Ensuring Commercial, Cost-effective Solutions in Federal Contracts

Honest Title:

Federal Procurement: Prioritizing Price Over Public Needs & Rights

Constitutional Risk:
4
Signed by: Donald J. Trump
Signed: 4/16/2025
Last Updated: 4/28/2025
Executive Order

Summary

Order forces review/justification for federal contracts using non-commercial items, prioritizing cost-effective commercial solutions per FASA. Aims to cut waste, boost market innovation. Requires agency head approval & OMB reporting for exceptions. This directive prioritizes off-the-shelf commercial solutions over custom government ones to save money. While potentially cutting waste, it risks hindering development of critical unique capabilities needed for specialized missions (like defense/space) and could add bureaucratic hurdles or favor large firms, potentially overlooking long-term performance or security needs.