140.907—Overhead and indirect construction costs.
(a)
A State may elect to reimburse the railroad company for its overhead and indirect construction costs.
(1)
The costs are distributed to all applicable work orders and other functions on an equitable and uniform basis in accordance with generally accepted accounting principles;
(3)
The costs are eligible in accordance with the Federal Acquisition Regulation (48 CFR), part 31, Contract Cost Principles and Procedures, relating to contracts with commercial organizations;
(5)
Records are readily available at a single location which adequately support the costs included in the distribution, the method used for distributing the costs, and the basis for determining additive rates;
(6)
The rates are adjusted at least annually taking into consideration any overrecovery or underrecovery of costs; and
(7)
The railroad maintains written procedures which assure proper control and distribution of the overhead and indirect construction costs.