DCAA Submissions

If you have a cost reimbursement or a time and materials contract with the FAR Clause 52.216-7 inserted in it, you are required to submit provisional billing rates for approval by the Contracting Officer or an authorized representative (such as a DCAA auditor). Specifically, FAR 52.216-7(e) establishes requirement of such submission and is used for interim billing purposes until final annual indirect cost rates can be established. Provisional Billing Rates requests are required to be submitted to the CO and/or DCAA within the first three (3) months of your fiscal year. Such rates should be adjusted on a periodic basis, as necessary, to prevent substantial over or under billing situations.

If you have a cost reimbursement or a time and materials contract with the FAR Clause 52.216-7 inserted in it, you are required to submit final indirect cost rates for approval by the Contracting Officer or an authorized representative (such as a DCAA auditor). Specifically, FAR 52.216-7(d) establishes requirement of such submission and is used to establish final indirect cost rates for a given contractor fiscal year. This kind of submission is also known as an Incurred Cost Submission and is typically submitted using the DCAA’s Incurred Cost Electronically (ICE) model on its website; however, contractors are allowed to use their own format so long as it provides all of the same information outlined in FAR 52.216-7(d)(2)(iii) and (iv). Final indirect cost rates are established to reflect final actual costs and are used to adjust from Provisional Billing Rates to Final Rates. Final Indirect Cost Rate proposal submissions are required within six (6) months after the contractor’s fiscal year end.