[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR30.001]



[Page 574-575]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 30_COST ACCOUNTING STANDARDS ADMINISTRATION--Table of Contents

 

Sec. 30.001  Definitions.



    As used in this part--

    Affected CAS-covered contract or subcontract means a contract or 

subcontract subject to Cost Accounting Standards (CAS) rules and 

regulations for which a contractor or subcontractor--

    (1) Used one cost accounting practice to estimate costs and a 

changed cost accounting practice to accumulate and report costs under 

the contract or subcontract; or

    (2) Used a noncompliant practice for purposes of estimating or 

accumulating and reporting costs under the contract or subcontract.

    Cognizant Federal agency official (CFAO) means the contracting 

officer assigned by the cognizant Federal agency to administer CAS.

    Desirable change means a unilateral change to a contractor's 

established or disclosed cost accounting practices that the CFAO finds 

is desirable and not detrimental to the Government and is, therefore, 

not subject to the no increased cost prohibition provisions of CAS-

covered contracts and subcontracts affected by the change.



[[Page 575]]



    Fixed-price contracts and subcontracts means--

    (1) Fixed-price contracts and subcontracts described at 16.202, 

16.203 (except when price adjustments are based on actual costs of labor 

or material, described at 16.203-1(a)(2)), and 16.207;

    (2) Fixed-price incentive contracts and subcontracts where the price 

is not adjusted based on actual costs incurred (Subpart 16.4);

    (3) Orders issued under indefinite-delivery contracts and 

subcontracts where final payment is not based on actual costs incurred 

(Subpart 16.5); and

    (4) The fixed-hourly rate portion of time-and-materials and labor-

hours contracts and subcontracts (Subpart 16.6).

    Flexibly-priced contracts and subcontracts means--

    (1) Fixed-price contracts and subcontracts described at 16.203-

1(a)(2), 16.204, 16.205, and 16.206;

    (2) Cost-reimbursement contracts and subcontracts (Subpart 16.3);

    (3) Incentive contracts and subcontracts where the price may be 

adjusted based on actual costs incurred (Subpart 16.4);

    (4) Orders issued under indefinite-delivery contracts and 

subcontracts where final payment is based on actual costs incurred 

(Subpart 16.5); and

    (5) The materials portion of time-and-materials contracts and 

subcontracts (Subpart 16.6).

    Noncompliance means a failure in estimating, accumulating, or 

reporting costs to--

    (1) Comply with applicable CAS; or

    (2) Consistently follow disclosed or established cost accounting 

practices.

    Required change means--

    (1) A change in cost accounting practice that a contractor is 

required to make in order to comply with a CAS, or a modification or 

interpretation thereof, that subsequently becomes applicable to an 

existing CAS-covered contract due to the receipt of another CAS-covered 

contract or subcontract; or

    (2) A prospective change to a disclosed or established cost 

accounting practice when the CFAO determines that the former practice 

was in compliance with applicable CAS and the change is necessary for 

the contractor to remain in compliance.

    Unilateral change means a change in cost accounting practice from 

one compliant practice to another compliant practice that a contractor 

with a CAS-covered contract(s) or subcontract(s) elects to make that has 

not been deemed a desirable change by the CFAO and for which the 

Government will pay no aggregate increased costs.



[70 FR 11752, Mar. 9, 2005]