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Federal Transit Administration
Financial Management Oversight Seminar 2005

Page 158 - FTA Circular 4220.1E

Cost Analysis

Grantee must perform a cost or price analysis in connection with every procurement action including contract modification.

...as a starting point, grantees must make independent estimates before receiving bids or proposals.

A cost analysis shall be performed when...

Unless...
Price reasonableness can be established on the basis of a catalog or market price of a commercial product sold in substantial quantities to the general public or on the basis of prices set by law or regulation


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2005 - Federal Transit Administration