[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: 48CFR16.305]

[Page 300]
 
            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.  16.305  Cost-plus-award-fee contracts.

    A cost-plus-award-fee contract is a cost-reimbursement contract that 
provides for a fee consisting of (a) a base amount (which may be zero) 
fixed at inception of the contract and (b) an award amount, based upon a 
judgmental evaluation by the Government, sufficient to provide 
motivation for excellence in contract performance. Cost-plus-award-fee 
contracts are covered in subpart 16.4, Incentive Contracts. See 16.405-2 
for a more complete description and discussion of application of these 
contracts. See 16.301-3 and 16.405-2(c) for limitations.

[48 FR 42219, Sept. 19, 1983, as amended at 62 FR 12695, Mar. 17, 1997]