CONTRACTING OFFICER REPRESENTATIVE
EXAMPREP FULL QUESTIONS WITH
TESTED CORRECT ANSWERS
●● What must a PCO do before exercising an option?
Answer: The PCO must determine that:
1. Funds are available
2. The requirement fulfills an existing Government need
3. Exercising the option is the most advantageous method price and
other factors considered
4. The option was synopsized IAW FAR 5 (or exempted)
The PCO should have a written D&F in the file in order to use options
The PCO should also consider if the contractor is responsible and if their
performance is satisfactory.
●● If the option price during a competitive source selection was not
evaluated, is the option valid?
Answer: No. All options need to be priced because they were awarded
on a competitive basis.
●● Can the PCO cite the "Changes Clause" to increase quantities on a
production contract?
,Answer: No. The Changes Clause cannot be used to increase quantities
on a production contract.
(a) The Contracting Officer may at any time, by written order, and
without notice to the sureties, if any, make changes within the general
scope of this contract in any one or more of the following:
(1) Drawings, designs, or specifications when the supplies to be
furnished are to be specially manufactured for the Government in
accordance with the drawings, designs, or specifications.
(2) Method of shipment or packing.
(3) Place of delivery.
●● Is any approval required for an effort that is out of scope ?
Answer: Changes outside the scope of the original contract are
considered new work and constitute a cardinal change, and in this case,
one of two things should happen:
1. Compete the new work
2. Get a J&A and seek proper approval
●● What are the four essential elements the PCO must address when
making a Scope Determination?
Answer: 1. Scope of the competition - could the original offerors have
reasonable anticipated such a change?
2. Contract type - Requirments should be better defined in a FFP
contract therefore require less changes.
,As opposed to a RDT&E contract.
3. Period of performance - will the PoP be extended significantly so as to
constitute new work?
4. Overall cost/price change - what has been the total change in price
throughout all modifications?
●● What must the PCO do for any change and/or modification estimated
to be $1M or more?
Answer: Obtain legal review of the proposed action and document the
review in the contract file
●● Where can a PCO look to help determine if a change is in-scope?
Answer: Various source documents to include: SOO/SOW/PWS,
synopsis, RFP, exchanges with industry, market surveys, RFIs, etc.
●● What is "scope creep?"
Answer: Scope creep occurs when a series of in-scope changes make the
contract as a whole out-of-scope. The PCO must remain cognizant of
scope creep when changing/modifying existing contracts.
●● What is a T&M contract?
Answer: Limitations. A time-and-materials contract may be used only
if—
, (1) The contracting officer prepares a determination and findings that no
other contract type is suitable. The determination and finding shall be—
(i) Signed by the contracting officer prior to the execution of the base
period or any option periods of the contracts; and
(ii) Approved by the head of the contracting activity prior to the
execution of the base period when the base period plus any option
periods exceeds three years; and
(2) The contract includes a ceiling price that the contractor exceeds at its
own risk. The contracting officer shall document the contract file to
justify the reasons for and amount of any subsequent change in the
ceiling price. Also see 12.207(b) for further limitations
on use of Time-and-Materials or Labor Hour contracts for acquisition of
commercial items.
●● Can a T&M contract be used for a commercial service?
Answer: a) Except as provided in paragraph (b) of this section, agencies
shall use firm-fixed-price contracts or fixed-price contracts with
economic price adjustment for the acquisition of commercial items.
(b) (1) A time-and-materials contract or labor-hour contract (see Subpart
16.6) may be used for the acquisition of commercial services when—
(i) The service is acquired under a contract awarded using—
Competitive Procedures, Fair Opportunity, with an executed D&F
●● Define Certified Cost or Pricing Data.
Answer: All facts, that as of the date of price agreement, or if applicable,
an earlier date agreed upon between the parties that's as close as
EXAMPREP FULL QUESTIONS WITH
TESTED CORRECT ANSWERS
●● What must a PCO do before exercising an option?
Answer: The PCO must determine that:
1. Funds are available
2. The requirement fulfills an existing Government need
3. Exercising the option is the most advantageous method price and
other factors considered
4. The option was synopsized IAW FAR 5 (or exempted)
The PCO should have a written D&F in the file in order to use options
The PCO should also consider if the contractor is responsible and if their
performance is satisfactory.
●● If the option price during a competitive source selection was not
evaluated, is the option valid?
Answer: No. All options need to be priced because they were awarded
on a competitive basis.
●● Can the PCO cite the "Changes Clause" to increase quantities on a
production contract?
,Answer: No. The Changes Clause cannot be used to increase quantities
on a production contract.
(a) The Contracting Officer may at any time, by written order, and
without notice to the sureties, if any, make changes within the general
scope of this contract in any one or more of the following:
(1) Drawings, designs, or specifications when the supplies to be
furnished are to be specially manufactured for the Government in
accordance with the drawings, designs, or specifications.
(2) Method of shipment or packing.
(3) Place of delivery.
●● Is any approval required for an effort that is out of scope ?
Answer: Changes outside the scope of the original contract are
considered new work and constitute a cardinal change, and in this case,
one of two things should happen:
1. Compete the new work
2. Get a J&A and seek proper approval
●● What are the four essential elements the PCO must address when
making a Scope Determination?
Answer: 1. Scope of the competition - could the original offerors have
reasonable anticipated such a change?
2. Contract type - Requirments should be better defined in a FFP
contract therefore require less changes.
,As opposed to a RDT&E contract.
3. Period of performance - will the PoP be extended significantly so as to
constitute new work?
4. Overall cost/price change - what has been the total change in price
throughout all modifications?
●● What must the PCO do for any change and/or modification estimated
to be $1M or more?
Answer: Obtain legal review of the proposed action and document the
review in the contract file
●● Where can a PCO look to help determine if a change is in-scope?
Answer: Various source documents to include: SOO/SOW/PWS,
synopsis, RFP, exchanges with industry, market surveys, RFIs, etc.
●● What is "scope creep?"
Answer: Scope creep occurs when a series of in-scope changes make the
contract as a whole out-of-scope. The PCO must remain cognizant of
scope creep when changing/modifying existing contracts.
●● What is a T&M contract?
Answer: Limitations. A time-and-materials contract may be used only
if—
, (1) The contracting officer prepares a determination and findings that no
other contract type is suitable. The determination and finding shall be—
(i) Signed by the contracting officer prior to the execution of the base
period or any option periods of the contracts; and
(ii) Approved by the head of the contracting activity prior to the
execution of the base period when the base period plus any option
periods exceeds three years; and
(2) The contract includes a ceiling price that the contractor exceeds at its
own risk. The contracting officer shall document the contract file to
justify the reasons for and amount of any subsequent change in the
ceiling price. Also see 12.207(b) for further limitations
on use of Time-and-Materials or Labor Hour contracts for acquisition of
commercial items.
●● Can a T&M contract be used for a commercial service?
Answer: a) Except as provided in paragraph (b) of this section, agencies
shall use firm-fixed-price contracts or fixed-price contracts with
economic price adjustment for the acquisition of commercial items.
(b) (1) A time-and-materials contract or labor-hour contract (see Subpart
16.6) may be used for the acquisition of commercial services when—
(i) The service is acquired under a contract awarded using—
Competitive Procedures, Fair Opportunity, with an executed D&F
●● Define Certified Cost or Pricing Data.
Answer: All facts, that as of the date of price agreement, or if applicable,
an earlier date agreed upon between the parties that's as close as