70% of intel spending goes to contractors at NSA...

From Secrecy News:

NSA REPORTS HUGE GROWTH IN CONTRACTOR BASE

The industrial base of contractors in industry seeking to do business with the National Security Agency has mushroomed in recent years, according to an NSA acquisition official. In 2001, only 140 contractors were eligible to compete for NSA contracts. Today, there are six thousand such contractors, said Deborah Walker of the NSA.

She spoke at a contractor conference sponsored by the Defense Intelligence Agency last month. The number of contractor facilities cleared by the NSA has grown from 41 in 2002 to 1265 in 2006, according to a chart that she presented in her talk.The result is an increase in competitiveness and improved communication with industry, Ms. Walker indicated.

"Partnerships with industry [are]vital to mission success," she said.

See "Acquisition Resource Center," presentation by Deborah Walker, National Security Agency, May 2007, Unclassified/FOUO:

http://www.fas.org/irp/nsa/walker.pdf

Contractors now consume as much as 70% of U.S. intelligence spending, reported Tim Shorrock in Salon last week.

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