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Construction Procurement and Subcontracting Flashcards

6 cards from real CCA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 6 Construction Procurement and Subcontracting flashcards as text
  1. The Davis-Bacon Act requires that workers on federally funded construction projects be paid:

    Answer: Prevailing wages as determined by the U.S. Department of Labor for the project's locality

    Davis-Bacon requires payment of locally prevailing wages and fringe benefits, as published by the DOL, to laborers and mechanics on covered federal projects.

  2. A construction auditor verifying Davis-Bacon compliance should review:

    Answer: Certified payroll records (WH-347) for each worker classification

    Certified payroll forms (WH-347) document each worker's classification, hours, and wage rate, providing the primary evidence of Davis-Bacon compliance.

  3. Which condition in a subcontract most effectively protects the owner's right to audit subcontractor records?

    Answer: An explicit audit rights clause granting the owner access to subcontractor cost records

    An explicit audit rights clause—especially one that flows down from the prime contract—gives the owner contractual authority to examine subcontractor records directly.

  4. In competitive sealed bidding, a 'responsive bid' is one that:

    Answer: Conforms materially to all requirements of the solicitation document

    Responsiveness requires that a bid comply with all material requirements of the solicitation; non-responsive bids must be rejected even if they are low.

  5. An owner's representative discovers that a general contractor awarded a major subcontract without soliciting the required minimum number of bids specified in the contract. The auditor should:

    Answer: Report the violation and recommend the owner seek justification or potential re-procurement

    Failure to meet required solicitation minimums is a procurement control deficiency that must be reported; the owner must evaluate whether re-procurement or other remedies are warranted.

  6. Which document formally authorizes a subcontractor to begin work on a construction project?

    Answer: Notice to Proceed (NTP)

    A Notice to Proceed is the official written authorization directing the subcontractor to commence work, establishing the contract start date.