When determining how to charge appropriate costs against a contract, FAR part 31 provides guidance on what to consider. Specifically, costs are allowable to the extent they are reasonable, allocable, and determined to be allowable under FAR 31.201, 31.202, 31.203, and 31.205. Additionally,
FAR 31.201-2(d) states that "A contractor is responsible for accounting for costs appropriately and for maintaining records, including supporting documentation, adequate to demonstrate that costs claimed have been incurred, are allocable to the contract, and comply with applicable cost principles in this subpart and agency supplements. The contracting officer may disallow all or part of a claimed cost that is inadequately supported." So with these principles in mind as well as utilizing the rest of FAR part 31, I do not believe it would be appropriate to split the travel and labor costs across two different contracts since it violates the principles of allocability. And based on whether the contract falls under Cost Accounting Standards (CAS), it likely also violates those principles, as well as generally accepted accounting principles the company must follow in recording costs against different contracts.