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Proposed Greenhouse Gas Rule Previews New Compliance Frontier for Government Contractors

Pratt’s Government Contracting Law Report

In this article, the authors summarize a rule proposed by the Biden Administration incorporating certain climate-change measures into the federal procurement system.

For over 18 months, the Biden Administration has discussed incorporating certain climate-change measures into the federal procurement system. A recent proposed rule forecasts where the Biden Administration may be headed. In a nutshell, the proposed rule would require contractors receiving over $7.5 million in annual contract obligations to disclose greenhouse gas emissions. And it would require those receiving over $50 million in annual contract obligations to also set greenhouse gas reduction targets. The FAR Council has tentatively tied compliance with the rule to responsibility determinations – making this a key new compliance frontier for many government contractors. This article summarizes the proposed rule, including implementation and enforcement mechanisms.

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“Proposed Greenhouse Gas Rule Previews New Compliance Frontier for Government Contractors,” by Michael J. Slattery and Justin A. Chiarodo was published in the May 2023 edition of Pratt’s Government Contracting Law Report (Vol. 9, No. 5), an A.S. Pratt Publication, LexisNexis. Reprinted with permission.

This article was first published in Blank Rome’s Government Contracts Navigator blog in January 2023.