Procurement is Changing: What the FAR Rewrite and Commercial Products Mandate Mean for Government Contractors

If you’ve ever felt like navigating the federal procurement process was more about dodging red tape than landing opportunities, you’re not alone. For years, businesses—especially small and mid-sized contractors—have had to wrangle with bloated regulations, lengthy solicitations, and the daunting Federal Acquisition Regulation (FAR) system that governs it all.

But change is finally here.

In April 2025, two major Executive Orders (EOs) were signed that may radically reshape how the federal government does business with the private sector. These orders are aimed squarely at making procurement faster, leaner, and more accessible—especially for companies that bring commercial innovations and agility to the table.

For contractors, the writing is on the wall: the government is moving toward a more commercial-friendly, streamlined procurement environment. That’s great news—if you’re ready to act.

Let’s walk through what these EOs mean, why they matter, what opportunities they open up, and how your business can position itself to thrive in this new landscape.

What Just Happened: The Two Executive Orders That Matter

✍🏻 Executive Order #1: Simplifying the Federal Acquisition Regulation (FAR)

The first Executive Order directs the Office of Federal Procurement Policy (OFPP) and the Federal Acquisition Regulatory (FAR) Council to overhaul the FAR within 180 days.

Here’s the core directive:

Only keep FAR provisions that are required by statute or are essential to sound procurement.

In other words, it’s time to trim the fat. Any rule in the FAR that isn’t legally required or critically necessary will be on the chopping block. Even more impactful: any non-statutory FAR provisions that do survive the rewrite will expire in four years unless explicitly renewed.

✍🏻 Executive Order #2: Prioritizing Commercial Solutions

The second EO focuses on aligning federal purchasing habits more closely with the commercial marketplace. It mandates that agencies must prioritize commercially available products and services (COTS) over custom-built or heavily tailored solutions.

If an agency wants to deviate from this rule, it must submit a waiver request within 60 days—essentially justifying why a custom solution is needed.

Why This Matters: The Government Is Shifting Gears

Federal procurement has long been criticized for being slow, risk-averse, and over-regulated. These two Executive Orders represent a cultural and operational shift toward:

• Speed over stagnation
• Commercial over custom
• Agility over bureaucracy

For contractors, especially those in the small to mid-sized range, this signals an opportunity to rise above the noise. But it also means taking a fresh look at how your business fits into this evolving procurement ecosystem.

Let’s unpack the opportunities, risks, and actions you can take right now.

✔️Opportunities for Contractors

1. Simplified Rules = Reduced Barriers to Entry

The FAR rewrite aims to reduce regulatory friction that often locks out smaller or newer vendors. If you’ve struggled with proposal compliance or regulatory red tape in the past, the new rules could level the playing field.

This will:

• Lower compliance burdens
• Shorten procurement cycles
• Make it easier to submit competitive offers

Contractors without armies of lawyers and proposal writers can finally breathe a little easier.

2. A Bigger Role for Commercial Offerings

With the second EO putting commercially available products and services front and center, this is a huge win for firms that:

• Sell off-the-shelf products
• Offer SaaS or cloud solutions
• Provide widely-used commercial services

If your offerings are already battle-tested in the private sector, the government wants you in the game—and fast.

3. Faster Procurement Decisions

By requiring agencies to justify custom solutions within 60 days, procurement timelines could shrink. Faster decisions mean:

• More responsive solicitations
• Less time spent waiting on award decisions
• Increased flexibility in how and when you engage with buyers

This could particularly benefit agile firms that can move faster than traditional incumbents.

⚠️ Risks to Be Aware Of

1. Contract Consolidation Under GSA

With procurement simplification often comes centralization. There’s a possibility that more spending could funnel through larger Indefinite Delivery, Indefinite Quantity (IDIQ) vehicles or GSA contracts, reducing the number of prime opportunities.

This may result in:

• Larger contracts with more requirements
• Tighter competition among primes
• Increased pressure to team or subcontract

Smaller firms not on these vehicles may find it harder to compete—unless they partner wisely or get on the right schedules.

2. Interpretation Ambiguity

The phrase “essential to sound procurement” is, well, a little vague. Different agencies may interpret the new rules differently, especially in the early stages.

This could create:

• Temporary confusion during solicitations
• Uncertainty in evaluation criteria
• Variability in contract terms across agencies

Until final rules and guidance are published, the road could be a little bumpy.

3. Review of Existing Vehicles

Longstanding vehicles, including existing IDIQs and BPAs, may be scrutinized for efficiency or alignment with the new policy goals.

That means:

• Fewer renewals of underperforming or outdated vehicles
• Potential consolidation or sunsetting of duplicative contract vehicles
• Need to revalidate your place in the procurement ecosystem

🔑 Proactive Steps Contractors Should Take Now

If you want to be competitive under this new procurement direction, there are a few smart moves to make right now:

1. Audit and Document Your Commercial Offerings

Make sure you can clearly articulate:

• How your product or service solves government problems
• Where it’s been deployed in the private sector
• Why it requires minimal customization

Your marketing material—especially your Capability Statement—should reflect this.

2. Optimize (or Pursue) a GSA Schedule

If you’re not already on the GSA Multiple Award Schedule, now is the time to seriously consider it. With a renewed focus on commercial solutions and centralized buying, a GSA Schedule positions you well to:

• Offer your commercial product at pre-approved rates
• Tap into streamlined procurement processes
• Increase your visibility to federal buyers

At FedBiz Access, we offer a comprehensive GSA Schedule Proposal Assistance Program—ideal for businesses that want our team to handle the entire proposal preparation process from start to finish. The outcome? A ready-to-submit GSA Schedule proposal that’s written for easy GSA review and award. We take care of the heavy lifting so you can focus on what you do best: delivering value.

3. Strengthen Strategic Partnerships

With potential contract consolidation, teaming up could become critical. Look to:

• Find complementary partners
• Form Joint Ventures or Mentor-Protégé relationships
• Leverage subcontracting to get in on larger awards

Use tools like market research databases to identify strong partners with relevant past performance and agency traction. Our platform, FedBiz365, makes this step easier than ever. It gives you access to agency data, contracting officer contacts, and solicitation insights that help you craft smarter outreach.

4. Engage with Contracting Officers Early

Don’t wait for the RFP drop. Educate COs and program managers now about:

• How your commercial solutions meet mission needs
• How you reduce acquisition risk
• Past performance examples that prove your value

If you need help executing an effective outreach strategy, our Federal Connections and MatchMaker services are well worth reviewing. We connect you directly with buyers—so your capabilities don’t go unnoticed.

5. Highlight Your Success Over Custom Solutions

Make it crystal clear where your solutions have:

• Delivered faster results
• Outperformed custom builds
• Reduced implementation costs or burden

The more you can show this, the more aligned you’ll be with the direction procurement is headed.

A Word on Timing: It’s Already Happening

The FAR rewrite has a 180-day deadline. That means revisions and policy shifts are happening now, and contracting officers will soon begin to adopt new practices.

Agencies are also under pressure to submit their commercial solution waivers within 60 days, so internal reviews are already underway.

In other words: this isn’t a vague policy proposal—it’s an active shift. And those who move early will be best positioned to benefit.

Final Thoughts: This Is the Moment for Agile Contractors to Shine

Big change can feel intimidating—but it’s also when the most meaningful opportunities emerge.

If you’re a small or mid-sized contractor with a proven commercial solution, now is your moment. The federal government is rolling out the red carpet for vendors who can deliver fast, cost-effective results without the baggage of complex customization.

But only if you’re ready to speak their language, show your value, and position yourself correctly.

Need Help Navigating the Transition?

At FedBiz Access, we’ve spent over 24 years helping businesses succeed in the government marketplace. From registrations and SAM/DSBS optimization to GSA Schedule preparation, capability statements, and direct outreach—we’ve done it all.

We stay on top of federal policy so you don’t have to. If you’re unsure how to adjust your strategy during this transition, our team is here to guide you from registration to award.

👉 Schedule a complimentary consultation with a FedBiz Specialist today.

Let’s prepare your business for this new procurement era—together.