Wayne State University

Aim Higher

Cost Accounting

This section prepares a variety of special cost studies and is responsible for monitoring University compliance with Federal costing requirements (primarily Circular A-21 and Cost Accounting Standards Board-CASB), along with overseeing the implementation of any changes necessary to comply with Federal requirements. The most important studies prepared are the Federal Indirect Cost Rate and Composite Fringe Benefit Rate Proposals.

A more specific list of the section's activities is as follows:

  • Planning, organizing, coordinating and preparing the University's Federal Indirect Cost Proposal.
     
  • Coordinating indirect cost accounting information requirements with other University departments (e.g. library cost study, space and equipment inventories). Involvement with the University's biennial space and equipment inventories to ensure their compliance with applicable Federal requirements.
     
  • Annual update of composite fringe benefit rates. Monitoring composite and actual fringe benefit expenses during the year.
     
  • Planning, organizing, coordinating and preparing the University's initial Cost Accounting Standards Board disclosure statement and establishing/maintaining a University system for remaining in on-going compliance with these requirements.
     
  • Monitoring existing and new activities, systems, policies and procedures to ensure compliance with present and future Federal cost accounting standards.
     
  • Reviewing, monitoring and where necessary, developing recharge rates for specialized service centers to ensure their compliance with Federal cost accounting standards.
     
  • Support all external auditor reviews (including the annual Circular A-133 audit) of overhead and fringe benefit composite rate proposals that are required.
     
  • Preparing other special cost analysis as required for financial reports or governmental agencies (i.e., periodic support of Medicare reimbursement activities).
     
  • Advise and train University staff regarding the Federal indirect cost rates and composite fringe benefit rates, along with how these rates are calculated and how they impact various University operations.