IDIQ vs BPA
Two common contract vehicles for recurring government purchases — with important structural differences.
IDIQ (Indefinite Delivery/Indefinite Quantity)
A contract providing for an indefinite quantity of services or supplies over a fixed period, with individual task orders issued as specific needs arise.
BPA (Blanket Purchase Agreement)
A simplified procurement method establishing pre-negotiated terms and pricing with vendors, typically against existing contracts like GSA Schedules.
| Dimension | IDIQ | BPA |
|---|---|---|
| Structure | Standalone contract with min/max value | Agreement layered on existing contract vehicle |
| Competition | Full competition for base contract; task orders competed among holders | Typically limited competition among BPA holders or sole source under threshold |
| Dollar Value | Often multi-million to multi-billion ceiling | Typically lower value; suited for recurring purchases |
| Ordering Process | Task orders with SOW, competition, and evaluation | Simplified calls with minimal additional documentation |
| Duration | Base period + option years (often 5-10 years total) | Typically 5 years maximum |
Key Takeaway
IDIQs are heavyweight contract vehicles for large, complex, and diverse requirements — winning one positions you for years of task order revenue. BPAs are lightweight purchasing arrangements for recurring needs that simplify ordering for both parties. Many companies pursue both: IDIQs for major programs and BPAs for steady, lower-value work streams.
When to Use Each
IDIQ
Invest significant capture and proposal resources. Winning the base IDIQ is a major achievement but just the start — plan for ongoing task order competition throughout the contract period.
BPA
Focus on having competitive pricing on your base contract vehicle (e.g., GSA Schedule). BPAs reward responsive, reliable vendors who can deliver quickly under established terms.
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