Changes to FAR - "Restoring Common Sense to Federal Procurement": A New Era of Efficiency | My ISO Consultants
- My ISO Jay
- Apr 17
- 3 min read
Changes to FAR - Restoring Common Sense to Federal Procurement: A New Era of Efficiency
On April 15, 2025, President Trump issued an executive order titled "Restoring Common Sense to Federal Procurement," aiming to overhaul the Federal Acquisition Regulation (FAR) and streamline the procurement process for the federal government [1]. This executive order marks a significant shift towards a more agile, effective, and efficient procurement system, addressing long-standing issues that have plagued federal procurement for decades. In this article we will take a look at the changes to FAR - "Restoring Common Sense to Federal Procurement".
Purpose and Background
The federal government is the largest buyer of goods and services globally, yet the process of conducting business with it has often been inefficient and costly. The FAR, implemented over 40 years ago, was designed to establish uniform procedures for acquisitions across executive departments and agencies. However, it has grown to over 2,000 pages of regulations, creating an excessive and overcomplicated framework [1]. Comprehensive studies, including the 2024 Senate committee report "Restoring Freedom's Forge" and the 2019 report by the Advisory Panel on Streamlining and Codifying Acquisition Regulations, have highlighted the FAR's inefficiencies [1].
Key Objectives
The executive order outlines several key objectives to reform the FAR:
Simplification of Regulations: The FAR will be revised to include only provisions required by statute or essential to sound procurement. Unnecessary regulations that do not advance the objectives of efficiency and effectiveness will be removed [1].
Enhancing Agility: The new policy aims to create the most agile procurement system possible, removing undue barriers and allowing for the expansion of the national and defense industrial bases [1].
Financial Responsibility: Aligning with Executive Order 14192 (Unleashing Prosperity Through Deregulation), the reform will promote prudent and financially responsible expenditure of funds, alleviating unnecessary regulatory burdens on the American people[1].
Pros and Cons
Pros:
Increased Efficiency: Streamlining regulations will make the procurement process more efficient, reducing time and costs associated with federal acquisitions[1].
Improved Value: The focus on delivering the best value product or service to the customer while maintaining public trust ensures that taxpayer money is spent wisely [1].
Enhanced Competitiveness: Simplifying the procurement process will make it easier for businesses to engage with the federal government, fostering a more competitive environment [1].
Cons:
Implementation Challenges: Overhauling a complex system like the FAR may face resistance and logistical challenges, potentially causing temporary disruptions [1].
Risk of Oversimplification: While simplification is beneficial, there is a risk that essential regulations might be removed, potentially compromising procurement integrity [1].
Adaptation Period: Businesses and government agencies will need time to adapt to the new regulations, which could slow down procurement activities initially [1].
Conclusion
The executive order "Restoring Common Sense to Federal Procurement" represents a bold step towards modernizing federal procurement. By addressing the inefficiencies of the FAR and promoting a more agile and effective system, this reform will benefit both the government and the American taxpayers. As the federal government continues to manage nearly $1 trillion annually in procurements, these changes are crucial for ensuring that the procurement process is both efficient and financially responsible [1].
Feel free to share your thoughts or ask any questions about this executive order!
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