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§140.907. Overhead and indirect construction costs.

23 C.F.R. § 140.907

(a)
A State may elect to reimburse the railroad company for its overhead and indirect construction costs.
(b)
The FHWA will participate in these costs provided that:
(1)
The costs are distributed to all applicable work orders and other functions on an equitable and uniform basis in accordance with generally accepted accounting principles;
(2)
The costs included in the distribution are limited to costs actually incurred by the railroad;
(3)
The costs are eligible in accordance with the Federal Acquisition Regulation (48 CFR), part 31, Contract Cost Principles and Procedures, relating to contracts with commercial organizations;
(4)
The costs are considered reasonable;
(5)
Records are readily available at a single location which adequately support the costs included in the distribution, the method used for distributing the costs, and the basis for determining additive rates;
(6)
The rates are adjusted at least annually taking into consideration any overrecovery or underrecovery of costs; and
(7)
The railroad maintains written procedures which assure proper control and distribution of the overhead and indirect construction costs.
Notes, amendments, and revision history

Amendments

[53 FR 18276, May 23, 1988]

Source

Source: 40 FR 16057, Apr. 9, 1975, unless otherwise noted.

Authority

Authority: 23 U.S.C. 101(e), 106, 109(e), 114(a), 120(g), 121, 122, 130, and 315; and 49 CFR 1.48(b).

Amendments

[53 FR 18276, May 23, 1988]