NDIA lauds Defense Department’s suspension of IR&D technical interchange rule, Senate's NDAA passage

Washington, DC

ARLINGTON, VA – The National Defense Industrial Association applauds two recent moves -- one from the Defense Department one from the Senate -- that will make doing business easier for contractors and other interested entities. 

First, NDIA agrees with the Defense Department’s decision last week to indefinitely suspend its November 2016 Defense Federal Acquisitions Regulation Supplement final rule, “Enhancing the Effectiveness of Independent Research and Development,” or IR&D.

The rule would determine acceptable expenses for independent research and development only after a contractor did a technical interchange with appropriate Defense Department personnel.  

A technical interchange is a discussion about a defense organization’s mission and research and development investment that benefits both the agency and the contractor.

The industry’s chief concerns with the rule are:

  • Practicality, time, resource, and data disclosure challenges and burdens
  • An inherent conflict with the rule’s mandated independence of IR&D
  • Effectiveness of the technical interchanges themselves

Read NDIA’s comments on the IR&D technical interchange proposed rule here, industry comments on the IR&D expenses proposed rule here, and more about NDIA’s views on IR&D here

Next, NDIA supports the Senate's passage Monday of the National Defense Authorization Act for fiscal year 2018. Conference negotiations with the House now may commence as soon as possible. 

The bill provides the Defense Department with requisite funds to close dangerous readiness gaps and upgrade and modernize key capability areas. Reforms are also included to the acquisition system and management processes within the department to help maintain technical superiority and better use of taxpayer dollars 


About NDIA

The National Defense Industrial Association (NDIA) is America's leading defense industry association promoting national security. NDIA provides a legal and ethical forum for the exchange of information between industry and government on national security issues. NDIA and its members foster the development of the most innovative and superior equipment, training, and support for warfighters and first responders through its divisions, local chapters, affiliated associations, and events. For more information, visit NDIA.org