Enhanced Sustainability Requirements For Federal Contractors

On April 22, 2024, the U.S. government issued a final rule ("Rule") to restructure and update the Federal Acquisition Regulation ("FAR") to implement a requirement for agencies to procure sustainable products and services to the "maximum extent practicable."

The Rule goes into effect on May 22, 2024, and makes a number of changes and additions to the FAR, including: (i) restructuring FAR part 23 to focus on environmental and sustainability matters; (ii) adding a definition of "sustainable products and services" to FAR 2.101; and (iii) imposing additional compliance requirements on contractors by creating a new contract clause–i.e., FAR 52.223-23, Sustainable Products and Services.