We are working under an IDIQ and the Agency has issued task orders that total more than the ordering ceiling (for example the max. ordering ceiling is $10M but our task orders now total $12M). Because we believed there was some risk in accepting task orders above the ordering ceiling in the IDIQ, we inquired to Govt. CO if we could even accept the task orders (?).
When we asked to have the IDIQ ceiling increased to match the task orders, the CO stated the Government would not issue the task orders if it did not intend to increase the ordering ceiling in the IDIQ at some point. In the past, the ceiling increase as been delayed due Govt. "legal" issues but we eventually got the ceiling increased via modification. We are now requiring a 2nd ceiling increase to match the task orders issued.
How exposed are we? Does the Govt have to increase the ceiling to cover the task orders issued? . Can we assume if a task order is issued beyond the IDIQ ceiling, the Govt. automatically has to make the contractor whole and the task order issued overrides the ceiling?