CLC 046 (Contracting for the Rest of Us) – 2026/2027 Study Guide
Disclaimer: This guide is a study aid based on the CLC 046 curriculum. Always refer to
official DAU materials, the FAR, and course content for authoritative instruction.
Module 1: Foundations of Federal Contracting
1. What is the primary purpose of the Federal Acquisition Regulation (FAR)?
ANSWER ✓ To provide uniform policies and procedures for acquisition by all executive
agencies, ensuring a streamlined, fair, and transparent procurement process.
2. Who has the authority to issue agency-specific regulations that supplement the
FAR?
ANSWER ✓ Agency heads (e.g., Secretary of Defense, NASA Administrator) can issue
agency-specific supplements, but these regulations cannot contradict the FAR and
require proper approval.
3. What are the three key documents that form the hierarchy of federal
procurement regulations?
ANSWER ✓ 1) Laws passed by Congress (e.g., CICA, Competition in Contracting Act), 2)
The Federal Acquisition Regulation (FAR), and 3) Agency-specific supplements (e.g.,
DFARS, DoD FAR Supplement).
4. Define "Acquisition" as per the federal context.
ANSWER ✓ The acquiring by contract with appropriated funds of supplies, services, and
construction, including the complete cycle from needs identification through contract
closeout.
5. What is the role of a warranted Contracting Officer (KO)?
ANSWER ✓ A KO is the only person with the authority to enter into, administer, and
terminate contracts on behalf of the Government. This authority is granted in writing via
a warrant.
6. What is the fundamental difference between a Contracting Officer (KO) and a
Contracting Officer’s Representative (COR)?
ANSWER ✓ The KO has the legal authority to bind the Government. The COR is a
,technical representative appointed by the KO to assist in monitoring technical
performance but has no authority to make contractual changes.
7. What is the simplified acquisition threshold (SAT) for fiscal year 2026/2027?
ANSWER ✓ $250,000. (Note: This is subject to inflation adjustments; always verify the
current threshold in FAR 2.101).
8. What is the primary contracting method encouraged for use below the SAT?
ANSWER ✓ Simplified acquisition procedures, which are designed to reduce
administrative costs, promote efficiency, and foster opportunities for small businesses.
9. What does "Micro-Purchase Threshold" mean, and what is its general threshold?
ANSWER ✓ It is the dollar threshold below which acquisitions can be made as simply as
practicable, generally using a Government purchase card. The general threshold
is $10,000.
10. What is the primary statutory requirement for promoting competition in
federal contracting?
ANSWER ✓ The Competition in Contracting Act (CICA) of 1984, which requires
contracting officers to promote and provide for full and open competition in their
procurements, with specific exceptions.
Module 2: Acquisition Planning & Market Research
11. What is the primary goal of acquisition planning?
ANSWER ✓ To ensure the Government meets its needs in the most effective,
economical, and timely manner by integrating and coordinating all activities from needs
identification through contract award.
12. What is market research, and when must it be conducted?
ANSWER ✓ The process of collecting and analyzing data on capabilities within the
market to satisfy an agency’s need. It must be conducted before developing new
requirements documents, soliciting offers, or awarding a task or delivery order.
13. Name three sources for conducting market research.
ANSWER ✓ 1) SAM.gov (System for Award Management), 2) Industry conferences and
vendor catalogs, 3) Past performance databases, 4) Small Business Administration
resources, 5) Requests for Information (RFIs).
, 14. What is an Independent Government Cost Estimate (IGCE), and what is its
purpose?
ANSWER ✓ An IGCE is the Government’s pre-negotiation estimate of what it should
reasonably cost to fulfill the contract requirements. It serves as a benchmark for
evaluating the reasonableness of vendor proposals.
15. Define "Performance Work Statement (PWS)" and its typical use.
ANSWER ✓ A PWS is a statement of work for performance-based acquisitions that
describes the required results in clear, specific, and objective terms with measurable
outcomes. It is used in service contracts to focus on what is to be achieved, not how.
16. How does a Statement of Objectives (SOO) differ from a PWS?
ANSWER ✓ A SOO states the broad, top-level performance objectives. It allows offerors
to propose their own performance work statement and approach, encouraging
innovation. The PWS is the Government’s specific, detailed requirements document.
17. What is the purpose of an Acquisition Plan (AP)?
ANSWER ✓ To document the comprehensive planning for an acquisition, addressing
strategy, sourcing, competition, schedule, and resources. It is required for major
acquisitions but is a best practice for all.
18. What are the "Two-Phase Design-Build Selection Procedures" used for?
ANSWER ✓ They are used for design-build construction contracts. Phase One evaluates
qualifications and conceptual design. A limited number of the most highly-qualified
offerors are then invited to submit detailed proposals in Phase Two.
19. What is meant by "acquisition streamlining"?
ANSWER ✓ The use of strategies and techniques to make the acquisition process more
efficient and less burdensome, reducing time and cost while maintaining quality (e.g.,
using commercial items, simplified procedures).
20. When determining contract type, what is the primary trade-off between a
Firm-Fixed-Price (FFP) and a Cost-Reimbursement contract?
ANSWER ✓ FFP contracts place maximum risk and full responsibility for profit/loss on
the contractor, suitable for well-defined requirements. Cost-Reimbursement contracts
place more cost risk on the Government and are used when requirements are uncertain.
Module 3: Solicitation & Source Selection
Disclaimer: This guide is a study aid based on the CLC 046 curriculum. Always refer to
official DAU materials, the FAR, and course content for authoritative instruction.
Module 1: Foundations of Federal Contracting
1. What is the primary purpose of the Federal Acquisition Regulation (FAR)?
ANSWER ✓ To provide uniform policies and procedures for acquisition by all executive
agencies, ensuring a streamlined, fair, and transparent procurement process.
2. Who has the authority to issue agency-specific regulations that supplement the
FAR?
ANSWER ✓ Agency heads (e.g., Secretary of Defense, NASA Administrator) can issue
agency-specific supplements, but these regulations cannot contradict the FAR and
require proper approval.
3. What are the three key documents that form the hierarchy of federal
procurement regulations?
ANSWER ✓ 1) Laws passed by Congress (e.g., CICA, Competition in Contracting Act), 2)
The Federal Acquisition Regulation (FAR), and 3) Agency-specific supplements (e.g.,
DFARS, DoD FAR Supplement).
4. Define "Acquisition" as per the federal context.
ANSWER ✓ The acquiring by contract with appropriated funds of supplies, services, and
construction, including the complete cycle from needs identification through contract
closeout.
5. What is the role of a warranted Contracting Officer (KO)?
ANSWER ✓ A KO is the only person with the authority to enter into, administer, and
terminate contracts on behalf of the Government. This authority is granted in writing via
a warrant.
6. What is the fundamental difference between a Contracting Officer (KO) and a
Contracting Officer’s Representative (COR)?
ANSWER ✓ The KO has the legal authority to bind the Government. The COR is a
,technical representative appointed by the KO to assist in monitoring technical
performance but has no authority to make contractual changes.
7. What is the simplified acquisition threshold (SAT) for fiscal year 2026/2027?
ANSWER ✓ $250,000. (Note: This is subject to inflation adjustments; always verify the
current threshold in FAR 2.101).
8. What is the primary contracting method encouraged for use below the SAT?
ANSWER ✓ Simplified acquisition procedures, which are designed to reduce
administrative costs, promote efficiency, and foster opportunities for small businesses.
9. What does "Micro-Purchase Threshold" mean, and what is its general threshold?
ANSWER ✓ It is the dollar threshold below which acquisitions can be made as simply as
practicable, generally using a Government purchase card. The general threshold
is $10,000.
10. What is the primary statutory requirement for promoting competition in
federal contracting?
ANSWER ✓ The Competition in Contracting Act (CICA) of 1984, which requires
contracting officers to promote and provide for full and open competition in their
procurements, with specific exceptions.
Module 2: Acquisition Planning & Market Research
11. What is the primary goal of acquisition planning?
ANSWER ✓ To ensure the Government meets its needs in the most effective,
economical, and timely manner by integrating and coordinating all activities from needs
identification through contract award.
12. What is market research, and when must it be conducted?
ANSWER ✓ The process of collecting and analyzing data on capabilities within the
market to satisfy an agency’s need. It must be conducted before developing new
requirements documents, soliciting offers, or awarding a task or delivery order.
13. Name three sources for conducting market research.
ANSWER ✓ 1) SAM.gov (System for Award Management), 2) Industry conferences and
vendor catalogs, 3) Past performance databases, 4) Small Business Administration
resources, 5) Requests for Information (RFIs).
, 14. What is an Independent Government Cost Estimate (IGCE), and what is its
purpose?
ANSWER ✓ An IGCE is the Government’s pre-negotiation estimate of what it should
reasonably cost to fulfill the contract requirements. It serves as a benchmark for
evaluating the reasonableness of vendor proposals.
15. Define "Performance Work Statement (PWS)" and its typical use.
ANSWER ✓ A PWS is a statement of work for performance-based acquisitions that
describes the required results in clear, specific, and objective terms with measurable
outcomes. It is used in service contracts to focus on what is to be achieved, not how.
16. How does a Statement of Objectives (SOO) differ from a PWS?
ANSWER ✓ A SOO states the broad, top-level performance objectives. It allows offerors
to propose their own performance work statement and approach, encouraging
innovation. The PWS is the Government’s specific, detailed requirements document.
17. What is the purpose of an Acquisition Plan (AP)?
ANSWER ✓ To document the comprehensive planning for an acquisition, addressing
strategy, sourcing, competition, schedule, and resources. It is required for major
acquisitions but is a best practice for all.
18. What are the "Two-Phase Design-Build Selection Procedures" used for?
ANSWER ✓ They are used for design-build construction contracts. Phase One evaluates
qualifications and conceptual design. A limited number of the most highly-qualified
offerors are then invited to submit detailed proposals in Phase Two.
19. What is meant by "acquisition streamlining"?
ANSWER ✓ The use of strategies and techniques to make the acquisition process more
efficient and less burdensome, reducing time and cost while maintaining quality (e.g.,
using commercial items, simplified procedures).
20. When determining contract type, what is the primary trade-off between a
Firm-Fixed-Price (FFP) and a Cost-Reimbursement contract?
ANSWER ✓ FFP contracts place maximum risk and full responsibility for profit/loss on
the contractor, suitable for well-defined requirements. Cost-Reimbursement contracts
place more cost risk on the Government and are used when requirements are uncertain.
Module 3: Solicitation & Source Selection
