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I am currently doing a board for an IDIQ contract and the PoP starts 1 October, however, the first Task order will not be needed until November. 

I am "told" that as this is a service with supply action that a task order has to be cut within a couple of days of award, not 30 days after the PoP starts. 

I have researched in both FAR 16 and Fiscal Law along with GAO website and cannot find anything that states such a timeline exists.  

Does anyone have any other websites, regs or knowledge that states that you must cut a task order within a couple of days of the PoP starting on an IDIQ contract?

 

 

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On 8/4/2021 at 9:26 AM, Debbie said:

I am currently doing a board for an IDIQ contract and the PoP starts 1 October, however, the first Task order will not be needed until November. 

I am "told" that as this is a service with supply action that a task order has to be cut within a couple of days of award, not 30 days after the PoP starts. 

I have researched in both FAR 16 and Fiscal Law along with GAO website and cannot find anything that states such a timeline exists.  

Does anyone have any other websites, regs or knowledge that states that you must cut a task order within a couple of days of the PoP starting on an IDIQ contract?

 

 

I suspect what you have been told is related to a confusion created by some with regard to the administration of an IDIQ.   Let me try to help by offering some information that might allow you to explore the matter with folks that have "told" you.

It is well founded that an IDIQ's minimum guarantee must be recorded as an obligation at time of award.  However some agencies use what I will term a work around where rather than recording the minimum as an obligation issue a TO or DO, that meets the minimum guarantee, immediately or soon after parent IDIQ award and record that amount as the obligation.   

There is at length discussion found in WIFCON on the above.  I am providing reference to a couple of the discussions that I hope won't cause more confusion but help give you some perspective on what I believe is the reason you are being told something.   The references I am providing will lead you to additional references in the GAO Redbook and elsewhere that might help as well.

http://www.wifcon.com/discussion/index.php?/blogs/entry/166-myth-information-obligating-the-minimum-in-idiq-contracts/

And.............

 

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On 8/4/2021 at 9:26 AM, Debbie said:

I am "told" that as this is a service with supply action that a task order has to be cut within a couple of days of award, not 30 days after the PoP starts. 

Did you ask for a citation from the person that told you that saying it's a thing? Unless someone thought it was a good idea to make an imperative statement in the IDIQ that such a thing was going to happen i don't know of anything that requires what you are describing. 

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Some agencies have a stupid (in my opinion) rule requiring issuance of a task order purchasing the minimum amount simultaneous with the issuance of the indefinite-delivery contract.  Those rules are agency rules, not FAR-level rules.  

Intelligent agencies know how to satisfy the recording requirement for an indefinite delivery contract's minimum, and then administratively draw down that recording obligation as task orders are issued.  There is no FAR-level requirement to issue a task order simultaneous with the indefinite delivery contract.

Your interlocutor may be speaking from experience (or current assignment) in an agency with the afore-mentioned and afore-characterized rule.

p.s.  I hope my use of the word "stupid" does not offend anyone -- I just can't think of a better word -- maybe I should use "unnecessary" instead:  Some agencies have an unnecessary rule requiring issuance of a task order purchasing the minimum amount simultaneous with the issuance of the indefinite-delivery contract.

However I might characterize your agency's rules, you have to follow them.

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1 hour ago, ji20874 said:

p.s.  I hope my use of the word "stupid" does not offend anyone -- I just can't think of a better word -- maybe I should use "unnecessary" instead:  Some agencies have an unnecessary rule requiring issuance of a task order purchasing the minimum amount simultaneous with the issuance of the indefinite-delivery contract.

I grew up as an enlisted soldier in the Army and grew accustomed to using derogatory words, a trait I've found to be difficult to ditch and not entirely acceptable in an office environment. I took a class called Crucial Conversations and they tell you to use words like unwise or ill-advised instead of brainless or laughable and precede statements with phrases like "in my opinion" which you did, so in my opinion you're post isn't offensive in my eyes. 

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On 8/4/2021 at 12:26 PM, Debbie said:

I am currently doing a board for an IDIQ contract and the PoP starts 1 October,

I think there may be a disconnect in terminology here.  Usually, when speaking of an IDIQ we refer to the effective date of the contract and the ordering period.  The POP usually refers to performance period of an order.  As has been mentioned, orders can be placed at any time during the ordering period.  Check your agency rules to see if they require the initial order to be placed on the effective date of the contract.

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37 minutes ago, Retreadfed said:

Usually, when speaking of an IDIQ we refer to the effective date of the contract and the ordering period.  The POP usually refers to performance period of an order. 

Hmmm. The term "period of performance" appears in FAR (48 CFR Ch. 1) only four times with reference to IDIQs. Twice with reference to the contract and twice with reference to the order:

  1. 16.504(c)(ii)(A)(4) - contract
  2. 16.505(a)(2) - contract
  3. 16,505(b)(2)(ii)(A) - order
  4. 16.505(b)(2)(ii)(B)(4) - order

It does not appear in any of the FAR IDIQ contract clauses.

"Ordering period" appears only twice in FAR, in 16.505(c)(1) and (2)(i).

I could not find any use in FAR of "effective date" in connection with IDIQ contracts.

So who is "we" and what is the "usually" based on? Has there been a poll or survey?

I did find "effective period" in FAR 52.216-22.

😉

 

 

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dsmith101abn, 

Right.

Here are the internet thesaurus words:  

unintelligent, ignorant, dense, brainless, mindless, foolish, dull-witted, dull, slow-witted, witless, slow, dunce-like, simpleminded, empty-headed, vacuous, vapid, and so forth

Together, these well describe my opinion of agency rules that require a simultaneous task order purchasing the minimum for an indefinite-delivery contract.  But, I sustain the privilege of agencies to make their own rules and to require their staff to follow them.  I just hope that when the leadership changes, the rules might also change.

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On 8/4/2021 at 12:26 PM, Debbie said:

Does anyone have any other websites, regs or knowledge that states that you must cut a task order within a couple of days of the PoP starting on an IDIQ contract?

 

 

Here is a GAO decision that you may want to research: GAO Decision B-318046, Library of Congress—Obligation of Guaranteed Minimums for Indefinite-Delivery, Indefinite-Quantity Contracts under the FEDLINK Program, July 7, 2009,  https://www.gao.gov/assets/b-318046.pdf

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Every agency sets its own rules about the time within which an obligation must be recorded. See, for example, the Department of Defense Financial Management Regulation, Vol. 3. Ch. 8, Sec. 0803, Obligations, Subsec. 080301, General,  Paragraph B, Responsibilities:

Quote

The office that incurs an obligation shall provide, within 6 calendar days of the date the obligation is incurred, a copy of the obligating document(s), via electronic mail, fax, or other documented means, to the office responsible for recording the obligation. The office that is responsible for recording the obligation shall record the obligation in the official accounting records within 3 calendar days of receipt of such documentation, information, or data. Timely and accurate recording of obligations facilitates the disbursing officer’s (DO) ability to verify fund availability before authorizing a payment (a process called prevalidation) and, consequently, promptly pay the associated invoice.

The IDIQ contract itself creates the obligation. It is the obligating document. The task or delivery order fulfills the obligation.

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  • 5 weeks later...

If you do not award the minimum guarantee at the time of award wouldn't this violate the bona fide need rule?  We award our minimum guarantees at the time of award.  We are required to have funding to meet this need prior to award. We do this because ours are multiple award contracts. 

Are you awarding to just one contractor? 

If you don't need the contact until Nov, then why not change your PoP? 

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