Federal activity overview — Cost (No Fee)
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Federal Procurement
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Cost (No Fee) Government Contracts & Federal Records
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A cost-reimbursement contract in which the contractor receives no fee. Appropriate for research and development work performed by nonprofit organizations willing to conduct work at cost.
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FAR 16.302
Used primarily with educational institutions and nonprofit organizations for research where the work aligns with the organization's mission and no profit motive exists.
Advantages: Zero fee keeps costs low for the government, simple fee structure. Disadvantages: Only practical with nonprofits, no financial incentive for performance.
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Bureauify. (2026). Cost (No Fee) — Federal Contract Intelligence. Bureauify Federal Intelligence. Retrieved , from https://bureauify.com/glossary/cost-no-fee
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