The Contractor Business Data Report (1921-3) is the Department of Defense (DoD) system for collecting costs and hours at the business unit level in terms of the contractor’s own proposed categories. The 1921-3 assists the development of independent Government cost estimates in support of cost and price analyses and contract negotiations. The 1921-3 provides the basis for assessment of a contractor’s overhead cost status during the progress of a contract in the context of the overall incurrence posture rather than just expressed as a non-specific rate of some base. The 1921-3 also identifies contractor effort by the top ten DoD programs.

The upcoming 1921-3 submission may be submitted in contractor format (see memo below signed by the Deputy Director, Cost Assessment). Contractors have the choice to submit either to:

  1. Existing guidance (see DI-FNCL-81765B at http://cade.osd.mil/policy/DIDs/)
  2. DRAFT guidance (see attachments below)

While the existing 1921-3 requires strictly formatted data and necessitates mappings to a government standard, the new DRAFT 1921-3 may be submitted in the contractor’s own format and according to the contractor’s own rate structure, so long as it meets the data requirements in the below DRAFT 1921-3 Data Item Description (DID). The “Sample Format,” also below, is not a required format but may serve as a starting point for developing a tailored report.

Contractors electing to submit according to the DRAFT 1921-3 requirements may contact the DCARC to request an extension to their submission date. Contractors electing to submit according to the existing DID must submit within 60 days subsequent to the end of the contractor’s fiscal year.

Contractors are recommended to investigate submitting to the DRAFT 1921-3, reach out to the Defense Cost and Resources Center (DCARC) if any questions or difficulties arise, and inform their cost and pricing contacts in the Defense Contract Management Agency (DCMA).