Congress is moving closer toward passage of the Fiscal Year 2020 National Defense Authorization Act (NDAA). Although key differences remain between the House and Senate versions of the bill, the legislation is ultimately likely to include authorization for new investments by the Department of Defense (DoD) in software and cybersecurity, and potential changes in areas relevant to government contractors, such as commercial items, data rights, and cost or pricing data.
On June 27, 2019, the Senate passed its version of the NDAA, S 1790, which would authorize $750 billion in DoD spending for FY 2020. On July 12, 2019, the House of Representatives passed its version of the bill, H.R. 2500, which would authorize $733 billion. The process of reconciling those bills and passing a final NDAA for the president’s signature appears likely to be a lengthy one. No Republicans voted in favor of the House bill, which the Trump administration has threatened to veto, in large part because it falls short of the administration’s $750 billion budget request.
Following is a preview of the key procurement-related provisions of the 2020 NDAA that government contractors and others should watch for as the legislative process continues.
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