President Orders Feds to Buy Off-the-Shelf, Cut Custom Costs
Published Date: 4/18/2025
Presidential Document
Summary
The President wants federal agencies to buy more ready-made, commercial products and services instead of custom ones to save taxpayer money and speed things up. Agencies must review all current contracts within 60 days to make sure they follow this new rule. This change affects all federal departments and aims to cut waste and bring in fresh, cost-effective ideas from the private sector.
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Analyzed Economic Effects
2 provisions identified: 2 benefits, 0 costs, 0 mixed.
Federal Preference for Commercial Products
The President ordered that federal agencies shall procure commercially available products and services, including those that can be modified, 'to the maximum extent practicable' pursuant to the Federal Acquisition Streamlining Act (FASA). This policy directs all executive departments, military departments, independent establishments, and wholly owned Government corporations to favor marketplace solutions over custom-developed, Government-unique systems.
Mandatory Reviews and Market Research Deadlines
Agencies must have their approval authority direct contracting officers to review all open solicitations for non-commercial products or services within 60 days of the order and consolidate them into proposed applications that include market research and price analysis. Approval authorities then have 30 days after receipt to assess those applications, and agencies must report to OMB within 120 days and annually thereafter on compliance and progress.
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Key Dates
Department and Agencies
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