NAVY ACQUISITION PROCEDURES SUPPLEMENT
CONTRACT ADMINISTRATION
SUBPART 5242.1-INTERAGENCY CONTRACT ADMINISTRATION
AND AUDIT SERVICES
5242.190 Relationships - DCAA and contracting/contract administration offices.
(a) Organizationally, the DCAA is separate from, and independent of, contracting and contract administration offices. Audit reports and other services provided by DCAA are advisory in nature. A clear understanding of the responsibilities of DCAA auditors is essential to ensure continuous close cooperation and team work. Contracting and contract administration offices are responsible for:
(1) Requesting contract audit service deemed essential for the procurement;
(2) Providing maximum allowable time for the conduct of audits;
(3) Furnishing the auditor with all relevant documents;
(4) Establishing access to contractor records required by auditors; and
(5) Furnishing such other information, data, or technical service as may be required (such as the advice of industrial engineers on cost matters, copies of pricing memoranda, etc.) or otherwise may be useful in performing the audit.
(b) Contract audit services should be requested by contracting and contract administration offices when necessary in connection with:
(1) Development of procurement packages prior to solicitation;
(2) Pre-award surveys;
(3) Pricing contracting actions;
(4) Functional reviews of contractor performance;
(5) Progress payments, and;
(6) Contract terminations.
(c) Contract audit services are performed automatically in connection with:
(1) Reimbursement of costs, and;
(2) Problems and unsatisfactory conditions encountered by the auditor and within his purview.
5242.191 Audit resolution and disposition.
(a) Resolution of contract audit reports other than pre-award advisory audits, is required by law within six months of report issuance. When an audit is resolved, it must be supported by specific written documentation in the file. Disposition, including fund recovery actions, shall take place as soon as possible after resolution.
(b) HCAs are responsible for establishing procedures to accomplish this and to ensure that the semiannual contract audit follow-up status report required by DoD Directive 7640.2 is submitted to ABM within 15 calendar days after the end of the 31 March and 30 September reporting periods.
SUBPART 5242.6-CORPORATE ADMINISTRATIVE CONTRACTING OFFICER
5242.602 Assignment and location.
(c) Submit recommendations for assignment of a corporate administrative contracting officer (CACO) to ABM.