[Code of Federal Regulations]
[Title 10, Volume 4]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 10CFR605.15]

[Page 181]
 
                            TITLE 10--ENERGY
 
               CHAPTER II--DEPARTMENT OF ENERGY--CONTINUED
 
PART 605--THE OFFICE OF ENERGY RESEARCH FINANCIAL ASSISTANCE PROGRAM--Table of Contents
 
Sec. 605.15  Fee.

    (a) Notwithstanding 10 CFR part 600, a fee may be paid, in 
appropriate circumstances, to a recipient which is a small business 
concern as qualified under the criteria and size standards of 13 CFR 
part 121 in order to permit the concern to participate in the ER 
Financial Assistance Program. Whether or not it is appropriate to pay a 
fee shall be determined by the Contracting Officer who shall, at a 
minimum, apply the following guidelines:
    (1) Whether the acceptance of an award will displace other work the 
small business is currently engaged in or committed to assume in the 
near future; or
    (2) Whether the acceptance of an award will, in the absence of 
paying a fee, cause substantial financial distress to the business. In 
evaluating financial distress, the Contracting Officer shall balance 
current displacement against reasonable future benefit to the company. 
(If the award will result in the beneficial expansion of the existing 
business base of the company, then no fee would generally be 
appropriate.) Fees shall not be paid to other entities except as a 
deviation from 10 CFR part 600, nor shall fees be paid under awards in 
support of conferences.
    (b) To request a fee, a small business concern shall submit with its 
application a written self certification that it is a small business 
concern qualified under the criteria and size standards in 13 CFR part 
121. In addition, the application must state the amount of fee requested 
for the entire project period and the basis for requesting the amount, 
and must also state why payment of a fee by DOE would be appropriate.
    (c) If the Contracting Officer determines that payment of a fee is 
appropriate under paragraph (a) of this section, the amount of fee shall 
be that determined to be reasonable by the Contracting Officer. The 
Contracting Officer shall, at a minimum, apply the following guidelines 
in determining the fee amount:
    (1) The fee base shall include the estimated allowable cost of 
direct salaries and wages and allocable fringe benefits. This fee base 
shall exclude all other direct and indirect costs.
    (2) The fee amount expressed as a percentage of the appropriate fee 
base pursuant to paragraph (c)(1) of this section, shall not exceed the 
percentage rate of fee that would result if a Federal agency contracted 
for the same amount of salaries, wages, and allocable fringe benefits 
under a cost reimbursement contract.
    (3) Fee amounts, determined pursuant to paragraphs (c)(1) and (c)(2) 
of this section, shall be appropriately reduced when:
    (i) Advance payments are provided; and/or
    (ii) Title to property acquired with DOE funds vests in the 
recipient (10 CFR part 600).
    (d) Notwithstanding 10 CFR part 600, any fee awarded shall be a 
fixed fee and shall be payable on an annual basis in proportion to the 
work completed, as determined by the Contracting Officer, upon 
satisfactory submission and acceptance by DOE of the progress report. If 
the project period is shortened due to termination, or the project 
period is not fully funded, the fee shall be reduced by an appropriate 
amount.