The FAR Council has been rolling out piecemeal revisions to the Federal Acquisition Regulation (FAR) as directed by executive order “Restoring Common Sense to Federal Procurement.” For background on the broader goals and implications of this reform effort, see our earlier post, “Understanding the Overhaul of Federal Procurement Regulations.”
To date, the FAR Council has promulgated proposed revisions to Parts 1, 10, 11, 18, 34, 39, 43, and 52 of the FAR. While these revisions are subject to traditional notice-and-comment procedures, federal agencies are using reasonable efforts to implement the FAR Council’s proposed changes before they are finalized. Below is a summary of the proposed revisions that federal contractors should be watching.
What’s Already Changed: Key FAR Revisions to Parts 1, 34, and 52
For a breakdown of the earlier updates issued under the same executive order, read our previous client alert, “The Revolutionary FAR Overhaul: What Federal Contractors Need to Know.”
What’s New: Proposed FAR Revisions Federal Contractors Should Know
Part 10: Market Research
- Provides federal agencies with more flexibility in market research methods at all dollar thresholds.
- Retains the requirement that federal agencies conduct market research for all acquisitions, task orders, and delivery orders with an estimated value exceeding the simplified acquisition threshold.
- Removes the requirement that federal agencies conduct market research for acquisitions with an estimated value below the simplified acquisition threshold when adequate pricing information is unavailable.
- Removes suggested procedures for federal agencies conducting market research.
- FAR 52.210-1, “Market Research,” shall be included in solicitations and contracts for noncommercial acquisitions over $6 million.
Part 11: Describing Agency Needs
- Removes the directive that federal agencies promote sustainable acquisitions as outlined in the Green Procurement Compilation (GPC).
- Federal agencies may consider commercial market acceptance as the sole criterion when assessing whether an item meets its requirements.
- Removes provisions governing the identification and availability of specifications.
- Removes provisions for establishing delivery or performance schedules, as well as the factors federal agencies should consider when establishing such schedules.
- Retains the Defense Priorities and Allocations System (DPAS) for acquisitions supporting national defense, emergency preparedness, and energy programs.
Part 18: Emergency Acquisitions
- Federal agencies are no longer encouraged to procure sustainable products and services when those services are intended for emergency acquisitions.
- Retains emergency acquisition flexibilities for contingency operations, cyber, nuclear, biological, chemical and radiological attacks, international disaster assistance, and other major disasters.
Part 39: Acquisition of Information and Communication Technology
- Removes the requirement that contracting officers must consider the appropriate contract vehicle for every award of every subsequent increment of a modular Information Technology contract.
- The upcoming changes to this Part will indicate that federal agencies are no longer required to request that IT contractors to describe the minimum experience or educational requirements for proposed contractor personnel.
Part 43: Contract Modifications
- Clarifies the process for documenting and defining change orders—for example, a contracting officer will no longer provide a list of significant contract events when the contracting officer requires a field pricing review of requests for equitable adjustment.
Conclusion
These proposed revisions signal a continued shift in federal procurement priorities under the “Restoring Common Sense” Executive Order. Although not yet finalized, agencies are already moving to implement the changes, and contractors should take note. Staying current on the evolving FAR landscape is essential to remain competitive, compliant, and well-positioned for upcoming opportunities.