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ARTICLE · 04 JUNE 2026

Government Reshuffling And Its Implications On State And Local Procurement

As the Trump Administration pursues federal downsizing through executive orders, government contractors face a shifting landscape where opportunities may increasingly move from federal agencies to state and local governments.

United StatesGovernment, Public Sector

In the current climate of federal restructuring, government contractors must be vigilant and adaptable. Understandably, a major focus for the contracting community has been the rewrite of the Federal Acquisition Regulation (FAR), but this initial step has proven to be less “revolutionary” than anticipated. Other initiatives from the Trump Administration, however, particularly those not explicitly targeted at federal procurement, portend more dramatic changes to contracting opportunities that agile contractors should prepare to capitalize on. The Trump Administration’s concerted efforts to downsize the federal government, announced for now through a series of Executive Orders (EOs) aimed at reducing bureaucracy and shifting responsibilities to state and local governments, present both challenges and opportunities for contractors. Adapting to this changing landscape requires an acute awareness of not only federal policies but also the diverse and evolving procurement laws and practices

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