AGA Exam GFMC Topic 2 Question 5 Discussion

Why Measure Performance Based on Cost per Ton of Trash Collected?

Cost per ton of trash collected is a direct, objective, and quantifiable measure of the contractor's performance. It reflects how efficiently the contractor is operating relative to the amount of trash being managed.

This measure aligns with the principle of output-based performance evaluation, which focuses on results (e.g., tons of trash collected) rather than inputs or unrelated factors.

Why Other Options Are Incorrect:

A . Per mile traveled: Mileage is not directly tied to performance; it depends on the route structure and geography, not the quantity of trash collected.

C . Comparison with closest comparable jurisdiction: While this may provide context, it is not a specific performance measure.

D . Per employee: Employee count does not directly measure performance or efficiency in trash collection operations.

Reference and Documents:

GAO Guide on Contract Performance Evaluation: Recommends using measurable and outcome-based metrics like cost per ton collected for performance reviews.

Best Practices in Local Government Contracting (AGA): Highlights output-based measures for evaluating contractor performance.