Rec. F: The DoD OIG recommended that the Defense Contract Management Agency Director take the following actions in a timely manner to ensure that (i) the cost accounting practice used by Pratt includes the actual cost of collaboration parts in the allocation base used to allocate material overhead costs to U.S. Government contracts in accordance with the rules and regulations established by the Cost Accounting Standards Board, and (ii) the U.S. Government recovers any increased costs paid to Pratt since 2005 resulting from the contractor's use of a cost accounting practice determined by the DCMA to be noncompliant with CAS 418 on June 5, 2006: 1. if legally required, make a second determination of compliance or noncompliance in accordance with FAR 30.605(b)(3)(ii); 2. if legally required, notify the contractor of this determination in accordance with FAR 30.605(b)(3)(iii); 3. make a determination of materiality in accordance with the requirements of FAR 30.605(b)(4); 4. in making the decision on materiality as required by FAR 30.605(b)(4), abide by the decision of the United States Court of Appeals for the Federal Circuit and, where Pratt argues that some portion of the revenue share payments represent payments for items other than parts, require that Pratt provide evidence that the revenue share payments included payments beyond that for the collaboration parts; 5. follow the procedures in paragraphs (c) through (h) of FAR 30.605 to correct the noncompliant cost accounting practice; 6. when evaluating a general dollar magnitude proposal (FAR 30.605(d)) or a detailed cost impact proposal (FAR 30.605(f)), abide by the decision of the Court and, where Pratt argues that some portion of the revenue share payments represent payments for items other than parts, require that Pratt provide evidence that the revenue share payments included payments beyond that for the collaboration parts; 7. obtain a legal counsel opinion regarding the applicability, if any, of the requirement in the Contracts Disputes Act that the government submit a claim to the contractor within 6 years after the accrual of the claim and how this may impact the U.S. Government's ability to recover any increased costs paid since 2005; and 8. provide semiannual updates to the DoD OIG Assistant Inspector General, Audit Policy & Oversight, until all recommendations have been implemented.