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119-hr-1554119th CongressWALLET

Freedom from Government Competition Act of 2025

Sponsored By: Representative Bean, Aaron [R-FL-4]

Introduced

Summary

This bill would make the federal government _limit competition with private providers_ by forcing agencies to rely on commercial sources when those options are more economical. It would also restrict federal employees to inherently governmental duties and set rules and timelines for shifting commercial activities to private firms.

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  • Agencies and federal employees: Agencies would have to stop providing goods or services when a private option is more economical and limit federal staff to "inherently governmental" tasks as defined by existing law.
  • Private-sector providers: Private firms would gain more contract opportunities because agencies must either divest, award competitive contracts, or run public-private sourcing contests to establish best value.
  • Oversight and timeline: The Office of Management and Budget would write implementing rules, produce an annual study and report to Congress by June 30, and include a schedule to transfer commercial activities to the private sector within 5 years of each report.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Five-year plans to move work private

If enacted, the Office of Management and Budget (OMB) would review agency activities each year and report to Congress by June 30. Each report would review why any work was exempt and set a schedule to shift commercial activities to private providers within five years. This could speed the flow of federal work to contractors.

More federal work for private firms

If enacted, covered agencies would have to rely on private suppliers for most goods and services. They would divest the activity, award a competitive contract, or run a public‑private study that shows the best value for taxpayers. Federal workers would be kept for tasks the law treats as inherently governmental. Agencies could skip privatizing work only if law requires federal performance, defense or homeland security needs demand it, the task is inherently governmental or mission‑critical, or no private provider is able to do it. Agencies could move work back in‑house only after a public‑private study finds federal employees are the best value.

Who must follow these buying rules

If enacted, the rules would cover executive departments, military departments, and independent establishments. OMB would issue regulations to carry out the bill and to make sure states, territories, and local governments follow the policy when they spend federal funds. These coverage and compliance requirements would start upon enactment.

Sponsors & CoSponsors

Sponsor

Bean, Aaron [R-FL-4]

FL • R

Cosponsors

  • Rep. Cline, Ben [R-VA-6]

    VA • R

    Sponsored 2/25/2025

  • Rep. Stutzman, Marlin A. [R-IN-3]

    IN • R

    Sponsored 2/25/2025

  • Rep. Moore, Barry [R-AL-1]

    AL • R

    Sponsored 4/2/2025

  • Rep. Van Duyne, Beth [R-TX-24]

    TX • R

    Sponsored 4/7/2025

  • Rep. Steube, W. Gregory [R-FL-17]

    FL • R

    Sponsored 8/8/2025

  • Rep. Crank, Jeff [R-CO-5]

    CO • R

    Sponsored 4/13/2026

Roll Call Votes

No roll call votes available for this bill.

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