Fact Sheet: President Donald J. Trump Restores Common Sense to Federal Procurement

4/15/2025

Fact Sheets

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Action Summary

Simplifying Federal Procurement: The Order mandates a dramatic simplification of the Federal Acquisition Regulation (FAR) to include only statutory or essential provisions for efficient, secure, and cost-effective procurement.
Agency Alignment and Guidance: Agencies must align their regulations with the streamlined FAR, and interim guidance will be issued until final reforms are published.
Regulatory Sunset Provision: Non-statutory provisions in the FAR may expire after four years unless explicitly renewed.
Eliminating Business Barriers: Aims to reduce bureaucratic hurdles that currently hinder efficient and cost-effective business with the Federal Government, the world’s largest buyer of goods and services.
Enhancing Taxpayer Efficiency: Part of a broader 10-to-1 deregulation initiative focused on ensuring new regulations bring clear benefits, promoting commercial options to drive innovation and cost savings.
Government Efficiency Initiatives: Establishment of the “Department of Government Efficiency” to reduce bureaucracy, eliminate wasteful spending, and streamline Federal operations, including reversing excessive regulations from prior administrations.

Risks & Considerations

The Executive Order to streamline the Federal Acquisition Regulation (FAR) could impact Vanderbilt University’s ability to secure federal contracts. Simplification may lead to increased competition, potentially affecting the university’s success in obtaining government-funded projects.
With the reduction of bureaucratic hurdles, there may be a shift in the types of projects and research that receive federal funding. Vanderbilt may need to adapt its research focus to align with new priorities set by the streamlined procurement process.
The regulatory sunset provision could create uncertainty in long-term planning for projects reliant on federal procurement, as non-statutory provisions may expire unless renewed. This could affect ongoing and future research initiatives at Vanderbilt.
Vanderbilt’s partnerships with federal agencies may need to be reevaluated to ensure compliance with the new streamlined regulations and to maintain eligibility for federal contracts.

Impacted Programs

Vanderbilt’s Research and Innovation Programs may need to adjust their strategies to remain competitive in securing federal contracts under the new procurement system.
The Office of Sponsored Programs might need to provide additional support and guidance to faculty and researchers navigating the changes in federal procurement regulations.
Vanderbilt’s Business and Law Schools could see increased demand for expertise in federal procurement law and policy, presenting opportunities for curriculum development and research.
The Center for Technology Transfer and Commercialization may need to explore new avenues for commercializing research in light of the market-driven focus of the new procurement system.

Financial Impact

The simplification of the FAR could lead to changes in the funding landscape for federally funded projects, potentially affecting Vanderbilt’s revenue from government contracts.
Vanderbilt may need to invest in training and resources to ensure compliance with the new procurement regulations, which could incur additional costs.
There may be opportunities for Vanderbilt to secure funding for innovative projects that align with the market-driven focus of the new procurement system, potentially increasing revenue from federal contracts.
The increased competition for federal contracts could impact Vanderbilt’s financial planning and necessitate adjustments in budgeting and resource allocation.

Relevance Score: 3 (The order presents moderate risks involving compliance and potential changes in federal contract opportunities.)

Key Actions

Vanderbilt’s Office of Federal Relations should closely monitor the changes to the Federal Acquisition Regulation (FAR) to understand how these simplifications might impact the university’s ability to secure federal contracts. Engaging with federal agencies to align Vanderbilt’s procurement processes with the new streamlined regulations could enhance the university’s competitiveness in securing government contracts.
The Vanderbilt Project on Unity & American Democracy should consider conducting research on the impacts of deregulation initiatives on public sector efficiency and innovation. This research can provide valuable insights into how these changes affect the broader economy and public services, positioning Vanderbilt as a thought leader in policy analysis.
Vanderbilt’s Financial and Administrative Services should evaluate the potential cost savings and efficiencies that could be realized by adopting commercial options and market-driven solutions in its procurement processes. By leveraging these opportunities, Vanderbilt can optimize its operational efficiency and reduce costs.
The Department of Political Science should explore the implications of the regulatory sunset provision on long-term policy stability and predictability. Understanding these dynamics can inform Vanderbilt’s strategic planning and advocacy efforts in federal policy discussions.

Opportunities

The executive order presents an opportunity for Vanderbilt’s Business School to develop programs and courses focused on government procurement and regulatory reform. By equipping students with the skills and knowledge to navigate the evolving procurement landscape, Vanderbilt can enhance its educational offerings and attract students interested in public sector careers.
Vanderbilt can capitalize on the emphasis on market-driven solutions by fostering partnerships with private sector companies that specialize in innovative procurement technologies and services. These collaborations could lead to joint research initiatives and practical applications that benefit both the university and its partners.
The focus on reducing bureaucratic hurdles offers an opportunity for Vanderbilt’s Center for Effective Public Management to engage in policy analysis and advocacy. By providing evidence-based recommendations, the center can influence how these reforms are implemented and ensure they deliver maximum value to taxpayers.

Relevance Score: 3 (The order presents some adjustments needed to processes or procedures at Vanderbilt to align with federal procurement reforms.)

Average Relevance Score: 3.2

Timeline for Implementation

Non-statutory FAR provisions will expire four years after the final rules are published (regulatory sunset provision).

Relevance Score: 1

Impacted Government Organizations

Federal Agencies Exercising Procurement Authority: All Federal agencies that enter into contracts and conduct procurement must align their agency-specific regulations with the streamlined Federal Acquisition Regulation (FAR), affecting a broad array of departments across the Federal Government.
Department of Government Efficiency: Newly established to examine and streamline government operations, this department is directly tasked with reducing bureaucratic inefficiencies and wasteful spending as part of the overall reform.

Relevance Score: 5 (This directive applies across the entire Federal procurement system and affects a wide range of agencies, impacting the whole government apparatus in terms of operational reform.)

Responsible Officials

Agency Heads and Chief Procurement Officers – All Federal agencies with procurement authority are directed to review and align their agency-specific regulations with the streamlined FAR.
Leadership of the Department of Government Efficiency – Tasked with overseeing initiatives to reform and streamline overall government operations, including procurement reforms.

Relevance Score: 4 (The directives directly impact agency heads and senior officials responsible for procurement and government efficiency, requiring strategic leadership for implementation.)