WASHINGTON – The U.S. House Committee on Oversight and Government Reform has advanced H.R. 1118 — "Value Over Cost Act of 2025" out of committee and to the floor of the U.S. House of Representatives with a unanimous, bipartisan vote of 44-0.
The "Value Over Cost Act of 2025" works to make government efficient again by increasing contractual flexibility and contracting competition, providing clarity for acquisition stakeholders, maximizing the Federal Government’s ability to procure modern technology, and helping the small business community by reducing regulatory burdens.
H.R. 1118 was reintroduced by Congressman Byron Donalds (R-FL) on February 2, 2025, and is co-led by Congressman Jared Moskowitz (D-FL). Congressman Donalds (R-FL) released following statement:
"It's time to Make Government Efficient Again," said Congressman Byron Donalds (R-FL). "The General Services Administration’s (GSA) 'Lowest Overall Cost Alternative Standard' is burdensome, has resulted in higher costs, government waste, and we need change. I have reintroduced the bipartisan 'Value Over Cost Act' to solve this problem once and for all. Last Congress, this commonsense legislation was passed with unanimous support in the U.S. House of Representatives and I once again look forward the successful passage of this proposal in the 119th Congress."
Watch the advancement of H.R. 1118 out of committee and to the floor of the U.S. House of Representatives HERE.
Background:
The General Services Administration’s (GSA) Multiple Award Schedule (MAS) program is the Federal Government’s most-used contracting procedure for commercial products & services
Currently, the MAS program requires GSA and federal agencies to contract using the “lowest overall cost alternative” standard—established in 1984
This legacy procurement standard calls for the selection of contracts that are in the best interest of the Federal Government—with price often being the determining factor
“An agency must use an evaluation method . . . for a reasonable assessment of the price of performance under competing quotations, so as to establish whether one vendor’s quote would be more or less costly than another’s.”
Various MAS contractors claim the standards increase administrative costs, which leads them to charge the Federal Government higher prices
This legacy procedure is administratively burdensome—and GSA has agreed that change is necessary
Bill Actions:
In addition to considering the “lowest overall cost alternative,” this bill would provide GSA with increased flexibility to award contracts based on “best value” if GSA determines it to be in the best interest of the Federal Government
Best Value—defined in Federal Acquisition Regulation (FAR) 2.101 as “the expected outcome of an acquisition that, in the Government’s estimation, provides the greatest overall benefit in response to the requirement”
Ultimately, this bill puts the GSA MAS program on a level playing field with other acquisition procedures
More:
Read Text of H.R.1118 – "Value Over Cost Act of 2025" HERE.
See Bill Profile of H.R.1118 – "Value Over Cost Act of 2025" HERE.
