Travel Costs
CB&H GovCon Seminar: Understanding the Travel Cost Principle (Fayetteville, NC)
Travel costs are one area where DCAA frequently finds a “gotcha” when auditing contractors. That is because the travel cost principle can be confusing in regard to its coverage, not only for contractors but also for contracting officers. It is not unusual to see contracting officers require the allowability of travel costs to be determined by the wrong regulations. Also, contractors sometimes forget to apply the travel cost principle fully to travel that is charged as an indirect cost to contracts. This seminar will explain the travel cost principle in depth and discuss DCAA’s audit guidance regarding the cost principle. In addition, it. Read More.
IRS Publishes 2011 Standard Mileage Rates
The IRS has released the 2011 standard mileage rates for business use of an automobile. Taxpayers driving a car, van, pickup or panel truck can use these rates to determine the deductible costs of that vehicle’s operation. 51 cents per mile for business miles driven 19 cents per mile as part of moving expenses 16.5 cents for medical purposes 14 cents per mile driven in service of charitable organizations Both the business and moving rates are up relative to last year from 50 and 16.5 cents, respectively. The rates for medical and charitable purposes are unchanged from 2010. Taxpayers can use the actual cost of using. Read More.
GovCon Seminar: Understanding the Travel Cost Principle (April 1, 2010, Virginia Beach, VA)
Travel costs are one area where DCAA frequently finds a “gotcha” when auditing contractors. That is because the travel cost principle can be confusing in regard to its coverage, not only for contractors but also for contracting officers. It is not unusual to see contracting officers require the allowability of travel costs to be determined by the wrong regulations. Also, contractors sometimes forget to apply the travel cost principle fully to travel that is charged as an indirect cost to contracts. This seminar will explain the travel cost principle in depth and discuss DCAA’s audit guidance regarding the cost principle.. Read More.
FAR Travel Cost Principle Revised
On December 10, 2009, FAC 2005-38 was published in the Federal Register . One of the changes made by this FAC is a revision to the travel cost principle , FAR 31.205-46, which becomes effective for contracts awarded on or after January 11, 2010. This change eliminated the words “the lowest customary standard, coach, or equivalent airfare” and substituted “the lowest priced airfare available to the contractor.” The reason for this change was to add clarity to the cost principle. While the change may seem simple on its face, it is sure to generate controversy and disputes as to what is the lowest priced airfare. Read More.
Stimulus Package Oversight — Claimed Unallowable Costs
The Departments of Transportation at both the state and federal level are slated to receive a significant share of the just passed “stimulus package” and state and federal government oversight will be intense. It’s in the best interest of all companies, whether utilizing Federal funds through FHWA contracts or not, to establish internal controls and utilize knowledgeable personnel to ensure the elimination of unallowable costs from any billing, claim or proposal applicable to such federal-aid as required by the Federal Acquisition Regulation (FAR). Specific areas of unallowable cost identified in a recent DoT OIG audit report on application of the. Read More.
GSA Issues Final Rulings on Travel Costs
The General Services Administration issued two final rulings in its Report Letter No. 1993 dated January 28, 2009 amending the Federal Travel Regulation.
The first one pertains to use of United States flag air carriers under the Fly America Act (49 USC 40118). Under the Act, passengers whose air travel is funded by the U.S. government are generally required to use U.S. flag air carrier service. The new rule revises FTR 301-10.135 to provide an Internet-based source (http://www.gsa.gov/openskies) for exceptions to this requirement, which are made under bilateral or multilateral air transportation agreements.
The second amendment is to FTR 301-10.303 which decreases