Section 27-2416. TERM CONTRACTS  


Latest version.
  •  

    2416.1The contracting officer may use a term contract (either a requirements contract or an indefinite-quantity contract) when the exact quantities of goods or services are not known at the time of contract award. Term contracts shall be subject to the provisions of this section and §2103 of chapter 21 of this title.

     

    2416.2A term contract may also specify maximum or minimum quantities that the District may order under each individual order and the maximum that the District may order during a specified period of time.

     

    2416.3The contracting officer may use a requirements contract when the contracting officer anticipates recurring requirements but cannot predetermine the precise quantities of goods or services that designated District agencies will need during a definite period.

     

    2416.4Each agency designated in a requirements contract shall be required to fill all actual purchase requirements for the specific goods or services from the requirements contract.

     

    2416.5The contracting officer shall include the following in each contract and solicitation for a requirements contract:

     

    (a)A realistic estimate of the total quantity that will be ordered, based on the most current information available; and

     

    (b)A clause, approved by the Director, stating that the estimate is not a representation to a bidder, offeror, or contractor that the estimated quantity will actually be required or ordered, or that conditions affecting the requirements will be stable or normal.

     

    2416.6If feasible, a requirements contract shall state the maximum limit of the contractor's obligation to deliver and the District's obligation to order.

     

    2416.7For requirements contracts, the contracting officer shall execute the contract without the obligation of funds. Funds shall be obligated by each agency at the time orders are issued under the contract.

     

    2416.8The agency contracting officer executing orders under a requirements contract shall obligate funds when each individual order is issued. An agency contracting officer may order from a requirements contract within the limits of the requesting agency's budget authority for the items or services covered by the contract, but without regard to the limits of the agency's contracting authority.

     

    2416.9The contracting officer may use an indefinite-quantity contract when the contracting officer cannot predetermine, above a specified minimum, the precise quantity of goods or services that will be required during the contract period, and the contracting officer determines that it is inadvisable to commit the District for more than a minimum quantity.

     

    2416.10An indefinite-quantity contract shall require the District to order and the contractor to furnish at least the stated minimum quantity of goods or services. The contractor shall also be required to furnish, if and as ordered, any additional quantities, not to exceed a stated maximum.

     

    2416.11For indefinite-quantity contracts, the contracting officer shall ensure that each agency listed as a using agency on the contract obligates the amount of budget authority needed to cover the agency's minimum required order under the contract.

     

source

Final Rulemaking published at 35 DCR 1564 (February 26, 1988).