Common use of Financial Records and Audit Access Clause in Contracts

Financial Records and Audit Access. The costs incurred under any Research Project Award shall be those costs that are reasonable and prudent. Actual costs, including those direct costs associated with the research project as well as any indirect costs are reimbursable to the extent they have a significant relationship to providing the goods or service under the research project award. The AO or authorized representative shall have direct access to sufficient financial records to ensure full accountability for all government funding or statutorily required cost share under any Research Project Award for a period of three (3) years after final payment, unless notified otherwise by the Agreements Officer. The Agreements Officer or authorized representative, shall have the right to examine or audit the Research Project Awardee, or subaward records during the period of the agreement and for three (3) years after final payment, unless otherwise notified by the CM. These records are also subject to examination or audit by the Government’s General Accountability Office (GAO). Such audit, examination, or access shall be performed during business hours on business days upon prior written notice and shall be subject to the security requirements of the audited Party. The Research Project Awardee shall provide a statement to the CM when a business unit meets the conditions for use of an Independent Public Accountant (other than pursuant to the Single Audit Act) for any needed audits. The statement shall include the business unit's name, address, expected value of its award, and state the business unit is not currently performing on a procurement contract subject to the Cost Principles (48 CFR Part 31) and/or Cost Accounting Standards (48 CFR Part 99) and refuses to accept Government access to its records.