Fast, Flexible Federal Procurement: What Is an IDIQ?
IDIQ stands for “Indefinite Delivery/Indefinite Quantity.” It’s a type of U.S. federal government procurement contract that allows the government to order an indefinite quantity of supplies or services over a fixed time period from an individual contractor—typically with a maximum dollar limit.
Flexibility and Savings: The Power of IDIQ
Government procurement rules stem from the Federal Acquisition Regulation (FAR), which is a comprehensive set of guidelines that govern the acquisition process.FAR regulations span all contracts—including IDIQs—that are issued by the U.S. military, NASA, and U.S. civilian federal agencies.
An IDIQ contract may be agency-specific, or it could be a Government-Wide Acquisition Contract (GWAC)—a multi-agency contract between the agency and a private business, designed to ensure all parties follow complex rules and regulations.
In practice, IDIQs are not truly indefinite; they define minimum and maximum quantities, and they have fixed time limits. For example, the Monkton MATTER IDIQ was awarded for a period of five years—the typical maximum.
On the whole, an IDIQ gives federal agencies greater flexibility. The U.S. federal government often prefers an IDIQ because it allows them to order varying quantities of supplies or services over a fixed period, which can adapt to changing needs and requirements. IDIQ contracts ultimately help streamline the procurement process, and can lead to significant time and money savings.
When is an IDIQ appropriate?
An IDIQ is used when the General Services Administration (GSA) can’t determine the precise quantities of supplies or services that the government will require during the contract period, outside a specified minimum.
An IDIQ contract streamlines the procurement process and accelerates delivery by limiting negotiations to only a selected company or companies. A company that’s awarded an IDIQ has been evaluated, vetted, and trusted to deliver, providing accelerated delivery timelines and extra peace of mind for all involved.
How does an IDIQ work?
Under an IDIQ, the federal agency places delivery orders (for supplies) or task orders (for services) against a basic contract for individual requirements. The contract identifies minimum and maximum quantity limits as either a number of units (for supplies) or dollar values (for services).
One interesting anecdote about the government's use of IDIQ contracts is related to the need for rapid response during emergencies. In the aftermath of Hurricane Katrina in 2005, FEMA used IDIQ contracts to quickly secure disaster response and recovery services. The pre-qualified vendors and established terms allowed FEMA to expedite procurement, ensuring timely aid to affected areas.
Why use an IDIQ?
IDIQ contracts are more efficient than traditional procurement vehicles, saving the government time and money.
An IDIQ contract is inherently more streamlined, because it allows negotiations to be conducted only with the pre-selected company (or companies).
Traditional federal procurement processes, on the other hand, are cumbersome and time consuming. Requests for information or proposals must be written and posted while RFP responses must be rigorously evaluated before a vendor is eventually selected. A single contract award can take months—even years.
An IDIQ fast-tracks this process. Specific time saving varies depending on the complexity of the acquisition, the agency's efficiency, and specific circumstances, however it’s safe to say that an IDIQ can potentially save the federal government months in procurement alone. For example, with Monkton’s MATTER IDIQ, one can look forward to:
No need to compete Task Orders
No need to publicly advertise intent to award
No protests at Task Order level
No MOU, MOA, IAA, or MIPR of funds to SpOC SAIO
An IDIQ contract is the government's secret weapon for flexibility, efficiency, and agility, ensuring the right solutions at the right time—while saving precious time and resources.
About Monkton and the MATTER IDIQ
Monkton, the industry leader in rapid, solutions-based outcomes leveraging Cloud Native Services, was recognized in 2020 by the DoD with the issuance of a government wide IDIQ contract. Mobile Apps to the Tactical Edge Ready (MATTER), supports secure, Edge-based mobility, and is available to all Federal government agencies to issue task orders against. This vehicle enables rapid acquisition to achieve results, fast.
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Click here for step-by-step instructions and more information about our MATTER IDIQ. Get to MVP in weeks, not years.
