Home / DoD / GAO: Indefinite-Delivery Orders Comprised 40% of DoD Contract Obligations in FY 2015-2017

GAO: Indefinite-Delivery Orders Comprised 40% of DoD Contract Obligations in FY 2015-2017

The Government Accountability Office has found that orders placed under indefinitely-delivery contracts accounted for approximately 40 percent of the Defense Department’s contract obligations between fiscal years 2015 and 2017.

GAO said in a report published Thursday it found that DoD awarded about three-quarters of indefinite-delivery/indefinite-quantity contracts to a single vendor in the past three fiscal years.

The congressional watchdog evaluated IDIQ contracts and found that the Pentagon added ordering provisions that considered competition for succeeding orders.

“However, nearly all of the contracts we reviewed contained provisions that, while not explicitly limiting competition, may have the potential, under certain circumstances, to reduce the number of contractors who are eligible to compete for the orders,” GAO noted.

The agency evaluated DoD’s use of indefinite-delivery contracts in compliance with the fiscal 2017 National Defense Authorization Act.

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