Certified Professional Contract Manager: Ethics and Compliance Flashcards

A contract manager discovers that a subcontractor has been falsifying progress reports. What is the FIRST action the contract manager should take?

Answer: Document the discrepancies and report them through the proper internal channels

Proper documentation and internal reporting ensure due process and create a defensible record before any formal action is taken.

Under the NCMA Code of Ethics, which behavior violates the principle of transparency?

Answer: Omitting known contract risks from management briefings to avoid delays

Withholding known material information from stakeholders violates the transparency principle of the NCMA Code of Ethics.

A federal contract manager receives a gift from a vendor worth $22. Under federal ethics regulations (5 CFR 2635), what should the manager do?

Answer: Accept it since it is under the $25 threshold

Federal ethics rules permit accepting unsolicited gifts valued at $20 or less per occasion (not $25), but $22 exceeds the per-occasion limit and should be declined or returned.

Which scenario BEST describes an organizational conflict of interest (OCI) in contracting?

Answer: A contractor who helped draft the Statement of Work then bids on the resulting contract

An OCI exists when a contractor's involvement in drafting requirements gives it an unfair competitive advantage or impairs objectivity on the resulting acquisition.

What does the term 'whistleblower protection' mean in the context of government contracting compliance?

Answer: Legal safeguards preventing retaliation against employees who report fraud or misconduct

Whistleblower protection laws such as the False Claims Act shield employees from retaliation when they report fraud, waste, or abuse in government contracting.

A contract manager is asked by her supervisor to backdate a contract modification to meet an artificial deadline. She should:

Answer: Refuse, as backdating documents constitutes fraud

Backdating contract documents is fraudulent and exposes both the individual and the organization to criminal and civil liability.

Which clause is commonly included in contracts to ensure the contractor has an ethics and compliance program?

Answer: FAR 52.203-13 Contractor Code of Business Ethics and Conduct

FAR 52.203-13 requires contractors meeting certain thresholds to implement a written code of ethics, an ethics training program, and an internal control system.