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Seizing the Opportunity: President’s Procurement Order Holds Promise for Real Change
A recent executive order signed by the President on April 15th has the potential to bring about significant and positive change in government procurement. While the rhetoric surrounding such orders often dominates the conversation, it’s crucial to focus on the concrete requirements laid out. This new directive centers on two key objectives: mandating the procurement of commercial off-the-shelf (COTS) software over custom-built solutions and undertaking a major streamlining of the Federal Acquisition Regulation (FAR), the sprawling document governing federal purchasing.
These goals, while not entirely novel, represent valuable pursuits. If implemented effectively, this order could truly transform how the government acquires goods and services. However, achieving success hinges on learning from the lessons of the past. The Federal Acquisition Streamlining Act (FASA), a landmark reform effort, offers valuable insights. Its development was marked by extensive collaboration among agencies, Congress, industry, and third-party experts in a non-partisan manner, fostering the trust essential for success.
The politicization of acquisition over the past two decades has often turned procurement errors into broader political battles. To empower the acquisition workforce and foster a new culture, this must change. These professionals need to feel supported and viewed as part of the solution.
The preference for commercial solutions isn’t new, having been a core tenet of FASA and the evolution of FAR Part 12. The original vision of FAR Part 12 recognized that public procurement principles could be upheld without the burden of traditional, government-specific contracting requirements that arose when the government was largely a single buyer. Unfortunately, since FASA, approximately 150 contract clauses have been added to FAR Part 12, many lacking a statutory basis. This provides a clear starting point for the FAR review.
Past attempts at “clean sheet” approaches to federal acquisition, such as the Federal Aviation Administration’s Blue-Ribbon Panel and Other Transactions Authorities, often mirrored the original intent of Part 12. However, their full potential was frequently limited by adding unnecessary FAR or “non-FAR” clauses, which acted as barriers for commercial companies entering the federal market. The continued reliance on government-unique cost accounting procedures and arcane approaches to intellectual property and technical data rights are prime examples.
Real, lasting change requires a clear future vision and a commitment of necessary resources. FAR transformation is a complex, cross-organizational undertaking. Simply simplifying rules doesn’t equate to making acquisition “easier.” Commercial buying demands a different skillset and culture than traditional FAR models. The human capital aspect of such significant changes cannot be underestimated. Sustainable transformation in a massive organization like the government necessitates thoughtful, data-supported talent management and development, rather than arbitrary personnel cuts.
Overhauling the FAR and its agency supplements within 180 days is substantial. Yet, much of the foundational work has already been done. Considering that one of the government’s early uses of artificial intelligence was to help acquisition professionals understand the current rules highlights the absurdity of the existing complexity. This new procurement order offers a genuine opportunity to reshape the landscape. We must not let it slip away.
government procurement, federal acquisition regulation, FAR, commercial software, COTS, acquisition reform, FASA, streamlining, technology, innovation