# 48 CFR § 216.306: 216.306 Cost-plus-fixed-fee contracts

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-48-216.306

## Section

- **Citation:** 48 CFR § 216.306
- **Heading:** 216.306 Cost-plus-fixed-fee contracts
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 48—Federal Acquisition Regulations System > CHAPTER 2—DEFENSE ACQUISITION REGULATIONS SYSTEM, DEPARTMENT OF DEFENSE > SUBCHAPTER C—CONTRACTING METHODS AND CONTRACT TYPES > PART 216—TYPES OF CONTRACTS > Subpart 216.3—Cost-Reimbursement Contracts

## Text

(c) Limitations. For contracts in connection with a military construction project or military family housing project, see the prohibition at 216.301-3.
(i) Except as provided in paragraph (c)(ii) of this section, annual military construction appropriations acts prohibit the use of cost-plus-fixed-fee contracts that—
(A) Are funded by a military construction appropriations act;
(B) Are estimated to exceed $25,000; and
(C) Will be performed within the United States, except Alaska.
(ii) The prohibition in paragraph (c)(i) of this section does not apply to contracts specifically approved in writing, setting forth the reasons therefor, in accordance with the following:
(A) The Secretaries of the military departments are authorized to approve such contracts that are for environmental work only, provided the environmental work is not classified as construction, as defined by 10 U.S.C. 2801.
(B) The Secretary of Defense or designee must approve such contracts that are not for environmental work only or are for environmental work classified as construction.
[62 FR 1058, Jan. 8, 1997; 62 FR 1817, Jan. 13, 1997; 62 FR 49305, Sept. 19, 1997; 71 FR 39007, July 11, 2006; 81 FR 65564, Sept. 23, 2016]

## Nearby sections

- [48 CFR § 216.102 216.102 Policies.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.102.md)
- [48 CFR § 216.104 216.104 Factors in selecting contract type.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.104.md)
- [48 CFR § 216.104-70 216.104-70 Research and development.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.104-70.md)
- [48 CFR § 216.203-4 216.203-4 Contract clauses.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.203-4.md)
- [48 CFR § 216.203-4-70 216.203-4-70 Additional provisions and clauses.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.203-4-70.md)
- [48 CFR § 216.301-3 216.301-3 Limitations.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.301-3.md)
- [48 CFR § 216.306 216.306 Cost-plus-fixed-fee contracts.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.306.md)
- [48 CFR § 216.307 216.307 Contract clauses.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.307.md)
- [48 CFR § 216.401 216.401 General.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.401.md)
- [48 CFR § 216.401-71 216.401-71 Objective criteria.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.401-71.md)
- [48 CFR § 216.402-2 216.402-2 Performance incentives.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.402-2.md)
- [48 CFR § 216.403-1 216.403-1 Fixed-price incentive (firm target) contracts.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.403-1.md)
- [48 CFR § 216.403-2 216.403-2 Fixed-price incentive (successive targets) contracts.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.403-2.md)
- [48 CFR § 216.405-1 216.405-1 Cost-plus-incentive-fee contracts.](https://www.frixlaw.com/law-library/statutes/ecfr-48-216.405-1.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-48-216.306. Check the current official text before relying on it. Not legal advice.