A Discussion on the FAR Council’s Federal Supplier Climate Risks and Resilience Proposed Rule

What happens when the Administration’s “whole-of-government approach” to climate change meets federal contracting? The Department of Defense, the Government Services Administration, and NASA have jointly proposed a revision to the Federal Acquisition Regulations that would require government contractors to publicly disclose greenhouse gas emissions and climate-related financial risk and to set science-based reduction targets. The agencies cast the proposal as a way to reduce climate-related risks, increase U.S. competitiveness, and promote economic growth. But critics say that the proposed rule would exceed the agencies’ authority, increase federal procurement costs, and unconstitutionally delegate policy-making authority to the private entities that would be charged with policing contractors’ compliance.

The panel will discuss the origins as well as the potential benefits and risks of this innovation in government contracting policy.