PSC Highlights Impact on Contractors as FY18 NDAA is Signed into Law

December 12, 2017

Arlington, V.A. (Dec. 12, 2017) – PSC today welcomed the president’s signing of the Fiscal Year 2018 National Defense Authorization Act (NDAA), which authorizes national security funding, provides policy direction, and significantly changes rules governing how contractors provide services and ensure mission success for the Department of Defense.

“The FY18 NDAA has a number of significant implications for federal government service contractors. PSC is pleased that the president signed this important bill into law,” said PSC President and CEO David J. Berteau. “PSC worked diligently throughout the year to offer recommendations to the House and Senate Armed Services Committees and conferees on this bill. While some of the acquisition provisions give us concern, there are many positive aspects of the bill that will improve acquisition outcomes and aid PSC member companies in their work to meet mission needs.”

Three key acquisition and technology-related provisions are among the many notable ones that will bring significant changes for the government and the contractor community:

Modernizing IT: Sections 1076 through 1078 include the Modernizing Government Technology Act. This provision will facilitate making critical investments in the government’s IT infrastructure to limit vulnerabilities and increase security. PSC has strongly supported enactment of the MGT Act;

Promoting Better Information Sharing Between Government and Industry: Section 818 enhances post-award debriefing rights by providing contractors with additional information after a source selection—creating a more meaningful dialogue between the government and offerors and reducing protests being filed as a way to get better award information;

Leveraging Industry to Help Reduce the Audit Backlog: Section 803 permits independent, third-party auditors to help the Defense Contract Audit Agency reduce the incurred-cost backlog and mitigate the negative impact that the backlog has on the government and government contractors.

“Legislation is just the first step. PSC looks forward to engaging with the Department of Defense and the White House during the implementation and execution of these new authorities, as well as working on the impact of other provisions that will make structural changes to the Department,” Berteau continued. Those noteworthy organization provisions include section 901, which will impact the Defense Department’s pending break up of Acquisition, Technology and Logistics, and Section 910, which defines the roles and responsibilities of the Chief Management Officer—two offices with jurisdiction over how the government acquires, manages, and utilizes services.

The House passed the final conference report on Tues., Nov. 14 by a 356-70 vote, and the Senate passed it by a voice vote on Nov. 16. The legislation was signed by the President today.


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Media Contact:
Ashlei Stevens
Director, Media Relations

About PSC: PSC is the voice of the government technology and professional services industry. PSC’s 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

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