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General Content

Legacy ID
171
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Significant Regulatory Guidance
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Retainage

Frequently Asked QuestionsWe are sub-contractors who worked for a company last year that held 10% retainage out of our check every week. We have worked for many of these companies and they routinely retain money in case our work is bad. They looked over our work as we finished every day. The...

Requirements Contracts

Frequently Asked QuestionsWe advertised for the purchase of various types of buses. The total quantity was 350, but this quantity was not specific to any particular type or size of bus. After receipt of offers, we issued a Purchase Order to vendor X for a partial quantity (35 out of 350 buses)....

Record Retention

Frequently Asked QuestionsIs there a federal requirement that agencies must keep the original records for the life of an asset if the purchase price is $5,000 or greater?

The FTA Circular dealing with the management of real property and equipment is FTA C 5010.1D. Chapter III, section 7 deals...

Purchase of Used Equipment

Frequently Asked QuestionsOur agency has the opportunity to purchase a used crane to be owned by us and used by our contract operator in conjunction with several projects yet to be identified. Notwithstanding any grant provisions prohibiting such a purchase, can a grantee generally purchase used...

Record of Negotiations

Frequently Asked QuestionsI have been asked to evaluate a Summary Record of Negotiation and need to know where to find guidance on reviewing Records of Negotiation.

The topic of documenting negotiations is covered in the Best Practices Procurement Manual (BPPM), Sections 5.4.2.2 - Pre-Negotiation...

Purchase Cards

Frequently Asked QuestionsAre purchase cards allowed by FTA?

There is no FTA prohibition on the use of purchase cards. FTA Circular 4220.1F states that grantees shall use their own procurement procedures provided that the procurements conform to applicable Federal law, including the requirements...

Protests

Frequently Asked QuestionsIt is my understanding that an award-stage protest stops negotiations on the awarded contract. Is this correct?

That is not always the case. The grantee must follow its own written protest procedures with respect to what happens when a protest is lodged during...

Proposal Stipends

Frequently Asked QuestionsIn order to encourage prospective contractors to submit offers, may a transit agency pay a stipend to the offerors to cover their cost to develop the proposal?

Yes. It is not uncommon on large, complex acquisitions to pay a stipend to cover all or part of the cost of...

Proposal Evaluation

Frequently Asked QuestionsQ. What do I need to document when evaluating proposals?

A. The Best Practices Procurement Manual (BPPM), Section 5.4 - Documentation of Procurement Actions, contains guidance on how to meet the requirements of FTA Circular 4220.1F, which requires a written...

Prompt Payment Clause

Frequently Asked QuestionsIs a prompt payment clause required in all contracts, including A&E contracts?

Grantees are required to include a prompt payment clause in all DOT-assisted contracts, including A&E contracts. The clause requires prime contractors to pay subcontractors for...