CPM Maintenance and Operations 2 — Questions and Answers
Question 1: What is a 'service contract' in property maintenance?
- A lease addendum for premium services
- An agreement with a vendor to provide ongoing maintenance services for a fixed fee (Correct answer)
- An emergency repair authorization form
- A tenant's promise to maintain the unit
Correct answer: An agreement with a vendor to provide ongoing maintenance services for a fixed fee
A service contract is an ongoing agreement with a third-party vendor to perform specified maintenance tasks (e.g., landscaping, elevator service) on a regular schedule.
Question 2: What is the purpose of a 'capital replacement reserve study'?
- To assess market rent levels
- To forecast the timing and cost of major capital replacements so reserves can be funded adequately (Correct answer)
- To evaluate tenant creditworthiness
- To determine insurance coverage amounts
Correct answer: To forecast the timing and cost of major capital replacements so reserves can be funded adequately
A reserve study analyzes the condition and remaining life of major building components to project future replacement costs and required annual reserve contributions.
Question 3: Which energy efficiency measure involves adjusting building systems to operate only when and where needed?
- Retro-commissioning
- Building automation / smart controls (Correct answer)
- Window glazing upgrades
- Insulation improvements
Correct answer: Building automation / smart controls
Building automation systems (BAS) and smart controls optimize HVAC, lighting, and other systems by adjusting operation based on occupancy and need.
Question 4: What does 'LEED' certification indicate about a building?
- It meets minimum building code requirements
- It has achieved recognized standards for sustainability and environmental performance (Correct answer)
- It is designated a historic landmark
- It meets ADA accessibility standards
Correct answer: It has achieved recognized standards for sustainability and environmental performance
LEED (Leadership in Energy and Environmental Design) certification by the US Green Building Council recognizes buildings that meet standards for energy efficiency, water use, and environmental quality.
Question 5: What is the primary purpose of a preventive maintenance schedule?
- To document completed tenant repairs
- To ensure building systems are regularly inspected and serviced to prevent failure (Correct answer)
- To track monthly operating expenses
- To schedule tenant inspections
Correct answer: To ensure building systems are regularly inspected and serviced to prevent failure
A PM schedule outlines which maintenance tasks must be performed, at what frequency, and by whom to keep systems operating reliably and safely.
Question 6: When selecting a maintenance contractor, which factor is most critical from a risk management standpoint?
- Lowest bid price
- Proof of adequate insurance coverage and proper licensing (Correct answer)
- Proximity to the property
- Ability to start immediately
Correct answer: Proof of adequate insurance coverage and proper licensing
Verifying a contractor's insurance and licensing protects the property owner from liability arising from contractor injuries or substandard work.
CPM Maintenance and Operations 2
What is a 'service contract' in property maintenance?