PNWC's Government Contracting Update

Government Looses Another “Expressly Unallowable” Case

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Luna Innovations, a Defense contractor, appealed to the ASBCA (Armed Services Board of Contract Appeals) a final decision from the DCMA (Defense Contract Management Agency) contracting officer determining that (i) Luna had included unallowable employee stock option costs in its final indirect rate proposal and (ii) the inclusion of those stock options represented expressly unallowable costs and therefore subject to penalties.

SOURCE: Government Looses Another “Expressly Unallowable” Case

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