Sorry for setting off such a firestorm ...really expected this to be any easy question and answer, and just looking for clarification. The contract was PROPOSED using labor categories AT hourly rates for computation of total costs. The Contract does not stipulate hourly rates/labor categories for billing only outlines total costs in a whole dollar amount and fixed fee in a whole dollar amount. However, rates/labor categories/hours are required in a monthly financial report prepared for the customer. Again, I will try to make it clearer what I am trying to ask ... an employee is salary exempt at $1600 per week ... during a standard work week he will record 40 hours to the contract and the contract is charged the $1600 (basically $40 per hour) .... what if he works 60 hours in the week? is that contract charged the same $1600 and he records the 60 hours (basically $26.67 per hour)? or based upon our proposal which outlined a cost of $45 per hour for his labor category, is it the 60 hours at the $45 rate? We have a new DCAA auditor, and now a new COR, of which neither give guidance that is the same. Historically, we would charge the contract $1600 for 40 hours based upon the actual costs due to the Cost plus nature of the contract.
Hope I was clearer ...