March 4, 2025 Policy Shift in DoD Acquisition

The Department of Defense (DoD) has issued a class deviation, under the direction of John M. Tenaglia, Principal Director of Defense Pricing, Contracting, and Acquisition Policy, effectively eliminating affirmative action-based contracting provisions in federal procurement. This policy change, dated March 4, 2025, aligns with Executive Orders 14173 and 14168, aimed at revoking previous mandates requiring equal opportunity enforcement in federal contracting and eliminating the use of the term "gender" in government policies.

Effective immediately, contracting officers are directed not to enforce Executive Order 11246, which previously required equal employment opportunity provisions in federal contracts. Consequently, FAR subpart 22.8 and its associated solicitation provisions and contract clauses, such as FAR 52.222-21 through 52.222-29, are no longer applicable. Additionally, agencies must amend open solicitations to remove these clauses and modify existing contracts to reflect the new policy where feasible.

This policy shift signals a broader move towards what the government describes as "merit-based opportunity," removing compliance requirements that were previously designed to ensure workplace diversity and prevent discrimination. By revoking these mandates, the government is positioning contract awards to be based purely on technical, cost, and performance-based evaluations, without consideration of workforce diversity commitments.

The removal of these provisions raises potential legal and ethical considerations regarding workplace diversity and federal contracting's role in promoting equitable employment practices. While the DoD's directive aligns with the current administration’s stance, it may face scrutiny from stakeholders advocating for continued diversity initiatives in government procurement.

As the DoD implements these changes, the impact on small businesses, disadvantaged business enterprises, and minority-owned firms remains to be seen. The shift toward a new regulatory landscape underscores the importance of staying informed on evolving federal acquisition policies.

Disclaimer:
This blog post provides a summary of policy changes based on publicly available documents. It is not guaranteed to be accurate and does not constitute legal or financial advice. Contractors should consult legal professionals for compliance guidance.

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