[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: 48CFR16.303]



[Page 310]

 

            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.