On May 14, 2019, DCAA issued a Memorandum for Regional Directors (MRD), 19-PAC-002(R), revising prior DCAA guidance on identifying expressly unallowable costs. The guidance includes an updated listing of Federal Acquisition Regulation (FAR) 31 and Defense Federal Acquisition Regulation Supplement (DFARS) 231 cost principles that meet the definition of expressly unallowable costs. The May 14th MRD removed several cost principles previously considered to be unallowable, and guidance was revised for several cost principles, including those related to lobbying, compensation, and organization costs.
DCAA’s May 14, 2019 MRD can be found here.
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If you have any questions or comments about this topic, please contact Thomas Yankanich, Director, Audit & Accounting at Email or 215-441-4600.
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