After a decision is made that the use of quick closeout is appropriate, the contracting officer shall:
(a) Obtain a written agreement from the contractor to participate in the quick-closeout process under
FAR 42.708 for the selected contract(s).
(b) Require the contractor to submit a final voucher and a summary of all costs by cost element and fiscal year for the contract(s) in question, as well as a copy of the contractor's final indirect cost rate proposal for each fiscal year quick closeout is involved.
(c) Notify the cognizant audit activity in writing, identify the contract(s), and request: (1) the contractor's indirect cost history covering a sufficient number of fiscal years to see the trend of claimed, audit questioned, and disallowed costs; and (2) any other information that could impact the decision to use quick-closeout procedures. Indirect cost histories should be requested from the contractor only when the cognizant audit activity is unable to provide the information.
(d) Review the contract(s) for indirect cost rate ceilings and any other contract limitations, as well as the rate history information.
(e) Establish final indirect cost rates using one of the following rates:
(1) The contract's ceiling indirect cost rates, if applicable, and if less than paragraphs (e)(2) through (6) of this section.
(2) The contractor's claimed actual rates adjusted based on the contractor's indirect cost history, if less than paragraphs (e)(3) through (6) of this section.
(3) Recommended rates from the cognizant audit agency, the local pricing office, another installation pricing office, or other recognized knowledgeable source.
(4) The contractor's negotiated billing rates, if less than paragraphs (e)(5) or (6) of this section.
(5) The previous year's final rates.
(6) Final rates for another fiscal year closest to the period for which quick-closeout rates are being established.
(f) If an agreement is reached with the contractor, obtain a release of all claims and other applicable closing documents.
(g) For those contracts where the indirect cost rate negotiation function was delegated or falls under the cognizance of another agency, send a copy of the agreement to that office.
