Exam 2 in Contracting Flashcards
(91 cards)
1
Q
What are the different types of brainstorming?
A
- Structured brainstorming
- Free-form brainstorming
- Silent-brainstorming
2
Q
What are the 6 basic problem/decision making steps?
A
- Define the Problem:
- Analyze Potential Causes
- Identify Possible Solutions:
- Analyze and compare alternatives
- Select an alternative(s)
- Implement the selected alternative(s) and Evaluate Progress
3
Q
At the end, using the problem-solving steps will help to develop what conclusion
A
problem statement
4
Q
What are the three types of solicitations?
A
Request for Quotation – Simplified Acquisition Procedures - FAR Part 13
Invitation for Bid – Sealed Bidding – FAR Part 14
Request for Proposal – Negotiation – FAR Part 15
5
Q
What are the two basic types of contracts?
A
Firm Fixed Price and Cost Reimbursable
6
Q
Which type of contract requires a vendor to give their “best effort”?
A
Cost reimbursable
7
Q
When is a BPA appropriate?
A
Repetitive Need
8
Q
What are the two most common types of best Value evaluations?
A
Lowest Price Technically Acceptable (LPTA) and Tradeoff
9
Q
What does Best Value mean?
A
The award will be made based on factors other than cost or price.
10
Q
Contracting by negotiation is authorized at any dollar amount when discussions are necessary. True or False
A
True
11
Q
What are the two major types of contracts?
A
Fixed Priced and Cost Reimbursement
12
Q
Which type of contract arrangement puts the Risk on the contractor?
A
Fixed Priced
13
Q
Which type of contract arrangement puts the Risk on the Government?
A
Cost Reimbursement
14
Q
How long do you have to definitize a letter contract?
A
Within 180 days or 40%
15
Q
What are some of the factors to consider when selecting a contract type?
A
1.Price competition
2.Price analysis
3. Cost analysis
4. Type and complexity of requirement
5. Urgency of requirement
6. Period of performance or length of production run
7. Contractor’s technical capability and financial responsibility
8. Adequacy of contractor’s accounting system
9. Concurrent contracts
10, Extent and nature of proposed subcontract
11. Acquisition history
16
Q
What document must be completed prior to awarding a Time and Materials contract?
A
The KO must complete a Determination and Finding (D&F)
17
Q
Cost Reimbursable contracts require venders to provide what time of outcome?
A
Best Effort
18
Q
There’s a serious doube about the stability of market or labor and conditions during an extended period during a specified contingency a recommended fixed price contract type to use is what
A
Fixed price with an economic price adjustment
19
Q
When is an indefinite delivery contract appropriate?
A
Under certain conditions the Government may not be able to specify its required delivery and/or quantity or may not have sufficient funds for obligation of the entire needed quantity at that time.
20
Q
What are the three types of indefinite delivery contracts?
A
Definite, Requirements, Indefinite Quantity
21
Q
When can an option be exercised?
A
After determining that
- Funds are available
- Option fulfills an existing need
- Option is the most advantageous method of fulfilling the need
- Option was synopsized IAW FAR Part 5
- Determination and Findings
* * supply/ services contracts will not exceed 5 years (Base year plus 4 option years)
22
Q
What is a multiple year contract?
A
Means a contract for the purchase of supplies or services for more than 1, but not more than 5, program years
23
Q
What FAR covers Multi-year and multiple year contracts
A
Far part 17
24
Q
Supply/service contracts will not exceed how many years
A
5 years
25
To review an option you need what written
Determination & Findings
26
What is a commercial item?
Item that has been or will be sold to the general public; may required minor government directed modifications
27
What is a D&F?
Determination and Findings- Rationale for business decisions made concerning the acquisition
28
When is a J&A required?
Sole Source Requirement
29
Performance Work Statements are the preferred method of describing agency requirements True or False
True
30
Performance Based Work Statements are the preferred method of describing agency requirements.
True
31
Type of Requirements document that support your request
1. Commercial item descriptions
2. Performance Work Statement (Preferred method of describing requirements)
3. Specifications
32
Specifications has 3 types
1. Design Specifications
2. Functional Specifications
3. Performance specification
33
Performance work Statement/ Statement of Objectives
Documents that describe a performance outcome rather than how to achieve that outcome
34
Specifications is
Describe a technical requirement for a material or product that includes the criteria for determining whether these requirements are met.
35
Specification Explained:
Design specs – Identify requirements by specifying exact dimensions, materials, composition, physical and chemical requirements and other details of the product or service
Functional specs – States only the end result to be achieved (Environmental control method that will maintain temp between 70 and 78 degrees)
Performance specification – Expresses requirements in the form of output, function or operation of a commodity
36
Performance Based Contracting has Seven Steps
1. Establish the Team
2. Decide what problem needs to be solved
3. Examine private-sector and public sector solutions
4. Develop a PWS or SOO
5. Decide how to measure and manage performance
6. Select the right contractor
7. Manage performance
37
Service Contract Act of 1965
```
Applies if:
Contract exceeds $2,500
Service contract
Performance by other than executive, admin or professional employees
Performed in the United States
```
38
what is Construction
Alteration or repair (including dredging, excavating and painting) of buildings, structures, or other real property
39
A Construction Contact
Must prepare a performance evaluation for all contracts over $700,000 and for any construction contract, regardless of value, if terminated for default. FAR 42.1502(e).
40
An Independent Government Estimate (IGE) is required
for certain construction contracts in excess of $150,000
41
Labor Law Considerations
1. Contracts for dismantling, demolition, or removal of improvements are subject to either the Service Contract Act ($2,500) or the Davis Bacon Act ($2,000)
2. If the act is solely for dismantling, demolishing or removal of improvements only the SCA applies
3. If work that will alter or repair a public building, the Davis Bacon applies ($2,000)
42
Buy American Act
Buy U.S. products over foreign manufacture
| Supports U.S. socio-economic goals
43
The Exceptions to the Buy American Act are:
Are for use outside the US
Unreasonable cost
Domestic preference inconsistent with public interest
Are not mined, produced or manufactured in the US in sufficient quantities
Purchased specifically for commissary resale
44
What is a Synopsis?
Is a “snapshot” of the requirement that the government is trying to fulfill.
45
What are the exceptions to publicizing?
FAR 5.202
Synopsis cannot be worded to preclude disclosure of an agency’s needs and disclosure would compromise national security
Unusual and compelling urgency
Foreign Military Sales (if source directed)
Required by statute
46
What are the response times for commercial items and R&D?
30 for commercial items and 45 day that exceed the SAT
47
Publicizing Contract Actions
At least 15 days prior to solicitation or proposed contract action
48
Contracting Officer must establish a response time that will afford potential offerors a reasonable opportunity to respond to each proposed contract action
30 day response time except for commercial items
49
KO have the option publish a combined synopsis/solicitation for
commercial items FAR 12.603
50
Contracting Officers must publicize contract actions in order to—
Increase competition
Broaden industry participation in meeting Government requirements; and
Assist small business concerns, veteran owned small business concerns, HUBZone small business concerns, small disadvantaged business concerns and women-owned small business in obtaining contracts and subcontracts
51
FAR Part 5
Publicizing Contract Action
52
what does FAR 5.101(a)(2)
Proposed contract actions expected to exceed $15,000, but not expected to exceed $25,000—by displaying in a public place, or by any appropriate electronic means for 10 days
53
What is CLIN
Contract Line Item Numbers
54
What information goes into a CLIN?
Unit price
Item Description
Delivery schedule
Accounting Classification
55
Are all Sub-Lines priced in CLIN?
No they can be informational
56
is often referred to as the evaluating and choosing the course of action
Decision making
57
used to document/ define a problem or opportunity
Problem Statement
58
Problem Statement is divided into three parts
current situation, impact, desired status
59
a document, sent to prospective contractor by a government agency requesting the submission of offers or information
Solicitation
60
what are the Solicitation types
1. Request for Quotation (Simplified Acquisition Procedures Far part 13)
2. Invitation for Bid (sealed bidding FAR part 14)
3. Request for proposal- negotiation (far part 15)
61
what are the different type of Fixed Priced Contracts
1. Firm Fixed price (FFP
2. Fixed Price with economic price adjustment (FP EPA)
3. Firm Fixed Price, level of effort term (FFP LOE)
4. Fixed price incentive fee (FPIF)
62
* Provides for upward and downward revision of the stated contract price upon the occurrence of specified contingencies
* This contract type might be used when you had an item that contained a commodity that fluctuated over time such as petroleum
* Gives both parties the right to re-adjust total contract amount
Fixed Price Contracts with Economic Price Adjustment
63
* Fixed price contract that provides for adjusting profit and establishing the final contract price by a formula based on the relationship of final negotiated total cost to total target cost
* Incentivizes the KTR to reduce costs
Fixed Price Incentive Contracts
64
Cost Reimbursement Contracts
* Government reimburses allowable and allocable incurred costs, to the extent prescribed in the contract
* Government estimates total performance cost in order to obligate funds, and sets a cost ceiling that the contractor may not exceed without Contracting Officer approval
* Used only when performance involves such uncertainties that costs can’t be estimated
* Contractor must have an adequate accounting system and there must be adequate government surveillance
* Subject to the “Limitation of Funds”
* Cost reimbursement contracts are covered in FAR 16.3
65
Time and Materials Contracts – 16.6
– Direct labor hours at specified fixed hourly rates that include wages, overhead, general and administrative expenses, and profit; and
– Actual cost for materials
– Only used when it is not possible, at the time of award, to accurately estimate the extent or duration of the work or to anticipate future costs with a degree of confidence
66
Option Documentation: The contracting officer shall justify in writing
(D&F)
67
Exercise of Options:
1. Funds are available
2. Option fulfills an existing need
3. Option is the most advantageous method of fulfilling the need
4. Option was synopsized IAW FAR Part 5
5. Determination and Findings
* Supply/Service contracts will not exceed 5 years (Base year plus 4 option years)
68
A contract for supplies that does not procure or specify a firm quantity of supplies and that provides for the issuance of orders for the delivery of supplies during the period of the contract
Delivery order contract
69
A contract for services that does not procure or specify a firm quantity of services and that provides for the issuance of orders for the performance of tasks during the period of the contract (IDIQ)
Task order contract
70
who must exercise the option prior to end date of the current period of performance
KO
71
Multiple year Contracts
May be Indefinite Delivery Indefinite Quantity (IDIQ) contracts or contracts with annual options
Does NOT require Congressional Approval
72
a contract for the purchase of supplies or services for more than 1, but not more than 5, program years
● Multi-year contract
73
● Lower Costs
● Enhancement of standardization
● Reduction of administrative burden
● Multi-year contract
74
multi-year and multiple year contracts are covered in what Far Part
FAR Part 17
75
Supply/service contracts will not exceed how many years?
Base year plus 4 options years
76
What indefinite delivery contract requires a guaranteed min. and max.?
IDIQ Indefinite Delivery Indefinite Quantity
77
To exercise an option you need what written justifications?
D&F
78
Service Contract Act of 1965
o Contract exceeds $2,500
o Service contract
o Performance by other than executive, admin or professional employees
o Performed in the United States
79
Buy American Act
● Buy U.S. products over foreign manufacture
● Supports U.S. socio-economic goals
● Exceptions to the Act:
○ Are for use outside the US
○ Unreasonable cost
○ Domestic preference inconsistent with public interest
○ Are not mined, produced or manufactured in the US in sufficient quantities
○ Purchased specifically for commissary resale
80
Berry Amendment
● DoD must buy textiles, fibers, yarns, fabrics or materials grown, reprocessed, reused or produced in the US
● Exceptions:
○ Acquisitions at or below the SAT
○ Acquisitions purchased outside the US in support of combat operations
81
When is publicizing Required?
○ Small Business Act (15 U.S.C. 637(c))
○ Office of Federal Procurement Policy Act (41 U.S.C. 416)
○ FAR 5, Publicizing Contract Actions
● FAR 5.101(a)(2) Proposed contract actions expected to exceed $15,000, but not expected to exceed $25,000—by displaying in a public place, or by any appropriate electronic means for 10 days.
● FAR 5.101(a)(1) Proposed contract actions expected to exceed $25,000—synopsize in GPE (Government-wide Point of Entry)
82
● Published time
○ At least 15 days prior to solicitation or proposed contract action
○ Shorter period as established by Contracting Officer for commercial items
83
Far part 11
Describing agency needs
84
Far part 12
Acquisition of commercial items
85
Far part 13
Simplified acquisition procedures
86
Far part 14
sealed bidding
87
Far Par 15
contracting by negotiation
88
Far part 16
types of contracts
89
Far part 17
Special contacting methods
90
Far part 19
small business programs
91
far part 18
emergency acquisitions
