FAQ's - Frequently Asked Questions

• How does contracting for the government work?

  A federal government contractor is a person who enters into a contract, or is bidding on such a contract, with any agency or department of the United States government and is paid, or is to be paid, for services, material, equipment, supplies, land or buildings with funds appropriated by Congress.

• What are the phases of government contracting?

  The acquisition process is typically divided into four phases: pre-solicitation, solicitation and evaluation, award, and contract administration.

• How are government contracts structured?

  Fixed-price contracts are used by all federal agencies and generally provide a set, firm price. An adjustable price level may sometimes be used for a ceiling price, a target price (including target cost), or both, depending on how it is specified in the contract.

• What industry does government contracting fall under?

  Government contracts are considered ‘public sector” because they are owned by the government and therefore funded with public money, i.e., taxes.

• Who controls government contracts?

  The Office of Federal Procurement Policy (OFPP) in the Office of Management and Budget plays a central role in shaping the policies and practices federal agencies use to acquire the goods and services they need to carry out their responsibilities.

• What is an IDC contract?

  An Indefinite Delivery Contract (IDC) is a vehicle that has been awarded to one or more entities to facilitate the delivery of supply and service orders.