Page:United States Statutes at Large Volume 124.djvu/3814

124 STAT. 3788 PUBLIC LAW 111–350—JAN. 4, 2011 (17) Conventions. (c) ADDITIONAL REQUIREMENTS.— (1) WHEN QUESTIONED COSTS MAY BE RESOLVED.—The Federal Acquisition Regulation shall require that a contracting officer not resolve any questioned costs until the contracting officer has obtained— (A) adequate documentation of those costs; and (B) the opinion of the contract auditor on the allowability of those costs. (2) PRESENCE OF CONTRACT AUDITOR.—The Federal Acquisi- tion Regulation shall provide that, to the maximum extent practicable, a contract auditor be present at any negotiation or meeting with the contractor regarding a determination of the allowability of indirect costs of the contractor. (3) SETTLEMENT TO REFLECT AMOUNT OF INDIVIDUAL QUES- TIONED COSTS.—The Federal Acquisition Regulation shall require that all categories of costs designated in the report of a contract auditor as questioned with respect to a proposal for settlement be resolved in a manner so that the amount of the individual questioned costs that are paid will be reflected in the settlement. § 4306. Applicability of regulations to subcontractors The regulations referred to in sections 4304 and 4305(a) and (b) of this title shall require prime contractors of a covered contract, to the maximum extent practicable, to apply the provisions of those regulations to all subcontractors of the covered contract. § 4307. Contractor certification (a) CONTENT AND FORM.—A proposal for settlement of indirect costs applicable to a covered contract shall include a certification by an official of the contractor that, to the best of the certifying official’s knowledge and belief, all indirect costs included in the proposal are allowable. The certification shall be in a form pre- scribed in the Federal Acquisition Regulation. (b) WAIVER.—An executive agency may, in an exceptional case, waive the requirement for certification under subsection (a) in the case of a contract if the agency— (1) determines that it would be in the interest of the Federal Government to waive the certification; and (2) states in writing the reasons for the determination and makes the determination available to the public. § 4308. Penalties for submission of cost known to be unallow- able The submission to an executive agency of a proposal for settle- ment of costs for any period after those costs have been accrued that includes a cost that is expressly specified by statute or regula- tion as being unallowable, with the knowledge that the cost is unallowable, is subject to section 287 of title 18 and section 3729 of title 31. § 4309. Burden of proof on contractor In a proceeding before a board of contract appeals, the United States Court of Federal Claims, or any other Federal court in which the reasonableness of indirect costs for which a contractor seeks reimbursement from the Federal Government is in issue,