Common use of Cost Accounting System Clause in Contracts

Cost Accounting System. In accordance with FAR 16.301-3(a)(1), contractors awarded cost-reimbursement task orders will be required to have and maintain an adequate cost accounting system determined adequate by their cognizant auditing agency. The contractor shall notify the appropriate OCO for ongoing task orders, in writing, if there are any changes in the status of their cost accounting system and provide the reason(s) for the change.