Using the AASHTO Audit Guide for the Development of A/E

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Introduction Introduction Target Audience Course Structure

Learning Outcomes Learning Experience

Welcome to:

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates

Conclusion

EXECUTIVE SUMMARY

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Introduction Introduction

Case for Training

Target Audience Course Structure

Learning Outcomes

A/E contracts help contracting agencies meet their objectives.

Learning Experience Conclusion

An A/E consultant’s indirect cost rate is a critical element of A/E contracts.

Ensuring the indirect cost rate is properly calculated and contains only allowable costs is complex.

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Introduction Introduction

AASHTO Audit Guide

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Provides guidance related to the auditing and reporting of costs incurred by A/E firms in performing services for transportation projects.

Updated to:

 Ensure consistency  Provide clarifying guidance  Address questions and concerns

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Introduction Introduction

Series Goals

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

• Clarifying roles and responsibilities of State DOTs, A/E firms, CPA firms and FHWA • Improving consistency in the interpretation of FAR Part 31 cost principles • Increasing compliance with the FAR Part 31 cost principles by A/E firms • Enhancing quality of CPA audits

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Introduction Introduction

AASHTO Audit Guide Courses

Target Audience Course Structure

Learning Outcomes

A

Learning Experience Conclusion

B

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates

Using the AASHTO Audit Guide for the Auditing and Oversight of A/E Consultant Indirect Cost Rates

Using the AASHTO Audit Guide for the Procurement and Administration of A/E Contracts

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Target Audience Introduction

Target Audience

Target Audience Course Structure

Learning Outcomes

Audit indirect cost and contract proposals

Design and monitor internal control systems

Learning Experience Conclusion

Sell A/E services to State DOTs and local governments

Provide oversight and ensure compliance of contracts or subcontracts

FHWA State DOTs

Close and perform final reconciliations of A/E contracts

Provide oversight of local contracts or subcontracts

Local Governments A/E Firms Prepare and review cost proposals

Develop indirect cost rates

CPA Firms

Administer and manage contracts or subcontracts & procure services

Approve payment of A/E consultant invoices

Perform indirect cost rate audits for A/E firms

Review RFPs and contracts for government projects

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Course Structure Introduction

Course Structure

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Two-Day Course; Day 1 Lessons: 1. The AASHTO Audit Guide and the Statutory and Regulatory Framework

2. Contract Types and Payment Methods

3. Key Cost Principles

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Course Structure Introduction

Course Structure

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Two-Day Course; Day 1 Lessons: 1. The AASHTO Audit Guide and the Statutory and Regulatory Framework

2. Contract Types and Payment Methods

3. Key Cost Principles

4. Cost Criteria for Determining Allowability of Selected Areas of Cost

5. Indirect Cost Rates

6. Home and Field Office Rates

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Course Structure Introduction

Course Structure

Target Audience Course Structure

Two-Day Course; Day 2 Lessons:

Learning Outcomes Learning Experience Conclusion

7. Internal Controls and Labor Charging

8. Introduction to Compensation

9. Performing a Compensation Analysis

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Course Structure Introduction

Course Structure

Target Audience Course Structure

Two-Day Course; Day 2 Lessons:

Learning Outcomes Learning Experience

7. Internal Controls and Labor Charging

8. Introduction to Compensation

9. Performing a Compensation Analysis

10. Additional Compensation Considerations

11. Audits and Audit Requirements

12. Use of Indirect Cost Rate Audit

Conclusion

13. Course Review and Final Assessment

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Learning Outcomes Introduction

Learning Outcomes

Target Audience Course Structure

Answer questions such as:

Learning Outcomes Learning Experience Conclusion

• What contract type and payment method is the best match for our project?

• What are key labor charging controls? • Why are non-billable costs charged to my project?

• How do we determine “reasonable compensation”? • What costs are unallowable in our indirect cost rate?

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Learning Outcomes Introduction

Learning Outcomes

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

• Employ the appropriate requirements, concepts, and tools necessary to develop and apply indirect cost rates to A/E contracts.

• Interpret and apply Federal and State laws, regulations, policies, and procedures relating to the procurement of A/E services and administration of A/E contracts.

• Describe the components of compliant internal controls.

• Explain various components of the oversight framework, including State DOT risk management, ethics and dispute resolution.

• Prepare an appropriate analysis necessary to demonstrate the reasonableness of executive compensation.

• Define and compare contract types and payment methods, and implications on cost accounting, billing, and auditing emphasis.

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Learning Experience Introduction

Learning Experience

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Facilitator-led discussion

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Learning Experience Introduction

Learning Experience

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Facilitator-led discussion

Group discussions

Examples and Activities

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary

FHWA-NHI-231029

Learning Experience Introduction

Learning Experience

Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

Facilitator-led discussion

Examples and Activities

Group discussions

Assessments

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Conclusion Introduction

Conclusion

Target Audience Course Structure

Learning Outcomes

For More Information Visit:

Learning Experience Conclusion

nhi.fhwa.dot.gov

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary Search NHI for AASHTO Audit Guide Courses Introduction Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

FHWA-NHI-231029

Using the AASHTO Audit Guide for the Development of A/E Consultant Indirect Cost Rates Executive Summary NHI Audit Guide Course Selection Introduction Target Audience Course Structure

Learning Outcomes Learning Experience Conclusion

FHWA-NHI-231029