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                 Indirect Cost Proposals and Rate Negotiations


Most Tribal Governments benefit monetarily from the development of an annual indirect cost proposal and negotiation with the Federal Government of an indirect cost rate, which identifies the organizational oversight necessary to monitor and manage federally funded programs.


John Donham (Chairman, Founder) originally identified the errors by the Department of the Interior, Office of Inspector General, in violation of the 1988 "638" amendments, during the first indirect cost negotiation by the Ramah Navajo Chapter following the amendment. This discovery led to the well-known legal victory in the class action lawsuit initiated by Ramah that has resulted in millions of dollars awarded and paid to the members of that class action. John Donham was part of the five-member team that participated in all of the negotiating sessions with the Federal Government that led to the initial partial settlement.


DONHAM, CPA, LLC has provided formal training in indirect cost strategies to over 1,000 Tribal officials and Tribe staff and continues to be in the forefront on indirect cost issues.



"The parties assembled voluminous data and materials, largely from computer records maintained by OIG and written reports to Congress compiled by the BIA. Plaintiffs hired several accounting firms and each negotiation session was attended by the Class accounting and indirect costs expert, John O. Donham." (Excerpt from ruling in the Ramah Navajo Class Action Lawsuit)