{"data":{"id":"us/48-cfr-16.301-3","jurisdiction":"us","citation":"48 CFR 16.301-3","heading":"16.301-3 Limitations.","body":"(a) A cost-reimbursement contract may be used only when—\n(1) The factors in 16.104 have been considered;\n(2) A written acquisition plan has been approved and signed at least one level above the contracting officer;\n(3) The contractor's accounting system is adequate for determining costs applicable to the contract or order; and\n(4) Prior to award of the contract or order, adequate Government resources are available to award and manage a contract other than firm-fixed-priced (see 7.104(e)). This includes appropriate Government surveillance during performance in accordance with 1.602-2, to provide reasonable assurance that efficient methods and effective cost controls are used.\n(b) The use of cost-reimbursement contracts is prohibited for the acquisition of commercial products and commercial services (see parts 2 and 12).","path":["Title 48—Federal Acquisition Regulations System","CHAPTER 1—FEDERAL ACQUISITION REGULATION","SUBCHAPTER C—CONTRACTING METHODS AND CONTRACT TYPES","PART 16—TYPES OF CONTRACTS","Subpart 16.3—Cost-Reimbursement Contracts"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-48.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:26:29Z","sha256":"c11392fbaedff42b2ca8185bbf3c2b5cc6bfa867541fc0fd86511ac3b551fadb","source_id":"us-cfr","stale":true,"prev":"us/48-cfr-16.301-2","next":"us/48-cfr-16.302"},"notice":"GroundRules: Original legal text. Not legal advice."}