Overview
The Consultant
Financial Report (CFR) facilitates the establishment of an indirect cost (overhead)
rate and provides information used during contract negotiation and subsequent
audit processes.
Firms on the Roster
of Eligible Engineering Consultants (Roster), or with contract provisions that require an
annual submittal, must submit their CFR to the
Department within five months of the end of the consultant’s fiscal year.
Firms not on the Roster must submit a Consultant
Financial Report using the most recent financial information available before
being added to the Roster. The CFR may also be required for
consultants who are not on the Roster as a condition of selection. Firms should contact the Audit Supervisor
at DOTExternalAudit@dot.wi.gov to determine if financial information is needed.
Failure to file the
CFR, or filing of an inaccurate or incomplete CFR will
result in the consultant being ineligible for selection until accurate and complete information is provided.
Submittal of Forms
The CFR submittal is
performed in Masterworks. Mailed or emailed submissions are not accepted. The WisDOT CFR Instructions
includes directions for creating the CFR and submitting it
in Masterworks. Additional information about Masterworks is available.
Firms that desire a
cognizant acceptance of their CPA audited indirect cost rate should contact the
Audit Supervisor at DOTExternalAudit@dot.wi.gov prior to engagement
for scheduling and other items.
Resources and Contacts
Paycheck Protection Program Credits
Consultant firms that received Paycheck Protection Program loans may have to provide credit to WisDOT when the loans are forgiven. The calculation and application of credits is explained in the following documents:
Startup Firms
New firms (does not include firms created as the result of a merger/acquisition/spin-off of existing firms) should submit the CFR based on pro forma rather than historical data. Firms whose historical data does not represent a complete year of full operation may request permission to use pro forma data for an additional year after startup. Contact the Audit Supervisor at
DOTExternalAudit@dot.wi.gov for assistance.
Firms with Changes in Entity
Firms whose entity changes due to merger, acquisition or spin-off of significant business segments or subsidiaries must submit a CFR within 90 days after the new entity is formed. The report must be based on historical financial information of the entities affected by the transaction resulting in the change. New entities created through a merger or spin-off should use historical financial information of predecessor entities as the basis of pro forma information in the CFR.
When an entity contracting with WisDOT is acquired by another entity, the acquiring entity must submit a CFR for the acquiring entity to be eligible for selection.
When gross revenues of an acquired or spin-off entity exceed 25% of gross revenues of the acquiring/surviving entity, the firm must submit a revised CFR reflecting indirect cost and accounting disclosures of the surviving entity within 90 days of the closing of the applicable acquisition/spin-off transaction.
Acceptance
Firms will receive an email notification when their CFR has been accepted. Firms may then use the rates submitted on the CFR on WisDOT contract proposals and invoicing on existing contracts.
Only firms receiving formal notification of acceptance may use their submitted rate.
Indirect cost rates submitted on CFRs are considered unaudited and are subject to review upon contract submittal.