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What is the Threshold for Bid Protest?

Published in Bid Protest Thresholds 2 mins read

For specific federal contracts, a critical jurisdictional threshold exists that dictates when formal protests of task orders can be filed. This threshold applies to orders issued under Indefinite-Delivery/Indefinite-Quantity (IDIQ) contracts by the Department of Defense (DOD), the U.S. Coast Guard, and the National Aeronautics and Space Administration (NASA).

Current and Future Task Order Protest Thresholds

Currently, there is generally no jurisdiction for formal protests of task orders valued at less than $25 million under IDIQ contracts with DOD, Coast Guard, or NASA. This means that, with very few exceptions, task orders below this value cannot be formally protested.

Looking ahead, the landscape for these protests is set to change significantly. The 2025 National Defense Authorization Act (NDAA) will raise this jurisdictional threshold. Upon its implementation, the minimum value for a task order to be eligible for formal protest under these agencies' IDIQ contracts will increase to $35 million. This adjustment aims to streamline the protest process by focusing oversight on larger value procurements.

Here is a summary of the task order protest thresholds:

Agency/Contract Type Current Protest Threshold (Minimum Value) Future Protest Threshold (2025 NDAA)
DOD IDIQ Contracts $25,000,000 $35,000,000
Coast Guard IDIQ Contracts $25,000,000 $35,000,000
NASA IDIQ Contracts $25,000,000 $35,000,000

This specific threshold pertains to formal protests of task orders and is distinct from other potential protest grounds or thresholds that may exist for different types of contract awards or acquisition phases.