QPA EXAM PREP 2025-QUESTIONS AND
ANSWERS LATEST UPDATE 2025/2026
40A:11-1. Short title; citation
This act shall be known and may be cited as the "Local Public Contracts Law."
Lowest responsible bidder or vendor
bidder or vendor: (a) whose response to a request for bids offers the lowest price and is
responsive(bid); and (b) who is responsible(bidder)
Quotation
means the response to a formal or informal request made by a contracting agent by a vendor for
provision or performance of goods or services, when the aggregate cost is less than the bid
threshold. Quotations may be in writing, or taken verbally if a record is kept by the contracting
agent. REMEMBER THIS IS FOR 15% BELOW THE BID THRESHOLD
Responsible
means 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
Responsive
means conforming in all material respects to the terms and conditions, specifications, legal
requirements, and other provisions of the request
Index rate
,means the rate of annual percentage increase
Mistake
means, for a public works project, a clerical error that is an unintentional and substantial
computational error or an unintentional omission of a substantial quantity of labor, material, or
both, from the final bid computation
Bid threshold
BID THRESHOLDS CHANGE EVERY 5 YEARS THAT END IN "5" or "0"
prior negative experience
--the bidder has found thru either court adjudication, arbitration, mediation, or other
contractually stipulated ADR mechanism to have failed to provide or perform goods or services
--failed to complete project in a timely manner
--otherwise performed unsatisfactory under prior contract with contracting unit.
Purposes for which competitive contracting may be used by local units- examples know 5 to
7
examples:
1.Homemaker--home health services
2. Laboratory testing services
3. Emergency medical services
4. Contracted food services
5. Concessions
6. The operation, management or administration of other services, with the approval of the
, Director of the Division of Local Government Services.
7. Maintenance, custodial, and ground keeping services
8. Consulting services
9. Emergency medical billing service
10. Property appraisal services
11. Laboratory testing services
12. Reassessment or revaluation services
13. Grant writing services;
14. Animal Control services;
Term of contract; exceptions
Unless an exception is provided for under section 15 of P.L.1971, c.198 (C.40A:11-15)
permitting a longer contract duration, contracts awarded pursuant to section 5 of P.L.1999, c.440
(C.40A:11-4.5) may be for a term not to exceed five years
Request for proposals; documentation; provisions
The purchasing agent or counsel or administrator shall prepare or have prepared a request for
proposal documentation, which shall include: all requirements deemed appropriate and necessary
to allow for full and free competition between vendors; but no financial statement shall be
required of vendors if either a guarantee, by certified check, cashier's check or bid bond, or
surety company certificate is also required to be furnished by the bidder, unless any law or
regulation of the United States imposes a condition upon the awarding of monetary grant to be
used for the purchase, contract or agreement, which requires that a financial statement be
ANSWERS LATEST UPDATE 2025/2026
40A:11-1. Short title; citation
This act shall be known and may be cited as the "Local Public Contracts Law."
Lowest responsible bidder or vendor
bidder or vendor: (a) whose response to a request for bids offers the lowest price and is
responsive(bid); and (b) who is responsible(bidder)
Quotation
means the response to a formal or informal request made by a contracting agent by a vendor for
provision or performance of goods or services, when the aggregate cost is less than the bid
threshold. Quotations may be in writing, or taken verbally if a record is kept by the contracting
agent. REMEMBER THIS IS FOR 15% BELOW THE BID THRESHOLD
Responsible
means 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
Responsive
means conforming in all material respects to the terms and conditions, specifications, legal
requirements, and other provisions of the request
Index rate
,means the rate of annual percentage increase
Mistake
means, for a public works project, a clerical error that is an unintentional and substantial
computational error or an unintentional omission of a substantial quantity of labor, material, or
both, from the final bid computation
Bid threshold
BID THRESHOLDS CHANGE EVERY 5 YEARS THAT END IN "5" or "0"
prior negative experience
--the bidder has found thru either court adjudication, arbitration, mediation, or other
contractually stipulated ADR mechanism to have failed to provide or perform goods or services
--failed to complete project in a timely manner
--otherwise performed unsatisfactory under prior contract with contracting unit.
Purposes for which competitive contracting may be used by local units- examples know 5 to
7
examples:
1.Homemaker--home health services
2. Laboratory testing services
3. Emergency medical services
4. Contracted food services
5. Concessions
6. The operation, management or administration of other services, with the approval of the
, Director of the Division of Local Government Services.
7. Maintenance, custodial, and ground keeping services
8. Consulting services
9. Emergency medical billing service
10. Property appraisal services
11. Laboratory testing services
12. Reassessment or revaluation services
13. Grant writing services;
14. Animal Control services;
Term of contract; exceptions
Unless an exception is provided for under section 15 of P.L.1971, c.198 (C.40A:11-15)
permitting a longer contract duration, contracts awarded pursuant to section 5 of P.L.1999, c.440
(C.40A:11-4.5) may be for a term not to exceed five years
Request for proposals; documentation; provisions
The purchasing agent or counsel or administrator shall prepare or have prepared a request for
proposal documentation, which shall include: all requirements deemed appropriate and necessary
to allow for full and free competition between vendors; but no financial statement shall be
required of vendors if either a guarantee, by certified check, cashier's check or bid bond, or
surety company certificate is also required to be furnished by the bidder, unless any law or
regulation of the United States imposes a condition upon the awarding of monetary grant to be
used for the purchase, contract or agreement, which requires that a financial statement be
