Brown Schultz Sheridan & Fritz (BSSF) performs Federal Acquisition Regulation (FAR) audits for engineering firms doing business with various state Departments of Transportation (DOTs). The American Association of State Highway and Transportation Officials (AASHTO) has produced a Uniform Audit & Accounting Guide which governs these FAR audits. All state DOTs should be abiding by the terms of the Guide, which details requirements for engineering firms, CPA firms performing FAR audits, and state DOTs reviewing CPA workpapers to provide a cognizant agency approval of the engineering firm’s indirect cost rate.
Recently, Pennsylvania has been reperforming the audit work of CPAs for some engineering firms, rather than reviewing workpapers and relying on the CPA audit work as outlined in the Uniform Audit & Accounting Guide. This has created additional time constraints, expense, and frustration for engineering firms.
BSSF and the American Council of Engineering Companies (ACEC) of PA have been working with the Pennsylvania Bureau of Audits to resolve this situation. We will keep you updated on our progress
ABOUT THE AUTHOR
Robert A. Abel, CPA
Bob is a Principal and Shareholder of Brown Schultz Sheridan & Fritz. He works out of both offices, giving him better access to the Central PA region of Harrisburg, Lancaster, and York. Bob provides tax, audit, and consulting services to his clients and specializes in assisting privately owned businesses achieve their success.