[Code of Federal Regulations]
[Title 23, Volume 1]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 23CFR140.907]

[Page 17]
 
                           TITLE 23--HIGHWAYS
 
 CHAPTER I--FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 140_REIMBURSEMENT--Table of Contents
 
                Subpart I_Reimbursement for Railroad Work
 
Sec.  140.907  Overhead and indirect construction costs.

    (a) A State may elect to reimburse the railroad company for its 
overhead and indirect construction costs.
    (b) The FHWA will participate in these costs provided that:
    (1) The costs are distributed to all applicable work orders and 
other functions on an equitable and uniform basis in accordance with 
generally accepted accounting principles;
    (2) The costs included in the distribution are limited to costs 
actually incurred by the railroad;
    (3) The costs are eligible in accordance with the Federal 
Acquisition Regulation (48 CFR), part 31, Contract Cost Principles and 
Procedures, relating to contracts with commercial organizations;
    (4) The costs are considered reasonable;
    (5) Records are readily available at a single location which 
adequately support the costs included in the distribution, the method 
used for distributing the costs, and the basis for determining additive 
rates;
    (6) The rates are adjusted at least annually taking into 
consideration any overrecovery or underrecovery of costs; and
    (7) The railroad maintains written procedures which assure proper 
control and distribution of the overhead and indirect construction 
costs.

[53 FR 18276, May 23, 1988]