Certified Professional Public Buyer (CPPB) Practice Test

What does unilateral modification allow a public agency to do?

1. Change contract terms with mutual consent

2. Execute changes requiring approval from all parties

3. Make changes independently through a contracting officer

4. Negotiate adjustments in pricing

The correct answer is: Make changes independently through a contracting officer

Unilateral modification allows a public agency to make changes to a contract independently through a contracting officer without needing the consent of the other party. This is particularly useful in situations where specific contract terms need to be updated or adjusted due to unforeseen circumstances, such as changes in regulations, necessities, or funding adjustments. Such modifications ensure that the agency can respond swiftly and efficiently to changes while maintaining the integrity of the contract. The authority to make these changes unilaterally is granted typically in the contract itself or by public procurement regulations, which specify the conditions under which modifications can be made without mutual consent. The other options do not accurately reflect the nature of unilateral modifications. For example, changing contract terms with mutual consent and executing changes requiring approval from all parties involve both parties agreeing to the modification, which is not the case with unilateral modifications. Similarly, negotiating adjustments in pricing involves discussions and agreements, which again contrasts with the independent authority underlying a unilateral modification.