DISA plans contracting fee cut

Defense Information Systems Agency officials announced today they will lower the agency's contracting fee-for-service rate from 2 percent to 1.25 percent starting Oct. 1, the first decrease in 13 years.

Officials at DISA's Defense Information Technology Contracting Organization (DITCO) reduced the fee by increasing revenues and improving cost control management. DITCO serves as the agency's contracting organization and functions under DISA’s Procurement and Logistics Directorate.

"The ability to reduce the fee to 1.25 percent is a direct result of the efforts of the men and women of DITCO to keep costs low despite increasing workload," said Evelyn DePalma, DISA’s director for procurement and logistics, in a DISA statement.

DITCO employees provide contracting and procurement support for DISA and defense agencies for telecommunications, IT and enterprise acquisition. The organization gets funded through the Defense Working Capital Fund.