Reviewing RFO Proposed Rules: Parts 5, 24, 29, and 52

In June 2026, the FAR Council released its first batch of proposed rules in the Federal Register to implement the changes to the Federal Acquisition Regulation (FAR). We recently covered the first of those proposed rules, which amended language in FAR Parts 1, 2, 4, 33, 39, 40, 52, and 53. In this post, we will review how the RFO is being implemented regarding FAR Parts 5, 24, 29, and 52. From a general perspective, it looks like the proposed regulation tracks with the proposed language already issued under the RFO.

We’ve posted quite extensively about the Revolutionary FAR Overhaul (RFO) project in past blog posts. For some background info, check out these posts: Executive Order, Overview of FAR 2.0, FAR 2.0: Deviations and Companion Guide, FAR Part 6, FAR Part 19 (and the Once 8(a) Rule in that part), FAR Part 12, FAR Part 15, and FAR Part 33.

Structure of Proposed Rule

As a reminder, the FAR Council is issuing twelve rules that collectively will streamline the FAR in its entirety. The first four were published on June 23, 2026. We have already reviewed the first proposed rule from that set here. Reviews of the third and fourth proposed rules are forthcoming.

Purpose

As frequent SmallGovCon readers know, we’ve written about the purpose and structure of the RFO before and summarized that here. In 2025, the FAR council issued model class deviations to replace many FAR provisions. It is now undergoing the formal rulemaking process to obtain public comment and implement the proposed changes subject to that input. This proposed rule is one in a series of such proposals to be rolled out in the coming months and years.

Changes in FAR Parts 5, 24, 29, and 52

Common across the revision of all four FAR parts here is the emphasis on “plain language;” the rule’s efforts include “changes to active voice, edits to improve readability, and reorganization to present information more logically.” All four parts are also being edited to (1) retain statutorily based requirements (such as those in the Freedom of Information Act and the Privacy Act of 1974) and remove duplicative sections, in line with the goal of making the FAR easier to read, navigate, and apply.

Some other notable proposed changes include:

  • Reorganizing Part 5 into three parts aligned to the phases of an acquisition. Where before Part 5 had seven subparts, each relating to a particular aspect of publicizing noncommercial contract actions, it is now broken into:
    • 5.1 Presolicitation
    • 5.2 Solicitation
    • 5.3 Award
  • “New tables 5-1, 5-2, 5-3, and 5-4 present posting content and minimum timeframes in a standardized, visual format” to clarify when and how various notices must be posted and centralize the various requirements into one place.
  • All requirements related to commercial acquisitions have been relocated from FAR Part 5 to Part 12 in order to eliminate confusion “caused by scattered references” and ensure that “all commercial acquisition policies are housed in one location.”
  • Various updates and clarifications for notice exemptions and thresholds.
  • Relocating the definition of “State and Local Taxes” from FAR Part 2 to subpart 29.3 “because the term is only used in part 29.”
  • FAR 29.304(b) has been changed to clarify “that a Government Purchase or Fleet Card is acceptable evidence to support a claim for exemption from state or local taxes.”
  • Part 52 will be renumbered. A new FAR subpart, 52.4, is being considered, and the FAR Council would relocate and renumber all provisions from 52.2 into 52.4. This is intended to “prevent confusion and increase compliance by creating a clear distinction between versions of a provision or clause prior to the RFO.”

Expected Impact of the Rule

The rule as proposed focuses on three goals in particular: “(1) timely acquisition and delivery, (2) lower cost and accountability in all spending, and (3) increased competition.” To these ends, the proposed rule reorganizes Part 5 publicizing requirements into a lifecycle-based structure intended to improve usability, clarity, and consistency, partially by consolidating commercial acquisition policies into one place, “reducing the need for contracting officers to cross-reference multiple parts.”  The intended benefits include “improved regulatory navigation, reduced administrative burden, and fewer procedural errors.”

FAR Parts 24 and 29 feature less substantive reorganization than Part 5 and are more focused on removing “duplicative, non-statutory text” and “streamlining statutory requirements, removing obsolete requirements, refining excise tax references, reorganizing key definitions, and modernizing documentation requirements for tax exemption claims.” While these changes appear relatively minimal and straightforward in practice, the theoretical benefits to both contracting officers and contractors include clarity, efficiency, minimized delays, streamlined bureaucratic processes, and a reduction in administrative burden.

We here at SmallGovCon will continue to review these proposed changes and outlie any specific items that are worth paying attention to. Keep an eye out for future posts on the subject.

Editor’s Note: Special thanks to our wonderful legal clerk Will Orlowski for putting together this blog post.

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SmallGovCon Week in Review: August 17-21, 2026

Happy Friday! I recently returned from the 2026 National APEX Accelerator Alliance – NAPEX conference in Orlando. It’s always a great event and this year was no exception. The venue was wonderful and a great space for interacting with many enthusiastic NAPEX counselors and people in the procurement industry. I was able to say hi to a lot of the great NAPEX folks. And I presented on the complex topic of domestic preference rules. Thanks to the NAPEX team for a great event!

This week in federal contracting news included a proposed SBA rule to revamp size standards and some thoughts on a revised GSA AI clause.

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It Wasn’t a Catch-22: GAO Finds the File Naming Conventions Were Clearly Stated in the Solicitation  

catch-22 is an impossible, no-win situation where you are caught between two conflicting requirements, and complying with one makes it impossible to comply with the other. When a bid protest turns on whether an agency’s instructions were clear or whether a contractor was put in a catch-22, the solicitation is often the best place to look for the answer. However, a recent GAO decision illustrates that not every difficult or unfavorable outcome constitutes a catch-22, and that sometimes the answer to a contractor’s problems is right in front of them. 

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OHA: Venturer Not Affiliated with Joint Venture, SBA Has No Duty Explore Outside Size Protest Record

Affiliation is a notorious term in the world of federal procurement, especially when it comes to SBA size determinations. And affiliation analyses can be even more confusing when it comes to joint ventures. A recent SBA OHA decision, however, answered some common questions regarding joint ventures and affiliation. It also reiterated some fundamental standards of a size determination and OHA size determination appeal.  

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SmallGovCon Week in Review: August 10-14, 2026

Happy end of week to our SmallGovCon readers. Hard to believe, but it’s halfway through August. The heat has been unrelenting, but it has to break soon, right. Arounder here, kids are heading back to school and our college town is buzzing with activity. The school year always brings a new level of energy after the slower pace of summer. It’s one of those times of year that reminds us just how special it is to live in a college town. We hope you are looking forward to a great weekend.

This week in federal government contracting saw stories about increased production of key systems, continued funding of the government, and updates on various large contracts.

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Not Quite Tribally Owned: A Lesson on Tribally-Owned Entities and the 8(a) Program

Not every participant in the 8(a) Business Development Program is owned by socially and economically disadvantaged individuals. There are also a sizable number of entities that are owned by Native American tribes, Native Alaskan entities, Native Hawaiian organizations, either directly or through other entities (collectively, we’ll call them Tribally-Owned Entities). While the presumption of social disadvantage for 8(a) eligibility for members of certain ethnic and racial minorities was found unconstitutional (and is formally being removed), Tribally-Owned Entities go by a different set of rules that makes admission into the 8(a) Program easier. That does not, however, mean that these rules apply to any and all entities owned by a Native American or even where actions are supposedly taken on behalf of a Native American tribe. A company learned this the hard way in a recent SBA Office of Hearings and Appeals (OHA) decision that we’ll explore today.

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Breaking: SBA Finalizes Rule to Remove Social Disadvantage Presumption for 8(a) Program

SBA has issued a final rule to revamp the social disadvantage rule for the 8(a) Program. We wrote about SBA’s proposed rule from June 11, 2026 that would “remove the rebuttable presumption that individuals belonging to certain designated groups are socially disadvantaged and set forth revised standards for individuals establishing social disadvantage.” The SBA has now issued a final rule that would do just that. The rule continues the trend of the Ultima decision in 2023, which ruled that the rebuttable presumption of social disadvantage under the 8(a) is unconstitutional as it violates the right to equal protection. Based on that decision, SBA stopped relying on the presumption of social disadvantage. Now, SBA has formally issued a rule to eliminate any mention of the presumption from the regulations. SBA’s rule replaces the individual social disadvantage narrative with a test that looks to whether a person experienced discrimination on the basis of race through programs like affirmative action. Here are some details.

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