Forrest W Cameron CPA PC

Section 1826 of the 2026 NDAA introduces a shift for nontraditional defense contractors by removing decades of complex cost-reporting rules.

Dan Ramish explains that these firms are now exempt from FAR Part 31 cost principles, certified pricing data, and burdensome business system requirements. These exemptions apply to nearly 90% of the defense industrial base, aiming to lower barriers for commercial innovators and small businesses.

Read the full interview on how this NDAA provision will reshape defense contracting compliance:

A sweeping NDAA change could strip away decades of cost rules for most defense contractors | Federal News Network [DoD will] need to establish new and presumably vastly streamlined rules that balance the other statutory constraints…