---
kind: "section"
citation: "2 C.F.R. § 2900.3"
title: "2"
number: "2900.3"
heading: "Questioned cost."
url: "https://uscodex.org/cfr/2/2900.3"
---

# §2900.3. Questioned cost.


In the DOL, in addition to the guidance contained in [2 CFR 200.1](/cfr/2/200.1.md), a questioned cost means a cost that is questioned by an auditor, Federal Project Officer, Grant Officer, or other authorized Awarding agency representative because of an audit or monitoring finding:

- (a) Which resulted from a violation or possible violation of a statute, regulation, or the terms and conditions of a Federal award, including for funds used to match Federal funds;
- (b) Where the costs, at the time of the audit, are not supported by adequate documentation; or
- (c) Where the costs incurred appear unreasonable and do not reflect the actions a prudent person would take in the circumstances.
- (d) Questioned costs are not an improper payment until reviewed and confirmed to be improper as defined in OMB Circular A-123 Appendix C (see also the definition of improper payment in [2 CFR 200.1](/cfr/2/200.1.md)).

## Notes

### Amendments

[79 FR 76081, Dec. 19, 2014, as amended at 80 FR 81440, Dec. 30, 2015; 86 FR 22108, Apr. 27, 2021]

### Authority

Authority: 5 U.S.C. 301; 2 CFR 200.

### Source

Source: 79 FR 76081, Dec. 19, 2014, unless otherwise noted.

### Amendments

[79 FR 76081, Dec. 19, 2014, as amended at 80 FR 81440, Dec. 30, 2015; 86 FR 22108, Apr. 27, 2021]