[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR16.102]



[Page 303]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 16_TYPES OF CONTRACTS--Table of Contents

 

                  Subpart 16.1_Selecting Contract Types

 

Sec. 16.102  Policies.



    (a) Contracts resulting from sealed bidding shall be firm-fixed-

price contracts or fixed-price contracts with economic price adjustment.

    (b) Contracts negotiated under part 15 may be of any type or 

combination of types that will promote the Government's interest, except 

as restricted in this part (see 10 U.S.C. 2306(a) and 41 U.S.C. 254(a)). 

Contract types not described in this regulation shall not be used, 

except as a deviation under subpart 1.4.

    (c) The cost-plus-a-percentage-of-cost system of contracting shall 

not be used (see 10 U.S.C. 2306(a) and 41 U.S.C. 254(b)). Prime 

contracts (including letter contracts) other than firm-fixed-price 

contracts shall, by an appropriate clause, prohibit cost- plus-a-

percentage-of-cost subcontracts (see clauses prescribed in subpart 44.2 

for cost-reimbursement contracts and subparts 16.2 and 16.4 for fixed-

price contracts).

    (d) No contract may be awarded before the execution of any 

determination and findings (D&F's) required by this part. Minimum 

requirements for the content of D&F's required by this part are 

specified in 1.704.



[48 FR 42219, Sept. 19, 1983, as amended at 50 FR 1741, Jan. 11, 1985; 

50 FR 52429, Dec. 23, 1985]