The DCAA usually conducts specific audits from time to time. These audits can be of different types. If you have a basic understanding of what a DCAAAudit encompasses, then it’s time to take your knowledge to the next level. You have to learn about the audits performed by this government body. In that regard, this topic should be of use to you.
Price proposal audit
In this particular audit
method, the contracting officer is in charge of assuring the fairness and
reasonability of a proposed contract. As a result, the contracting officer may
place a request for an audit of the pricing. If the size of the contract
exceeds the TINA threshold, you must submit pricing info, apart from the
proposal.
Pre-award audit
This audit type is
probably the most common one. While it isn’t as detailed as the other audits,
it’s an important one as it prioritizes reviewing your accounting system. The
DCAA simply wants to verify whether the accounting system is capable of meeting
all the requirements, such as the FAR and DFARS. You’ll also have to fill out
Standard Form 1408 for this audit.
Contract cost and billing system audit
If the contract becomes
cost-based like a cost-reimbursable contract, such as a CPFF, or a cost-based
progress payment, such as Fixed Price with Progress Payments, then all the
vouchers submitted against these contracts will have to pass audits
periodically. It isn’t part of achieving DCAACompliance. You’ll have to sit for these audits once you become compliant
Floor check
The floor check audit
mostly encompasses unannounced visits by the DCAA. They will want to visit the
workstation of multiple employees selected randomly to verify whether they’re
using timesheets and labor recording systems properly. It will also ascertain
whether you have the procedures to cover labor recording.
