CGS offers a variety of government contract consulting services at all stages of a contract’s lifecycle from proposal preparation through contract close-out. CGS tailors its services to provide clients with efficient and effective solutions to achieve compliance with government contract standards and regulations while minimizing undue burden on the company and improving profitability.
One nuance of contracting with government agencies (i.e., federal, state and local), is the inclusion of audit and records access rights in government agreements. This additional scrutiny requires a solid Compliance Program to aid in the effective performance of government contracts.
Our cost and pricing expertise and deep knowledge of government contract accounting allow us to prepare successful proposals for our clients. CGS has prepared proposals of all different contract types ranging from cost reimbursable to fixed price for federal, state and local agencies. We have assisted both new contractors and experienced contractors with their cost and business proposals.
CGS has extensive experience related to commercial products and services contracting as well as compliance best practices. Our firm assists clients with determining when an item meets the definition of “commercial item” and in making and defending this case to the government or the prime contractor.
The Cost Accounting Standards (CAS) are comprised of 19 different standards that are designed to achieve greater uniformity and consistency in government contract accounting. The CAS requirements, where applicable, affect virtually all areas of a contractor's cost accounting system. CGS assists clients in evaluating their compliance and implementing enhancements, as applicable.
Contractors subject to the CAS must document their accounting procedures and policies through the CAS Disclosure Statement. CGS prepares these for clients and/or offers review services of a client's existing Disclosure Statement(s).
For large, well established Federal contractors, a comprehensive and effective Government Contracts Compliance Program is critical to being a successful contractor. Compliance programs include codes of Business Conduct and Ethics as well as reviewing, monitoring and reporting potential non-compliances.
During the lifecycle of a contract, a contractor will have numerous DCAA or other agency audits. CGS offers audit preparation and/or assistance in responding to the government agencies’ inquiries and questions.
One of the most pervasive concepts for government contracts is “Unallowable Costs.” Put simply, there are certain costs which may be ordinary and necessary in the normal course of business that the government will not pay for. A detailed focus on unallowable costs is critical for contractor success.
The Government requires contractors performing certain types of flexibly-priced contracts (e.g., cost plus fixed fee) to prepare annual indirect cost rate submissions for cost reimbursement under the Allowable Cost and Payment clause. CGS works closely with contractors to assist in both the design of indirect cost rate structures and the annual reporting requirements for cost recovery. CGS experienced approach allows contractors to balance optimal cost recovery with compliance and risk considerations.
Most significant Federal contracts include certain “Flowdown Clauses.” These clauses are included in the prime contract, and in turn, the prime contractor generally should flow these clauses down to its significant subcontractors. These clauses help to ensure that the Federal government’s security, purchasing and other socio-economic priorities are acted upon through the prime and subcontracts.
Contractors new to the government market space face a daunting array of compliance considerations not encountered in the commercial market space. As such, a carefully designed compliance program is critical to ensure success throughout the government contract life-cycle.
One of the more critical decisions that state and Federal contractors must make is how to assign costs to contracts. Which costs to charge direct to the contract and which costs to include in Overhead? And, for those costs included in Overhead, how to allocate them to individual contracts? These decisions directly affect cost recovery, profitability and the company’s competitive position in the marketplace. CGS has helped numerous contractors develop and implement indirect rate structures that optimize cost recovery and improve competitive position in the marketplace.
The unique pricing and cost considerations for government contracts necessitates detailed time keeping policies & procedures to accurately assign costs to benefitting contracts. Labor typically represents the most significant component of government contracts and naturally receives considerable attention from both contractors and government auditors. CGS aids clients in developing policies & procedures as well as employee training to ensure compliance.