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In order to cover emergency situations, many DoD long-term contracts now specify surge quantities. Surge requirements are excess requirements (above the basic quantity) that must be available with an accelerated delivery. These would typically be utilized during times of war or unforeseen surges in demand. Vendors must be capable of supplying any normal contract quantities at the same time as any surge requirement.
Surge items are listed as a separate line item, allowing vendors to reflect a premium price (if justified) to compensate for any overtime shifts, stock rotations/storage, equipment, shipping costs required to supply the surge quantity. The government determines the quantity and delivery desired for the surge requirements. The vendor provides the price necessary to meet the demand.
Due to the critical nature of availability, vendors are generally asked to provide the government with a surge and sustainability plan that details how the vendor will meet the requirements (See DFARS 217.208-70 and DFARS 252.217-7001). Look for the surge clause in section I of the solicitation.
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