--- title: "Restoration Agency Reforms Procurement: Ivan Fedorov Explains Changes" description: "The Restoration Agency announced a procurement reform: launching the CPO, direct contracts with contractors, and strict estimate controls." date: 2026-11-04T08:23:59.189Z lang: en url: https://xab.info/en/posts/restoration-agency-reforms-procurement-fedorov tags: [ivan-fedorov, restoration-agency, ukraine-budget-2027, infrastructure, procurement-reform] author: "Alexander Buran" publisher: "XAB.info" --- # Restoration Agency Reforms Procurement: Ivan Fedorov Explains Changes ![Head of the Restoration Agency Ivan Fedorov speaking at a briefing next to state symbols of Ukraine](https://xab.info/media/2026/11/04/agentstvo-vosstanovleniya-menyaet-pravila-zakupok-fedorov/agentstvo-vosstanovleniya-menyaet-pravila-zakupok-fedorov-1.webp) ## Key Points - Resumption of the Central Procurement Organization to centralize procedures - The 2027 State Budget draft includes a UAH 52.8 billion Road Fund - Rejection of intermediaries and direct contracts with actual contractors - Stricter control over market pricing and estimated profits of up to 15% The State Agency for Restoration and Infrastructure Development of Ukraine is launching a large-scale reform of procurement systems and construction control. The agency's head, Ivan Fedorov, announced plans during a briefing to resume full operations of the Central Procurement Organization, strengthen the audit of work costs, and demonopolize the market. The innovations are designed to optimize budget expenditures, which in the 2027 State Budget draft include the partial restoration of the Road Fund amounting to UAH 52.8 billion. ### New Funding Principles and the 2027 Budget Draft The draft state budget for 2027 provides for the partial restoration of the Road Fund with a funding volume of 52.8 billion hryvnias. These funds are planned to be directed toward road maintenance, military and frontline logistics, as well as the repayment of debts from previous periods. As emphasized by Restoration Agency head Ivan Fedorov, military logistics and the protection of critical infrastructure in frontline areas invariably remain the top priority. Road maintenance and construction project financing will now be implemented under entirely new rules. The agency intends to move away from regional fragmentation and introduce transparent resource allocation mechanisms. An automatic road quality tracking system should make this process as fair and transparent as possible for all regions. ### Market Demonopolization and Direct Contracts with Contractors The agency strongly opposes the monopolization of the construction services market and intends to involve a broad range of companies in project implementation. According to Fedorov, contracts must be concluded directly with contractors who physically work at construction sites, eliminating chains of intermediaries and subcontractors. This approach will not only improve the quality of constructed facilities but also significantly optimize costs. As part of the reform, the agency plans to resume the full operations of the Central Procurement Organization, previously established with the support of international partners. Moving from procurement by fragmented regional services to a centralized format will ensure the unification of procedures and strengthen control at every stage of infrastructure project implementation. ### Interaction with International Donors and Estimate Pricing The agency is actively negotiating with international partners to attract additional funding and conduct procurement according to donor standards. However, Fedorov particularly noted the critical factor of time: standard international procedures sometimes last up to six months, which is unacceptable under current martial law conditions. Therefore, the agency insists on the fastest possible and simultaneously controlled procedures. Special attention is paid to pricing control in construction. Although government regulations allow contractors to include up to 15% profit in estimates, the agency strictly checks the compliance of material and work costs with market realities. Increased control and transparency have already met resistance from certain market participants and massive information campaigns in Telegram channels, but the agency's leadership intends to stay the course on reforms. ### Significance of the Reform for the Country's Infrastructure Restoration The launch of large-scale updates to procurement mechanisms at the Restoration Agency marks a transition to stricter state and international control over the expenditure of budget funds. Abandoning outdated schemes, eliminating intermediaries, and strictly auditing estimated costs are designed to minimize corruption risks and increase the efficiency of every hryvnia resource invested. Amid ongoing conflict and constant threats to critical infrastructure facilities, the ability to quickly, transparently, and qualitatively restore logistical arteries becomes a key factor in the state's economic and defense resilience. ## Fact-Check & Sources - [Агентство восстановления реформирует закупки: Иван Федоров объяснил, что изменится](https://www.rbc.ua/ukr/news/agentstvo-vidnovlennya-reformue-zakupivli-1793777552.html) - Primary source containing statements by Restoration Agency head Ivan Fedorov regarding procurement reform, the Road Fund budget, and pressure resistance. - [Бывший глава Запорожской ОВА Иван Федоров возглавил Агентство восстановления](https://www.pravda.com.ua/rus/news/2026/09/04/8051867/) - Confirms Ivan Fedorov's appointment as head of the Restoration Agency in September 2026 after leaving his post as Zaporizhzhia RMA head. - [Федоров уходит с поста главы Запорожской ОВА и переезжает в Киев - СМИ](https://glavred.info/ukraine/fedorov-uhodit-s-posta-glavy-zaporozhskoy-ova-i-pereezzhaet-v-kiev-smi-10793672.html) - Details President Zelenskyy's offer to Ivan Fedorov to head the Restoration Agency and Fedorov's comments. - [Иван Федоров покидает пост главы Запорожской ОВА: какую структуру ему предложили возглавить](https://focus.ua/ukraine/766588-ivan-fedorov-uhodit-s-dolzhnosti-zelenskiy-predlozhil-emu-vozglavit-agentstvo-vosstanovleniya) - Reports on Fedorov's move to Kyiv and his transition to the new leadership position at the Restoration Agency. ## FAQ ### What amount is allocated for the Road Fund in the 2027 State Budget draft? The draft state budget for 2027 allocates 52.8 billion hryvnias for the partial restoration of the Road Fund. ### How does the Restoration Agency plan to combat market monopolization? The agency intends to involve a wide range of companies and conclude contracts directly with those working at construction sites, excluding subcontractors. ### Why does the agency insist on accelerating procurement procedures with donors? Standard international procedures can take up to six months, which is unacceptable during wartime.