Ensuring Commercial, Cost-Effective Solutions in Federal Contracts

[Federal Register Volume 90, Number 74 (Friday, April 18, 2025)]

[Presidential Documents]

[Pages 16433-16435]

From the Federal Register Online via the Government Publishing Office [www.gpo.gov]

[FR Doc No: 2025-06835]

Presidential Documents

Federal Register / Vol. 90, No. 74 / Friday, April 18, 2025 /

Presidential Documents

___________________________________________________________________

Title 3--

The President

[[Page 16433]]

Executive Order 14271 of April 15, 2025

Ensuring Commercial, Cost-Effective Solutions in

Federal Contracts

By the authority vested in me as President, by the

Constitution and laws of the United States of America,

it is hereby ordered:

Section 1. Purpose. A major goal of my Administration

is to eliminate unnecessary and imprudent expenditures

of taxpayer dollars. Previous administrations evaded

statutory preferences and abused the Federal

contracting framework by procuring custom products and

services where a suitable or superior commercial

solution would have fulfilled the Government's needs.

Doing so simultaneously stifled the integration of

commercially available innovations in Government

procurement while increasing Government spending,

resulting in avoidable waste and costly delays to the

detriment of American taxpayers. My Administration will

enforce existing laws directing the Federal Government

to utilize, to the maximum extent practicable, the

competitive marketplace and the innovations of private

enterprise to provide better, more cost-effective

services to taxpayers.

s to the

detriment of American taxpayers. My Administration will

enforce existing laws directing the Federal Government

to utilize, to the maximum extent practicable, the

competitive marketplace and the innovations of private

enterprise to provide better, more cost-effective

services to taxpayers.

Sec. 2. Policy. It is the policy of my Administration

that agencies shall procure commercially available

products and services, including those that can be

modified to fill agencies' needs, to the maximum extent

practicable, including pursuant to the Federal

Acquisition Streamlining Act of 1994 (Public Law 103-

355, as amended) (FASA).

Sec. 3. Definitions. For purposes of this order:

(a) ``Agency'' means an executive department, a

military department, or any independent establishment

within the meaning of 5 U.S.C. 101, 102, and 104(1),

respectively, and any wholly owned Government

corporation within the meaning of 31 U.S.C. 9101(c).

(b) ``Approval authority'' means the senior

procurement executive, designated pursuant to 41 U.S.C.

1702(c), who is responsible for management direction of

the acquisition system of an agency, including

implementation of the unique acquisition policies,

regulations, and standards of the agency.

(b) ``Approval authority'' means the senior

procurement executive, designated pursuant to 41 U.S.C.

1702(c), who is responsible for management direction of

the acquisition system of an agency, including

implementation of the unique acquisition policies,

regulations, and standards of the agency.

(c) ``Contracting officer'' has the meaning given

in 48 C.F.R. 2.101.

Sec. 4. Review of Pending Actions. (a) Within 60 days

of the date of this order, each agency's approval

authority shall direct the agency's contracting

officers to conduct a review of all open agency

solicitations, pre-solicitation notices, solicitation

notices, award notices, and sole source notices for

non-commercial products or services, such as highly

specialized, Government-unique systems, custom-

developed products or services, or research and

development requirements where the agency has not

identified a satisfactory commercial option. Each

contracting officer shall consolidate each such agency

solicitation, pre-solicitation notice, solicitation

notice, award notice, and sole source notice into a

proposed application requesting approval for the

purchase of the non-commercial products or services,

which shall be submitted to the agency's approval

authority

all consolidate each such agency

solicitation, pre-solicitation notice, solicitation

notice, award notice, and sole source notice into a

proposed application requesting approval for the

purchase of the non-commercial products or services,

which shall be submitted to the agency's approval

authority. The proposed applications shall contain the

market research and price analysis used to determine

the availability of commercial products and services to

meet the Government's needs and to justify the

procurement of a non-commercial product or service, as

required by 41 U.S.C. 3307(d) and 10 U.S.C. 3453(c) and

3453(d), as applicable, and the rationale for pursuing

a Government-unique, custom-developed or otherwise non-

commercial product or service.

[[Page 16434]]

(b) Within 30 days of the date of the receipt of

the proposed applications for solicitation of non-

commercial products or services under subsection (a) of

this section, each approval authority shall:

(i) assess each proposed application's compliance with FASA, including the

sufficiency of the market research and price analysis provided in support

of the procurement of non-commercial products or services, and take

appropriate action with respect to any deficiencies in the proposed

application, including returning the application or any portion of the

application to the contracting officer for additional research or action

with respect to potential commercial products or services; and

(ii) make appropriate recommendations to advance the solicitation of

commercial products or services where those products or services would be

sufficient to serve the applicable procurement needs.

ion, including returning the application or any portion of the

application to the contracting officer for additional research or action

with respect to potential commercial products or services; and

(ii) make appropriate recommendations to advance the solicitation of

commercial products or services where those products or services would be

sufficient to serve the applicable procurement needs.

(c) Within 120 days of the date of this order and

annually thereafter, each agency's approval authority

shall provide a report to the Director of the Office of

Management and Budget (OMB) detailing the agency's

compliance with FASA and its progress toward

implementing the policies of this order.

Sec. 5. Oversight of Non-Commercial Procurements. (a)

Whenever an agency proposes to solicit a non-commercial

product or service, the applicable contracting officer

shall provide the agency's approval authority with a

description of the proposed procurement, which shall

include the specific reasons a non-commercial product

or service is required, including all market research

and price analysis in support of the proposed

solicitation for such product or service. The approval

authority shall review and approve or deny the proposal

in writing.

curement, which shall

include the specific reasons a non-commercial product

or service is required, including all market research

and price analysis in support of the proposed

solicitation for such product or service. The approval

authority shall review and approve or deny the proposal

in writing.

(b) In conducting the review under subsection (a)

of this section, the approval authority may seek input

regarding the proposal from the Director of OMB. In

such cases, the Director of OMB, in consultation with

the Administrator for Federal Procurement Policy, shall

review and assess the validity of the proposal,

including the thoroughness of the market research and

price analysis, and shall notify the approval authority

in writing whether the Director of OMB recommends that

the proposal be approved or denied.

Sec. 6. General Provisions. (a) Nothing in this order

shall be construed to impair or otherwise affect:

(i) the authority granted by law to an executive department or agency, or

the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget

relating to budgetary, administrative, or legislative proposals.

(b) This order shall be implemented consistent with

applicable law and subject to the availability of

appropriations.

[[Page 16435]]

by law to an executive department or agency, or

the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget

relating to budgetary, administrative, or legislative proposals.

(b) This order shall be implemented consistent with

applicable law and subject to the availability of

appropriations.

[[Page 16435]]

(c) This order is not intended to, and does not,

create any right or benefit, substantive or procedural,

enforceable at law or in equity by any party against

the United States, its departments, agencies, or

entities, its officers, employees, or agents, or any

other person.

(Presidential Sig.)

THE WHITE HOUSE,

April 15, 2025.

[FR Doc. 2025-06835

Filed 4-17-25; 8:45 am]

Billing code 3395-F4-P