1 / 18

Introduction

Introduction. Welcome to: Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates. EXECUTIVE SUMMARY. Introduction. Case for Training. A/E contracts help contracting agencies meet their objectives.

geraldine-cole
Download Presentation

Introduction

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Introduction Welcome to: Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates EXECUTIVE SUMMARY

  2. Introduction Case for Training A/E contracts help contracting agencies meet their objectives. An A/E consultant’s indirect cost rate is a critical element of A/E contracts. Ensuring the indirect cost rate is properly calculated and contains only allowable costs is complex.

  3. Introduction AASHTO Audit Guide Provides guidance related to the auditing and reporting of costs incurred by A/E firms in performing services for transportation projects. Updated to: • Ensure consistency • Provide clarifying guidance • Address questions and concerns

  4. Introduction Series Goals • Clarifying roles and responsibilities of State DOTs, A/E firms, CPA firms and FHWA • Improving consistency in the interpretation of FAR Part 31 cost principles • Increasing compliance with the FAR Part 31 cost principles by A/E firms • Enhancing quality of CPA audits

  5. Introduction AASHTO Audit Guide Courses A Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates B Using the AASHTO Audit Guide for the Procurement and Administration of A/E Contracts Using the AASHTO Audit Guide for the Auditing and Oversight of A/E Consultant Indirect Cost Rates

  6. Target Audience Target Audience Audit indirect cost and contract proposals Design and monitor internal control systems Provide oversight and ensure compliance of contracts or subcontracts Close and perform final reconciliations of A/E contracts Sell A/E services to State DOTs and local governments Provide oversight of local contracts or subcontracts FHWA State DOTs Local Governments A/E Firms CPA Firms Prepare and review cost proposals Perform indirect cost rate audits for A/E firms Develop indirect cost rates Administer and manage contracts or subcontracts & procure services Approve payment of A/E consultant invoices Review RFPs and contracts for government projects

  7. Course Structure Course Structure Two-Day Course; Day 1 Lessons: 1. The AASHTO Audit Guide and the Statutory and Regulatory Framework 2. Contract Types and Payment Methods 3. Key Cost Principles

  8. Course Structure Course Structure Two-Day Course; Day 1 Lessons: 1. The AASHTO Audit Guide and the Statutory and Regulatory Framework 2. Contract Types and Payment Methods 3. Key Cost Principles 4. Cost Criteria for Determining Allowability of Selected Areas of Cost 5. Indirect Cost Rates 6. Home and Field Office Rates

  9. Course Structure Course Structure Two-Day Course; Day 2 Lessons: 7. Internal Controls and Labor Charging 8. Introduction to Compensation 9. Performing a Compensation Analysis

  10. Course Structure Course Structure Two-Day Course; Day 2 Lessons: 7. Internal Controls and Labor Charging 8. Introduction to Compensation 9. Performing a Compensation Analysis 10. Additional Compensation Considerations 11. Audits and Audit Requirements 12. Use of Indirect Cost Rate Audit 13. Course Review and Final Assessment

  11. Learning Outcomes Learning Outcomes • What contract type and payment method is the best match for our project? • What are key labor charging controls? • Why are non-billable costs charged to my project? • How do we determine “reasonable compensation”? • What costs are unallowable in our indirect cost rate? Answer questions such as:

  12. Learning Outcomes Learning Outcomes • Employ the appropriate requirements, concepts, and tools necessary to develop and apply indirect cost rates to A/E contracts. • Describe the components of compliant internal controls. • Prepare an appropriate analysis necessary to demonstrate the reasonableness of executive compensation. • Interpret and apply Federal and State laws, regulations, policies, and procedures relating to the procurement of A/E services and administration of A/E contracts. • Explain various components of the oversight framework, including State DOT risk management, ethics and dispute resolution. • Define and compare contract types and payment methods, and implications on cost accounting, billing, and auditing emphasis.

  13. Learning Experience Learning Experience Facilitator-led discussion

  14. Learning Experience Learning Experience Facilitator-led discussion Examples and Activities Group discussions

  15. Learning Experience Learning Experience Facilitator-led discussion Examples and Activities Group discussions Assessments

  16. Conclusion Conclusion For More Information Visit: nhi.fhwa.dot.gov

  17. Search NHI for AASHTO Audit Guide Courses

  18. NHI Audit Guide Course Selection

More Related