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e-CFR data is current as of February 25, 2021

Title 48Chapter 1Subchapter CPart 16Subpart 16.4 → §16.405-2


Title 48: Federal Acquisition Regulations System
PART 16—TYPES OF CONTRACTS
Subpart 16.4—Incentive Contracts


16.405-2   Cost-plus-award-fee contracts.

A cost-plus-award-fee contract is a cost-reimbursement contract that provides for a fee consisting of (1) a base amount fixed at inception of the contract, if applicable and at the discretion of the contracting officer, and (2) an award amount that the contractor may earn in whole or in part during performance and that is sufficient to provide motivation for excellence in the areas of cost, schedule, and technical performance. See 16.401(e) for the requirements relative to utilizing this contract type.

[74 FR 52859, Oct. 14, 2009]

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