[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: 48CFR42.709-2]



[Page 800]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 42_CONTRACT ADMINISTRATION AND AUDIT SERVICES--Table of Contents

 

                    Subpart 42.7_Indirect Cost Rates

 

Sec. 42.709-2  Responsibilities.



    (a) The cognizant contracting officer is responsible for--

    (1) Determining whether the penalties in 42.709-1(a) should be 

assessed;

    (2) Determining whether such penalties should be waived pursuant to 

42.709-5; and

    (3) Referring the matter to the appropriate criminal investigative 

organization for review and for appropriate coordination of remedies, if 

there is evidence that the contractor knowingly submitted unallowable 

costs.

    (b) The contract auditor, in the review and/or the determination of 

final indirect cost proposals for contracts subject to this section, is 

responsible for--

    (1) Recommending to the contracting officer which costs may be 

unallowable and subject to the penalties in 42.709-1(a);

    (2) Providing rationale and supporting documentation for any 

recommendation; and

    (3) Referring the matter to the appropriate criminal investigative 

organization for review and for appropriate coordination of remedies, if 

there is evidence that the contractor knowingly submitted unallowable 

costs.



[60 FR 42658, Aug. 16, 1995]