NDAA for Fiscal Year 2014 Features Significant Changes

By Kelline R. Linton,
Junior Associate.


The National Defense Authorization Act (“NDAA”) for Fiscal Year 2014 features several important legislative changes that may soon impact federal contractors.  The following are key highlights for 2014:


  • The NDAA replaces funds to cover underfunded combat operations and maintenance programs.
  • The NDAA places a cap of $625,000 for private sector executive compensation on DOD contracts.  This cap may be adjusted based on the Employment Cost Index.
  • The NDAA establishes a definition of a gender-neutral occupational standard to be used by each military service.
  • The NDAA expands religious freedom provisions to include beliefs and expressions of beliefs.


We recommend federal contractors review all the upcoming NDAA changes to determine their potential impact.  The full text of the NDAA: http://armedservices.house.gov/index.cfm/files/serve?File_id=215AC26C-A0E7-4B02-A63C-DD9D800AF2DB