This is really a neat way of getting at the audit requirement. I don't usually like putting FAR terms in the document if the subcontract is under a prime grant or cooperative agreement, but sometimes it's all you can do . Good suggestion. Steve Nancy Stewart wrote: > Hi Leah, > > I didn't see your original post and think Steve's idea is a good one. I recently > was in the same situation and tried for language quite similar to his. The > company however wanted something "more specific." After speaking with contract > officer at NIH (this was a prime NIH contract) and several other RA's I came up > with the following: > > The SUBCONTRACTOR certifies that it shall comply with FAR 31 Contract Cost > Principles and Procedures, Subpart 2: Contracts with Commercial Organizations > with modifications as follows: the term "Contract" shall mean "Subcontract"; > "Contractor" shall mean "Subcontractor"; "Authorized Contracting Officer" shall > mean "UNIVERSITY's Contracting Officer"; "U.S. Government" shall mean "UNIVERSITY" > except that the terms "Authorized Contracting Officer" and "U.S. Government" shall > retain their meaning relative to audits of costs, negotiation of overhead rates, > and inspections. > > The company was satisfied with this; however they do have experience in > contracting directly with feds so are comfortable with FAR's etc. > > If anyone sees any gap or problem with the language, please let me know. Thanks. > > Nancy > > Stephen Erickson wrote: > > > Leah, > > > > I don't know of any provision that exempts private companies from audit....if > > so I am petitioning to change Boston College to Boston College Corp. > > Seriously, the company, like all federal awardees, is subject to audit (at > > least under subgrants or cost-reimbursement subcontracts), but it is not > > subject to the audit requirements of A-133. I would simply insert a clause in > > the subcontract saying that the subcontractor agrees to cooperate with an > > audit of subcontract related books and records required by your institution or > > the federal government, and that such audits may talke place at any time > > during period of performance or within three years after your institution's > > submission of it's final financial report. > > > > As a general matter (and I don;t know whether you prime award is a grant or a > > contract) you should make sure that the clauses and provisions you flow down > > are those designated for commercial organizations and not those for > > educational or non-profit organizations. > > > > Please feel free to contact directly if you have any questions about specific > > clauses. > > > > Steve > > > > Leah Bevan wrote: > > > > > I am working on a subcontract for a private company which will be issued > > > under a prime agreement with DOE. I understand that all the requirements > > > of the prime flow down to any subrecipient. We as the recipient of the > > > prime require subcontractors to provide us with annual audit reports. > > > > > > Since the subcontractor is a private company and not subject to audit they > > > of course do not want to provide a copy. Over the first budget period (two > > > years), their budget will be $1,118,890 which to me is substantial. > > > > > > Can anyone shine a little light for me? Is there policy/regulations or > > > anything in writing I can reference here dealing with small private > > > companies and audits? > > > > > > Thanks for any help, > > > Leah Bevan > > > Coordinator of Grants and Contracts > > > The University of Tulsa > > > 600 South College Avenue > > > Tulsa, Oklahoma 74104 > > > (918) 631-2883 > > > Fax: (918) 631-2073 > > > > > > ====================================================================== > > > Instructions on how to use the RESADM-L Mailing List, including > > > subscription information and a web-searchable archive, are available > > > via our web site at http://www.hrinet.org (click on "Listserv Lists") > > > ====================================================================== > > > > -- > > Stephen Erickson > > Director, Office of Research Administration > > Boston College > > McGuinn Hall 600 > > Chestnut Hill, MA 02467 > > Telephone: 617-552-3344 > > On-Campus Fax: 617-552-0747 > > Fax to My Computer: 413-895-8328 > > > > ====================================================================== > > Instructions on how to use the RESADM-L Mailing List, including > > subscription information and a web-searchable archive, are available > > via our web site at http://www.hrinet.org (click on "Listserv Lists") > > ====================================================================== > > -- > Nancy E. Stewart > Fiscal Administrator > Office of Grant and Contract Administration > 408 Goodell Building > University of Massachusetts > Amherst, MA 01003 > (413) 577-1591 > (413) 577-1595 FAX > http://www.umass.edu/research/ogca > > ====================================================================== > Instructions on how to use the RESADM-L Mailing List, including > subscription information and a web-searchable archive, are available > via our web site at http://www.hrinet.org (click on "Listserv Lists") > ====================================================================== -- Stephen Erickson Director, Office of Research Administration Boston College McGuinn Hall 600 Chestnut Hill, MA 02467 Telephone: 617-552-3344 On-Campus Fax: 617-552-0747 Fax to My Computer: 413-895-8328 ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ======================================================================
