Approval of Accounting System

Except with respect to firm fixed-price contracts, no contract type shall be used unless it has been determined in writing by the Chief Procurement Officer, the Director of Public Works, the head of a Purchasing Agency, or a designee of any such officer that: (a) the proposed contractor’s accounting system will permit timely development of all necessary cost data in the form required by the specific contract type contemplated; and (b) the proposed contractor’s accounting system is adequate to allocate costs in accordance with generally accepted accounting principles. SOURCE: GC § 6962.1. MPC § 3-502.