§37-2-30  Cost reimbursement contracts. –

Published: 2015

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Get a Day Pass for only USD$49.99.

Public Property and Works


State Purchases

SECTION 37-2-30

   § 37-2-30  Cost reimbursement contracts.


(a) No contract providing for the reimbursement of the contractor's cost plus a

fixed fee, hereinafter referred to as a cost reimbursement contract, may be

made under § 37-2-19, 37-2-20, or 37-2-21 unless it is determined, in

writing, by the chief purchasing officer that the contract is likely to be less

costly to the state than any other type of contract, or that it is

impracticable to obtain supplies or services of the kind or quality required

except under a cost reimbursement contract.

   (b) Each contractor under a cost reimbursement type contract

shall obtain consent, as provided for in the contract, before entering into:

   (1) A cost reimbursement type subcontract; or

   (2) Any other type of subcontract involving more than ten

thousand dollars ($10,000) or ten percent (10%) of the estimated cost of the

prime contract.

   (c) All cost reimbursement type contracts shall contain a

provision that only costs recognized as allowable, in accordance with cost

principles set forth in regulations issued pursuant to § 37-2-42, will be


History of Section.

(P.L. 1989, ch. 526, § 2.)