GSA is preparing an AI-specific acquisition reform rule

GSA is developing changes to artificial intelligence acquisition provisions within its general rules. A draft AI acquisition rule is planned for addition into the GSA Acquisition Regulation. The rule aims to balance AI procurement requirements that encourage market growth and competition with benefits for government buyers and taxpayers. The approach emphasizes a “common sense” method by removing bureaucratic hurdles to commercial item acquisition, including AI and IT software. GSA plans to review contracts that are not firm fixed-price and determine what can be shifted to that model. Resellers and partners will remain part of GSA’s strategy, while the agency also seeks to be a more predictable business partner for original equipment manufacturers, including AI developers. The rule is expected to be accompanied by FAR updates with a public comment period.

"The new rule is part of GSA's effort to balance implementing AI procurement rules that encourage market growth and foster competition while benefitting government buyers and taxpayers, the same person said, and part of the government's mission to bring a "common sense" approach to AI acquisition. To do so, the rule will focus on removing bureaucratic rules and hurdles to commercial item acquisition, including AI and IT software."

"The same person said that part of the process will be to analyze which contracts are not on a firm fixed-price basis and what is able to be shifted over. Per the rules, resellers and partners will remain part of GSA's business strategy, the same person said, but the agency is also trying to make itself a "more predictable business partner" to original equipment manufacturers, including AI developers."

""It's ... not going to be a one size fits all solution," the same person told Nextgov/FCW. In addition to the AI-focused draft rule, new Federal Acquisition Regulation rule updates are also underway and are set to continue overhauling the government procurement process. These updates are intended to be finalized at the end of the fiscal year, pending approval by the FAR Council, and will consist of roughly a dozen rules, the source said."

"Both revisions will have a 30-day public comment window. The FAR is a series of procurement regulations that govern how executive agencies enter into, develop and manage contracts. In his second administration, President Donald Trump has worked"

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