Our experts will analyze your cost accounting practices for compliance gaps with the Federal Acquisition Regulations (FAR) provisions and DCAA auditor expectations that require, among other things, accumulation of costs by government contract, segregation of direct and indirect costs, accounting for unallowable costs, and a contract timekeeping process. Our analysis may entail a high level, detailed, or selected functional review of your existing system and processes. Our “mock audit” approach is symmetrical to the DCAA accounting system audit procedures, except for the addition or removal of audit steps so that services are more tailored to your specific exposure to government risk.
We will subsequently design and facilitate implementation of compliant practices relevant to regulatory attributes in FAR Part 31, the GSA Standard Form 1408, and the DFARS Business Systems contract clause 252.242-7006, Accounting System Administration. Building a risk mitigating accounting system may include designing and supplementing your general and subsidiary ledgers, reconfiguring the indirect cost structure, preparation of written policies and procedures, and recommendation of software solutions. All risk mitigation corrective action will be performed to maximize your cost recovery under government contracts while meeting applicable regulations.