WHAT IS AN IDIQ?

The acronym “IDIQ” stands for Indefinite Delivery, Indefinite Quantity and refers to a type of contracting vehicle that allows tremendous flexibility. An IDIQ contract offers flexibility in situations where the government cannot determine the exact quantities and required timing of a product or service. Under an IDIQ contract, the government must order (and contractor must provide) a minimum agreed-upon quantity of products or services (this is known as a minimum guarantee). The contractor must also provide any other quantities ordered by the government, up to a stated maximum number.[1] According to the Government Accountability Office (GAO), from fiscal year 2011 through fiscal year 2015, IDIQ contracts accounted for approximately one-third of total government contract obligations. The Department of Defense—along with the Department of Homeland Security, Department of Health and Human Services, and the Department of Veterans Affairs—is a main user of IDIQ contracts. The Department of Defense accounted for approximately 68% of all IDIQ obligations from fiscal year 2011 through fiscal year 2015.[1]

WHERE CAN I FIND MORE INFORMATION ON NAVAIR’S IDIQ?

In April 2017, the US Government Accountability Office published a report titled Federal Contracts – Agencies Widely Used Indefinite Contracts to Provide Flexibility to Meet Mission Needs.

Information on IDIQs can also be found through the GSA’s acquisition.gov website, available here.

 

Updated by Kristin Stiner, March 2020


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