March 20, 2025 Eliminating Waste and Saving Taxpayer Dollars by Consolidating Procurement - Executive Order
- Fact Seeker
- Apr 21
- 2 min read
Purpose:
This Executive Order directs the federal government to consolidate the procurement of common goods and services under the General Services Administration (GSA) to improve efficiency, reduce duplication, and save taxpayer dollars. The GSA was originally created in 1949 to provide centralized procurement services for federal agencies and this order aims to refocus the GSA on that mission.
Key Facts & Figures:
The federal government spends approximately $490 billion annually on contracts for common goods and services — making it the largest purchaser of such items globally.
Common goods and services include items procured across multiple agencies, as classified by the Category Management Leadership Council led by the Office of Management and Budget (OMB).
Major Provisions:
Consolidation of Procurement Functions:
Within 60 days, agency heads must submit proposals to transfer procurement responsibilities for common goods and services to the GSA.
These transfers are to be made under the authority of 40 U.S.C. 101 (Federal Property and Administrative Services Act) and 40 U.S.C. 501, where legally permissible.
Comprehensive GSA Procurement Plan:
Within 90 days, the GSA Administrator must submit a plan to OMB detailing how the agency will centralize procurement for these goods and services across domestic federal agencies.
Centralized IT Procurement:
Within 30 days, OMB will designate the GSA Administrator as the executive agent for all Government-wide acquisition contracts for information technology (IT) under 40 U.S.C. 11302(e).
The GSA will also review and rationalize IT contract vehicles to reduce redundancy and inefficiencies.
OMB Implementation Guidance:
OMB is directed to issue a memorandum to agencies within 14 days to implement this order’s IT procurement provisions.
Legal & Policy References:
Federal Property and Administrative Services Act (40 U.S.C. 101 et seq.)
40 U.S.C. 501 (GSA authority for providing procurement services)
40 U.S.C. 11302(e) (designation of executive agents for IT acquisition)
Category Management Leadership Council (manages government-wide common category classifications)
General Notes:
The order preserves existing legal authorities of individual agencies and requires implementation in accordance with applicable laws and available appropriations.
It does not create any new enforceable rights or benefits for external parties.
Writer's Note: Summary made with the use of AI tools for editing and quick processing, facts checked against the order before publishing.
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