Audit Alert on Evaluating the Adequacy of Cost Impact Proposals

On September 19, 2014, the Defense Contract Audit Agency (DCAA) issued a memorandum for regional directors, “Audit Alert on Evaluating the Adequacy of Cost Impact Proposals,” referencing a DCAA Cost Impact Adequacy ToolThe tool lists adequacy criteria, and the regulatory basis, to consider during DCAA’s cost impact proposal assessment. The tool addresses both General Dollar Magnitude (GDM) and Detailed Cost Impact (DCI) proposals.