Authority
Executive Order 14275, Restoring Common Sense to Federal Procurement; Executive Order 14265, Modernizing Defense Acquisitions and Spurring Innovation in the Defense Industrial Base; OMB Memorandum M-25-26, Overhauling the Federal Acquisition Regulation
Summary
The deviation replaces Federal Acquisition Regulation (FAR) Part 16 and Defense FAR Supplement (DFARS) Part 216, Types of Contracts, effective 2026-03-16. It implements the Revolutionary FAR Overhaul (RFO) directed by Executive Order 14275 and Executive Order 14265. The deviation also replaces the DFARS Procedures, Guidance and Information (PGI) 216 text.
Contracting Officer Actions
1
Effective 2026-03-16, use the revised FAR Part 16 from the RFO web page. It replaces the codified text at 48 CFR chapter 1.
2
Effective 2026-03-16, use the attached DFARS Part 216 in lieu of the text codified at 48 CFR chapter 2.
3
Effective 2026-03-16, use the attached DFARS PGI 216 in lieu of the PGI text on the Defense Pricing, Contracting, and Acquisition Policy web page.
4
Direct inquiries about this deviation to osd.pentagon.ousd-a-s.mbx.dfars@mail.mil.
Duration
This deviation remains in effect until rescinded or incorporated into the FAR, DFARS and DFARS PGI. No expiration date applies.
RFO Web Page
The revised FAR Part 16 is published at the RFO web page. Do not use the eCFR codified text.
Affected Provisions and Clauses
252.216-7005
CLAUSE
Modify clause 252.216-7005
MODIFIED
Clause Text Changes
Original (removed)
Deviation (added)
Unchanged
252.216-7002 Alternate A, Time-and-Materials/Labor-Hour Proposal Requirements--Other Than Commercial Acquisition with Adequate Price Competition: Paragraph (c)
Original: JAN 2023
Deviation: JAN 2023 (DEVIATION 2026-O0045)
2 added, 55 removed
(c)
(c) The offeror must establish fixed hourly rates using separate rates for each category of labor to be performed by each subcontractor and for each category of labor to be performed by the offeror, and for each category of labor to be transferred between divisions, subsidiaries, or affiliates of the offeror under a common control.
(c)
[see memorandum]