We cannot overemphasize the criticality of an adequate contractor accounting system to be able to compete for and obtain government contracts which require cost determination during contract performance. Equally critical is recognizing that these are no longer perfunctory DCAA (Defense Contract Audit Agency) audits performed in a day or less by “green” auditors. Like every other DCAA audit, these can involve expansive transaction testing.
Contractors must also recognize the two-pronged approach by DCAA which includes both the pre-award accounting system audit as well as the more expansive post-award audit and understand that having a previously “clean” audit opinion is no longer a predictor of passing future audits of your accounting system. The fundamental regulations have not necessarily changed, but the audits have dramatically changed.
This webinar will include discussions about the following:
- Identification of the FAR Provision which defines contractor qualifications including the accounting system
- Identification of the types of contracts which have express requirements for an adequate accounting system
- Distinguishing the FAR accounting system requirements from the DFARS Business Systems-accounting system requirements
- Locating and obtaining DCAA audit policies and audit programs pertaining to pre and post-award accounting system audits
- Identification of the typical solicitation provisions which require an adequate accounting system as a contractor qualification applied to the source selection phase of a contract award