Included among the lump sum, design-build and cost-plus contracts — to name a few — commonly used to carry out this work is another type of arrangement: indefinite delivery/indefinite quantity (IDIQ) contracting. When public agencies know they will need some type of construction service but lack certainty around the timeframe or the volume or scope of work, they often turn to IDIQ. IDIQ programs allow public agencies to lock in prices for a set period of time. For contractors chosen to participate, it can be an opportunity to lock in a customer.
http://www.constructiondive.com/news/the-dotted-line-understanding-idiq-contractings-winwin-potential/505069/