GSA Specialist Federal Acquisition Regulations 2 — Questions and Answers
Question 1: Under FAR Part 15, what is the primary purpose of a pre-award survey?
- To verify a contractor's technical and financial capability before award (Correct answer)
- To establish the final contract price
- To conduct a formal debriefing of unsuccessful offerors
- To approve subcontractor selections
Correct answer: To verify a contractor's technical and financial capability before award
A pre-award survey assesses a prospective contractor's ability to perform the contract in terms of technical, production, financial, and other capabilities.
Question 2: Which FAR clause is required in contracts over the simplified acquisition threshold and addresses contractor integrity and ethics?
- FAR 52.222-26
- FAR 52.203-13 (Correct answer)
- FAR 52.215-2
- FAR 52.219-8
Correct answer: FAR 52.203-13
FAR 52.203-13 (Contractor Code of Business Ethics and Conduct) is mandatory for contracts exceeding the simplified acquisition threshold that have a performance period of more than 120 days.
Question 3: What does the term 'undefinitized contract action' (UCA) refer to in FAR?
- A contract where the scope of work has not been finalized
- A contract action for which the contract terms, specifications, or price are not agreed upon before performance begins (Correct answer)
- A contract that lacks proper authorization signatures
- A purchase order issued without competition
Correct answer: A contract action for which the contract terms, specifications, or price are not agreed upon before performance begins
A UCA is a contract action where the government authorizes a contractor to begin work before the terms, specifications, or price are agreed upon, which creates financial risk.
Question 4: Under FAR 19.502-2, what is the small business set-aside rule for acquisitions between the micro-purchase threshold and the simplified acquisition threshold?
- Set-aside is optional at the CO's discretion
- Acquisitions are automatically reserved for small businesses (Correct answer)
- A market survey must be conducted before any set-aside
- Set-asides apply only to service contracts
Correct answer: Acquisitions are automatically reserved for small businesses
FAR 19.502-2 mandates that acquisitions between the micro-purchase threshold and the simplified acquisition threshold are automatically set aside for small business concerns.
Question 5: Which of the following best describes 'fair and reasonable' pricing in federal contracting?
- A price equal to the lowest bid received
- A price that reflects market conditions and does not exceed what a prudent buyer would pay (Correct answer)
- A price verified by an independent cost estimator
- A price approved by the SBA prior to award
Correct answer: A price that reflects market conditions and does not exceed what a prudent buyer would pay
Fair and reasonable pricing means the price is consistent with market conditions and reflects what a prudent, informed buyer would pay under competitive circumstances.
Question 6: Under FAR 32.905, what is the required payment due date for commercial items if no specific due date is stated in the contract?
- 15 days after receipt of a proper invoice
- 30 days after receipt of a proper invoice or acceptance, whichever is later (Correct answer)
- 45 days after contract award
- 10 days if the Prompt Payment discount is taken
Correct answer: 30 days after receipt of a proper invoice or acceptance, whichever is later
For commercial items, the Prompt Payment Act requires payment within 30 days after receipt of a proper invoice or acceptance of the items, whichever is later.
Question 7: What is the function of the 'Wage Determination' in a service contract governed by the Service Contract Labor Standards (FAR 22.10)?
- It sets the contractor's profit margin
- It establishes the minimum wages and fringe benefits that must be paid to service employees (Correct answer)
- It determines the contract performance period
- It authorizes overtime pay for contractors
Correct answer: It establishes the minimum wages and fringe benefits that must be paid to service employees
A Wage Determination issued by the Department of Labor specifies the minimum wage rates and fringe benefits that contractors must pay to workers performing on covered service contracts.
GSA Specialist Federal Acquisition Regulations 2
Under FAR Part 15, what is the primary purpose of a pre-award survey?