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ARTICLE · 27 JANUARY 2025

FAR Council Proposes Substantial Changes To OCI Regulations

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On January 15, 2025, the Federal Acquisition Regulatory Council issued a Proposed Rule that would implement changes to the Federal Acquisition Regulation (FAR)...

United StatesGovernment, Public Sector
Crowell & Moring LLP
Crowell & Moring LLP

On January 15, 2025, the Federal Acquisition Regulatory Council issued a Proposed Rule that would implement changes to the Federal Acquisition Regulation (FAR) Organizational Conflict of Interest (OCI) rules as required by the 2022 Preventing Organizational Conflicts of Interest in Federal Acquisition Act (P.L. 117-324). Comments on the Proposed Rule are due on March 17, 2025. (Note that pursuant to President Trump's January 20, 2025 "Regulatory Freeze Pending Review" Executive Order, the Proposed Rule is subject to further review, which may result in revisions and an extension of the 60-day comment period.)

The Proposed Rule would make numerous changes to the current OCI regime, most notably by moving the OCI rules currently housed at FAR Part 9 to a new FAR Subpart 3.12, because "the larger issues that underlie efforts to identify and address OCI are more directly associated with some of the business practice topics discussed at FAR part 3." Consistent with the

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