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QPA Exam Flashcards

1
Q

Dillons Rule

A

Iowa Case - 1868 -

State Supremacy - municipalities owe their origin and derive their powers form the legislature

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2
Q

Cooley’s Doctrine

A

1871 Michigan

Local Rule - local governments existed before state government

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3
Q

Home Rule

A

Blending of Dillon and Cooley

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4
Q

Forms of Municipal Government

A 
Borough
Commission
Municipal Manager
Township
Village
Towns
Cities
Faulkner Act
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5
Q

Faulkner Act

A 
More Progressive - Addresses role of purchasing
Mayor Council
Council Manager
Small Municipality
Mayor Council Administrator
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6
Q

Forms of County Government

A

Board Form

Optional County Charter Plant (all centralized purchasing)

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7
Q

Optional County Charter Plan

A

County Executive
County Manager
County Supervisor
Board President

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8
Q

Common Rule

A

Stricter of the two apply

Example - Grants: state vs federal - apply the stricter provisions

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9
Q

Uniform Commercial Code

A

Governs commerce for commercial transactions

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10
Q

UCC - Article 1

A

purposes and policies:

  • simplify, clarify and modernize the law governing commercial transactions
  • permit continued expansion of commercial practices through custom, usage and agreement of parties
  • make uniform law among various jurisdictions
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11
Q

UCC - Article 2`

A

Sales - Regulates the purchase of goods between parties

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12
Q

UCC - Battle of the Forms

A

Purchase order vs vendor’s forms

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13
Q

UCC - Warranty of Title

A

Seller warrants that they have right to sell product and no issues with title - “Good Title”

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14
Q

UCC - Express Warranties by Affirmation

A
  • promise made my seller relating to the good becomes the basis bargain
  • sample or model which is part of the bargain creates an express warranty that the goods shall conform to the sample of model
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15
Q

UCC - Implied Warranty

A
  • buyer relies on seller to select proper goods

- seller is obligated to supply goods reasonable fit for purpose

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16
Q

Warranty vs. Guarantee

A
  • Guarantee comes first, warranty follows
  • Guarantee the good
  • Warranty will replace if something happens
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17
Q

FOB

A

Free on Board - Most advantageous to buyer,

Seller pays freight charges, bears freight charges, owns good in transit

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18
Q

UCC - Warranty of Merchantability

A

Calls for the good to be fit for ordinary purposes intended

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19
Q

UCC - Warranty of Fitness

A

Calls for goods to be fit for a specific purpose

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20
Q

Buyers right to inspect goods

A
  • Buyer has right before payment or acceptance to inspect them at any reasonable place and time an in any reasonable manner
  • must be borne by the buyer but may be recovered from the seller if the goods do not confirm and are rejected
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21
Q

Law of Agency

A
  • Primarily deals with commercial transactions
  • fiduciary relation resulting from the manifestation of consent by one person to another that the other shall act on his or her behalf and subject to his or her control and consent by the other so to act.
  • An agent (employee) agrees to act on behalf of the principal (employer)
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22
Q

Principal

A

person form whom the agent acts on behalf of (employer)

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23
Q

Agent

A

person undertaking the performance of the act (employee)

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24
Q

Express Authority

A
  • Authority given in writing from the principal to the agent

- Provides guidelines (limit $ amount, quantity)

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25
Q

Implied Authority

A
  • unstated authority necessary to perform one’s duties for the benefit of the employer within the guidelines established by the principal.
  • Agency agreement is implied by the buyers conduct
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26
Q

Apparent Authority

A

-Supplier believes that someone has the authority to make a purchase and the principal does not object, an agency relationship is established.

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27
Q

Nature of Contract

A
  • promise or set of promises, the performance of which the Law of Contracts recognizes as a duty and the breach for which the Law provides a remedy.
  • SHALL BE IN WRITING
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28
Q

Contract

A
  • Legally binding relationship enforceable by law between vendor who agrees to provide or perform goods or services and a contracting unit agrees to compensate a vendor.
  • Also includes concession, where the vendor compensates the contracting unit
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29
Q

Purchase Order

A

-Document issued by the contracting agent authorizing a purchase transaction with a vendor to provide or perform goods or services to the contracting unit, when fulfilled in accordance with the terms and conditions, results in payment.

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30
Q

Requirements in Contractual Situation

A
  • Capable Parties
  • Mutual Consent
  • Lawful Objective
  • Sufficient Cause to Contract (something for something; reasons parties entered into a contract (consideration))
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31
Q

Formation of a Contract

A
  • Offer
  • Acceptance
  • Consideration
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32
Q

Offer

A

An act on the part of one person whereby that person gives to another the legal power of creating an obligation called a contract

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33
Q

Acceptance

A
  • First - Voluntary
  • Second - Deliberate agreement
  • Third - Made by the recipient of the offer
  • Fourth - Acceptance must be unequivocal or unqualified
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34
Q

Types of Contracts

A
  • Firm Fixed Price
  • Agreements with Escalation Clause (need benchmarks)
  • Time and Material Agreements
  • Open End Agreements (based on units because quantities unknown; Zero is acceptable minimum)
  • Lease Agreements - No intention of buying
  • Lease with option to purchase - (not allowed under Public Contracts Law).
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35
Q

Source Selection (How to Select Contract)

A
  • Competitive Sealed Bidding
  • Competitive Contracting
  • Competitive Quotations
  • Proprietary Purchases
  • Emergency Purchase
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36
Q

Competitive Sealed Bidding

A
  • lowest responsible and responsive bidder

- preferred method

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37
Q

Competitive Contracting

A

-RFP
-Primarily for specialized services
-Price and other factors considered
-

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38
Q

Competitive Quotations

A
  • Formal (in writing) or information (verbal)
  • 15% of bid threshold
  • Should be documented in writing
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39
Q

Proprietary Purchase

A

Specialized in nature that may be made or marketed by a person having the exclusive right to make or sell them

  • must be certified in writing by governing body
  • purpose has such unique characteristics that only a single vendor are capable of meeting needs (any other good will undermine current operation; good is patented and essential for operational performance)
  • public need for proprietary good/service outweighs “brand name or equivalent” (substantial investment in facilities that need proprietary good/service; unique circumstances)
  • Prior to advertising bid that includes proprietary good/service; contracting agent shall certify in writing an explanation of why
  • Resolution must also include reason why using proprietary
  • For computer systems; allow for competition within which the software is used (competitive contracting)
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40
Q

Emergency Purchase

A
  • Affecting public health, safety or welfare and requires immediate delivery of goods
  • Must have chain of command ensure there are always appropriate individuals available to make decisions
  • Need confirming resolution
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41
Q

Definition of Public Purchasing

A

Process of procuring goods and services for public purpose in accordance with law and procedures that are intended to result in the economical expenditure of public funds

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42
Q

Public vs. Private

A
  • Public - Transparent and Open to public inspection (Fishbowl)
  • Similarities - cooperation and coordination, management oriented
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43
Q

Six R’s

A
  • In the Right Quality and Right Quantity
  • At the Right Time and Right Price
  • From the Right Source
  • In the Right Manner
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44
Q

3 E’s

A

Economy, Efficiency, Effective

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45
Q

3 C’s

A

Cooperation, Coordination, Communication

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46
Q

Purchasing Agent’s Mission

A
  • Authority, Responsibility, Accountability

- Creative, Results-Oriented management function

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47
Q

Basic Purchasing Forms

A
  • Bid Proposal / Quote Form
  • Requisition
  • Purchase Order
  • Receiving Report
  • Voucher
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48
Q

3 Categories for Disposition of Property

A
  • Excess
  • Surplus
  • Obsolete
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49
Q

Methods of Disposition

A
  • Sealed Bids
  • Public Auction
  • E-procurment
  • Transfers
  • Trade-In
  • Sale to Other Local Contracting Units
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50
Q

Definition of Specification

A

Concise statement of a set of requirements to be satisfied by a product, material or a process indicating whenever appropriate, the procedure by means of which it may be determined whether the requirement given are satisfied

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51
Q

Required Forms

A
  • Notice to Bidders
  • Bid Proposal Form
  • Consent of Surety
  • Acknowledgment of Receipt of Addenda
  • Affirmative Action Compliance Notice
  • Mandatory Affirmative Action Language
  • Americans with Disability Act
  • Stockholder Disclosure Certificate
  • BRC
  • Request for Prevailing Wage Determination
  • Public Works Contractor Registrations
  • Non-Collusion Affidavit
  • ELEC forms
  • Bid Document Checklist
  • Equipment Cert.
  • Iran Disclosure
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52
Q

Local Cooperative Purchasing System

A
  • Cooperative Pricing
  • Joint Purchasing System
  • Commodity Resale
  • County Cooperative Contract Purchasing
  • Regional Cooperative Pricing
  • State Contracts
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53
Q

Cooperative Pricing

A
  • Lead Agency advertises for bids and awards a master contract and extends the prices registered members
  • Registered members contract directly with the vendor
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54
Q

Joint Purchasing System

A
  • Lead Agency serves as the purchasing agent for the membership
  • Membership pays lead agency and lead agency pays the vendor
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55
Q

Commodity Resale System

A

local unit purchases gasoline, diesel fuel, public works supplies, etc for its own use and with approval from DLGS sells off excess to other local contracting units

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56
Q

County Cooperative Purchasing

A
  • Created by county government
  • County advertises for bids and awards a contract
  • With approval from county and vendor, local units within county may purchase under the contract
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57
Q

Regional Cooperative Pricing

A

-Two or more registered cooperative pricing systems and their participating contracting units have agreed to join together

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58
Q

State Contract

A
  • Contracts entered into by the State that Local Units can use
  • On PO put state contract #, term date and resolution date; and identifier 1 NJCP
  • Can also use federal supply schedules
  • award must be made by resolution to use state contract if over bid threshold
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59
Q

Nationally Recognized Co-Ops

A
  • use nationally recognized and accepted cooperative purchasing system that has utilized the competitive bidding process
  • Do due diligence
  • Must result in cost savings
  • Must meet NJ Standards, publicly advertised, must meet “fair and open” criteria; obtain required forms (BRC, Corp Ownership Discl; etc
  • Publish intent to award to national co-op - 10 days prior to award
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60
Q

OPRA exception

A
  • Trade Secrets and proprietary commercial or financial information
  • Information if disclosed would give an advantage to competitors or bidders
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61
Q

DORES

A
  • Division of Revenue and Enterprise Services
  • Statutory authority for public records and approves the destruction of records that have no value
  • Responsible for efficiently managing and preserving all records produced by contracting agencies, etc
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62
Q

State Records Committee

A

Final approval of records’ retention schedules

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63
Q

Sources of Basic Law

A
  • Session Law
  • Revised Statues of New Jersey
  • NJ Statutes Annotated
  • NJ Administrative Code
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64
Q

Local Finance Board

A
  • Component of DLGS
  • Empowered to study entire field of local government
  • Establish Petty Cash Funds
  • Shared Services
  • Publish Local Finance Notices
  • Review and register cooperative purchasing systems
  • Approve competitive contracting
  • Prequalify bidders
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65
Q

Capital Improvements

A

-Five Year Useful Life

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66
Q

Capital Programs

A

-Multiyear plan for capital projects with useful life of 5+ years and annual cost of $25,000+

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67
Q

Fixed Assets

A

-Inventory of items $5,000+ worth

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68
Q

Annual Audit

A
  • Due 6 months of the end of fiscal year being audited

- By RMA

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69
Q

NJSA 2C:30-4

A

Crime for public official to purposely and knowingly disburse moneys or incur obligations in excess of appropriations

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70
Q

Financial Disclosure Statements

A
  • Due April 30th; Disclosure for employee and immediate family member
  • Source of earned and unearned income over $2000 by employee and immediate family member
  • Sources of fees and honorarium exceeding $250 (personal appearances, speeches, etc)
  • Gifts, reimbursements, prepaid expenses over $400
  • List of business organizations held interest in
  • List of all real property owned
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71
Q

Pay to Play

A
  • prohibits an agency from awarding contracts with value over $17,500
  • No exclusions
  • Fair and Open vs. Non-Fair and Open
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72
Q

Fair and Open

A
  • publicly advertised with sufficient time to give notice
  • awarded under process that provides for public solicitation of proposals or qualifications
  • established on the basis of an award and disclosure process pursuant to criteria documented in writing prior to any solicitations
  • Publicly opened and announced when awarded
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73
Q

Non-Fair and Open

A
  • Select vendor if they disclose any contributions greater than $300
  • Chapter 271 & Chapter 19; must fill out both political contribution forms 10 days prior to contract award
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74
Q

Globally Harmonized System

A

-System to standardize and harmonize the classification and labeling of chemicals.

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75
Q

Energy Star

A

-Program promotes energy efficient products through product labeling and consumer education

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76
Q

Contracting Agent

A

governing body gives statutory power contracting agent to make purchases or enter into contracts; otherwise no power to purchase

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77
Q

Contracting Unit

A

County; Municipality; Board; Commission; Etc

Gives statutory power to contracting agent to purchase and contract

78
Q

Professional Service

A

Recognized Profession; requires advanced knowledge; services original and creative in character in a recognized field of artistic endeavor

79
Q

Extraordinary Unspecifiable Service

A
  • services specialized and qualitative in nature requiring expertise, extensive training and proven reputation
  • Only EUS is insurance
  • Awarded without bidding or quotes
80
Q

Aggregate

A

Sum expended for good or service with the same immediate purpose or task; or similar goods or services during the same contract year

  • -can not divide contract
  • encompasses entire project
  • based on professional judgement and prior experience
81
Q

Contract

A
  • Purchase order of formal agreement
  • Legally binding and enforceable by law between vendor and contracting unit
  • Only includes concession
82
Q

Contract Year

A

12 Consecutive Months

83
Q

Competitive Contracting

A

-Formal Proposals solicited
-Used for following purposes:
Proprietary Software
hiring non profit
Homemaker- home health services
Laboratory Testing
Emergency Medical
Food Services
Any Bid Exemptions
Concessions

84
Q

Purchasing Agent

A
  • Assigned the authority, responsibility and accountability for purchasing activity of the contracting unit
  • Possess QPA Certificate
  • Renew Cert every 3 years
  • 20 contract hours
85
Q

Quotation

A
  • Cost is less than bid threshold
  • informal or formal; in writing or taken verbally if record is kept
  • 15% of bid threshold
  • Atleast 2 - No quote = good quote
86
Q

Responsible

A
  • Experience
  • Moral Integrity
  • Operating Capacity (equipment, workforce, etc)
87
Q

Concession

A
  • Grant license or right to act on behalf of contracting agenda or provide service requiring approval of contracting unit
  • May involve payment to contracting unit
  • Done through competitive contracting
  • Examples: publish map, newsletter, directory where contractor sells advertisement; use of public space or facilities; installation of vending machines; copy machines for public use; donation, sale, installation or maintenance of equipment for use of contracting unit
88
Q

Proprietary

A

-Goods or services specialized in nature that are made or marketed by person having exclusive right to make or sell them

89
Q

Mistake

A
  • For public works project where a clerical error that is unintentional and substantial computation error or unintentional omission of substantial quantity of labor, material or both
  • Can withdraw bid
90
Q

No Iran

A
  • Not fatal defect
  • List through the State Department of Treasury; Look up companies
  • Must report false certifications
91
Q

Bid Threshold

A

$40,000

  • Adjusted over 5 years in years that end in “0” or “5”
  • March 1st - governor adjusts threshold; rounds to nearest $1,000 determined by index rate
  • June 1st - Notify governing bodies
  • July 1st - Takes effect
  • bid threshold only can be adjusted by resolution
92
Q

Contract Award Term

A

24 months

-Except Professional Service - 12 months

93
Q

Prior Negative Experience

A

-vendor has performed unsatisfactory under prior contract and was found through court or mediation to have failed to perform services
-vendor defaulted on contract, forcing contracting unit to use services of another vendor
-vendor defaulted on contract; forcing contracting unit to call the surety bond
-vendor is on the state debar list
-Must have give vendor right to hearing to determine negative experience
-Lasts for 5 years
-

94
Q

Competitive Contracting Process

A
  • Governing Body pass resolution to use comp. contr.
  • Administered by PA, legal counsel or administrator
  • 60 days to make award
  • Prepare RFP: includes requirements; information for vendors to submit proposal; methodology for evaluation and rank
  • Methodology for award will be based on evaluation and ranking, including technical, management and cost related criteria; must weight criteria
  • Appoint committee to evaluate RFPs; members not publicly disclosed until evaluation report is presented; committee can not be majority of governing body; must certify no conflict of interest statement
  • Can provide opportunity to vendors to provide clarifications
95
Q

Competitive Contracting Soliciations

A
  • Advertise 20 days prior to proposal submission
  • Can charge a fee not to exceed $50 for documentation
  • No Negotiations
  • Give employees opportunity to supply proposal if RFP effects there job
  • Must have process to evaluate proposals; prepare report to governing body including rank and recommendation and will be available within 48 hours prior to awarding
96
Q

Advertising award of competitive contract

A
  • published in official newspaper
  • summarize award
  • nature, duration and amount of contract, name of vendor, and statement that resolution and contract are on file
97
Q

ESCO

A
  • Energy Savings Contract
  • Through sealed bids or competitive contract
  • Public works must be bid
  • ESCO has to bid subs
  • Subject to prevailing wage
98
Q

ESIP

A

Energy Savings Improvement Program

-Contract with ESCO must include ESIP

99
Q

Bid Exemptions

A 
-No exemptions under Pay to Play
Professional Services
Printing Legal Briefs
Tax Maps
Perishable Foods
Legal Notices
Insurance
Library & educational Goods & services
Towing and Storage
Wastewater Treatment Services
100
Q

Negotiation Process

A

-No Bids Received 2X
-Rejected Bids due to high price 2X
-Rejected due to deficient bids 2X
Prior to Negotiation:
1)Check State Contract, etc
2)Terms are not different from bid
3)Can not negotiate higher than rejected bids
Can invite anyone in to negotiate, ask people the bid the 2nd time

101
Q

Not Using State Contract

A
  • Receive 3 quotes
  • Quote is at least 10% lower than state contract
  • must be awarded through resolution by 2/3 of full membership
  • If 10% less than state contract must submit documentation (PO, Req, Cert from QPA, Resolution) to Director of DLGS within 5 days of award of contract
102
Q

Emergency Contracts

A
  • Effects public health, safety or welfare and requires immediate delivery of goods or services`
  • Department head notify purchasing agent details of occurrence
  • Establish chain of command
103
Q

Tied Bids

A

2+ responses are equal prices and lowest responsible bids

  • award contract based on most advantageous, price and other factors
  • resolution must explaining rationale
104
Q

Specifications

A

Specs can NOT:

  • require any standard, restriction condition or limitation not directly related to contract
  • require bidder to be resident or have place of business in county or municipality unless physical proximity is requisite to efficient and economical performance of contract
  • Discriminate based on race, religion, sex, ext
  • Require brand name, can state “brand name or equivalent”; if proprietary can state in bid
  • fail to include option for renewal, extension or release

To challenge bid, vendor must send challenge in writing no less than 3 days prior to bid opening

Specs should encourage free, open and competitive bidding

105
Q

Gifts

A

-Must go out to bid to use funds unless specifically contains instructions for use of funds; if item is only identified then go out to bid, if specific instructions are provided then don’t have to.

106
Q

Rejection of Bids

A
  • Exceeds cost estimates
  • Exceeds budget appropriation
  • Abandon Project
  • Substantially revise specs
  • Use State Contract
  • Law is being violated
107
Q

Form of Contracts

A

Must be in writing

108
Q

Multi Year Contracts

A
  • Solid Waste - 5 years
  • Insurance (Claim Admin, JIF, etc) - 3 years
  • Leasing motor vehicles - 5 years
  • Voice data, transmission - 5 years
  • Food Service - 3 years
  • Street Lighting - 5 years
  • Emergency Medical Services - 5 years
  • Plowing & snow removal - 3 years
109
Q

Contract Extensions

A
  • Never More than 5 years
  • For contract less than 3 years
  • One 2 year extension
  • Two 1 year extensions
  • Contracted awarded by governing body
  • Terms are substantially the same
  • Price change can not be more than index rate
110
Q

Sub Prime Contractors

A
  • Plumbing and gas fitting
  • HVAC
  • Electrical Work
  • Structural Steel

G/C can include in bid or contracting unit can bid separately

If bid under G/C -G/C must include name of subcontractor if their work is in excess of 35% of contract (if not sub prime)
- Must list all sub-prime contractors and price; if he names more than one for one category than must list price for each and use each; prevent bid shopping

111
Q

Performance Security for Public Works

A

-Consent of Surety/performance bond submitted with bid

112
Q

Public Works Contracts exceeding $100,000

A
  • Can withhold 2% of payment or contractor may deposit bonds with the contracting unit that equal 2% of payment.
  • Make partial payments 1X per month
113
Q

Maintenance Bonds

A

Contracting unit may require maintenance security after acceptance of work performed; no longer than 2 years and be no more than 100% of the projected costs

114
Q

Value Engineering

A

See LFN 2005-22

  • All construction contracts over $5,000,000 shall allow for a value engineering construction change order after the award of contract
  • Cost reduction proposal based on the analysis by a contractor of the functions, systems, equipment, facilities, ect
115
Q

of Working Days

A

-For public work specs, contracting unit shall fix the date when work should be completed; and contract shall contain a provision for a deduction from the contract price, or any wages paid by the contracting unit to any inspector

116
Q

Buy American

A

Provide in specs that all products manufactured and farm products of US, wherever possible

117
Q

liquidated damages

A
  • contract may include liquidated damages for violation of any terms or conditions
  • Goes both ways - contractor and contracting unit
  • reasonable damages every day the project is late
118
Q

Cert that bidder can perform work

A

-specs may include that the bidder provide a certificate that they owe, lease, or controls all necessary equipment required for job

119
Q

Bid Guarantee

A
  • bidder for public building work over $100,000 shall provide a guarantee
  • 10% of bid not in excess of $20,000
  • certified check, cashiers check or bid bond
120
Q

Surety Company Certificate

A

–Performance bond
-Over $100,000 (public building work), bid may require bidder to provide a certificate/bond from a surety company or individual able to provide funding
-

121
Q

Advertising for Bids

A
  • Published in official newspaper
  • No less than 10 days prior to bid opening
  • Bid Opening not Monday or day directly after federal holiday
  • Advertisement designates manner, method of receipt, time and place for bid receiving
122
Q

Advertising for Solid Waste Removal

A
  • published in official newspaper and one statewide newspaper
  • NO less than 60 days prior to bid opening
123
Q

Addenda to Bids

A
  • Published no later than 7 days, saturdays, sundays and holidays excepted in official news paper prior to bid opening date
  • Addenda provided to bidders who received a bid package
    1) via certified mail
    2) fax
    3) delivery service that provide receipt of delivery

-failure to advertise will cause contracting unit to re-advertise entire bid

124
Q

Required Docs/contents in bid proposal for for Public Works

A
  • Addendum Acknowledgment
  • Document Checklist
  • Statement indicating whether uniform officers are required
  • Alternate Proposals (if required) in addition to base bid
  • -In case of soil removal, disclosure of known soil conditions and price line item for testing and removal of contaminated soil
125
Q

Alternate Proposals

A
  • lowest price will be determined 1)the base spec plus the price of the alternate proposals 2) a choice of alternate proposals based on funds available
  • If more than one alternate proposal, contracting unit will rank the alternate proposals
  • For projects greater than $500,000 and the alternate can not exceed 50% of base bid
126
Q

Unknown soil contaminations

A

-can do change order to reimburse contractor for reasonable costs for unknown soil contamination to test and dispose

127
Q

Mandatory Items for Bid Spec

A
  • Fatal Defects for Public Works Construction
  • Bid Guarantee
  • Surety Bond
  • Statement of Corporate Ownership
  • Listing of Sub Contractors
  • Acknowledgement of Addenda
128
Q

Withdrawal of Public Works Bid

A
  • Mistake
  • Submit within 5 business days after bid opening
  • Can not rebid for same job if all other bids rejected
  • Request made in writing by certified mail
  • Include evidence demonstrating mistake and was so great of consequence that
    1) enforcement of contract would be unconscionable
    2) relates to material feature of bid
    3) bidder exercised reasonable care in bid prep
    4) can get relief by withdrawing bid and w/out serious prejudice except for loss of bargaining the contract
129
Q

Bulletin NJ

A

Searchable database for RFPS other procurement opportunities

130
Q

Time to award or reject contract

A
  • Award or reject within 60 days

- except unless contracting unit gets consent from all bidders for extension

131
Q

Time to return bid security

A
  • 10 days after bid opening except for the 3 lowest bidders
  • 3 days after award and signing contract and approval of contractor’s performance bond, return to to remaining unsuccessful bidders
132
Q

Timing of signing contract

A

-21 days after award, unless agreed by all to extend

133
Q

Timing to Authorize to Proceed

A

-7 days, upon written request receive authorization to proceed for date set forth in contract

134
Q

Timing to return bid deposit

A

-If contract not awarded and bidders paid for a deposit for plans, the payment shall be immediately be returned once plans are returned within 90 days notice that contract has not been awarded

135
Q

Pre-qualifying bidder

A
  • based on financial ability, experience, capital and equipment available
  • if not satisfied, governing body may refuse to furnish bidder with plans and specs
  • Prior to prequalification; governing body must have public hearing; must advertise in 2 newspapers 20 days prior
  • 10 days after hearing forward copy of proceedings to Director of DLGS for approval
  • must not discourage competition
  • restrict participation from small business
  • create undue preferences
  • violate law
136
Q

Auction sale of property

A
  • If profit exceeds 15% of bid threshold then sold at public sale
  • Do not need to advertise if making sale to other government
  • Notice of sale shall be published within 7-14 days
  • If no bids, then sale at private sale no less than estimated fair value
  • May reject all bids if in public interest
  • If under 15% of bid threshold; can have private sale
  • With resolution can trade in to offset new purchase
137
Q

Set-asides

A

-by ordinance or resolution set up set-aside program to set aside certain percentage of dollar value of total procurements to be awarded as set-aside contracts to qualified business enterprises

138
Q

Qualified women’s business enterprise

A

principal place of business in State, is independently owned and controlled and operated by 51% by women

139
Q

Qualified minority business enterprise

A

principal place of business in State, is independently owned and controlled and operated by 51% by minority

140
Q

Qualified small business enterprise

A

principal place of business in State, is independently owned and controlled and meets qualifications in accordance with PL 1981 c. 283

141
Q

Qualified Veteran business enterprise

A

principal place of business in State, is independently owned and controlled and operated by 51% by veteran; or 25% of required workforce are veterans

142
Q

Alternate Dispute Resolution

A

-contracts must have ADR language (mediation, binding arbitration, etc)

143
Q

Remaining Amount

A
  • value of similar goods and services that are needed for the remainder of the contract year plus similar goods and services for the subsequent contract year
  • If remaining amount exceeds bid threshold than bidding should take place as soon as possible
  • If remaining amount is between 15% and 100% of bid threshold then governing body may determine if quotes or bidding is most advantageous
144
Q

Brand Name or Equivalent

A
  • prior to stating “brand name or equivalent” consider
    1) standard issue by a national or international testing or standards organization
    2) Generic spec through commercial or non commercial service
    3) Specialized programs
  • Must have knowledge that at least one equivalent exists; if not must consider proprietary
  • No “pre-approval” or “pre-qualification” of equivalent
145
Q

Cancellation of Bid

A
  • Must amend or modify the bid specs
  • If vendor already submitted then notified via telephone, fax or email
  • Allow vendors to retrieve bids
  • Post notices of cancellation at time of place when bids would have been received
146
Q

Unforseen Circumstances

A
  • Prohibit bid opening
  • Must occur within 5 days of original bid date
  • Notify by phone, fax or email of postponement and why
  • Post notice if possible on time of place when bids would have been received
  • No bids or proposals will be opened
147
Q

Concession Procedure

A
  • Obtain legal opinion from legal counsel
  • Pass resolution authorizing procurement
  • Total estimated value (all payments, goods and services) of concession shall be considered aggregate; quote and bid threshold apply
148
Q

Term of Solid Waste Contract

149
Q

Sound Business Practice

A

goods or services are less than 15% of bid threshold, purchasing agent shall employ sound business practices in awarding contract
-employing such judgement that the price charged to the contracting unit reflects current market conditions and the quantity and delivery needs of the contracting unit

150
Q

Notice of award for professional services, competitive contracting and EUS

A

-20 days after passage of resolution to award

151
Q

GSA Contract

A
  • General Service Administration’s Federal Supply Schedules

- Can use if submitted documentation to the Director of DLGS within 5 days of award of contract

152
Q

Change Order

A
  • Properly prepared document authorized by governing body which directs and authorizes a vendor to change quantity or character of goods provided or services performed form that originally specified
  • each change order shall be in writing and shall be numbered consecutively and attached to original purchase order
  • work can not be changed as to nullify the effect of the competitive determination of the lowest responsible bidder
  • Can not exceed 20% of originally awarded contract; if exceeds 20% no work shall be performed until governing body decides (may justify a new contract)
  • Can not be delegated unless for minor site work
  • Used to change number of of units or items originally advertised
153
Q

Open End Contract

A
  • Price bids were solicited at unit prices because exact quantities were not known
  • Must include a max and minimum
  • Zero is acceptable minimum
154
Q

Procedure for Change Order

A
  • File request for change order with governing body stating facts, etc
  • governing body decides whether change is necessary
  • Pass resolution authorizing written amendment to contract
  • Resolution passed before execution of change order
  • All change orders that exceed 20% in annual budget
155
Q

Change order For Professional Service and EUS

A
  • 20% shall not apply
  • Changes should be within scope of activities of original contract and for purpose of undertaking new or different work or projects
  • Payments shall be within scope of payment schedule, if not then amend contract
156
Q

Change Order for construction, reconstruction and major repairs

A
  • Limited to Unforeseeable problems or minor modifications
  • Do not apply to changes that materially expand upon the size nature or scope of the project or extra work that could reasonably be separately bid
157
Q

Green Product

A

-commodity or service that has a lesser or reduced effect on human health and the environment when compared with competing commodities or services

158
Q

Green Purchasing

A

-Practice of specifying products with environmental attributes such as reduced packaging, toxicity, reusability, energy efficiency, recycled content etc.

159
Q

Advantages of Green Purchasing

A
  • Increased worker safety
  • Increased awareness to environmental issues
  • enhanced communication between local units
  • Opportunities for resource conservation
  • Long term reduction in labor costs
  • Safer environment for public
160
Q

Value Analysis for Green Purchasing

A

Balance of performance, cost and supply used to:

  • maintain rising costs
  • keeping up with technology
  • satisfy customers
  • lower cost of ownership
  • improve quality
161
Q

Material Safety Data Sheets

A

-MSDS: prepared by product’s manufacturer and provides basic information on product ingredients, hazardous characteristics, health and safety impacts, how to respond to spills, accidental contact, etc

162
Q

Life Cycle Analysis for Green Purchasing

A
  • minimize expenditures by basic purchasing decisions on a variety of factors affecting the cost over the life of a product, rather than initial purchase price.
  • Compare: initial costs, training costs, operating and maintenance costs, and disposal costs
163
Q

Pre-Bid Meeting

A

-Can not make mandatory

164
Q

Financial Statements

A

-Can not make a requirement

165
Q

Sherman Act

A

-Anti-Trust legislation that prohibits competitors from fixing prices

166
Q

Forms of Collusion

A
  • Price Fixing
  • Bid Rigging- Bid Suppression (agree to not bid), Complementary Bidding (bid too high), Bid Rotation (take turns being lowest bidder), market division (divide into regions, or certain types of products), subcontracting (loose bid but get subcontracting portion)
167
Q

How to Prevent Collusion

A
  • Expand Bidder List
  • Employees familiar with indicators for collusion
  • maintain procurement records
  • Ask Questions about the bids
  • Know the dynamics of the market
168
Q

Horizontal Price Fixing

A
  • between competitors on the same level of distribution; example cement
  • within industry
  • may refer to industry suggested prices, industry self-regulation - could be price fixing
169
Q

Vertical Price Fixing

A
  • Agreement between two or more people at different levels of the chain of distribution / example: manufacturer, wholesaler, distributor
  • Manufacturer tells retailer a particular price to sell item for
170
Q

FOB

A
  • Free on Board
  • Seller pays freight charges
  • Seller bears freight charges
  • Seller owns goods in transit
  • Seller- Files claims for damage
  • Most advantageous to buyer
171
Q

Equal Employment Opportunity (EEO)

A
  • Mandatory language in bid spec that applies to all contracts in excess of bid threshold
  • Include specific language in advertisement
172
Q

PACO

A

Public Agency Compliance Officer

-By Jan 10th notify state of PACO officer

173
Q

EEO Exhibit A

A
  • For goods and services and professional contracts

- Mandatory Language included in contract

174
Q

EEO Exhibit B

A
  • -For construction contracts

- Mandatory language included in contract

175
Q

Title II American with Disabilities Act of 1990

A
  • Mandatory in all contracts

- starts and bid threshold

176
Q

Non-Collusion Affidavit

A
  • Not mandatory but applicable to goods and services and construction
  • Submission with bid proposal
177
Q

New Jersey State Prevailing Wage Act

A
  • Mandatory for Construction Contracts Only
  • $15444 for municipalities; $2000 for other governmental entities (County, schools)
  • Still applies to emergencies
178
Q

Statement of Corporate Ownership

A
  • Mandatory for All Contracts
  • Fatal Defect
  • Disclose whether partnership, corporation, or sole proprietorship
  • Disclose all ownership over 10%
179
Q

NJ BRC

A
  • Mandatory for all contracts that exceed 15% of bid threshold
  • Submit prior to time of contract
  • Not required with bid
  • Non profit - required to register for tax purposes but not subject to BRC requirement
180
Q

Public Works Contractor Registration Act

A
  • Mandatory for Public Works/Construction Only
  • Goes with prevailing wage act
  • Prime Contractor and named sub contractors be registered at the time of bid proposal submission
  • At time of award, prime contractor and named sub contractors shall submit certification
181
Q

Project Labor Agreements

A
  • Not mandatory and only applies to public works/construction
  • pre-hire collective bargaining agreement covering terms and conditions of a specific project
182
Q

Prompt Payment

A
  • Mandatory of for Public Works/Construction
  • Default Procedure (does not require governing body permission to pay bills): 30 calendar days as soon as the bill is received by someone. Within 20 days of 30 days determination must be made to pay bill
  • Alternate Procedure (requires governing body’s permission to pay bills):Governing body meeting after 20 days to determine if paying bill.
  • Must determine by 20th day or required to pay entire bill
  • 1% penalty of prime rate
183
Q

New Jersey Worker and Community Right to Know Act

A
  • Mandatory for all contracts
  • NJ manufacturers or suppliers of chemical substances or mixtures shall label accordingly
  • Bid Spec can contain clause requiring NJ RTK as term of contract for bidders outside of the state
  • Safety Data Sheet provide this information
184
Q

New Jersey Underground Facility Protections Act

A
  • Mandatory for Public Works/Construction only
  • Call before you dig for mark outs
  • Required to call 3-10 business days prior to digging
185
Q

State Plumbing License Law of 1968

A
  • Mandatory for Public Works/Construction Only

- Master Plumber can only work as an employee of general contractor if they own 10% or more of the company

186
Q

Electrical Contractors Licensing Act

A
  • Mandatory for All contracts
  • Must have permit and license to provide electrical work
  • Licensee shall assume full responsibility for inspection and supervision of electrical work.
187
Q

Plan or Design Immunity

A
  • Not mandatory and only applies to public work/construction
  • Include Immunity language in resolution or contracts
  • grant a public entity and public employee complete immunity for injuries resulting from a plan or design of public property when it has been officially approved by an authorized body
188
Q

Reporting to Office of State Comptroller

A
  • Mandatory for all contracts
  • Provide notice to State Comptroller’s office no later than 20 business days after award of contract over $2,000,000 and less than $10,000,000
  • Over $10,000,000 notify Comptroller ASAP; prior to bid spec preparation
189
Q

Reporting to Office of State Comptroller (Vendor Maintenance Documentation)

A
  • Mandatory for all contracts
  • insert language into contract that vendor must maintain documentation of contract and all transactions for 5 years after final payment
190
Q

Max Towing Storage Fee

191
Q

P-Card

A
  • Procurement Card - electronic procurement system incorporating access restriction determined by contracting unit
  • control limits and review activity
  • establish limits on cards individually

QPA Exam (1 decks)

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