Originally Posted by CoMoChief
Any liberal wanna explain the billions and billions of rounds of ammo our govt is stocking up on?
It's already been explained in several other threads. It's not some grand conspiracy. Truth is that they simply contracted it in this way because it saves money and allows them to plan for the future and ensure supply. It's called an IDIQ(“Indefinite Delivery Indefinite Quantity”) contract. The quantities sound high, but they're really not. It allows them to acquire up to
that amount and it's spread out over a 5 year period. It doesn't even mean they will use that many bullets, that's just the upper limit to what they're allowed. It's no different than the way huge places like Walmart or Home Depot operate.
DHS contracted with a manufacturer for 40 caliber ammunition not to exceed 450 million rounds. Like with most of their contracts, prior to negotiating DHS headquarters in Washington reaches out to all the agencies under their umbrella, including state and local police forces, Customs and Border Patrol (CBP), etc, and asks them all how much of a certain item they need. Once they have an account of the full amount of an item needed and have reviewed those requests, they put out a request for an “Indefinite Delivery Indefinite Quantity” (IDIQ) contract. This contract allows them to purchase up to a certain number of needed items without requiring them to purchase a specific item and allows them to purchase this item over a certain number of years. This is a common form of contract used by DHS for many of their needed supplies, including working dogs, computer equipment, vehicles, etc.
In this case, DHS entered into a contract that allows them to purchase up to 450 million rounds of 40 caliber ammunition over the next five years. They cannot exceed 450 million rounds and are not required to purchase 450 million rounds. Basically, they have a tab with a manufacturer to order more rounds as they are needed over the next five years – not a onetime ammunition order.
Setting up contracts in this manner allows for a cheaper purchase price, saving money over the long-term. In fact, contracts like this one saved taxpayers $336 million in FY2011 alone. Additionally, purchasing in bulk like this helps DHS headquarter conduct better oversight over its agencies and ensures consistency among all the agencies under DHS. So, in this case CPB, Immigration and Customs Enforcement (ICE), the U.S. Secret Service, and other DHS agencies will all use the same 40 caliber round so these rounds can move between agencies if need be – another way to potentially save money down the road.
To put this more concisely, just like you and your family take that monthly trip to Sam’s Club or Costco to get your bulk needs cheaply, DHS also buys in bulk because it saves the American taxpayers money.