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Revolutionary FAR Overhaul Enters Phase 2

June 26, 2026

2 min read

Key Takeaways

FAR Council issues four proposed rules for Phase 2 of the RFO.
Proposed rules revise twenty FAR parts and introduce permanent regulations.
Contractors can comment on proposed rules until July 23, 2026.
Proposed changes go beyond existing deviation framework.

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Strategic Implications

The proposed rules may indicate a significant shift in federal procurement policies, suggesting a more streamlined and modernized approach to acquisition procedures. The changes could provide greater flexibility for contracting officers and may lead to increased efficiency in the procurement process, which could benefit contractors and the government alike.

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What Happened

Proposed Rules Introduce Sweeping Changes To Federal Acquisition Regulation

The FAR Council has issued four proposed rules as part of Phase 2 of the Revolutionary FAR Overhaul, aiming to simplify and modernize the Federal Acquisition Regulation. The proposed rules would revise twenty FAR parts, introducing permanent regulations and refining existing policies. Contractors can offer comments on the proposed rules until July 23, 2026. The proposed changes are intended to eliminate duplicative requirements, relocate procedural guidance, and provide greater flexibility for contracting officers. The overhaul was first reported by Pillsbury Winthrop Shaw Pittman.

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