What is a key requirement when awarding indefinite-quantity contracts?

A key requirement when awarding indefinite-quantity contracts is that a delivery order must be issued by an authorized individual. Indefinite-quantity contracts allow for the procurement of supplies or services when the exact quantities are not known at the time of the contract's award. However, these contracts are fulfilled through delivery orders that specify the exact quantities and other specific terms required for each order placed against the contract.

The authority of the individual issuing the delivery order is crucial because it ensures that the order is legally binding and that the procurement process adheres to proper authorization and oversight. This requirement safeguards against unauthorized commitments and maintains accountability within the contracting process.

While elements like funding statements or price agreements are important in the broader context of contract management, they are not specifically mandated as a requirement for the initiation of indefinite-quantity contracts. Similarly, minimum obligations at the proposal stage pertain to different types of contract structures and do not apply as strictly to indefinite-quantity contracts, which focus on flexibility and the ability to meet varying demands over time.