A government authority in Austin, Texas is seeking a vendor to develop and implement cost allocation plan services. The scope includes preparing a fixed cost allocation plan and using the calculated costs to develop, submit, and secure approval for claims based on those figures. The project involves identifying and allocating statewide administrative overhead costs not included in the Federal Statewide Cost Allocation Plan but considered legitimate indirect costs. Federal regulations restrict certain types of costs, such as legislative costs, tax and fee collection costs, and other specified expenses, which must be excluded from the plan.

The vendor will be responsible for identifying indirect costs for fee setting, revenue maximization, internal service costs, and other non-federal grant activities. The state requires the development of additional full cost allocation plans using comprehensive cost concepts. The plan must identify the costs of providing statewide support services to each state agency, allocate an appropriate portion of the total support costs to each agency, specify federally reimbursable indirect costs in each allocation, and establish billing procedures to ensure correct invoicing for allocated costs not otherwise payable under state law. The contract is set for a three-year duration.