DCAA GETS DINGED Yes, even the DCAA gets audited. Interesting! The Defense Contract Audit Agency under the Department of Defense (DOD) Comptroller plays a critical role in contractor oversight by providing auditing, accounting, and financial advisory services in connection with DOD and other federal agency contracts and subcontracts. GAO investigated hotline complaints it received related to alleged failures to comply with GAGAS on 14 DCAA audits. DCAA did not agree with the totality of GAOs findings, but it did acknowledge shortcomings with some audits and agreed to take corrective action. Throughout GAOs investigation, auditors at each of the three DCAA locations told them that the limited number of hours approved for their audits directly affected the sufficiency of audit testing. Moreover, during GAOs investigation, DCAA managers took actions against staff at two locations, attempting to intimidate auditors, prevent them from speaking with investigators, and creating a generally abusive work environment. Remember colleagues, even in the audit environment, you are dealing with fallible humans. So always be prepared to support your data and numbers. Even when you dont think you have to. Do not assume anything. Know your rights and be tactful when you disagree. Auditors are people too.
Based on public information, in one year, the Defense Contract Audit Agency or DCAA, audited almost 9,000 pricing proposals, incurred costs submissions, and special audits valued at $218 billion! DCAA realized a net savings to the government of $3.2 Billion at a cost of $383 Million. The net return on taxpayers' investment in DCAA was $8.40 for each $1.00 invested. Pretty good return on investment! The DCAA has about 3,500 Auditors whose primary responsibility is to maintain the billions of dollars in savings to the government.
Based on these facts what do you think? Is the government serious about finding, questioning, and disallowing your costs? Are you serious about wanting your business to retain and recover all its costs? Do you want to not only survive but be profitable? Do you want to avoid/minimize fines and penalties? Do you want to be prepared for an audit? Is it important that you or your key staff are adequately trained in key government contract methods and systems? If you answered yes to at least one of these questions then becoming a member of our community and receiving our free newsletter should be a key aspect of your staff development! Please, don't learn the costly way! Join here Now!
Why chose us? We get to the issues that you need to know. We provide no nonsense, hands-on, practical training and support that you and your staff can use immediately. We have real life experience! Not just theory. We specialize in the unique requirements of government contract cost disciplines. This is what we do and do well. We help you level the playing field with the government or your prime contractor in this often frustrating and competitive business. Our approach is based on practical, day-to-day application of the theory so you can get the job done.
Our membership is priced to be cost effective and is more often than not, the best available option. Why? Because it can be extremely difficult to find qualified and experienced accountants/consultants with the specialized knowledge, training and practical experience. And those available can be expensive. The majority of contractors learn by OJT (On The Job Training) with often very costly results. We know because we are often called in after the fact. Finally members get discounts on our commerical workshops, products, and services. With us there is a difference. It's not just a job, it's our purpose. Join our community and let us help you safely navigate the sea of government contracting and avoid the icebergs while learning to master governemnt cost related issues and improve your bottom line.
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