security clearances for key management and oversight personnel (such as CISOs and General Counsels) and additional professionals for surge capacity.
- Balancing Fixed-Price Contract Risk: Allowing the Intelligence Community to assume the risk of uninsurable losses for work-in-process items on sensitive, fixed-price acquisition programs when commercial insurance is unavailable due to classification restrictions.
- Harmonizing Secure Facility Standards: Empowering the National Counterintelligence and Security Center to arbitrate interagency disputes over facility accreditation, reducing costly delays and inconsistent interpretations of TEMPEST standards.
“In today’s threat environment, government and industry must be able to move with greater speed and consistency,” said PSC President Stephanie Kostro. “These policy updates will strengthen collaboration and better position the industrial base to support critical intelligence and national security missions.”
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About the Professional Services Council
The Professional Services Council (PSC) is the leading trade association and advocate for the government contracting industry, representing more than 400 member companies—ranging in size from start-ups to multinational organizations. These companies support federal agencies with mission-focused services and solutions and collectively employ one million American workers throughout the United States and around the world, contributing trillions of dollars to the U.S. economy. Learn more at: www.pscouncil.org.