What is the typical monetary limit for an ACO's authority to administer construction contracts and modifications?

• A. $500,000
• B. $50,000
• C. $5,000,000
• D. $1,000,000

Answer: (A)

An Administrative Contracting Officer’s authority is defined by a monetary limit for routine contract actions, allowing quick, on-site administration without extra approvals. For USACE construction contracts, the typical limit to administer contracts and their modifications is $500,000. This means the ACO can issue or modify change orders and other contract actions up to this amount without going up the chain for higher-level authorization. It keeps field work efficient while ensuring larger, more impactful changes—those exceeding the threshold—receive appropriate review. While some actions may involve different thresholds in other contexts, $500,000 is the standard figure reflected in CORB practice for ACOs handling construction modifications.