Indirect Cost and Legal Billing Rate Consulting Services

The Vendor is required to provide that professional consultants with documented expertise and experience in the field of indirect cost recovery and cost allocation plans for governmental units submit proposals to prepare an indirect cost allocation plan for state fiscal year 2027 (“fy27”) and for state fiscal year 2028 (“fy28”), based on actual expenditures as presented in the office annual financial report (AFR) for the respective period, resulting in federally approved fixed state fiscal year 2025 (“fy25”) and state fiscal year 2026 (“fy26”) indirect cost allocation rates, respectively, and to analyze and update standardized billing rates for legal services provided by the office.
- Indirect Cost Allocation Plans 
• Consultant will prepare an indirect cost allocation plan based upon actual expenditures as presented in the office AFR for fy25 and resulting in federally approved fixed fy27 indirect cost allocation rates. 
• Additionally, consultant will prepare an indirect cost allocation plan based upon actual expenditures as presented in the office AFR for fy26 and resulting in federally approved fixed fy28 indirect cost allocation rates.
- Planning 
• Consultant shall plan for the review of the methodologies, rates and obtain the necessary information, raw cost data, and statistical data necessary to identify allocable costs for evaluating, preparing, submitting and negotiating the final Indirect Cost Allocation Plans.
- Prepare Indirect Cost Allocation Plans
• Identify the sources of financial information;
• Inventory all federal and other programs administered by the office;
• Classify all office divisions;
• Determine administrative divisions;
• Determine allocation bases for allotting services to benefitting divisions;
• Develop allocation data for each allocation base;
• Prepare allocation worksheets based upon actual FY25 and FY26 expenditures which reconcile to the office AFR for the respective period;
• Summarize costs by benefitting division;
• Collect cost data for all of the programs included in the inventory of federal and other programs administered by the office;
• Determine indirect cost rates throughout the office on an annual basis;
• Acquire and include information on costs billed or allocated internally to programs and funding sources.
- Legal Billing
• Consultant will prepare FY27 billing rates for legal services and reconcile FY25 legal billing rates with actual costs of legal services. 
• In addition, Consultant will prepare FY28 billing rates for legal services and reconcile FY26 legal billing rates with actual costs of legal services.
• The billing rates for legal services will be used to directly bill state agencies and other users of the legal services of the office.
- Planning
• Consultant shall plan for the review of the methodologies, rates and obtain the necessary information, raw cost data, and statistical data necessary to reconcile the existing rates with actual costs and to prepare an updated report regarding the standardized Legal Billing Rates.
- Reconcile Legal Billing Rates with Actual Costs
• Reviewing current criteria used by the office for charging various agencies;
• Determine the types of legal services provided to the agencies;
• Compile direct hours for each type of service;
• Determine effort reporting requirements;
• Reexamine billing rate options;
• Determine the actual cost of services;
• Analyze and confirm revenues and cost analyses;
• Prepare and present a draft legal services billing schedule for fy25 actual costs and legal billing rates to be used in fy27 (based on fy25 actual costs including roll forward adjustments) to the office no later than June 15, 2026 and present a draft legal services billing schedule for fy26 actual costs and legal billing rates to be used in fy28 (based on fy26 actual costs including roll forward adjustments) to the office no later than June 15, 2027; and,
• Formalize the fy27 legal services billing schedule no later than July 29, 2026 and formalize the fy28 legal services billing schedule no later than July 31, 2027.
- Contract Period/Term: 3 years
- Questions/Inquires Deadline: July 3, 2025