President Trump has announced a major overhaul of how the U.S. government buys goods and services, aiming to save money and boost efficiency. The government spends nearly $1 trillion yearly but is slowed by complex, 2,000-page rules that favor big companies and create delays. The new plan, led by the Office of Federal Procurement Policy, will simplify these rules, cut unnecessary regulations, and focus on getting the best products at the lowest cost. It will also make it easier for small businesses to compete and add a website to keep everyone informed. This change is expected to speed up purchases, reduce waste, and deliver better results for taxpayers.
Briefings & Statements
White House Announces Revolutionary Federal Procurement Overhaul
The White House
April 16, 2025
Washington, D.C. – Today, President Trump announced a first-of-its-kind overhaul of Federal procurement policy in order to increase competition and efficiency while decreasing costs. The Office of Federal Procurement Policy (OFPP) within the Office of Management and Budget (OMB) will conduct a sweeping review and rewrite of the Federal Acquisition Regulations (FAR).
As the world’s largest buyer, spending almost $1 trillion annually on procurement contracts, the Federal Government should be promoting agility, competition, and results. Instead, our procurement process, after decades of regulatory buildup, does the exact opposite. It benefits ineffective and entrenched vendors who can afford massive compliance costs at the expense of every other potential vendor.
Led by OFPP, the FAR Council will rewrite the FAR in plain English, eliminate non-statutory and duplicative regulations, remove DEI and wokeness, and add buyer guides in place of burdensome and outdated requirements. The Federal Government will no longer procure useless and wasteful products like paper straws. It will focus on results above all else – the best products and services at the best cost.
The current FAR is over 2,000 pages long with nearly 3,000 complex and costly directives for potential vendors. These byzantine regulations have created a bureaucratic maze that stifle innovation, snuff out competition, and drive up costs.
A transaction that takes days for a normal business takes months or years for the Federal Government, and costs much more. Buyers and vendors alike spend more time navigating this bureaucratic maze than on delivering the best products and value for the taxpayer. In one case, a mission-support contract was delayed nearly two years after a public comment triggered multiple cascading legal reviews and procedural challenges that resulted in no real change to the acquisition strategy. Too often layered reviews and rigid compliance block progress and fail to meet the government’s needs.
Under President Trump’s leadership, those days are over. This long-overdue Revolutionary FAR Overhaul (RFO) will ensure a faster acquisition cycle, lower barriers to entry for small businesses, startups, and other new entrants, and eliminate wasteful bureaucratic bloat.
“This RFO will reduce more than 40 years of bureaucratic buildup that will unleash our procurement system with generational change and results. We are Making America Great Again,” said OMB Senior Advisor Kevin Rhodes. To complement the RFO, a brand-new website will bring an unprecedented level of transparency to the procurement process, so that any member of industry or the general public can stay informed on regulatory updates, buyer guides, and the overall process.
The White House
April 16, 2025