Unlike Agreements What Do Indefinite Delivery Contracts
There are three (3) types of indeterminate supply contracts: (1) Fixed quantity contracts Description: A fixed-quantity contract (FAR 16,502) provides for the delivery of a certain quantity of specific supplies or services for a specified period, providing for deliveries or services to order in certain locations. (3) Indeterminate ContractsDescription: An Indeterminate Quantity Contract (IDIQ) (FAR 16.504) provides an undetermined amount of deliveries or services within the specified limits for a specified period of time. The government organizes individual requirements. Quantitative limits can be indicated in number of units or in dollars. Credits for the minimum amount of the contract are used at the time the contract is awarded. Requirements above the minimum are then stipulated by contract if necessary. Several multiple contract contracts (FAR 16.504c) occur when a client awards two or more contracts in a contract for comparable supplies and services, if the award to a single supplier is not practical or does not meet the overall requirements. Prices are available for the same types of generic items at different points. However, it must be true that indefinite delivery, indeterminate contracts, provide an indeterminate amount of services for a period of time. They are used if GSA cannot determine, beyond a certain minimum, the exact amounts of supplies or services that the government needs during the term of the contract. IDIQs help optimize the contracting process and speed up service delivery. IDIQ contracts are the most widely used for service contracts and architectural engineering services. Rewards are usually for basic and option years.
The government awards contracts for supplies (for supplies) or tasks (for services) against a basic contract of individual requirements. The minimum and quantitative limits are indicated in the basic contract either in number of units (for deliveries) or in dollars (for services). A Federal Acquisition Regulation (FAR) Subpart 16.5 offers a variety of undetermined combinations of elements that provide the flexibility to best meet the needs of governments. The appropriate type of indeterminate supply contracts may be used to purchase supplies and/or services when the exact dates and/or exact quantities of future deliveries are not known at the time of contracting. In accordance with 10 U.S.C 2304d and Section 303K of the Federal Property and Administrative Services Act of 1949, requirement and purchase contracts are also referred to as supply contracts or order contracts. (2) Description of contract requirements: a contract of requirement (FAR 16.503) provides that all actual purchase requirements of designated state activities for supplies or services are met over a period of time, providing for deliveries or services through the award of a contract with the contractor.