Government Procurement Law
Section 16. Use of Framework Agreement. - Procuring Entities may use a framework agreement as a procurement strategy to expand the pool of prospective bidders, take advantage of economies of scale, minimize the administrative burden of conducting separate procurement activities, and generate time and money savings.
The framework agreement shall be in the nature of an option contract between the Procuring Entity and the bidder that stipulates the terms and conditions that would be applied in subsequent contracts for the procurement of Goods, Infrastructure Projects, and Consulting Services with a single or multiple contractor, manufacturer, supplier, distributor, consultant, and service provider.