President Donald J. Trump signed a new Executive Order today aimed at overhauling the Federal Acquisition Regulation (FAR), initiating a 180-day federal procurement reform effort designed to streamline the government’s acquisition rules and reduce regulatory overhead.
The directive mandates that the Administrator of the Office of Federal Procurement Policy, in coordination with the Federal Acquisition Regulatory (FAR) Council, agency heads, and senior procurement officials, take “appropriate actions” to amend the FAR. The goal is to retain only those provisions required by statute or necessary to ensure simplicity, usability, procurement system effectiveness, or to safeguard national and economic security interests.
Agencies Must Act Within Days
Under Section 5 of the order, each federal agency exercising procurement authority under the FAR has 15 days to appoint a senior acquisition or procurement official. These designees will work directly with the Administrator and the FAR Council to ensure that agency-level supplements to the FAR align with the new reform agenda. They are also charged with recommending the revision or removal of any supplemental regulations deemed inconsistent with the Executive Order’s objectives.
In addition, the Director of the Office of Management and Budget (OMB) is required, within 20 days, to issue a government-wide memorandum. This guidance will offer a roadmap for how agencies should implement the order and ensure consistent application of policy changes. The memorandum will also include proposals for new supplemental regulations and internal policies that promote expedited and streamlined acquisitions.
As part of this process, agencies will be expected to comply with the “ten-for-one” deregulation policy introduced in Trump’s earlier Executive Order 14192. That policy requires the removal of ten regulations for each new one introduced, further underscoring the administration’s push for deregulation.
Interim Guidance and Regulatory Sunset
Pending formal rule changes, the Administrator and the FAR Council are authorized to issue interim and deviation guidance to assist agencies in aligning with the Executive Order while the amendment process is underway.
Significantly, the order also introduces a regulatory sunset provision. Under Section 6, the FAR Council must:
- Identify any existing FAR provisions not required by law that will remain in effect.
- Consider adding expiration clauses to these provisions, such that they automatically expire after four years unless renewed.
- Apply the same four-year expiration consideration to any new non-statutory FAR provisions established following the reform.
- This mechanism is intended to ensure ongoing review of the FAR and its supplements, reducing the likelihood that non-essential regulations remain in place indefinitely.
No Impact on Existing Legal Authorities
The final section of the order, Section 7, clarifies that nothing in the Executive Order shall override existing statutory authorities or the role of the OMB in budgetary and legislative matters. The order is to be implemented in accordance with applicable laws and subject to available appropriations.
It also explicitly states that the order does not create any enforceable rights or benefits for individuals or entities, preserving its administrative nature.
Broader Context
Today’s Executive Order follows former President Trump’s continued focus on regulatory reform and administrative streamlining, themes that were central during his presidency and remain key points in his post-office policy initiatives.
The 180-day timeline sets an aggressive pace for agencies to review, revise, and realign procurement regulations across the federal government. Additional guidance and proposed rule changes are expected in the coming weeks as agencies begin to respond to the directives outlined in the order.