DCAA limits requests for audit services

DCAA limits requests for audit services

In a memo issued last month, the Defense Contract Audit Agency (DCAA) limited contract officer requests for audit services to Fixed-Price proposals greater than $10 million and Cost-Type proposals over $100 million.  The new policy does allow for consideration of exceptions if the circumstances are fully explained and documented.  The new thresholds will apply to the total proposal value.  In a memo to DCAA regional Directors Kenneth Saccoccia, Assistant Director for Policy and Plans, said the changes were in response to recommendations by various oversight organizations that DCAA assess resource use to focus efforts on “areas with greater risk to the taxpayer.”  Setting the new thresholds will better enable DCAA to align workload requirements with available resources, according to the memo.  The new thresholds were included in a revision to the Defense Federal Acquisition Regulation Supplement (DFARS) Procedures, Guidance and Information (PGI) effective September 17, 2010.  The thresholds will not apply to audit requests made by another DCAA office.  DCAA advises supervisory auditors and branch managers to refer requests below the new thresholds to the Defense Contract Management Agency (DCMA).

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