Guest Post: Navigating Federal Procurement Shifts: What A/E/C Firms Need to Know

Article contributed by Deniece Peterson, Vice President, Federal Market Analysis, Deltek

Federal procurement is undergoing one of its most significant transformations in decades. From sweeping revisions to the Federal Acquisition Regulation (FAR) to GSA-led consolidation efforts, these changes are reshaping how agencies buy and how contractors must respond.

For architecture, engineering, and construction (A/E/C) firms serving the federal government, these shifts present both challenges and unique opportunities.

Centralization and the Rise of GSA as Executive Procurement Agent

One of the most consequential developments is the elevation of the General Services Administration (GSA) as the executive agent for common goods and services procurement. Through initiatives like OneGov and the newly launched FAS Office of Centralized Acquisition Services, GSA is consolidating procurement across agencies—starting with IT and expanding into other categories.

While this may seem tangential to traditional A/E/C scopes, the implications are broader than they appear. Centralized procurement could influence how agencies source construction-related IT systems, facility management platforms, and environmental monitoring tools. A/E/C firms that integrate technology into their offerings—such as smart building systems or digital twin modeling—should monitor these shifts closely.

Additionally, GSA’s push for Best-in-Class (BIC) contracts and category management means that agencies are increasingly required to use existing government-wide vehicles. Contractors not aligned with these vehicles may find their addressable market shrinking, making teaming strategies and vehicle coverage more critical than ever.

FAR Overhaul: Simplification with Strategic Implications

The administration’s “Revolutionary FAR Overhaul” is dramatically changing the FAR by stripping it down to statutory essentials and shifting non-statutory elements to practitioner albums and buying guides. More than 40 FAR parts have already been revised, including those most relevant to A/E/C firms—such as Parts 7 (Acquisition Planning), 10 (Market Research), 36 (Construction and Architect-Engineer Contracts), and 44 (Subcontracting Policies and Procedures).

Key changes include:

• Part 8 & 12 Revisions: Agencies are now directed to prioritize commercial solutions and BIC contracts. This elevates GWACs/FSS/BIC BPAs as default channels, potentially accelerating procurement timelines and reducing administrative burdens.
• Part 7 & 10 Updates: Acquisition planning and market research are now more flexible and focused, allowing agencies to move faster and rely more heavily on existing vehicles.
• Part 44 Adjustments: Subcontracting policies have been relaxed, encouraging commercial best practices and reducing documentation burdens—an important shift for A/E/C firms that often operate in complex prime-sub relationships.

These changes collectively signal a move toward simpler, faster, and more commercially aligned procurement—a trend that A/E/C firms should embrace by streamlining their own proposal and teaming processes.

Budget Signals and Opportunity Areas

Despite fiscal pressures, FY 2026 appropriations reflect continued investment in infrastructure, defense, and environmental programs. The One Big Beautiful Bill outlines approximately $100 billion in architecture, engineering, and construction funding and $175 billion in defense and aerospace, another area where A/E/C firms play a vital role.

Notable opportunity areas include:

• Military construction and VA facilities
• Shipbuilding and infrastructure modernization
• Energy and water systems
• Environmental remediation and conservation

While appropriations don’t guarantee contract awards, they do signal agency priorities. A/E/C firms should align their business development efforts with these funding trends and monitor how agencies plan to execute their budgets, especially through centralized vehicles.

Strategic Recommendations for A/E/C Contractors

To remain competitive in this evolving environment, A/E/C firms should consider the following strategies:

• Align with Preferred Vehicles: Conduct a portfolio review to ensure coverage across BIC contracts, GWACs, MAS, and agency-wide BPAs. Missing out on a key vehicle could mean exclusion from major opportunities.
• Strengthen Teaming Pipelines: Develop modular offerings and strategic partnerships to quickly respond to RFQs under preferred vehicles and small business set-asides.
• Monitor Regulatory Changes: Stay current on FAR and GSAR updates, especially those affecting evaluation criteria, proposal formats, and contract types.
• Emphasize Value Over Price: With the shift from “lowest cost” to “best value” awards, firms must differentiate through innovation, sustainability, and past performance.
• Prepare for Innovative RFQs: Agencies are experimenting with non-traditional solicitation formats—oral presentations, digital submissions, and advisory evaluations. A/E/C firms should build internal capabilities to respond effectively.
• Catalog and Quote Readiness: Maintain clean, up-to-date catalogs with SKU-level detail and pre-built RFQ templates. Rapid-response quoting strategies will be essential, especially for simplified acquisitions under $7.5 million.

Conclusion

Federal procurement reform is reshaping the contracting environment for every business that sells to the government. For A/E/C firms, the path forward requires agility, alignment, and awareness. By understanding the implications of these changes and adapting accordingly, SAME members can continue to deliver mission-critical infrastructure and services to federal clients efficiently, competitively, and compliantly.