56744

General Dynamics

November 3, 2011Judge Peacock
Denied / Government PrevailedCost Accounting Standards (CAS)CDA JurisdictionDCAA InvolvedDCMA InvolvedCAS at Issue

General Dynamics Corporation sought reconsideration of an ASBCA decision determining that its use of intra-year pension fund returns violated CAS 412. The Board corrected its prior description of the contracting officer's determination and denied General Dynamics's requests to remand cost impact and stay the noncompliance decision.

Material Facts

  • The ACO's 17 November 2008 final determination stated that General Dynamics was not in compliance with CAS 412 and directed it to cease using intra-year returns.
  • The ACO requested that General Dynamics submit a cost impact proposal in accordance with FAR 52.230-6.
  • The ACO's final determination contained no government estimate of the cost impact of the noncompliance.
  • A DCAA audit report estimated additional government costs during the disputed periods covering September 2004 through 2009.
  • General Dynamics submitted its estimate of the cost impact to the ACO on 16 January 2009.
  • The record did not disclose further action by either party regarding General Dynamics's cost impact submission.
  • The underlying appeal concerned whether the government's determination of CAS 412 noncompliance was proper.

Parties

Appellant
General Dynamics Corporation
Respondent Agency
Defense Contract Management Agency
Contract Number
N0042I-05-C-0 11 0; W52H09-09-C-0012
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