The following describes SCDOT's requirements for annual submissions by A/E Consultants. All consultants and subconsultants with active contracts or proposing to provide engineering and design related services (as defined in 23 U.S.C. §112(b)(2)(A), 23 CFR §172.3, 40 U.S.C. §1102 and state laws and regulations) for Federal-aid projects to SCDOT and its sub-recipients must submit the following information for review by the SCDOT Office of Contract Assurance (OCA):
- A complete AASHTO Internal Control Questionnaire for Consulting Engineers
Supporting documents requested throughout must be submitted to be considered complete.
- Audited, reviewed, compiled, or internally prepared FAR compliant Schedule of Indirect Costs (Firms who perform $500,000 or greater on SCDOT contracts for the previous calendar year must provide a Schedule of Indirect Costs that has been audited by an independent CPA, a federal agency, or another State DOT). See SCDOT Policy for Architectural & Engineering Contractor Indirect Cost Rate Approval Memorandum issued December 20, 2022, below under "Related Documents".
(Please also include an Excel copy of the Schedule of Indirect Costs)
- Indirect Cost Certification
(**Fillable Form. Download and complete with Adobe Reader)(**Image box at top of form for Company Letterhead/Logo - optional)
- Copies of cognizant or acceptance letters from other State DOTs and/or provisional billing rates approved by the DCAA
- Executive Compensation Analysis
- Audited, reviewed, compiled, or internally-prepared financial statements.
- Trial Balance (If Schedule of Indirect Costs is unaudited)
- Current Chart of Accounts
- Sample Timesheets
- Written policies and Procedures, as indicated in ICQ questions B.3, D.1, & I.1.b. (Provide all policies/procedures updated after December 31, 2020.)
Firms that have never received an approved indirect cost rate by a cognizant agency or do not have relevant or sufficient contract cost history to use as a base may apply for the SCDOT Safe Harbor indirect cost rate of 110% for use on projects until the firm has developed sufficient cost history to develop its own FAR compliant indirect cost rate. Firms applying for the Safe Harbor rate must meet established criteria, as provided by the OCA. The expectation for firms approved for the Safe Harbor rate will be for the firm to establish a cost history for the eventual development of an indirect cost rate based on the actual costs of the firm and in accordance with federal cost principles. Contact the OCA at 803-737-237 for information on the Safe Harbor indirect cost rate.
Required information should be submitted as soon as it is available, but no later than 180 days after the end of the firm's fiscal year:
Upload documents electronically: Document Submission Form.
Using this option sends the files to a secure location accessible only to the Office of Contract Assurance by password.
- Or mail to:
- SC Department of Transportation
- Office of Contract Assurance, Room 108
- P.O. Box 191
- Columbia, SC 29202-0191
Firms with Certified Indirect Cost Rates:
The firms listed in the report below are in compliance with SCDOT Policy for Architectural & Engineering Contractor Indirect Cost Rate Approval Memorandum issued December 20,2022, concerning indirect cost rates. This list will be updated regularly. Firms are not added to the list until their certified overhead is approved by the SCDOT Contract Assurance Office.
Firms with Certified Indirect Cost Rates (Posted 04/12/2023)
"A cost is allowable only when the cost complies with all of the following requirements"
- SCDOT PPP Guidance for A-E Firms
- SCDOT - Consultant PPP Loan Forgiveness Certification
- FHWA Memo-HCFB-30 Treatment of PPP Funds for AE Consultants
- SCDOT Policy for Architectural & Engineering Contractor Indirect Cost Rate Approval Memorandum
- AASHTO Uniform Audit and Accounting Guide (External)
(The link to the AASHTO bookstore is to download/purchase the 2016 Uniform Audit & Accounting Guide. It is free to download for members; however it is $13.00 for non-members.)
- AASHTO Internal Control Questionnaire (ICQ)
- AASHTO CPA Work Paper Review Program
- 2022 National Compensation Matrix
(to be used with 2021 data)
National Compensation Matrix Tool
NCM position descriptions
Sample NCM Compliance Worksheet
Includes links to:
- FHWA Order 4470.1A dated October 27, 2010
- AASHTO Internal/External Audit Subcommittee Website
- Audit Community Directory (Updated January, 2021)
- 23 CFR 172, Administration of Engineering and Design Related Services (Electronic Code of Federal Regulations)
- Procurement, Management, and Administration of Engineering and Design Related Services - Questions & Answers
- Federal Acquisition Regulations (FAR)