PRINCIPLES OF PUBLIC PURCHASING (SPRING 2025) 130 QUESTIONS
WITH COMPLETE SOLUTION!!
Public Purchasing Managers have a dual-service Role - DETAILED ANSWER -1. Serve all agencies
and departments of your organization.
2. Service the general public.
(You are a trustee of public funds!)
At the most basic level, purchasing professionals have a duty to... - DETAILED ANSWER -protect
a public entity's assets against the danger of loss or misuse, and to ensure all procurement and
financial (budgetary) transactions are properly authorized.
A purchase order should not be considered valid until ... - DETAILED ANSWER -considered valid
until it is countersigned by the financial officer as to the availability of the appropriated funds.
This is why confirming orders or confirming requisitions for orders already placed, nullify the
system.
New Criminal Offense: Purposeful Overspending
by Public Official, Public Laws of 1989, c. 131 - DETAILED ANSWER -- Makes it a crime for a public
official or employee to purposely and knowingly disburse moneys or incur obligations in excess
of appropriations
- Prohibits purposeful and knowing overspending regardless of motive
,- A public officer or employee need not personally complete each and every act necessary to
violate the law in order to be guilty of the offense. If a person knowingly assists, directs or
causes another to engage in criminal overspending that person is also guilty of the offense
- Offense is a 4 th Degree Crime and may be imprisoned for a term not to exceed 18 months
and fined or ordered to make restitution.
- Results in forfeiture of the current office or employment and would be a permanent
disqualification from holding public office or employment
4 Elements of a Contract - DETAILED ANSWER -1. Capable Parties
2. Mutual Consent
3. Lawful Objective
4. Sufficient Cause to Contract.
P.L. 75, c353 - Local Public Contracting Law (1971) - DETAILED ANSWER -Board purpose of the
Law is to promote open and free competitive bidding and purchasing procedures.
"Dillion's Rule" State Supremacy - DETAILED ANSWER -1. Approach is State Supremacy
OVER Local Government
2. Judge Dillon ruled that municipal
corporations possess those powers
granted by state legislature in
express terms, together with those
necessarily implied by the powers
,granted, and those indispensable
powers essential to the objectives
of the municipal corporation
"Cooley Doctrine" Local Gov't Existed Before State Gov't - DETAILED ANSWER -• An inherent
right exists in local
Government
• Judge Cooley ruled the state
could confer necessary powers
upon local government and
could mold local institutions
according to its view of policy
and expediency. However, the
local community is entitled to
local government, while the
state's power is discretionary and
ought to be used with extreme
caution
A CONSTITUTIONAL BLENDING - DETAILED ANSWER -• Most legislatures and courts in the 19
th century opted for "Dillon's Rule"
• Attempts initiated to write specific language into state
constitutions that would turn legislatures and courts
aware from full force of state supremacy and would
, begin to provide for some blending of the views of the
two judges. These efforts have been known as "Home
Rule" movements
NJ Municipal Government Forms - DETAILED ANSWER -1. Boroughs
2. Commission
3. Municipal Manager
4. Township
5. Villages
6. Towns
7. Cities
8. Optional Municipal Charter Plans (Faulkner Act)
Optional Municipal Charter Plans (Faulkner Act) - DETAILED ANSWER -A. Mayor-Council Plan
B. Council-Manager Plan
C. Small Municipality Plan
D. Mayor-Council Administrator Plan
Local Fiscal Affairs Law - DETAILED ANSWER -Generally prohibit the making of payments in
advance.
Uniform Commercial Code (UCC) - DETAILED ANSWER -Governs Commercial Transactions. It has
NOT been uniformly adopted in all States. Article 2 (Sales) is important in its application to most
public contracts for commercial items.
Purpose of the UCC - DETAILED ANSWER -1. To simplify, clarify and
modernize the law governing commercial transactions
WITH COMPLETE SOLUTION!!
Public Purchasing Managers have a dual-service Role - DETAILED ANSWER -1. Serve all agencies
and departments of your organization.
2. Service the general public.
(You are a trustee of public funds!)
At the most basic level, purchasing professionals have a duty to... - DETAILED ANSWER -protect
a public entity's assets against the danger of loss or misuse, and to ensure all procurement and
financial (budgetary) transactions are properly authorized.
A purchase order should not be considered valid until ... - DETAILED ANSWER -considered valid
until it is countersigned by the financial officer as to the availability of the appropriated funds.
This is why confirming orders or confirming requisitions for orders already placed, nullify the
system.
New Criminal Offense: Purposeful Overspending
by Public Official, Public Laws of 1989, c. 131 - DETAILED ANSWER -- Makes it a crime for a public
official or employee to purposely and knowingly disburse moneys or incur obligations in excess
of appropriations
- Prohibits purposeful and knowing overspending regardless of motive
,- A public officer or employee need not personally complete each and every act necessary to
violate the law in order to be guilty of the offense. If a person knowingly assists, directs or
causes another to engage in criminal overspending that person is also guilty of the offense
- Offense is a 4 th Degree Crime and may be imprisoned for a term not to exceed 18 months
and fined or ordered to make restitution.
- Results in forfeiture of the current office or employment and would be a permanent
disqualification from holding public office or employment
4 Elements of a Contract - DETAILED ANSWER -1. Capable Parties
2. Mutual Consent
3. Lawful Objective
4. Sufficient Cause to Contract.
P.L. 75, c353 - Local Public Contracting Law (1971) - DETAILED ANSWER -Board purpose of the
Law is to promote open and free competitive bidding and purchasing procedures.
"Dillion's Rule" State Supremacy - DETAILED ANSWER -1. Approach is State Supremacy
OVER Local Government
2. Judge Dillon ruled that municipal
corporations possess those powers
granted by state legislature in
express terms, together with those
necessarily implied by the powers
,granted, and those indispensable
powers essential to the objectives
of the municipal corporation
"Cooley Doctrine" Local Gov't Existed Before State Gov't - DETAILED ANSWER -• An inherent
right exists in local
Government
• Judge Cooley ruled the state
could confer necessary powers
upon local government and
could mold local institutions
according to its view of policy
and expediency. However, the
local community is entitled to
local government, while the
state's power is discretionary and
ought to be used with extreme
caution
A CONSTITUTIONAL BLENDING - DETAILED ANSWER -• Most legislatures and courts in the 19
th century opted for "Dillon's Rule"
• Attempts initiated to write specific language into state
constitutions that would turn legislatures and courts
aware from full force of state supremacy and would
, begin to provide for some blending of the views of the
two judges. These efforts have been known as "Home
Rule" movements
NJ Municipal Government Forms - DETAILED ANSWER -1. Boroughs
2. Commission
3. Municipal Manager
4. Township
5. Villages
6. Towns
7. Cities
8. Optional Municipal Charter Plans (Faulkner Act)
Optional Municipal Charter Plans (Faulkner Act) - DETAILED ANSWER -A. Mayor-Council Plan
B. Council-Manager Plan
C. Small Municipality Plan
D. Mayor-Council Administrator Plan
Local Fiscal Affairs Law - DETAILED ANSWER -Generally prohibit the making of payments in
advance.
Uniform Commercial Code (UCC) - DETAILED ANSWER -Governs Commercial Transactions. It has
NOT been uniformly adopted in all States. Article 2 (Sales) is important in its application to most
public contracts for commercial items.
Purpose of the UCC - DETAILED ANSWER -1. To simplify, clarify and
modernize the law governing commercial transactions
