Proposed FAR Rule Would Make Fixed-Price Contracting the Federal Default
A proposed FAR rule published September 18, 2026, would revise Parts 16, 17, and 35 and favor fixed-price contracts, with written justification and agency-head approval potentially required for alternatives. Contractors should assess labor tracking, timekeeping, overhead allocation, and cost-review practices before pursuing fixed-price work; the proposal is not yet a finalized requirement.