Federal Aviation Administration Research Engineering And Development Fiscal Ye
Federal Aviation Administration Research Engineering And Development Fiscal Ye
Zation20and20management20reform203a20hearing
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2. 1 APPLICABILITY The FAA cost principles and procedures shall be used in price negotiated supply, service, experimental, developmental, and research contracts and contract modifications with commercial organizations whenever cost analysis is performed. In addition, the CO shall incorporate the FAA cost principles and procedures in contracts with commercial organizations as the basis for: • determining reimbursable costs under (i) cost-reimbursement contracts and cost- reimbursement subcontrac...ts under these contracts performed by commercial organizations and (ii) the cost-reimbursement portion of time-and-materials contracts except when material is priced on a basis other than at cost; • Negotiating indirect cost rates, when: • FAA has division or corporate contract administration responsibilities; • quick close-out procedures are used; or Page 3-30 FAA Acquisition Management System April 1, 1996 102 • indirect rate caps are negotiated in the contract; • proposing, negotiating, or determining costs under terminated contracts; • price revision of fixed-price incentive contracts; • price redetermination of price redetermination contracts; and • pricing changes and other contract modifications.
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