DCAA Problems Aren’t About Fraud, They’re About Documentation

In this episode of GovCon Unscripted, Chelsea Roberts sits down with Jeff Shapiro, Partner at CohnReznick, to unpack what DCAA audits actually focus on and what contractors often get wrong.Jeff explains why materiality matters more than penny-level perfection, how audit risk really shows up in cost-reimbursable contracts, and why “follow the funding” is one of the most dangerous habits in government accounting. They also dig into LPTA risk, soft fraud in time charging, and why commercial companies struggle when they enter cost-based contracting.This episode is essential listening for contractors navigating DCAA audits, cost allocation, commercial-to-government transitions, and compliance culture.Timestamps:01:12 – Jeff Shapiro’s GovCon background05:48 – What DCAA actually does12:06 – The 3-cent check story14:42 – Why materiality matters22:10 – Proposal costs vs. contract scope32:18 – “Follow the funding” risksResources:Jeff Shapiro's LinkedIn pageCohnReznick GovCon ResourcesChelsea Roberts's LinkedIn page🎧 Listen now on:🔹 Apple: https://podcasts.apple.com/us/podcast/govcon-unscripted/id1766384482🔹 Spotify: https://open.spotify.com/show/1NL0kFAvmgECLTJpUZYNHyLike and follow us:🔹 YouTube: https://www.youtube.com/@GovConUnscriptedUS🔹 Facebook: https://www.facebook.com/govconunscriptedpodcast/🔹 LinkedIn: https://www.linkedin.com/showcase/govcon-unscripted/posts/Join our #govcon #community:https://www.linkedin.com/groups/14618490/New to GovCon? Here’s a guide for you:https://share.hsforms.com/288nO18bsRCCmdJZL66pClwbzmvx21 AI Prompts to Supercharge Your GovCon BD Engine:https://collaborativecompositions.com/21-ai-prompts-to-supercharge-your-govcon-bd-engine/