(a) Unilateral IDPO. An IDPO may be established unilaterally. When this is done,
notwithstanding the fact that a vendor has quoted against the provision at 52.213-9002, the vendor, as with any unilateral purchase order quote, will not have entered into a contract that binds it to the IDPO provision for performance under subsequently issued orders. Likewise, the Government is not obligated to place subsequent orders under the IDPO provision. Effecting the purchase in this manner provides the flexibility to determine the method of purchase for a subsequent requirement (e.g., order against the IDPO, or issue a new solicitation) that is in the best interest of the Government. (Note that use of this approach does not preclude the execution of a bilateral purchase order for the basic requirement. Under this approach, however, the IDPO provision remains a unilateral offer when included in the purchase order for the basic requirement. Bilateral purchase orders may still be issued under this method for the IDPO quantities.) If this approach is used, the following applies:
(1) Publication and display. To establish a unilateral IDPO with an aggregate value in excess of $10,000 the contracting officer must satisfy the public display requirements at FAR 5.101 (post if over $10,000 and synopsize if over $25,000). The publication and display will preclude the need to publish/post subsequent orders placed under the IDPO.
(2) Solicitation provision. The provision at DLAD 52.213-9002, Indefinite Delivery Purchase Order Agreement, shall be included in solicitation documents for supplies when a unilateral IDPO is planned to be established. The solicitation shall request quotes on the basic requirement, and request that the prospective contractor state if it agrees or does not agree to accept subsequent orders within the stated quantity range at the quoted price for the current requirement specified in the Request for Quotations. The basic quantity requirement shall be within the minimum and maximum quantity range and order frequency limit included in the provision at 52.213-9002 at the time of solicitation.
(3) Evaluation and award. Quotations from offerors that do not quote against the provision at 52.213-9002 shall not be rejected as technically unacceptable. Award shall be made to that responsible offeror that submits the low, technically acceptable quotation for the basic requirement. If the price for the projected requirements is determined fair and reasonable at the time of award for the basic requirement, price reasonableness determinations need not be made for subsequent orders placed under the IDPO provision.
(b) Bilateral IDPO (purchase order with indefinite quantity terms). An IDPO may be
established bilaterally. Under this approach, offerors shall be advised, by inclusion of the clause at 52.213-9003, that performance under the purchase order, by supplying the minimum order quantity (the basic order quantity), requires the contractor to provide the additional supplies specified in the clause at 52.213-9003, within the stated minimum and maximum quantities, as ordered by the designated ordering officer. Use of this approach establishes a binding contract for the IDPO, yet does not bind the Government to place orders against the IDPO. If this approach is used, the following applies:
(1) Publication. To establish a bilateral IDPO with an aggregate value in excess of $10,000, the contracting officer must satisfy the publishing requirements at FAR 5.101 (post if over $10,000 and synopsize if over $25,000). The publication will preclude the need to publish subsequent orders placed under the IDPO.
(2) Solicitation clauses.
(i) The clause at DLAD 52.213 -9003, Indefinite Delivery Purchase Order
Contract, shall be included in solicitation documents when a bilateral IDPO is to be established. This clause provides that initial performance under the purchase order (by supplying the minimum purchase order quantity) obligates the contractor to provide the additional supplies, within the stated minimum and maximum quantities cited in the clause, as ordered by the ordering officer.
(ii) The clauses at FAR 52.216-18, Ordering; FAR 52.216-19, Order Limitations; FAR 52.216-22, Indefinite Quantity; and FAR 52.249-8, Default (Fixed-Price Supply and Service), shall be included in solicitations that contain the clause at DLAD 52.213-9003.
(3) Evaluation and award. A solicitation provision shall be included in RFQs that advises whether or not the Government will reject quotes as technically unacceptable from offerors that do not agree to the clause at DLAD 52.213-9003. Award shall be made, under the conditions specified in the solicitation, to that offeror that submits the low, technically acceptable quotation for either (a) the minimum requirement, or (b) the combined basic and IDPO requirements, depending on the conditions specified in the solicitation. When the award includes the IDPO clause, the price(s) for the minimum purchase order quantity and for the IDPO projected requirements shall be determined fair and reasonable at the time of award of the basic requirement.
(b)(3)(90)
The provision at 52.213-9010, IDPO Evaluation, shall be used when IDPO evaluation will be based on the estimated annual demand stated in the schedule. Use with clause 52.213-9003.
