The State of Interior, Commerce and EPA Under New Trump Administration

Ongoing activity under the new administration continues to influence the government contracting landscape with very few agencies escaping.

This week’s article reviews activities related to the Department of the Interior (DOI/Interior), the Environmental Protection Agency (EPA) and the Department of Commerce (DOC/Commerce).

Department of the Interior and the Environmental Protection Agency

As mentioned in last week’s article, Potential Energy Opportunities Exist Under Recent Administrative Actions, recent energy-related executive orders (EO) also involve the DOI and EPA. The orders below not only impact the energy marketplace, but focusing on the exploration, extraction and development of domestic natural resources and fossil fuels they also drive changes regarding protected lands and environmental regulations.

• Memorandum: Temporary Withdrawal of All Areas of the Outer Continental Shelf from Offshore Wind Leasing and Review of the Federal Government’s Leasing and Permitting Practices for Wind Projects
• 14153 Unleashing Alaska’s Extraordinary Resource Potential 
• 14154 Unleashing American Energy 
• 14156 Declaring a National Energy Emergency 
• 14162 Putting America First in International Environmental Agreements
• 14192 Unleashing Prosperity through Deregulation 
• 14213 Establishing the National Energy Dominance Council 
• 14215 Ensuring Accountability for All Agencies 

Associated activities include rescission of Biden administration orders, rules, deregulations and programs such as the Green New Deal. The EOs revise lease terms and processes to open public lands and reduce oversight and reach under the National Environmental Policy Act (NEPA) and Endangered Species Act (ESA). Some, like canceling the Paris Climate Deal, were addressed during Mr. Trump’s previous New Era of Energy Dominance agenda and recommended under the Heritage Foundation’s Mandate for Leadership: The Conservative Promise: Project 2025 Presidential Transition Project.

Department of Commerce

Commerce was also addressed in the Project 2025 mandate. In Chapter 21, Thomas Gilman discusses regulatory issues and lack of focus within the agency, likening it to a catchall for homeless federal government organizations. Acknowledging the agency’s value, however, Gilman recommends streamlining and reformation to reduce overlap with other agencies, including inner agency consolidations and eliminations. Recommendations also address potential threats from China and other foreign adversaries especially those related to trade violations, supply chain and technology access, and global competitiveness. Several recent EOs also address those concerns and will prompt potential departmental changes including ongoing contract modifications, terminations and new opportunities. These include:

• 14150 America First Policy Directive to the Secretary of State
• 14171 Restoring Accountability to Policy-Influencing Positions Within the Federal Workforce
• 14179 Removing Barriers to American Leadership in Artificial Intelligence
• 14178 Strengthening American Leadership in Digital Financial Technology
• 14220 Addressing the Threat to National Security from Imports of Copper
• 14223 Addressing the Threat to National Security from Imports of Timber, Lumber and Their Derivative Products
• 14225 Immediate Expansion of American Timber Production
• 14233 Establishment of the Strategic Bitcoin Reserve and United States Digital Asset Stockpile.

Recent EOs and some Project 2025 recommendations involving these three agencies mirror activities under the first Trump administration. While many of the recommendations have not been implemented, and there is no guarantee that all will be, monitoring those and ongoing administrative actions will improve contractor agility within the federal marketplace. This also includes tracking Department of Government Efficiency (DOGE)-related terminated contracts.

Terminated Contracts

DOI, DOC and EPA have not escaped the flurry of contract terminations through the DOGE Cost Efficiency Initiative. As of March 10, 2025, DOGE had terminated 298 contracts under these agencies. DOI experienced the largest number (47%) with 41 of those being task orders awarded under the General Services Administration Multiple Award Schedule. 

 

 

 

 

 

 

 

 

 

 

 

 

Within the cancellations, Professional Services, Information Technology (IT) and Environmental sectors were the hardest hit. Professional Services cancellations that included administrative, consulting, training, DEI-related programs, and accounting work tripled those of the IT and Environmental sectors. Closed IT contracts include news, media and online subscriptions, cybersecurity support, and hardware/software support, including, training, and consulting services. Environmentally related contracts included hazardous waste removal, soil analyses and air quality consulting.

 

 

 

 

 

 

 

 

 

 

 

On the Horizon.

Expect ongoing contract terminations and modifications, agency reorganizations, staff reductions and possible headquarters relocations as the new administration continues streamlining government agencies, programs and processes. Mr. Trump leaves no question that energy dominance remains a top priority referring to domestic natural resources as “liquid gold”.  Contractors may see increased opportunities in research and development and architecture engineering and construction related to the exploration and extraction of fossil fuels, minerals, natural gas and oil and energy storage. Transparency efforts may drive increased information technology opportunities to modernize systems, enhance federal data governance, ensure cybersecurity and develop government-wide tracking and reporting consistency. Contractors must remain vigilant in this dynamic federal marketplace where knowledge and agility are critical for competitiveness in the new federal horizon.

Finally, vendors should closely monitor the outcome of H.R.1968 - Full-Year Continuing Appropriations and Extensions Act, 2025, which may serve as a blueprint for the first Trump 2.0 budget.

Be sure to stay informed on the impacts on federal contractors and opportunities from the new Trump Administration through Deltek’s GovWin’s First 100 Days Resource Center.