The Pentagon is seeking input from defense contractors and stakeholders to help shape Phase 2 of regulatory reforms for the Department of Defense (DOD) – rebranded as the Department of War by the Trump administration.
In a recent letter, Under Secretary of Defense for Acquisition and Sustainment Michael Duffey asked the defense industrial base and acquisition stakeholders “to suggest Federal Acquisition Regulation (FAR) and Defense FAR Supplement (DFARS) changes.”
Duffey said the proposed changes have three main objectives: to field technology and modernize systems faster than adversaries, to increase production capacity for wartime surge capabilities, and to put the entire acquisition system and industrial base on a wartime footing.
“We are seeking your input to help shape the substantive content of the proposed rules that will overhaul all parts of the DFARS and influence FAR changes,” Duffey stated.
The effort follows executive order 14275, “Restoring Common Sense to Federal Procurement,” signed by President Donald Trump on April 15, 2025, which calls for federal procurement rules to include only what is legally required or essential for sound purchasing and to remove any unnecessary requirements. This EO follows EO 14265, “Modernizing Defense Acquisitions and Spurring Innovation in the Defense Industrial Base,” signed on April 9, 2025, which directs the secretary of defense to update or eliminate outdated internal rules, including portions of the DFARS.
Duffey said the department is working closely with the Office of Management and Budget’s Office of Federal Procurement Policy on the Revolutionary FAR Overhaul.
Phase 1 of overhaul included the release of 31 class deviations to the FAR and DFARS, effective Feb. 1, 2026. These deviations retain DOD-specific statutory direction and other necessary guidance while streamlining procurement under the new regulatory framework.
“This issuance demonstrates remarkable progress we have made to date with this monumental undertaking,” Duffey said. “These class deviations represent actions we can take unilaterally, in advance of formal rulemaking, to reduce regulatory burden on both our own workforce and on industry.”
Duffey added, “This is a pivotal moment to offer your ideas. Your insights are essential to shaping reforms that are practical, effective, and aligned with the needs of those who rely on them.”