PRESIDENT’S LETTER

Welcome to summer, 2023! Each year at this time, PSC engages in at least two competing dynamics. First, there are actions that are part of the annual cycle of budgets and contracts. In parallel, there are new initiatives and priorities from Congress and the administration, shaping the future and responding to current conditions.

This summer, we have an abundance of work on both fronts. Each creates its own uncertainties, and dealing with both takes strategic planning tied to actual actions. Our summer issue covers both.

The end of Fiscal Year 2023 (FY23) is nearly upon us, though Congress and the White House remain far apart FY24 funding. As a result, we are virtually guaranteed to start FY24 on October 1, 2023, under a Continuing Resolution, or CR, for the 18th time in the last 20 years.

How long will the government operate under CRs? Might we see another government shutdown? You can read more of my thinking, and what you can do to prepare, in “The Debt Limit Deal: What to Watch for This Year” on page 10.

The uncertainty of FY24 funding underscores the need for service contractors to ramp up strategic planning. In “Setting the Stage” on page 5, Pierre Chao outlines five questions that companies should ask and answer as part of that process. Though he focuses on defense, his principles apply to contractors for civilian agencies as well.

2023 brought a return to divided government, defined as at least one house of Congress under the majority of the party that is not in the White House. Nearly 30 of the past 42 years have been under such arrangements, adding emphasis to the need to follow legislation that ultimately must pass a Republican House and a Democratic Senate. Our regular Bill Tracker, which begins on page 13, is a good place to start.

Strategic planning and following congressional action on funding bills are essential elements of success for government contractors, small or large. It is also important to know on what agencies plan to use those funds. For that, PSC provides additional information and support.

Each year, we issue a scorecard that examines most of the business forecast information from federal agencies. Assessing each agency against 15 key attributes, we tell you which forecasts are the most complete, accessible, navigable, and up-to-date. See a summary of this year’s report, starting on page 18.

You can also visit www.pscouncil.org and search “Business Forecast Scorecard” for the full report results and the supporting comments from the government itself.

Agency forecasts are not all that companies need. They also need reliable data and program insights from their government customers. PSC’s annual Vision Federal Market Forecast provides that each year. While the results of this year’s process will not be available until November’s conference, you can take a peek at the process behind the reports in the summary that starts on page 8.

Strategic planning also benefits from face-to-face interaction with government leaders across the agencies. In June, PSC held our annual Acquisition Conference, where in-person speakers engaged with our attendees on issues ranging from speed of contract award and government-industry collaboration to emerging cybersecurity rules. For the first time since Covid hit, our speakers were there, live on stage.

PSC continues to hold conferences and events that you can attend in person or virtually. Plan now to attend the Defense conference in October and the Development conference in November.

The government contracting industry continues to be a key element of every agency’s success, and PSC continues to work with our members to address challenges in many areas: in Congress providing funds, in agencies obligating those funds, in awarding contracts on schedule, and in finding and keeping enough great workers in the federal total workforce. Look for more insights and updates on these issues and more in our next edition.

As always, I welcome any feedback, considerations or questions about PSC’s advocacy efforts and how we can best work with industry to accomplish mission goals across the government.

For now, we wish you a safe summer season.

David J. Berteau, President and CEO