Public Works Purchasing Flashcards
What does “et seq mean
all that follows
NJSA 40A: 11-1 et seq. is ?
The Local Public Contracts Law
When was the Local Public Contracts Law enacted?
1917
By the statute who is authorized to purchase?
The governing body
All public contracts must be…
In writing
A purchase order is…
A written formal contract or agreement
Name the four basic differences between public and private purchases.
Public Dollars vs. Private/ shareholder dollars
Publics Business vs. Company’s Business
Open Books vs. Closed System
Regulated by Public Law vs. Regulated by Policy
What is a Contract Year?
The period of 12 consecutive months following the award of a contract
What is aggregation?
It is the sum expended or to be expended for the provisioner performance of any goods or services in connection with the same immediate purpose or task, or the furnishing of similar goods or services, during the same contract year.
What is meant by the term Bid Threshold?
The amount above which a contracting unit shall advertise for and receive sealed bids in accordance with the law
What is a QPA?
Qualified Purchase Agent
All municipalities are required to maintain what type of purchase system?
An encumbrance system
Goods and Service contracts cannot exceed how many months?
24 months
Professional Contracts cannot exceed…
12 months
How long can you contract for Solid Waste Collection?
No more than 5 years
What are four of the Major Methods of Source Selection?
Competitive Sealed Bids Competitive Contracting Informal Quotations State Cooperative County Cooperative Local Cooperative
Major Methods of Source Selection refers to…
How you purchase things
What are the Bid Thresholds?
$17,500 non QPA
$36,000 w/ QPA
If the price or cost of any commodity exceeds the threshold you must get informal quotes. True or False
False, you must solicit competitive sealed bids
What steps are needed to bid for goods or services?
Prepare Specifications
Advertise in Official Newspaper
Accept bids and read in public
Award by resolution to the lowest responsible bidder
What is meant by the term Lowest Responsible Bidder?
The bidder or vendor whose response to a request for bids offers the lowest price and is the most responsive or responsible
In your specifications you shall not use the phrase “brand name or equivalent unless at least one equivalent exists. True or False
True
The quote threshold is…
for commodities over 15% of the bid threshold
What are the quote thresholds?
w/QPA $5,400
w/o QPA $2,625
For purchases under the quote threshold you should use “Best _________ Practice”.
Management
Best Management Practice - BMP
How many informal quotes are required?
Two quotes if practicable
Which vendor should get the award?
the vendor whose response is most advantages, price and other factors considered
Vendors who are disqualified from bidding appear on what list?
The Debarred List
Competitive Contracting in lieu of bidding for procurement of specialized goods and services can be used for…
Computer Software Hiring Not For Profit Energy Services Homemaker Services Lab Testing Concessions Medical Services
How long can Competitive Contracts last?
Up to 5 years
What is an RFP?
A request for proposal
A Competitive Contract must be awarded by…
Resolution
What does GSA stand for?
Government Supply Administration
What products qualify under a Commodity Resale System?
Gasoline, chemicals, road materials and salt
Is a formal contract required for a Commodity Resale System?
Yes
Emergency Contracts can be awarded without advertising regardless of price when an emergency affecting public health, safety and welfare exist. True or False
True
The governing body must do two things to award an emergency contract. Name them.
Certify the emergency
Pass a resolution to award the contract
What are the reasons that all bids may be rejected?
Lowest bid substantially exceeds cost estimates
Lowest bid substantially exceeds appropriation
Governing Body decides to abandon the project
Governing Body wants to revise specifications
Laws are being violated
Decide to go to State Contract
You need “Substantial Revisions” to reject all bids True or False
True
If the Governing Body abandons the project you can proceed anyway. True or False
False the project cannot be done
Can you disqualify a bidder for prior negative experience?
Yes, as long as the negative experience is with the contracting unit and the bidder, the experience is documented and is not longer ago than 5 yrs.
Where can you get help writing specifications?
Salesman / Vendors Consultants Other Municipalities State Contract Associations
Name items included in a bid specification.
American Goods and Products to be used where possible Bid Bond Certificate of Surety Statement of Ownership Listing of Subcontractors Receipt of addendum Business Registration Certificate
What is a Bid Bond?
Insurance
What are Professional Services?
Services rendered or performed by a person authorized by law to practice a recognized profession whose practice is regulated by law, and the performance of which services requires knowledge of an advanced type in a field of learning.
How long can you contract for Professional Services?
12 months
Where is this contract usually approved?
At the Re-Org Meeting
Certain Construction Contracts in excess of certain dollar
amounts require the payment of Prevailing Wage. What are the limits?
$2,000 for non-municipal projects
$15,444 for municipal projects
Change Orders to a contract cannot exceed ____ of the originally awarded contract.
20%
In order to approve a change order certain rules must be followed. What are the rules?
Authorized by resolution
Advertised in official newspaper
Reported to the State
Reported to the Auditor
How much of the payments may a municipality retain on Construction Contracts?
2% of the payments
Name the ways a municipality can sell property no longer needed for public use..
Public Auction
Private Auction
Trade
If the estimated fair value exceeds 15% of the bid threshold in any one sale, it must be sold at public auction.True or False
True
With regard to Public Contracts, what is meant by “Responsible”?
able to complete the contract in accordance with its requirements including but not limited to requirements pertaining to experience, moral integrity, operating capacity,financial capacity, credit, and workforce, equipment,and facilities availability
What is meant by “Responsive”?
conforming in all material respects to the terms and conditions, specifications, legal requirements and other provisions of the request
