3/2/00JSC Procurement Forum1 Indefinite Delivery/Indefinite Quantity Contracting Overview to Multiple Award Contracting

3/2/00JSC Procurement Forum2 Indefinite Delivery/Indefinite Quantity Contracts Procurement Planning/Acquisition Strategy –Follow agency guidelines –Type of contract planned (IDIQ) –Acquisition plan will state if multiple or single award is planned Publicizing contract action –See FAR part 5 Competition requirements –See FAR part 6 Full and open competition Small business Set-aside Small Business Administration 8(a) Set-aside –Consider grouping multiple award to maximize SB/SDB participation Streamlined Techniques for Award of contracts. –NASA Midrange –Others forms that may be available

3/2/00JSC Procurement Forum3 Indefinite Delivery Contracts Three Type of Indefinite Delivery contracts –definite Quantity –requirements contracts –indefinite-quantity contracts Definite-Quantity –exact quantity of specific supplies or services for fixed period with deliveries to be scheduled. Requirements Contracts –Fill all actual purchase requirements of the government activity for the supplies or services during the contract period. Indefinite-Quantity –unspecified quantity, within stated limits, of supplies or services to be furnished during a fixed period.

3/2/00JSC Procurement Forum4 Indefinite Delivery/Indefinite Quantity Contracts Focus on Indefinite Delivery/ Indefinite quantity (IDIQ) –Known as Delivery order or Task order contracts Single award IDIQ contracts –Pre FASA agencies used large single award IDIQ contracts avoid delays with re-competition & award individual contacts for the same service or items avoid legal challenges of multi-award IDIQ Multiple-Award IDIQ contracts(two or more sources) –FASA(1994) established a preference for multiple-award IDIQ Eliminated legal challenges to multi-award IDIQ Continuous benefits of competition after award –FASA makes preference to multiple award, not a requirement. Use of single award IDIQ contract should be considered if in the best interest of the Government. –FAR gives guidance (FAR 16.5)

3/2/00JSC Procurement Forum5 Indefinite Delivery/Indefinite Quantity Contracts Multiple-Award IDIQ for Architect-Engineering Services –Multi-award preference does not apply to A-E services subject to FAR part 36.6 –Multi-award is not precluded on A-E services provided selection and placement of orders is consistent with FAR 36.6 Multiple-award IDIQ for Advisory and Assistance services –No preference to multiple award under 3 years and $10M –Mandatory for contracts exceeding $10M and 3 years in duration

3/2/00JSC Procurement Forum6 Indefinite Delivery/Indefinite Quantity Contracts Procurement Planning/Acquisition Strategy –Market research/commercial practice –Synopsis of planned acquisition –Type of contract fixed price cost reimbursable Hybrid –Draft solicitations –Set-aside considerations Use of several functional areas or groups of services

3/2/00JSC Procurement Forum7 Indefinite Delivery/Indefinite Quantity Contracts Statement of Work must reasonably describe the general scope of supplies or services –avoid being so vague that SOW fails to describe the general purpose. –SOW too vague may result in a challenge too any delivery orders as being outside the scope of the contract –Protest may be filed at contract level for delivery order on the basis of increase of scope of contract

3/2/00JSC Procurement Forum8 Indefinite Delivery/Indefinite Quantity Contracts Number of contracts to award –Make a reasonable number of awards Too ensure competition Avoid to many that is burdensome in the ordering process Too many leads to over expectation on the part of contractors –dilutes overall value to the contractors –reduces willingness to compete Too few may limit competition in highly technical areas Could have the effect of sole source orders

3/2/00JSC Procurement Forum9 Indefinite Delivery/Indefinite Quantity Contracts Ordering Process on resultant contracts –Delivery orders are exempt from FAR part 6 CICA met with original competition task orders exempt from synopsize requirements –FAR part 16.5 requires each awardee SHALL be provided a “fair opportunity” to be considered for each order >$2,500 –Delivery orders are exempt from protesting award decisions –Ombudsman hears issues on delivery orders

3/2/00JSC Procurement Forum10 Indefinite Delivery/Indefinite Quantity Contracts Fair Opportunity for award of orders –GAO and DODIG continue to investigate concern of fair opportunity Practice of designating a preferred source for specific supplies is not consistent with exceptions of FAR (b)(2) –Selection criteria must be stated in the solicitation and contract –Ensure the order selection criteria is clearly defined –FAR provides some general guidelines –Technical merit, follow-on to other task/delivery orders, etc

3/2/00JSC Procurement Forum11 Indefinite Delivery/Indefinite Quantity Contracts Task order/Delivery order Content –Orders should clearly define the service/supply Performance based work statement completion form work statement –Avoid large undefined work statements that result in sole source to a selected awardee by sole source in later tasks or modifications –Cannot not use Level-of-Effort statement of works –Mandatory vs Non-Mandatory order submission assures competition flexibility of offeror to determine task to quote

3/2/00JSC Procurement Forum12 Indefinite Delivery/Indefinite Quantity Contracts Selection criteria/ task/delivery order –Streamlined selections Oral proposals Written proposal Discussion –Formal evaluations plans or scorings not required must have appropriate documentation all selection documentation must be documented and in sufficient detail to be convincing sole source follow-on work should have provided fair opportunity under the original order –Price must be considered along with other factors and stated in documentation

3/2/00JSC Procurement Forum13 Indefinite Delivery/Indefinite Quantity Contracts Post award conferences Task/Delivery Order –Make this decision up front and be consistent Enhance competition/quality of services Administration Task order evaluations Task/Delivery Order Administration –Performance evaluation of task/delivery order Objective & subjective evaluation Past performance impact on selection of future orders