Deconstructing the DFARS Overhaul: Wiley

On December 18, 2025, the Department of Defense/War (DOD/W) began the process of “overhauling” the Defense Federal Acquisition Supplement (DFARS). The DFARS overhaul is in response to Executive Order 14275, Restoring Common Sense to Federal Procurement, Executive Order 14265, Modernizing Defense Acquisitions and Spurring Innovation in the Defense Industrial Base, and the Department’s Acquisition Transformation Strategy: Rebuilding the Arsenal of Freedom. Like the overhaul of the Federal Acquisition Regulation (FAR), the overhaul of the DFARS is occurring in two phases: (1) issuance of class deviations to implement each revised DFARS Part, with an effective date of February 1, 2026; and (2) notice-and-comment rulemaking, after issuance of the class deviations, to finalize the revised DFARS. In addition, DOD/W will adopt the overhauled FAR via class deviation as of February 1, 2026.

The December 18 announcement was accompanied by overhauls of 31 DFARS Parts. The Department posted additional updated DFARS Parts on January 12, 20, 21, and 23 and intends to revise the remaining Parts by the end of January 2026. The overhauled Parts each have a class deviation memo, a revised version of the DFARS Part, and a line out of the DFARS Procedures, Guidance, and Information (PGI), if applicable to the specific Part. Unlike the Revolutionary FAR Overhaul, there are no Practitioner Albums or explanations of changes that accompany the overhauled DFARS Parts.

As a companion to our Decoding the FAR Overhaul site, we are Deconstructing the DFARS Overhaul. Our site will include a summary of each DFARS Part, highlighting those issues that are of most relevance to defense contractors. We will continue to update the site as we work through the revised DFARS Parts to provide a one-stop shop for understanding the DFARS overhaul.

Table of Contents - Summary of Overhauled DFARS Parts

Summary of Overhauled FAR Parts

DFARS Part 201 (Federal Acquisition Regulations System)

The rewrite of DFARS Part 201 is less about changing contractor obligations directly and more about reorganizing the Part: It streamlines, renumbers, and moves granular procedural content out of the regulation text (often to Procedures, Guidance and Information (PGIs)), while adding a few clarifying rules. Some of the numbering is awkward as a result (e.g., DFARS 201.101 starts with paragraph (a)(2)).

Commercial products/services applicability clarification: New 201.107 “FAR conventions” states that if a DFARS clause or provision prescription is silent with respect to commercial products and services, it does not apply to them and clarifies that Commercial-Off-the-Shelf (COTS) items are, indeed, commercial.
Publication/official source language modernized: The rewrite adds a dedicated section in DFARS 201.104-70 on where to access the official DFARS and DFARS PGI and where changes are published, and it cross‑references FAR 1.107(d) guidance on clause insertion timing.
Peer review framework “collapsed” in the rule text: The original DFARS contained detailed peer review thresholds and mechanics in DFARS 201.170; the rewrite reduces 201.170 to a short directive to follow PGI 201.170.
Removal of text on “Agency Acquisition Regulations” and “Deviations from the FAR”: Large parts of Subpart 201.2 regarding maintenance of and revision to the FAR and DFARS are removed. Similarly, large parts of Subpart 201.3 about FAR deviations are sliced.
Addition of Contracting Officer Representative (COR) Guidance. FAR 201.404 adds guidance on the designation of CORs.

DFARS Part 203 (Improper Business Practices and Personal Conflicts of Interest)

The overhaul of DFARS Part 203 makes few substantive changes and instead primarily makes similar plain-language updates that were seen in the FAR overhaul, such as swapping out the term “must” for “shall”. The contract clauses found in DFARS Part 252 similarly remain the same and incorporate only plain-language updates. This is because, like the FAR, DFARS Part 203 implements several statutes, including those related to whistleblower protections.

Plain Language: Through this Part, the terms “shall” and prepositional phrases were removed in favor of more active verbs.

Slight Revision to DFARS 203.906, Remedies related to whistleblower protections for contractor employees: DFARS 203.906 previously provided that a complainant may bring an action in district court if the head of the agency fails to issue an order on a whistleblower complaint within specified time limits and “there is no showing” that the delay is due to the bad faith of the complainant. Under the overhauled provision, the DFARS replaces the requirement for there to be “no showing” that the delay is due to bad faith with a requirement that “no evidence exists” that the delay is due to bad faith. This change may be intended to be a plain language update, but the change arguably revises the standard for when an action may be brought in district court.

Content Moved: The DFARS overhaul moves a list of organizations responsible for investigating possible kickbacks from the DFARS to PGI 203. Other than that change, PGI 203 remains substantively the same.

DFARS Part 204 (Administrative and Information Matters)

Summary coming soon.

DFARS Part 205 (Publicizing Contract Actions)

The changes in the overhauled Part 205 are primarily organizational and make the same plain-language updates seen throughout the overhauled parts. In addition, the overhauled parts remove some publication requirements.

Reorganization: Similar to the revisions made to the FAR in the FAR overhaul, DFARS Part 205 has been reordered to align with the acquisition lifecycle, tracking the phases of the acquisition rather than topic. Other topics have been moved to PGI 203. For example, DFARS 205.303 previously included a requirement that departments report certain contract information to the Office of the Assistant to the Secretary of Defense for Public Affairs. That requirement is now in PGI 205.302.

Removal of Notification of DoD Contacts: DFARS 205.205-70 previously required DOD to publish its intent to bundle requirements. The overhauled DFARS deletes this requirement.

Removal of Procedures when Solicitation to Only One Responsible Source: The prior DFARS and PGI included procedures when soliciting to only one responsible source, both of which are removed in the overhauled DFARS and PGI.

DFARS Part 206 (Competition Requirements)

The overhauled DFARS Part 206 makes minimal changes. The primary changes involve renaming and renumbering the subparts and clauses; the substance is largely the same. Additionally, similar to other overhauled DFARS parts, there are plain-language updates throughout.

Renamed Subparts: The overhauled DFARS Part 206 has renamed subparts to track with the contracts-lifecycle based reorganization in other DFARS parts. Subpart 206.1 has been renamed “Presolicitation,” and most of the clauses in Part 206 have been renumbered to fall under that subpart.

Removal of Clause Related to Acquisitions in Support of Operations in Afghanistan: DFARS 206.303-70 previously contained requirements for acquisitions that would support operations in Afghanistan. That has been removed in the overhaul in light of the withdrawal of US troops from Afghanistan.

DFARS Part 207 (Acquisition Planning)

Summary coming soon.

DFARS Part 209 (Contractor Qualifications)

Summary coming soon.

DFARS Part 210 (Market Research)

Summary coming soon.

DFARS Part 211 (Describing Agency Needs)

Summary coming soon.

DFARS Part 212 (Acquisition of Commercial Products and Services)

Summary coming soon.

DFARS Part 213 (Simplified Acquisition Procedures)

Summary coming soon.

DFARS Part 214 (Sealed Bidding)

The revised DFARS Part 214 primarily reflects a reorganization and tightening of sealed bidding procedures with updated headings and cross-references.

Subpart 214.2, Presolicitation: Subpart 214.2 has been rebranded from “Solicitation of Bids” to “Presolicitation.” Most revisions are conforming in nature, including renumbered sections, renamed headings, and updated cross-references. For example, DFARS 214.209 “Cancellation of invitations before opening” has been replaced with DFARS 214.209-70 “Policy,” which largely carries forward the prior approach while providing minor clarifications regarding when cancellations and resolicitations are required. The subpart also instructs contracting officers in DFARS 214.211-370 to include an evaluation factor for supply chain risk.
Subpart 214.3, Evaluation and Award: Provisions formerly contained in Subpart 214.4 (Opening of Bids and Award of Contract) have been reorganized under Subpart 214.3, “Evaluation and Award.” Topics addressing cancellation after opening, mistakes in bids, and scenarios in which only one offer is received are now addressed within this subpart.
“Other mistakes disclosed before award” now appears at DFARS 214.304-3, which directs readers to the PGI for delegation authority to approve determinations. The revised Subpart 214 also includes two provisions addressing situations in which only one bid is received (214.305-70 and 214.307-70). Both provisions direct contracting officers to follow the procedures at DFARS 215.371.
The DFARS no longer includes DOD-specific procedures for two-step sealed bidding by removing former Subpart 214.5 in its entirety.
The PGI to DFARS Part 214 now houses delegation authority for approving determinations related to mistakes in bids disclosed before award, rather than embedding that authority in the DFARS text.

DFARS Part 217 (Special Contracting Methods)

Overhauled Part 217 includes relatively minor updates for streamlining, reorganization, and plain language edits. As with other FAR and DFARS Parts, some Subparts are reorganized to follow the acquisition lifecycle (presolicitation, evaluation and award, and post-award, as applicable). To that end, it moves the congressional notification requirements to new 217.104-370. This section includes the requirements for DoD components to request authority to enter into multiyear contracts when submitting budgets, for DoD components to notify Congress before awarding multiyear contracts in certain procurements, and for the head of an agency to notify Congress before terminating a multiyear contract. While retaining the actual notification requirements, overhauled Part 217 removes text that previously required agencies to establish reporting procedures to meet those requirements.

Overhauled Part 217 also removes the requirement for agency heads to consider the commercial life of any plant or equipment, desirability of an option to extend the contract term, and desirability of reserving the right to take title of the plant or equipment when entering into multiyear contracts for services. The new Part 217 removes language that specifically allowed agency heads to enter into a multiyear contract for supplies to promote the national security interest of the United States.

Finally, the overhauled Part 217 moves prior information regarding ordering procedures, purchase requests, and solicitation and award to the PGI.

The class deviation also includes corresponding solicitation provisions and contract clauses in DFARS Part 252. The provisions and clauses cover topics such as exercising options in foreign military sales contracts, surge options, offering property for exchange, job orders and compensation, and inspections, changes, payments, and default for multiyear contracts with job orders. The numbering and substance is unchanged from the current DFARS.

DFARS Part 218 (Emergency Acquisitions)

Overhauled Part 218 moves almost all the prior language on available acquisition flexibilities to PGI 218.7001-1 through PGI 218.7001-7. The new Part 218 retains basic language indicating that flexibilities are available for acquisitions related to defense against or recovery from cyber, nuclear, biological, chemical or radiological attacks, and use of electronic business tools, but the descriptions of those acquisition flexibilities and when they can be used are now within the PGI. The acquisition flexibility content that moved to the PGI is identical to the prior language of Part 218, with some new language regarding the use of electronic business tools for automation such as the 3in1 Tool and Acquisition Cross-Servicing Agreements Global Automated Tracking and Reporting System.

DFARS Part 219 (Small Business Programs)

The overhaul of DFARS Part 219 makes minimal substantive changes to small business policy, but it reorganizes and renumbers the Part to align coverage with lifecycle phases. There are also “plain language” changes to make retained rules and clauses easier to read, which in some cases also involves removing citations to laws or FAR provisions.

Reorganization: DFARS Part 219 is reorganized from the prior topic-based structure (including the original DFARS subparts for policies, SBA cooperation, set-asides, status determinations, small business subcontracting, and the 8(a) program) into lifecycle subparts: Subpart 219.1 (Presolicitation), Subpart 219.2 (Evaluation and Award), and Subpart 219.3 (Postaward). As a result, some provisions are substantively unchanged but distributed into other subparts as part of the reorganization. Similar to other overhauled parts, discussion of “policies” is largely eliminated or replaced with a reference to a particular PGI.
Mentor-Protégé updates (DFARS 219.71): The Department’s Mentor-Protégé coverage remains a discrete subpart, but the subpart title removes the “Pilot” framing and deletes material in DFARS 219.7102, including the reference to a preliminary protégé cybersecurity readiness assessment as an element of the Program. Appendix I remains the location for Mentor-Protégé policy and procedures.
Clause renumbering: The Small Business Subcontracting Plan and Small Business Subcontracting Plan (Test Program) clauses are renumbered, replacing the 252.219-7003 and 252.219-7004 numbering with 252.219-7996 and 252.219-7997; these clauses are also updated with relatively minor non-substantive “plain English” revisions and to reflect the reorganization of DFARS Part 219.

DFARS Part 220 (Reserved in the original DFARS overhaul)

DFARS Part 221 (Reserved in the original DFARS overhaul)

DFARS Part 222 (Application of Labor Laws to Government Acquisitions)

Summary coming soon.

DFARS Part 223 (Environment, Sustainable Acquisition, and Material Safety)

Although DFARS Part 223 has a new name, Sustainable Acquisition, Material Safety and Pollution Prevention, the Part’s overhaul is modest in scope and consistent with the broader deregulatory and streamlining posture of the FAR and DFARS overhauls. The changes are largely limited to clarifying existing requirements and removing outdated or duplicative text.

DFARS 223.1: Subpart 223.1 remains substantively the same with some conforming and technical changes. Existing DFARS provisions addressing products containing recovered materials and restrictions on ozone-depleting substances or products that contain or use high global warming potential hydrofluorocarbons are retained.
DFARS Subparts 223.2, 223.4, 223.5, and 223.70: Subpart 223.2, which contained no text in the original DFARS, has now been removed. Subparts 223.4 and .5 are reserved, as is Subpart 223.70.
DFAR Subpart 223.3. Subpart 223.3 has been simplified and retitled “Material Safety,” but remains substantively the same. Revisions primarily consist of clarified language and stylistic edits, including replacement of “shall” with “must,” without altering underlying obligations.
DFAR Subpart 223.71: Subpart 223.71 has been amended to clarify contracting officer responsibilities when contracts authorize the storage, treatment, or disposal of non-DOD-owned hazardous materials on DOD installations. The revised text emphasizes that solicitations and resulting contracts must expressly identify the types and quantities of materials permitted and the conditions under which such activities are authorized.
DFARS Subparts 223.72, 223.73, and 223.74: Subparts addressing safeguarding of sensitive conventional arms, minimization of hexavalent chromium, and prohibition on certain PFAS-containing firefighting agents have received minimal changes. Revisions are largely conforming, consisting of clarified language and non-substantive wording updates.
Part 252: Like other DFARS Parts, the overhaul of FAR Part 223 includes the implementing clauses from Part 252. There are no changes to the dates of these clauses, which should signal no substantive changes.
The PGI to DFARS Part 223 adds operational details to support the revised DFARS requirements. Most notably, PGI 223 formalizes pre-award and post-award safety procedures for ammunition and explosive contracts, including mandatory pre-award safety surveys (including for subcontractors), senior-level approval and disclosure of waivers to DOD Manual 4145.26, structured routing of post-award waiver and site-modification requests, enhanced subcontract oversight, and expedited notification requirements for imminent safety risks. The PGI also reinforces centralized data collection for sustainable products and approval requirements for the authorized use of hexavalent chromium.

DFARS Part 224 (Protection of Privacy and Freedom of Information)

There are no substantive overhauls to this Part, which is comprised of two subparts with only one clause in each.

DFARS Part 225 (Foreign Acquisition)

Summary coming soon.

DFARS Part 226 (Other Socioeconomic Programs)

The substance of the overhauled Part 226 is mostly unchanged aside from minor plain language edits. The most change is moving the pre- and post-award procedures for demonstration projects to the PGI.

The three corresponding solicitation provisions and contract clauses in DFARS 252.226 are unchanged in substance and numbering.

DFARS Part 227 (Patent, Data, and Copyrights)

Like many of the other Parts that we have deconstructed, most revisions to Part 227 are focused on streamlining and the use of plain language.

Consolidation of Parallel Subparts for Technical Data and Computer Software: The current DFARS has parallel Subparts addressing rights in technical data (Subpart 227.71) and rights in computer software and computer software documentation (Subpart 227.72). As part of the overhaul, these parallel provisions have been regrouped into a Subpart for other than commercial products, components, services, processes, and computer software (new Subpart 227.71) and a Subpart for commercial products, components, services, processes, and computer software (new Subpart 227.72). Definitions that were previously spread throughout the DFARS are also consolidated as part of the overhaul.
Deletion of Subparts: The overhaul deletes much of Subpart 227.6, Foreign License and Technical Assistance Agreements, but suggests that at least some of the deleted content will appear in the PGI. On the other hand, Subpart 227.70, Infringement Claims, Licenses, and Assignments, is designated as Reserved, without any apparent move to the PGI.
Changes to Special and Existing Works: Following the FAR overhaul, the DFARS overhaul deletes the Special Works and Existing Works clauses at DFARS 252.227-7020 and -7021, respectively, in favor of negotiated licenses in such works.
Expansion of the Government’s Right to Challenge Restrictive Assertions: The overhaul extends the time within which the Government may challenge the validity of a contractor’s restrictive assertions from the later of three years after final payment or three years after delivery of the data/software in question to the later of six years after final payment or six years after delivery of the data/software in question. Data/software that “[a]re the subject of a fraudulently asserted use or release restriction” are added as an additional category as to which there is no time limit on the Government’s ability to challenge the validity of a restrictive assertion.

Other Changes: There are a handful of changes to the language that, although perhaps minor on their face, may have bigger consequences.
- The overhaul directs contracting officers to “[r]esolve questions regarding the validity of asserted restrictions prior to contract award.” DFARS 227.7103-3(a)(2). This contrasts with existing guidance to “avoid challenging asserted restrictions prior to a competitive contract award unless resolution of the assertion is essential for successful completion of the procurement.” DFARS 227.7103-13(b); see also DFARS 227.7203-13(d)(1).
- The overhaul adds that “Agencies should make the determination of the source of development funds” to language addressing the doctrine of segregability. DFARS 227.7103-4(b)(1) (emphasis added); see also DFARS 227.7103-4(b)(2). This begs the question of whether control over application of the doctrine of segregability has shifted from the contractor to the Government.

DFARS Part 228 (Bonds and Insurance)

The changes to Part 228 are minimal. There is no reorganization. “Must” replaces “shall,” “insert” replaces “use,” and a few other words are tweaked. There are slight changes to DFARS 228.371, which identifies when to insert various clauses. First, the instruction to use DFARS 252.228-7001, Ground and Flight Risk, is modestly changed to strike text from paragraph (b)(1)(iii), which applies to non-DOD customers, that stated to include the clause if the non-DOD customer “has not agreed to assume the risk for loss or destruction of, or damages to, the aircraft.” Second, paragraph (b)(1)(iv) in the same provision and addressing commercial derivative aircraft with an FAA certificate of airworthiness maintained to FAA standards deletes “when the work will be performed at a licensed FAA repair station,” presumably because similar text appears in the next sentence describing when the exception in paragraph (b)(1)(iv) applies. The implementing clauses for this Part are unchanged.

DFARS Part 229 (Taxes)

The only changes to this subpart are to replace the term “use” with reference to DFARS clauses with “insert,” to replace “shall” with “must,” and to update PGI references. There are no changes to the implementing clauses in DFARS Part 252.

DFARS Part 230 (Cost Accounting Standards Administration)

The Overhauled DFARS Part 230 and DFARS Procedures, Guidance, and Information (PGI) 230 makes very minor changes. DFARS Part 230 addresses Cost Accounting Standards (CAS) waivers, and the deviation mainly updates cross-references to the Overhauled FAR Part 30 structure. The new DFARS Part 230 also changes the threshold for the agency to report CAS waivers to the CAS Board and Congress for contracts of $100 million or more, up from $15 million.

DFARS Part 231 (Contract Cost Principles and Procedures)

Most of the changes to Overhauled DFARS 231 are modest “plain language” revisions and updates to cross-references to the Overhauled FAR Part 31. One notable change is guidance that educational institutions, for simplicity, can request a waiver of the prohibition in DFARS 231.303 exempting such institutions from the 26% indirect cost limitation in OMB Circulate No. A-21.

DFARS Part 232 (Contract Financing)

Minimal, if Any, Substantive Changes: Overhauled DFARS Part 232 continues to provide DoD-specific contract financing policy, procedures, and clause prescriptions.
- Plain Language: As with many other parts, the Overhauled DFARS Part 232 consolidates and updates text to plainer language, such as “shall” to “must.”
- Shift to PGI: Procedural details related to fraud-related reporting (232.006-5), unusual progress payments approval (232.501-2), electronic payment processing procedures (232.7003), and various contract debt collection steps (232.603 through 232.671) have been removed from the DFARS into the PGI.
- Fast Payment Procedures: A new DFARS 232.12 provision has been added to address the conditions for use of “Fast Payment Procedures” for individual orders exceeding the simplified acquisition threshold for brand-name commercial product commissary resale subsistence or medical supplies for direct shipment overseas.

DFARS Part 233 (Protests, Disputes, and Appeals)

Part 233 is short in the original and overhauled DFARS. Two of the more notable changes appear to strive for greater clarity. First, original DFARS 233.102, then entitled General, provided that if the Government exercised its authority to limit disclosure of information because of supply chain risks with respect to a covered information system, “no action undertaken by the Government under such authority shall be subject to review” in a bid protest at the U.S. Government Accountability Office (GAO) or federal court. The revised provision states: “If the Government limits information disclosure under the authority provided in [new] DFARS 240.271-6(d), actions taken by the Government under such authority are prohibited from challenge in a bid protest” before GAO or federal court. This provision is also renumbered and retitled “Limited information disclosure,” which aligns more clearly with its topic. Second, original DFARS 233.104, Protests, is now DFARS 233.105, and its text is moved to new DFARS 233.105-370, Postaward. The revisions to DFARS 233.105-370 appear also to be aimed at clarity, attempting to provide instruction and timing requirements for suspending performance or terminating awards in response to notice of a GAO bid protest, except when the Department exercises its authority to override the automatic stay. The one implementing clause, Choice of Law (Overseas), is unchanged.

DFARS Part 234 (Major System Acquisition)

Overhauled Part 234 does not remove any of the current content but rather reorganizes that content. The most significant result of this reorganization is the creation of Subpart 234.72, Acquisition Strategy for Major Systems, with streamlined content from the current 234.004. Additional guidance on acquisition strategy was moved to the PGI. Other notable updates to overhauled Part 234 include increasing the threshold for the requirement for an earned value management system from $20 million to $50 million and the threshold for an earned value management system that is approved by the cognizant federal agency from $50 million to $100 million. The class deviation replaces the corresponding solicitation provision and contract clause for earned value management systems at DFARS 252.234-7001 and -7002 with DFARS 252.234-7998 and -7999, respectively, which update those thresholds but are otherwise virtually identical to the predecessor provisions. The deviation retains DFARS 252.234-7003 and -7004 in their original form.

DFARS Part 235 (Research and Development Contracting)

Overhauled Part 235 contains one major change, which is moving the entirety of the section on special use allowances for research facilities acquired by educational institutions (currently in DFARS 252.235.015-70) to the PGI. The PGI text does not substantively differ from the previous DFARS, however. Apart from moving that section to the PGI, most of the overhaul to Part 235 consists of reorganizing to follow the acquisition lifecycle of presolicitation, evaluation and award, and post-award phases and plain-language revisions and updating the DFARS cites.

DFARS Part 236 (Construction and Architect — Engineer Contracts)

The changes made to DFARS Part 236 support the goal of streamlining and simplifying the DFARS. The main changes are to reorganize Part 236 to be more chronological and moving provisions to PGI 236.

Reorganization: The primary changes in the overhauled DFARS Part 236 are organizational. Similar to the other overhaul efforts, this Part has been reorganized to track the acquisition lifecycle. Subpart 236.1 now focuses on Pre-Award issues, Subpart 236.2 involves provisions related to Evaluation and Award, and Subpart 236.3 relates to Postaward issues. Those subparts are then further divided by the topic of the contract and include specific requirements for construction contracts and architect-engineer contracts.
Revised Definitions: The overhauled version removes the definition of “construction activity,” which had previously been defined as the DOD activity responsible for the technical aspects of construction. This change appears to be aimed at streamlining, since that term was not used in the DFARS. The overhaul also updates definition of “Marshallese firm” in DFARS 236.001 to define the term instead of simply referencing the definition in DFARS 252.236-7012, Military Construction on Kwajalein Atoll—Evaluation Preferences.
PGI Changes: The overhaul also moves some provisions previously found in DFARS Part 236 to the corresponding PGI. For example, PGI 236.371 has been added to include guidance for Architect-Engineer post construction evaluation. That guidance was previously found at DFARS 236.604. In addition, PGI 236 has been subdivided to align with the new subparts and similarly tracks the acquisition life-cycle.

DFARS Part 237 (Service Contracting)

Summary coming soon.

DFARS Part 239 (Acquisition of Information Technology)

Like revised FAR Part 39, the overhauled version of DFARS Part 239 clarifies that it applies for acquisitions of information and communication technology, including information technology for national security. New DFARS Part 239.1 includes several changes for commercial products and services that mostly align with the statutory preference for acquiring commercial products and services to the maximum extent possible. For example:

Revised DFARS 239.1 adds that its requirements for commercial products and commercial services apply “Presolicitation.”
Revised DFARS 239.170 eliminates any perceived discretion previously given to the contracting officer by changing the use of “may” to “shall” to obtain a written determination from the head of the contracting activity (HCA) that no commercial items can meet the agency’s needs based on the market research conducted. Under the new DFARS 239.170, a contracting officer “must not enter into a contract in excess of the simplified acquisition threshold for information technology products or services that are not commercial products or commercial services unless the head of the contracting activity determines in writing that no commercial items are suitable to meet the agency's needs, as determined through the use of market research appropriate to the circumstances.” This aligns with the statutory and Administration preference for acquiring commercial products and services “to the maximum extent practicable.”
Revised DFARS 239.170 deletes “products” and “services” and replaces them broadly with “items”. This seemingly comports with the requirement under FAR 10.001(a)(3) to conduct market research to determine whether commercial products, services, nondevelopmental items, and commercial components—assuming all qualify as “items” under the new DFARS 239.170—are available to meet the Agency’s needs. But it also conflicts with prior statutory changes that revised references to “commercial items” to separate the categories of “commercial products” and “commercial services.”
Despite its reference to overhauled FAR 10.001(a)(3), overhauled DFARS Part 239.170—like its previous version—appears to omit the requirement for the Agency to evaluate whether its requirements could be modified to acquire available commercial items and components, to the extent they cannot meet the Agency’s requirements as stated. See FAR 10.001(a)(3); see also 10 U.S.C. § 3453(b)(3).

New DFARS Part 239 relocates the requirements for supply chain, security and privacy for computer systems under the original DFARS 239.71-73 to new DFARS Part 252. The remaining changes are primarily limited to changing “shall” to “must”.

DFARS Part 240 (Information Security and Supply Chain)

The DFARS overhaul creates a new Part 240, Information Security and Supply Chain Security, to correspond to the expanded FAR Part 40 in the overhauled FAR. There is also a new PGI 240 to accompany the new DFARS Part. The provisions in new Part 240 were primarily relocated from old Parts 204, 225, and 239. Most of the prohibitions and restrictions are required by statute, and thus there is little substantive change to the provisions aside from plain-language edits.

The new DFARS Part 240 begins with Subpart 240.2, Security Prohibitions and Exclusions, which includes the following:

270, Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services and Equipment, which implements Section 899 of the FY 2018 NDAA and was previously located at DFARS 204.21.
271, Requirements for Information Relating to Supply Chain Risk, which implements 10 U.S.C. 3252 and elements of DoD Instruction 5200.44, Protection of Mission Critical Functions to Achieve Trusted Systems and Networks (TSN) and was previously located at DFARS 239.73.
272, Prohibited Sources, which addresses U.S. Department of the Treasury restrictions, prohibitions on acquisition of certain items from Communist Chinese military companies, prohibitions on contracting with state sponsors of terrorism, and prohibitions on acquisitions of certain foreign commercial satellite services, and was previously located at DFARS 225.7.

New Subpart 240.3, Safeguarding Information, relocates information security requirements from old DFARS Subparts 204.4, 204.73, 204.75, and 239.71, including the Cybersecurity Maturity Model Certification (CMMC) program. The substantive requirements are largely unchanged, although some procedures have been moved to the PGI.

The implementing DFARS clauses for new Part 240 have mostly retained their numbering from the old DFARS (e.g., DFARS 252.204-7012 and 252.204-7021). One exception is old DFARS 252.204-7020, NIST SP 800-171 DoD Assessment Requirements, which is relocated to overhauled DFARS 252.240-7997.

DFARS Part 241 (Acquisition of Utility Services)

The overhaul of DFARS Part 241 relocates the detailed connection and service charge procedure out of DFARS text and into PGI by cross-reference and updates the third-party financed project paragraph numbering and statutory citations, including the stated maximum contract period for renewable energy authority.

Content moved (DFARS text to PGI): DFARS 241.202(1) contained the order of precedence for connection and service charges. The overhauled Part replaces that narrative with a cross-reference to PGI 241.202(1), moving the procedure to PGI.
Third-party financed projects (241.102): The third-party financed project discussion is renumbered (241.102(b)(7) becomes 241.102(b)(3)), and the statutory citations are updated (including replacement of the previous 10 U.S.C. 2394 and 10 U.S.C. 2394a references with 10 U.S.C. 2922 and 10 U.S.C. 2992a). The stated maximum contract period for renewable energy authority is increased from 25 years to 30 years.
Plain-language tightening (241.201): The phrase “as a matter of comity” is removed from the independent regulatory body compliance statement, and the provision is tightened into shorter statements while retaining the same policy.

DFARS Part 243 (Contract Modifications)

The overhaul of DFARS Part 243 primarily reorganizes and renumbers the Part and updates internal cross-references, while retaining the same controls for unpriced change orders and REA certification. The overhaul also consolidates certain Part 252 clause text into Part 243.

Reorganization and renumbering: The prior 243.170 to 243.172 series is renumbered as 243.270 to 243.272, change order administration and definitization coverage in the prior 243.204 and 243.204-70 series is renumbered into 243.304 and 243.370, and clause prescription structure in the prior 243.205 series is renumbered into the 243.305 series.
Cross-reference updates: The “application of modifications” cross-reference is updated from 204.1671 to 204.201-72, and the employment-impact notification discussion is updated to reference the applicable Part 252 clause (252.249-7002) rather than prescription phrasing tied to 249.7003(c).
Clause text consolidated in-part: The overhauled Part 243 includes the text of 252.243-7001 and 252.243-7002 within the same Part 243 document, rather than presenting only the Part 243 prescription framework without clause text.

DFARS Part 244 (Subcontracting Policies and Procedures)

The Part 244 deviation includes minor revisions. Updates include changing the titles of the subparts to conform to the acquisition lifecycle and plain-language revisions, such as changing “shall” to “must” or “will” and streamlining wording without substantive changes. The requirements and processes for the contracting officer’s consent to subcontracts and role in overseeing purchasing system reviews remains the same.

The Part 244 deviation also updates references to the clauses for Contractor Business Systems and Contractor Purchasing System Administration, which are now located at DFARS 252.242-7005 and 252.244-7998, respectively. Aside from minor wording edits, the Contractor Purchasing System Administration clause is unchanged from previous DFARS 252.244-7001, including the 24 system criteria for the contractor’s purchasing system.

DFARS Part 246 (Quality Assurance)

Summary coming soon.

DFARS Part 248 (It is reserved in the original DFARS. The DFARS overhaul of this Part is limited to a class deviation memo instructing use of the overhauled version of FAR Part 48.)

DFARS Part 249 (Termination of Contracts)

The overhaul of DFARS Part 249 makes targeted numbering and organizational changes, including renumbering within the termination contracting officer duties section, deleting an embedded class deviation reference in the congressional notification discussion, and consolidating certain Part 252 clause text into the Part 249 document.

Renumbering within 249.105: “Termination status reports” is renumbered from DFARS 249.105-1 to DFARS 249.105-70, and “release of excess funds” is renumbered so that it appears at DFARS 249.105-1 rather than DFARS 249.105-2. The associated PGI cross-references are updated to match the revised numbering.
Deletion in 249.7001: The embedded reference in the text to DoD Class Deviation 2011-00002 and the related Iraq and Afghanistan exception language is deleted from the congressional notification discussion.
Clause text consolidated in-part: The overhauled Part 249 includes the text of clauses that Part 249 prescribes (including 252.249-7000 and 252.249-7002) within the Part 249 document, rather than limiting the Part 249 presentation to policy and prescriptions.

DFARS Part 250 (Extraordinary Contractual Actions)

The substance of the Overhauled Part 250 is mostly unchanged. The primary change is in 250.102-1, Delegation of authority, which deletes the phrase “level of” that previously preceded “head” to preclude delegating applicable authority below the HCA generally: “Authority under FAR 50.104 to approve actions obligating $90,000 or less may not be delegated below the head of the contracting activity.” The remaining changes to new DFARS Part 250 are limited to changing “shall” to “must.”

DFARS Part 252 (Solicitation Provisions and Contract Clauses)

Summary coming soon.

Deconstructing the DFARS Overhaul

Table of Contents - Summary of Overhauled DFARS Parts

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