Subcontract Consent Audit

Scope

Reviews the proposed subcontract price, the prime contractor's evaluation of the subcontractor's proposal, competition or sole-source justification, cost or pricing data certifications, and flow-down of applicable FAR/DFARS clauses. May also assess the subcontractor's cost estimating methodology and business systems if the subcontract is significant.

Frequency

Triggered by individual subcontract actions that exceed the consent threshold established in the prime contract. The threshold depends on whether the prime contractor has an approved purchasing system (higher threshold) or not (lower threshold, typically $150,000 for fixed-price, any amount for cost-type).

What to Expect

Auditors review the subcontractor's proposal, the prime contractor's price analysis documentation, and supporting cost data. They may request additional information from the subcontractor. The audit report provides a recommended position on the subcontract price for the contracting officer's use in the consent decision. Timing depends on subcontract complexity.

Key Documents

• Subcontractor cost or pricing proposal
• Prime contractor price analysis or cost analysis
• Subcontract consent request package
• Competition documentation or sole-source justification
• Flow-down clause checklist
• Certificate of Current Cost or Pricing Data (if applicable)

Other pre-award Audits

Other DCAA Audit Types