COST RECOVERY AND ACCOUNTING: DESCRIPTION

At McKenna Long & Aldridge LLP, we have long successfully counseled our clients on all aspects of recovering and accounting for costs under federal government contracts. Such contracts present a host of challenging rules that guide and, at times, limit the costs that contractors are entitled to be paid by the government. We also have broad experience in successfully litigating cost and profit related issues against the federal government at both the administrative Boards of Contract Appeals and at the United States Court of Federal Claims. The range of these issue and our counseling and litigation experience includes:

• Assisting clients in responding to audit reports issued by the Defense Contract Audit Agency (DCAA) or other government auditors that question the allowability or allocability of contract costs
• Working with clients on the pricing of equitable adjustment requests or claims under their contracts
• Counseling prospectively on the proper accounting for contract costs to maximize a client's cost recovery within the bounds of the relevant legal and accounting rules
• Answering client questions under the Federal Acquisition Regulation Part 31 Cost Principles, the Cost Accounting Standards, and the accounting rules applicable to non-profit and educational institutions
• Defending against government claims for the defective pricing of contracts under the Truth in Negotiations Act
• Resolving difficult accounting issues involving such areas as pension and deferred benefit costs; liability for environmental clean up costs; and complex issues of overhead and corporate expense allocations

For more information on our Cost Recovery and Accounting practice, please contact Tom Lemmer.