Fundamentals of FAR Compliance

CPE Credits: 1.5

Cost: $149

Knowledge Level: Basic

Pre-requisites/required knowledge: None

Field of Study: Accounting

Course Description: Don’t miss this recorded, web-based training where A/E Clarity President and instructor Dan Purvine will cover the fundamental requirements of FAR Part 31 and related regulations and guidance that you must meet in order to contract with state DOTs and local agencies. Course topics will include an overview of the FAR key cost principles, development of indirect cost rate schedules, and segregation of allowable and unallowable costs.

Dan will also discuss proper recording of direct and indirect costs, and critical internal controls that you need to support your FAR compliance and government contracting efforts.  The course will include a list of important steps that you can take to improve your systems and controls. A 10-question quiz will follow the training, which must be passed at a 70% rate or higher to earn the CPE credit.

Important Topics: Overview of key aspects of A/E firm contracting with state and local government agencies and relevant regulations and guidance; the components and overall organization of the indirect cost rate schedule; key cost principles under Federal Acquisition Regulation (FAR) Part 31; typical issues encountered in the areas of labor costing and compensation that affect the calculation of the indirect cost rate

Learning outcomes:

• Describe key differences between private sector and government contracting;
• List the components of cost proposals for A/E services to public sector agencies;
• Cite accounting principles and auditing standards relevant to A/E contracts;
• Differentiate between the FAR cost principles of allocability, reasonableness, and allowability;
• Provide examples of critical labor charging controls;
• Describe information A/E firms should provide to support allowability and reasonableness of compensation;
• Note cost areas at higher risk for unallowable costs;
• Explain the purposes of an indirect cost rate audit;
• Discuss where to find resources for additional information on these issues.

Intended Audience: A/E firm accounting staff, state and local government agency auditors, and CPA firm staff

Instructor: Dan Purvine

Most recent revision or review date: February 2025

Course expiration date: 30 days from the date of purchase

Delivery method: QAS ™ Self Study

Refunds, cancellations and complaints: For any issues concerning the purchase, content or administration of an A/E Clarity course, please visit our Administrative Policies page where you’ll find resolution options and contact information.