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The Office of Management and Budget (OMB) has issued a final rule that raises the monetary thresholds for the Cost Accounting Standards (CAS) program. CAS is a set of rules that large companies must follow when they have certain types of contracts with the federal government. These rules ensure that companies account for costs consistently so the government isn’t overcharged.

Why it matters: This is primarily an administrative update designed to reduce the paperwork and compliance costs for contractors working on smaller federal projects.

Who it affects

  • Large companies that contract with the federal government

This is a final rule from the Office of Management and Budget; readers should consult the Federal Register for the specific new dollar amounts and technical details.

Agency: Management and Budget Office, Federal Procurement Policy Office
Source: Federal Register — read the official document

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