GAO Reports Significant Noncompliance Issues with Recipient’s Oversight of Subawards

The Government Accounting Office (GAO) issued a Report, Recent Guidance Could Enhance Subaward Oversight to the Senate dated March 26, 2025 (GAO-25-107315), on its review of subaward oversight based on requirements in 2 CFR 200 Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Grants. While prime recipients have responsibility over subawards, federal agencies are required to ensure recipients carry out oversight responsibilities.

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Topics: Compliant Accounting Infrastructure, Government Regulations, Grants & Cooperative Agreements (2 CFR 200)

Best Practices for Compliance and Accuracy in Deltek Costpoint Time and Expense

Deltek Costpoint’s Time and Expense module is a powerful tool utilized by many government contractors and other businesses to collect labor hours and manage business expenses. The Time & Expense module’s flexibility aids in compliance and helps keep businesses DCAA audit-ready. Employees, managers, subcontractors, and others enter their labor hours and expenses as defined by company policy and established business rules. Deltek’s Time and Expense system allows for a variety of reporting and inquiring and can also aid in budget planning.

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Topics: Compliant Accounting Infrastructure, DCAA Audit Support, Deltek Costpoint

Protect Your Federal Contracts by Avoiding Tariff Risks from the Start

Well one of the endless numbers of administratively burdensome requirements the Federal Government places on your contracts may just be the silver bullet you need. Review your contracts and look for FAR 52.225-8, Duty-Free Entry, and DFARS 252.225-7013, Duty-Free Entry.

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Topics: Proposal Cost Volume Development & Pricing, Contracts & Subcontracts Administration, DFARS Business Systems, Contractor Purchasing System Review (CPSR), Government Regulations, Export & Import, Federal Acquisition Regulation (FAR)

Changes Ahead for University Grants as DOE Limits Indirect Costs to a 15% Rate Cap

On April 11, 2025, the Department of Energy (DOE) announced a new policy action to limit indirect costs of DOE research funding to Institutes of Higher Education (IHE) to 15%. DOE projects this change to generate over $405 million in annual savings. As expected, a judge has issued a Temporary Restraining Order (TRO) on this policy. This comes on the heels of the National Institute of Health (NIH) issuing Supplemental Guidance to the 2023 NIH Grants Policy Statement: Indirect Costs dated February 7, 2025, limiting indirect costs on current and future grants to 15%. A Temporary Restraining Order (TRO) is still outstanding on the NIH policy.

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Topics: Compliant Accounting Infrastructure, Government Regulations, Grants & Cooperative Agreements (2 CFR 200)

New Executive Order: Restoring Equality of Opportunity and Meritocracy

Late yesterday, President Trump signed another Executive Order related to employment laws. This Executive Order (“Restoring Equality of Opportunity and Meritocracy”) takes aim at the use of “disparate impact liability,” which, the EO proclaims, “undermines our national values [and] also runs contrary to equal protection under the law and, therefore, violates our Constitution.”

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Topics: Litigation Consulting Support, Human Resources, Government Regulations, Office of Federal Contract Compliance Programs, Service Contract Act

Why Indirect Rates and Indirect Costs Matter in Unanet

What do indirect rates and indirect costs in Unanet mean for my organization? This is a question most of the world of government contractors ask. Managing costs isn’t just about tracking the dollars that are spent. It’s also about maintaining a profit, compliance with federal regulations and contract terms, and meeting organizational goals and standards. Unanet plays a pivotal role in navigating the complexities of government contracting, specifically, indirect rates and costs.

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Topics: Compliant Accounting Infrastructure, Incurred Cost Proposal Submission (ICP/ICE), Unanet

Executive Orders Target Government-Wide Acquisition Overhaul


President Trump has signed several Executive Orders (EO) addressing ways to improve the acquisition process through simplifying the regulations, utilizing competitive marketplace and commercially available products and services, consolidating procurements at General Services Administration (GSA), and now overhauling the Department of Defense acquisition processes.

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Topics: Proposal Cost Volume Development & Pricing, Contracts & Subcontracts Administration, Government Regulations, Federal Acquisition Regulation (FAR), Commercial Item Determination

Terminated Contracts and Government Property Disposition


Terminated contracts do not relieve a contractor from dispositioning and closing out Government property. This will become a bigger issue as more and more agencies receive funding cuts or contracts are simply terminated.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, DCAA Audit Support, Government Regulations, Government Property Management, Federal Acquisition Regulation (FAR)

Executive Order to Overhaul the Defense Acquisition System

On April 9, 2025, President Trump signed the Executive Order (EO), Modernizing Defense Acquisitions and Spurring Innovation in the Defense Industrial Base. The EO indicated that the factory floor is as significant as the battlefield, and the current defense acquisition system must have a comprehensive overhaul to deliver state-of-the-art capabilities at speed and scale.

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Topics: Proposal Cost Volume Development & Pricing, Contracts & Subcontracts Administration, Contractor Purchasing System Review (CPSR), Government Regulations, Federal Acquisition Regulation (FAR), Commercial Item Determination

Is DCAA’s Reorganization the First Step in the Dissolution of DCAA?


On April 7, 2025, Defense Contract Audit Agency (DCAA) Director Ms. Jennifer Desautel announced a major DCAA reorganization to her staff that is perhaps DCAA’s largest since its 1965 inception. With the current federal government’s stress on efficiency and cost reduction, DCAA faced increased pressure to contain its costs and become more efficient. As a result, Ms. Desautel immediately began reorganizing the field and headquarters offices. DCAA will now have three Directorates (shown below): Land, Sea, and Air.

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Topics: Compliant Accounting Infrastructure, Small Business Compliance, Contracts & Subcontracts Administration, DCAA Audit Support, Government Regulations