NAVSUPINST 4200.99C GOVERNMENT PURCHASE CARD PROGRAM
POLICY QUESTIONS WITH COMPLETE SOLUTIONS
What is the intention of the Purchase Card Program? - ANSWER-to
streamline small purchase methods; minimize paperwork; eliminate
Imprest Fund (petty cash); streamline payment processes; and simplify
the administrative effort associated with traditional and emergent
purchase of supplies and services
At what micro-purchase threshold value is the purchase set at? -
ANSWER-used to purchase supplies and services for official government
business valued at or below the micro-purchase threshold of $2,500
T or F. The purchase card may be used as a method of payment in
conjunction with other contracting methods above the micro-purchase
threshold up to $9,999,900? - ANSWER-True. Depending on the type of
contracting vehicle utilized with the appropriate delegation of authority
from the Head of the Contracting Activity (HCA)
What is the 1st benefit of the purchase card program? - ANSWER-
Reduces administrative paperwork through streamlining of the
procurement process
What is the 2nd benefit of the purchase card program? - ANSWER-
Streamlines the certification and payment process
,What is the 3rd benefit of the purchase card program? - ANSWER-
Enables Defense Finance and Accounting Service (DFAS) vendor payment
by Electronic Funds Transfer (EFT) through a commercial bank
What is the 5th benefit of the purchase card program? - ANSWER-
Eliminates or minimizes prompt payment interest through the use of the
online certification and payment system
What is the 6th benefit of the purchase card program? - ANSWER-
Provides rebates to the DON based on the dollar volume of use and
timeliness of payment
The need for the Purchase Card Program began with what Executive
Order? - ANSWER-Executive Order 12352
The Purchase Card Program was developed for what? - ANSWER-To
provide a fast and convenient method to procure and/or pay for all
requirements under the micro-purchase threshold ($2,500 for supplies
and services, $2,000 for construction and $25,000 for CHs Outside of the
United States (OCONUS) under the appropriate conditions)
The purchase card can be used in what two methods? - ANSWER-The
purchase card can be used as either a procurement method or method of
payment
Define procurement method. - ANSWER-Procurement method is defined
as a CH performs the task of ordering, obtaining and paying for
supplies/services
,Define method of payment. - ANSWER-defined as a CH pays, via
government purchase card, for supplies or services ordered and
obtained via some other procurement contractual vehicle
The purchase card shall be used to purchase what? - ANSWER-supplies
and services for official government business
T or F. The purchase card shall only be used for authorized United States
(U.S.) Government purchases. - ANSWER-True
T or F. Intentional use of the purchase card for other than official
Government business will be considered an attempt to commit fraud
against the chain of command? - ANSWER-False. Will be considered an
attempt to commit fraud against the U.S. Government
Fraud against the U.S. Government will result in what? - ANSWER-
immediate cancellation of an individual's purchase card and potential
disciplinary action.
T or F. The use of the purchase card for personal purchases for any
reason is authorized. - ANSWER-False. The use of the purchase card for
personal purchases for any reason is strictly prohibited
The purchase card shall be used to make open market purchases for
supplies and services not to exceed what amount? - ANSWER-$2500
, The purchase card can be used to pay for construction at what value? -
ANSWER-$2000
OCONUS CHs with appropriate delegations of contracting authority, may
use the purchase card, not to exceed $__, for procurements. - ANSWER-
$25,000
T or F. The purchase card can be used for DOD printing
requisitions/orders valued at $100,000 and below. - ANSWER-True
T or F. The purchase card can be used for Purchase Orders (SF 1449/DD
1155) valued at $100,000 and below or up to $1 million for commercial
items. - ANSWER-False. 5 million for commercial items
T or F. The purchase card can be used for Blanket Purchase Agreement
(BPA) orders valued at $100,000 and below or up to $5 million for
commercial items. - ANSWER-True
T or F. The purchase card can be used for Delivery order against Federal
Supply Schedules (FSS) valued at $20,999,900 or below. - ANSWER-False.
$9,999,900 or below
T or F. The purchase card can be used for Basic Ordering Agreements
(BOA) and orders under Indefinite Delivery Type Contracts (IDTC)
valued at $9,999,900 and below. - ANSWER-True
POLICY QUESTIONS WITH COMPLETE SOLUTIONS
What is the intention of the Purchase Card Program? - ANSWER-to
streamline small purchase methods; minimize paperwork; eliminate
Imprest Fund (petty cash); streamline payment processes; and simplify
the administrative effort associated with traditional and emergent
purchase of supplies and services
At what micro-purchase threshold value is the purchase set at? -
ANSWER-used to purchase supplies and services for official government
business valued at or below the micro-purchase threshold of $2,500
T or F. The purchase card may be used as a method of payment in
conjunction with other contracting methods above the micro-purchase
threshold up to $9,999,900? - ANSWER-True. Depending on the type of
contracting vehicle utilized with the appropriate delegation of authority
from the Head of the Contracting Activity (HCA)
What is the 1st benefit of the purchase card program? - ANSWER-
Reduces administrative paperwork through streamlining of the
procurement process
What is the 2nd benefit of the purchase card program? - ANSWER-
Streamlines the certification and payment process
,What is the 3rd benefit of the purchase card program? - ANSWER-
Enables Defense Finance and Accounting Service (DFAS) vendor payment
by Electronic Funds Transfer (EFT) through a commercial bank
What is the 5th benefit of the purchase card program? - ANSWER-
Eliminates or minimizes prompt payment interest through the use of the
online certification and payment system
What is the 6th benefit of the purchase card program? - ANSWER-
Provides rebates to the DON based on the dollar volume of use and
timeliness of payment
The need for the Purchase Card Program began with what Executive
Order? - ANSWER-Executive Order 12352
The Purchase Card Program was developed for what? - ANSWER-To
provide a fast and convenient method to procure and/or pay for all
requirements under the micro-purchase threshold ($2,500 for supplies
and services, $2,000 for construction and $25,000 for CHs Outside of the
United States (OCONUS) under the appropriate conditions)
The purchase card can be used in what two methods? - ANSWER-The
purchase card can be used as either a procurement method or method of
payment
Define procurement method. - ANSWER-Procurement method is defined
as a CH performs the task of ordering, obtaining and paying for
supplies/services
,Define method of payment. - ANSWER-defined as a CH pays, via
government purchase card, for supplies or services ordered and
obtained via some other procurement contractual vehicle
The purchase card shall be used to purchase what? - ANSWER-supplies
and services for official government business
T or F. The purchase card shall only be used for authorized United States
(U.S.) Government purchases. - ANSWER-True
T or F. Intentional use of the purchase card for other than official
Government business will be considered an attempt to commit fraud
against the chain of command? - ANSWER-False. Will be considered an
attempt to commit fraud against the U.S. Government
Fraud against the U.S. Government will result in what? - ANSWER-
immediate cancellation of an individual's purchase card and potential
disciplinary action.
T or F. The use of the purchase card for personal purchases for any
reason is authorized. - ANSWER-False. The use of the purchase card for
personal purchases for any reason is strictly prohibited
The purchase card shall be used to make open market purchases for
supplies and services not to exceed what amount? - ANSWER-$2500
, The purchase card can be used to pay for construction at what value? -
ANSWER-$2000
OCONUS CHs with appropriate delegations of contracting authority, may
use the purchase card, not to exceed $__, for procurements. - ANSWER-
$25,000
T or F. The purchase card can be used for DOD printing
requisitions/orders valued at $100,000 and below. - ANSWER-True
T or F. The purchase card can be used for Purchase Orders (SF 1449/DD
1155) valued at $100,000 and below or up to $1 million for commercial
items. - ANSWER-False. 5 million for commercial items
T or F. The purchase card can be used for Blanket Purchase Agreement
(BPA) orders valued at $100,000 and below or up to $5 million for
commercial items. - ANSWER-True
T or F. The purchase card can be used for Delivery order against Federal
Supply Schedules (FSS) valued at $20,999,900 or below. - ANSWER-False.
$9,999,900 or below
T or F. The purchase card can be used for Basic Ordering Agreements
(BOA) and orders under Indefinite Delivery Type Contracts (IDTC)
valued at $9,999,900 and below. - ANSWER-True
