Indirect cost rate certification and penalties on unallowable costs.

Federal Acquisition Regulations System 1 2023-10-01 2023-10-01 false Indirect cost rate certification and penalties on unallowable costs. 31.110 Section 31.110 Federal Acquisition Regulations System FEDERAL ACQUISITION REGULATION GENERAL CONTRACTING REQUIREMENTS CONTRACT COST PRINCIPLES AND PROCEDURES Applicability 31.110 Indirect cost rate certification and penalties on unallowable costs. (a) Certain contracts require certification of the indirect cost rates proposed for final payment purposes. See 42.703–2 for administrative procedures regarding the certification provisions and the related contract clause prescription. (b) If unallowable costs are included in final indirect cost settlement proposals, penalties may be assessed. See 42.709 for administrative procedures regarding the penalty assessment provisions and the related contract clause prescription. [60 FR 42658, Aug. 16, 1995, as amended at 62 FR 237, Jan. 2, 1997]