01/6/21

IDIQ Approved for Permanent Use

For more than a decade, the Federal Highway Administration (FHWA) has allowed limited use of the indefinite delivery/indefinite quantity (IDIQ) project delivery method. Effective November 16, 2020, per the FHWA’s interim final rule under 23 CFR 635, states are allowed to use of IDIQ and job order contracting (JOC) on federal aid contracts on a permanent basis under certain circumstances. The FHWA states that “allowing ID/IQ contracting on a permanent basis provides benefits to state departments of transportation (state DOT) and other contracting agencies, including expediting project delivery, increasing administrative efficiency, reducing project costs, and increasing flexibility for state DOTs to use federal-aid funds on certain projects.

FHWA is soliciting public comment about IDIQ and JOC. The comments deadline is January 15. The official notice document, as well as the advance notice of proposed rulemaking (ANPRM), supporting materials and all comments received may be viewed online through the Federal eRulemaking portal at: http://www.regulations.gov. An electronic copy of the notice document may also be downloaded from the Office of the Federal Register’s home page at: http://www.archives.gov/federal-register and the Government Publishing Office’s web page at: http://www.gpo.gov/fdsys.