[Code of Federal Regulations]
[Title 48, Volume 1]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR16.303]

[Page 299]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 16_TYPES OF CONTRACTS--Table of Contents
 
                Subpart 16.3_Cost-Reimbursement Contracts
 
Sec.  16.303  Cost-sharing contracts.

    (a) Description. A cost-sharing contract is a cost-reimbursement 
contract in which the contractor receives no fee and is reimbursed only 
for an agreed-upon portion of its allowable costs.
    (b) Application. A cost-sharing contract may be used when the 
contractor agrees to absorb a portion of the costs, in the expectation 
of substantial compensating benefits.
    (c) Limitations. See 16.301-3.