Fundamentals & Core Concepts Flashcards

What is the Simplified Acquisition Threshold (SAT) as established under federal acquisition regulations?

Answer: $150,000

The Simplified Acquisition Threshold is $150,000, below which agencies may use simplified acquisition procedures to reduce administrative burden.

Which government-wide database must contractors register in before being awarded most federal contracts?

Answer: System for Award Management (SAM.gov)

SAM.gov (System for Award Management) is the official registration system that contractors must use to be eligible for federal contract awards.

Under FAR Part 19, what percentage of total prime contract dollars is the governmentwide small business prime contracting goal?

Answer: 23%

The governmentwide small business prime contracting goal is 23% of total eligible federal contract dollars, as established under the Small Business Act.

What is the purpose of a Justification and Approval (J&A) document in federal contracting?

Answer: To justify a sole-source or other than full and open competition award

A J&A documents the legal basis and approval authority for awarding a contract without full and open competition.

Which principle holds that a contractor cannot bind the government to a contract unless the individual signing had actual authority to do so?

Answer: Actual authority requirement

In federal contracting, only an authorized Contracting Officer with actual authority can legally bind the government — apparent authority does not apply as it does in commercial law.

What does the term 'privity of contract' mean in a federal contracting context?

Answer: The direct legal relationship between the government and the prime contractor

Privity of contract refers to the direct contractual relationship between the government and the prime contractor, generally excluding subcontractors from that relationship.

Which evaluation approach considers both price and non-price factors to select the offer that provides the greatest benefit to the government?

Answer: Best value tradeoff

The best value tradeoff approach allows the government to pay a price premium for superior technical or performance factors when warranted.