CPPO CPPO Public Procurement Governance and Policy 2 — Questions and Answers
Question 1: Which document formally delegates procurement authority to a public purchasing officer?
- A vendor qualification certificate
- A delegation of authority or warrant issued by the agency head or governing body (Correct answer)
- A purchase order
- A performance bond
Correct answer: A delegation of authority or warrant issued by the agency head or governing body
A warrant or delegation of authority document specifies the scope and dollar limits within which a procurement officer may legally obligate public funds.
Question 2: Under the Model Procurement Code for State and Local Governments, what is the primary role of a central purchasing authority?
- To approve all departmental budgets
- To standardize procurement practices, achieve economies of scale, and ensure legal compliance across the organization (Correct answer)
- To negotiate employee salaries
- To manage inventory warehousing only
Correct answer: To standardize procurement practices, achieve economies of scale, and ensure legal compliance across the organization
A central purchasing authority consolidates procurement expertise, enforces consistent policy, and leverages volume for better pricing.
Question 3: A public procurement officer discovers that a recently awarded contract may involve a conflict of interest. The first required action is to:
- Cancel the contract immediately without documentation
- Report the potential conflict to legal counsel or the designated ethics officer and document the finding (Correct answer)
- Allow the contractor to resolve it internally
- Transfer responsibility to another department
Correct answer: Report the potential conflict to legal counsel or the designated ethics officer and document the finding
Conflicts of interest must be reported and documented immediately; only then can the appropriate authority determine the remedy.
Question 4: What is the purpose of a procurement audit?
- To select future vendors based on past performance
- To verify that procurement transactions comply with applicable laws, policies, and procedures, and that funds were spent appropriately (Correct answer)
- To renegotiate all existing contracts
- To terminate underperforming vendors
Correct answer: To verify that procurement transactions comply with applicable laws, policies, and procedures, and that funds were spent appropriately
Procurement audits provide independent assurance that public funds were committed through lawful, documented, and competitive processes.
Question 5: Which practice best supports procurement transparency in US public agencies?
- Keeping award information confidential to protect vendor relationships
- Publicly posting solicitations, award decisions, and contract amounts in accessible registers or portals (Correct answer)
- Limiting bid information to pre-qualified vendors only
- Issuing contracts verbally to reduce paperwork
Correct answer: Publicly posting solicitations, award decisions, and contract amounts in accessible registers or portals
Public disclosure of solicitations and awards enables community oversight, deters corruption, and reinforces accountability.
Question 6: State and local procurement policies must comply with the Americans with Disabilities Act (ADA) in what context?
- Requiring vendors to employ a set percentage of disabled workers
- Ensuring procurement solicitations, processes, and resulting services are accessible to individuals with disabilities (Correct answer)
- Limiting competition to disability-owned enterprises only
- Exempting small agencies from accessibility requirements
Correct answer: Ensuring procurement solicitations, processes, and resulting services are accessible to individuals with disabilities
ADA compliance requires that procurement processes and the goods/services acquired do not create barriers for people with disabilities.
CPPO CPPO Public Procurement Governance and Policy 2
Which document formally delegates procurement authority to a public purchasing officer?