Federal procurement shifts from cheapest to 'best value'—but who decides?
H.R. 1118 — Value Over Cost Act of 2025 · Filed by Byron Donalds (R-FL) · 1 cosponsor · Introduced Feb 7, 2025 · Passed chamber
Your members of Congress
Enter a ZIP to see where your representative and both senators stood on this bill.
Looked up on this device — your ZIP is never stored on our servers.
What it does
This bill amends federal procurement law to change how the government evaluates bids under the multiple award schedule (MAS) program—a system used to buy goods and services from pre-approved vendors. Instead of automatically choosing the lowest-cost option, agencies will now be required to select the bid offering the best overall value, which may include factors like quality, performance, delivery time, and other non-price considerations. This gives federal buyers more flexibility to prioritize value over pure cost savings.
Why we flagged it
The bill shifts federal procurement authority from a bright-line cost-minimization rule to a discretionary 'best value' standard, expanding agency latitude in vendor selection. This is a structural change to how federal buying works, not a one-time appropriation or commemorative act.
What the text implies
- Agencies will need to develop and publish 'best value' evaluation criteria, creating new administrative burden and potential litigation risk if vendors challenge award decisions as arbitrary.
- The shift may favor larger, established contractors with proven track records over smaller or newer vendors competing primarily on price, potentially reducing competition.
The full analysis lists 4 implications of this text.
Who stands to gain
defense contractors; established federal vendors on GSA schedule; companies with strong quality/performance records