CDOT Announces New Master Pricing Agreement (MPA) for Consultants
10-Jun-2014 to 10-Jun-2014
Beginning July 1, 2014, all consultants (primes and subs) that wish to be prequalified to do business with CDOT will be required to have a Master Pricing Agreement (MPA). As part of the MPA, consultant firms will be required to have an audited indirect cost rate. CDOT may establish exceptions to the audited indirect cost rate for firms below a certain threshold amount of business with CDOT. For more information on these requirements, please click here.
So, what does this mean to you? If you're an architect, engineer, or other highway design professional wanting to compete for CDOT consultant projects, you'll need to have an independent CPA audit your financials every year to determine your indirect rate and ensure Federal Acquisition Regulation (FAR) compliance.
For most firms, this requires; developing internal controls for critical areas such as labor charging and compensation, setting up a chart of accounts to properly segregate unallowable costs, and performing periodic monitoring activities to support your internal control system.
So, what does this mean to you? If you're an architect, engineer, or other highway design professional wanting to compete for CDOT consultant projects, you'll need to have an independent CPA audit your financials every year to determine your indirect rate and ensure Federal Acquisition Regulation (FAR) compliance.
For most firms, this requires; developing internal controls for critical areas such as labor charging and compensation, setting up a chart of accounts to properly segregate unallowable costs, and performing periodic monitoring activities to support your internal control system.
If you have questions or need assistance with meeting these requirements, please contact your local SBDC or schedule an appointment online with an SBDC financial expert.
