CFCM Fundamentals & Core Concepts 5 — Questions and Answers
Question 1: Which FAR clause is required in most contracts and prohibits contractors from engaging in contingent fee arrangements to obtain government contracts?
- FAR 52.203-5, Covenant Against Contingent Fees (Correct answer)
- FAR 52.215-2, Audit and Records
- FAR 52.222-26, Equal Opportunity
- FAR 52.209-6, Protecting the Government's Interest
Correct answer: FAR 52.203-5, Covenant Against Contingent Fees
FAR 52.203-5 requires contractors to warrant that no person was employed on a contingent-fee basis to solicit or obtain the contract.
Question 2: What is a Blanket Purchase Agreement (BPA) most accurately described as?
- A type of indefinite-delivery contract
- A charge account established with qualified suppliers for repetitive needs (Correct answer)
- A multi-year contract with options
- A small business set-aside vehicle
Correct answer: A charge account established with qualified suppliers for repetitive needs
A BPA is a simplified method for filling anticipated repetitive needs by establishing a 'charge account' arrangement with a supplier, reducing administrative burden.
Question 3: Under federal acquisition law, which of the following best describes an 'option' in a contract?
- A contractor's right to decline additional work
- A unilateral right of the government to acquire additional supplies, services, or extend the contract term (Correct answer)
- A bilateral agreement to renegotiate contract terms
- An agency's authority to cancel the contract
Correct answer: A unilateral right of the government to acquire additional supplies, services, or extend the contract term
An option gives the government a unilateral right to purchase additional quantities or extend performance at prices and terms established at the time of the basic contract award.
Question 4: What is the primary distinction between 'sealed bidding' and 'negotiated acquisition' under the FAR?
- Sealed bidding requires a written solicitation; negotiated acquisition does not
- Sealed bidding awards to the lowest responsive, responsible bidder with no discussions; negotiated acquisition allows discussions (Correct answer)
- Sealed bidding is only for small businesses; negotiated is for large businesses
- Sealed bidding is used above the SAT; negotiated below
Correct answer: Sealed bidding awards to the lowest responsive, responsible bidder with no discussions; negotiated acquisition allows discussions
In sealed bidding, award goes to the lowest responsive responsible bidder with no negotiations, while negotiated acquisition permits discussions and best value tradeoffs.
Question 5: Which of the following accurately describes the role of a Contracting Officer's Representative (COR)?
- Signs contracts and modifications on behalf of the government
- Monitors contractor performance and provides technical guidance within the scope of their delegation (Correct answer)
- Approves contractor invoices without CO review
- Negotiates contract terms with prospective contractors
Correct answer: Monitors contractor performance and provides technical guidance within the scope of their delegation
A COR is delegated limited authority to monitor performance and provide technical direction, but cannot make commitments that alter contract terms — only the CO can do that.
Question 6: What does 'responsibility' mean when applied to a prospective contractor under FAR Part 9?
- The contractor has submitted the lowest price
- The contractor possesses the financial, technical, and organizational capability to perform the contract (Correct answer)
- The contractor is registered in SAM.gov
- The contractor has no outstanding litigation
Correct answer: The contractor possesses the financial, technical, and organizational capability to perform the contract
Responsibility refers to a prospective contractor's ability to perform — including adequate financial resources, technical capability, satisfactory performance record, and integrity.
Question 7: Under the Federal Acquisition Streamlining Act (FASA), which acquisition category received expanded use of commercial item acquisition procedures?
- Major defense programs only
- Commercially available off-the-shelf (COTS) and commercial items broadly (Correct answer)
- Research and development contracts
- Classified acquisitions
Correct answer: Commercially available off-the-shelf (COTS) and commercial items broadly
FASA expanded the use of commercial item acquisition procedures to maximize competition and reduce unique government requirements for commercially available products and services.
