GovCon Orgs Raise Their Concerns on WH Regulation Compliance Costs

The Aerospace Industries Association, Information Technology Industry Council, National Defense Industrial Association and Professional Services Council believe that recent executive orders on government contracting have increased the cost of compliance to regulations for the sector.

In a letter sent Aug. 3 to White House Chief of Staff Denis McDonough and Senior Adviser Valerie Jarrett, the organizations noted that President Barack Obama’s 12 GovCon-related EOs have created 16 new regulations.

According to the letter, the increase in compliance requirements for the GovCon sector has consequently increased the cost of doing business with government and potentially raised a barrier between the government and commercial marketplaces.

“[We] respectfully request that no further presidential directives primarily focused on government contractors be issued for the foreseeable future,” the organizations said.

“The impacts, inefficiencies and in many cases unintended consequences are such that the interests of the American taxpayer are being significantly and negatively impacted.”