CONTRACTING OFFICER WARRANT
BOARD REAL NEWEST EXAM 2024
VERSION
You are the Contracting Officer on a new Research and Development program.
Proposals were recently received in response to a Broad Agency Announcement,
and a Cost Plus Fixed Fee contract type is anticipated. The proposal most favored
by the technical team was priced significantly under what was estimated for the
effort. The contractor proposed fee in an amount that equates to 20% of the
estimated cost. The users have more than enough funds to cover the proposal and
want you to accept the price as is. How should you advise the user and what
factors should you consider in determining a reasonable fee? - CORRECT ANSWER
✔✔The statutory limitation on fee for CPFF type contracts do no permit
exceeding 15% of estimated cost for experimental, developmental, or research
performed under a CPFF contract. Since the proposed amount of fee is outside the
statutory limitations you need to determine what a fair and reasonable rate is that
falls within the limitations. The FAR recommends a structured approach for
determining fee such as Weighted Guidelines. If a cost reasonableness review
determines the estimated costs to be acceptable, we can still negotiate and adjust
the fee.
You are the Contracting Officer for a well established transport aircraft program.
The program is nearing the end of production. A Program Manager approaches
you requesting that you issue a Broad Area Announcement (BAA) to support the
development of a source list to supply active noise reducing headsets. The
headsets are commercially available from multiple sources and the PM wants to
receive performance specification sheets from each offeror and then request
sample headsets be submitted for testing. The end result of the effort will be the
,development of a source list that can be used by various government entities to
individually procure the needed headsets for their specific requirements. The PM
tells you that he will not be procuring any of the headsets as a result of the BAA.
What do you advise the PM? - CORRECT ANSWER✔✔You should advise the PM
that BAAs are a method of solicitation and can only be used if the Government
intends to award a contract. You might suggest that the development of the
source list could be achieved by issuing a Sources Sought Synopsis with the
synopsis specifying the 2 step process (spec sheets first and then sample
headsets from selected offerors), and the ultimate intent of the process, e.g., a
source list for use by individual users in future procurements. You might also
advise the PM that there could be liability issues associated with the use, handling,
and return of the headsets to the offerors and that it might be appropriate for the
Government to cover shipping and any damage/wear to the units for the testing.
A. Under what circumstances is ratification of an unauthorized commitment
permitted?
B. In general, what are the generic procedures for handling ratification actions?
C. Who are the approval authorities for ratifications? - CORRECT ANSWER✔✔A.
If the contract award would have been proper if executed by a warranted PCO, the
price can be determined to be fair and reasonable, and there must have been
enough of the proper type of funding available to pay for the item both at the time
of the commitment and at the time of the ratification.
B. An investigation is required to be completed within 30 days of discovery of the
unauthorized commitment explaining how and why it occurred, how future
occurrences will be avoided, and describing any corrective actions taken against
responsible individuals. Legal review is also required.
C. The ratification approving official for all unauthorized commitments valued at
or above $1M is the SPE. The ratification approving official for all Non-DISA
unauthorized commitments (regardless of amount) and DISA unauthorized
commitments valued below $1M is the HCA. (DARS 1.602-3(b)(2))
,You are the Contracting Officer for a much-delayed effort. On Friday you finally
receive the necessary authority to release the contract for signature. It's late on
Friday afternoon when you e-mail the modification to the contractor for signature.
The only person at the contractor's office on Friday afternoon is the Company
President's 17 year old daughter who is working there as a summer-hire
secretary. She knows her father urgently wants the contract modification so she
signs the document and returns it to your office. You note the last name is the
same as the President's so assume that he's the one who signed the modification.
Is this a legal agreement? - CORRECT ANSWER✔✔Probably not. The elements of
a contract are - offer, acceptance, consideration, for a lawful purpose, certainty
of terms, and legal capacity. It is unlikely that a 17 year old summer hire would
have the authority to bind the company, regardless of her relationship to the
Company President. Courts may generally find that individuals lack "the age
majority" if they are under 18 years of age.
The law in a given jurisdiction may never actually use the term "age of majority"
and the term thereby refers to a collection of laws bestowing the status of
adulthood. The age of majority is a legally fixed age, concept, or statutory
principle, which may differ depending on the jurisdiction, and may not necessarily
correspond to actual mental or physical maturity of an individual.
In practical terms, there are certain specific actions which a person who attains
the age of majority is permitted to take, which they could not do before. These
may include entering into a binding contract, buying stocks, voting, buying and/or
consuming alcoholic beverages, driving motor vehicles on public roads, and
marrying without obtaining consent of others. The ages at which these various
rights or powers may be exercised vary as between the various rights and as
between different jurisdictions. For example, the ages at which a person may
obtain a license to drive a car or consume alcoholic beverages vary considerably
between and also within jurisdictions.
, You are the Contracting Officer for a follow-on buy source selection. The current
effort has had the same Program Manager for over 10 years. She began as the PM
while still a Military Officer and then retired and was re-hired as an A&AS
employee to continue to manage the program. She has extensive experience on
the program and is considered a Primary "Go To" person for all Program-related
managerial issues.
The Program Director wants to utilize the PM's experience to the fullest extent
possible and has proposed that the PM be listed as chief of the technical
evaluation team and also a voting member of the source selection board.
Is it permissible to have a non-Government employee (A&AS contractor) as chief
of the technical evaluation team and a voting member of the source selection
board? - CORRECT ANSWER✔✔It is not permissible to have a non-Government
employee as a voting member of any source selection board. FAR 7.503(c)(12)(ii).
FAR policy states that contracts shall not be used for the performance of
inherently governmental functions. OMB may review Agency decisions to
determine whether a function is or is not an inherently governmental function, but
a list of examples is in FAR 7.503(c). They include: control of criminal
investigations or prosecutions, command of military forces, determination of
agency policy and application of regulations, determining budget priorities, and
direction and control of federal employees. Specifically, included in this list are
determining what supplies or services shall be acquired by the Government on a
prime contract and being a voting member of any source selection boards
You have a contract for engineering services with a basic period of performance
and several one year options for continued performance. The contract states that
all options must be exercised by 1 October of each year. The basic period of
performance has just expired and on 5 October you realize that you never
exercised the option for continued performance. There is still an immediate need
for the services. How would you try to rectify this situation? - CORRECT ANSWER
✔✔Once the option has expired there is no contract. You may have to prepare
BOARD REAL NEWEST EXAM 2024
VERSION
You are the Contracting Officer on a new Research and Development program.
Proposals were recently received in response to a Broad Agency Announcement,
and a Cost Plus Fixed Fee contract type is anticipated. The proposal most favored
by the technical team was priced significantly under what was estimated for the
effort. The contractor proposed fee in an amount that equates to 20% of the
estimated cost. The users have more than enough funds to cover the proposal and
want you to accept the price as is. How should you advise the user and what
factors should you consider in determining a reasonable fee? - CORRECT ANSWER
✔✔The statutory limitation on fee for CPFF type contracts do no permit
exceeding 15% of estimated cost for experimental, developmental, or research
performed under a CPFF contract. Since the proposed amount of fee is outside the
statutory limitations you need to determine what a fair and reasonable rate is that
falls within the limitations. The FAR recommends a structured approach for
determining fee such as Weighted Guidelines. If a cost reasonableness review
determines the estimated costs to be acceptable, we can still negotiate and adjust
the fee.
You are the Contracting Officer for a well established transport aircraft program.
The program is nearing the end of production. A Program Manager approaches
you requesting that you issue a Broad Area Announcement (BAA) to support the
development of a source list to supply active noise reducing headsets. The
headsets are commercially available from multiple sources and the PM wants to
receive performance specification sheets from each offeror and then request
sample headsets be submitted for testing. The end result of the effort will be the
,development of a source list that can be used by various government entities to
individually procure the needed headsets for their specific requirements. The PM
tells you that he will not be procuring any of the headsets as a result of the BAA.
What do you advise the PM? - CORRECT ANSWER✔✔You should advise the PM
that BAAs are a method of solicitation and can only be used if the Government
intends to award a contract. You might suggest that the development of the
source list could be achieved by issuing a Sources Sought Synopsis with the
synopsis specifying the 2 step process (spec sheets first and then sample
headsets from selected offerors), and the ultimate intent of the process, e.g., a
source list for use by individual users in future procurements. You might also
advise the PM that there could be liability issues associated with the use, handling,
and return of the headsets to the offerors and that it might be appropriate for the
Government to cover shipping and any damage/wear to the units for the testing.
A. Under what circumstances is ratification of an unauthorized commitment
permitted?
B. In general, what are the generic procedures for handling ratification actions?
C. Who are the approval authorities for ratifications? - CORRECT ANSWER✔✔A.
If the contract award would have been proper if executed by a warranted PCO, the
price can be determined to be fair and reasonable, and there must have been
enough of the proper type of funding available to pay for the item both at the time
of the commitment and at the time of the ratification.
B. An investigation is required to be completed within 30 days of discovery of the
unauthorized commitment explaining how and why it occurred, how future
occurrences will be avoided, and describing any corrective actions taken against
responsible individuals. Legal review is also required.
C. The ratification approving official for all unauthorized commitments valued at
or above $1M is the SPE. The ratification approving official for all Non-DISA
unauthorized commitments (regardless of amount) and DISA unauthorized
commitments valued below $1M is the HCA. (DARS 1.602-3(b)(2))
,You are the Contracting Officer for a much-delayed effort. On Friday you finally
receive the necessary authority to release the contract for signature. It's late on
Friday afternoon when you e-mail the modification to the contractor for signature.
The only person at the contractor's office on Friday afternoon is the Company
President's 17 year old daughter who is working there as a summer-hire
secretary. She knows her father urgently wants the contract modification so she
signs the document and returns it to your office. You note the last name is the
same as the President's so assume that he's the one who signed the modification.
Is this a legal agreement? - CORRECT ANSWER✔✔Probably not. The elements of
a contract are - offer, acceptance, consideration, for a lawful purpose, certainty
of terms, and legal capacity. It is unlikely that a 17 year old summer hire would
have the authority to bind the company, regardless of her relationship to the
Company President. Courts may generally find that individuals lack "the age
majority" if they are under 18 years of age.
The law in a given jurisdiction may never actually use the term "age of majority"
and the term thereby refers to a collection of laws bestowing the status of
adulthood. The age of majority is a legally fixed age, concept, or statutory
principle, which may differ depending on the jurisdiction, and may not necessarily
correspond to actual mental or physical maturity of an individual.
In practical terms, there are certain specific actions which a person who attains
the age of majority is permitted to take, which they could not do before. These
may include entering into a binding contract, buying stocks, voting, buying and/or
consuming alcoholic beverages, driving motor vehicles on public roads, and
marrying without obtaining consent of others. The ages at which these various
rights or powers may be exercised vary as between the various rights and as
between different jurisdictions. For example, the ages at which a person may
obtain a license to drive a car or consume alcoholic beverages vary considerably
between and also within jurisdictions.
, You are the Contracting Officer for a follow-on buy source selection. The current
effort has had the same Program Manager for over 10 years. She began as the PM
while still a Military Officer and then retired and was re-hired as an A&AS
employee to continue to manage the program. She has extensive experience on
the program and is considered a Primary "Go To" person for all Program-related
managerial issues.
The Program Director wants to utilize the PM's experience to the fullest extent
possible and has proposed that the PM be listed as chief of the technical
evaluation team and also a voting member of the source selection board.
Is it permissible to have a non-Government employee (A&AS contractor) as chief
of the technical evaluation team and a voting member of the source selection
board? - CORRECT ANSWER✔✔It is not permissible to have a non-Government
employee as a voting member of any source selection board. FAR 7.503(c)(12)(ii).
FAR policy states that contracts shall not be used for the performance of
inherently governmental functions. OMB may review Agency decisions to
determine whether a function is or is not an inherently governmental function, but
a list of examples is in FAR 7.503(c). They include: control of criminal
investigations or prosecutions, command of military forces, determination of
agency policy and application of regulations, determining budget priorities, and
direction and control of federal employees. Specifically, included in this list are
determining what supplies or services shall be acquired by the Government on a
prime contract and being a voting member of any source selection boards
You have a contract for engineering services with a basic period of performance
and several one year options for continued performance. The contract states that
all options must be exercised by 1 October of each year. The basic period of
performance has just expired and on 5 October you realize that you never
exercised the option for continued performance. There is still an immediate need
for the services. How would you try to rectify this situation? - CORRECT ANSWER
✔✔Once the option has expired there is no contract. You may have to prepare
