PSC’s Stan Soloway Addresses NVTC Board
Professional Services Council (PSC) President and CEO Stan Soloway joined the NVTC Board of Directors on Tuesday, November 12 at LMI in McLean to share his insights on the government contracting marketplace.
During his presentation, Soloway provided an overview of the impacts of the recent government shutdown and highlighted key trends facing contractors in the months and years to come. In particular, he highlighted increased pressure on cutting costs and overhead and a renewed focus on compensation caps and rate compression. In discussing the government’s likely future spending, Soloway suggested that, whether Congress passes a full year or short-term continuing resolution (CR), contractors should assume that the government’s FY2014 spending will be in line with the sequester, with a cap of $967 billion. While the outcome for civilian agencies is unclear, he predicted that the Department of Defense likely will reduce spending by close to 20 percent in some areas, cut back on maintenance and consider reduction in force actions.
|PSC President and CEO Stan Soloway presents for the NVTC Board on Tuesday, Nov. 12.|
Soloway also outlined seven key areas that are shaping the contracting market, including driving value in the face of lowest price technically acceptable (LPTA) contracts, accessing talent, increasing compliance demands, perceived anti-incumbent bias and personnel challenges brought on by the Snowden and Alexis cases. Finally, he discussed coming challenges, such as the aging government workforce, especially in information technology, experience gaps in the acquisition workforce, and the government’s use of “as a service” offerings in areas such as cybersecurity and data analytics.