Subcontract Management Flashcards

Under FAR 44.201, which type of contractor is required to maintain an approved purchasing system?

Answer: Contractors with significant purchasing functions under negotiated prime contracts

FAR 44.201 requires contractors with significant purchasing functions under negotiated prime contracts to maintain an approved purchasing system reviewed by the contracting officer.

What is the primary purpose of a consent to subcontract under FAR 44.202?

Answer: To protect the government's interest by reviewing proposed subcontract terms before award

Consent to subcontract allows the contracting officer to review and approve the proposed subcontract terms to ensure the government's interests are protected before award.

A prime contractor on a cost-reimbursement contract proposes to subcontract 70% of the work. Which FAR clause is most directly applicable to this situation?

Answer: FAR 52.244-2, Subcontracts

FAR 52.244-2 requires consent to subcontract on cost-reimbursement contracts and governs the prime contractor's subcontracting obligations.

When must a prime contractor flow down FAR 52.222-26 (Equal Opportunity) to subcontractors?

Answer: When the subcontract exceeds $10,000 and is not exempt

FAR 52.222-26 must be flowed down to subcontracts over $10,000 that are not otherwise exempt from equal opportunity requirements.

Which document establishes the prime contractor's purchasing system requirements and is reviewed during a contractor purchasing system review (CPSR)?

Answer: The contractor's written purchasing system policies and procedures

During a CPSR, the government reviews the contractor's written purchasing policies and procedures to assess whether the purchasing system meets FAR 44 requirements.

Under the Truth in Negotiations Act (TINA), when must a prime contractor obtain certified cost or pricing data from a subcontractor?

Answer: When the subcontract exceeds the TINA threshold and no exception applies

TINA requires certified cost or pricing data from subcontractors when the subcontract exceeds the applicable threshold and no statutory exception applies.

What is the key distinction between a 'subcontract' and a 'purchase order' in the context of FAR Part 44?

Answer: Subcontracts require consent while simplified purchase orders below certain thresholds do not

FAR Part 44 distinguishes subcontracts that require consent from simplified purchase orders that fall below consent thresholds and meet certain conditions.