Code of Federal Regulations Title 10. Energy § 10.603.530 Acceptable cost sharing

(1) Costs that are authorized by Federal statute to be used for cost sharing.

(2) Independent research and development (IR & D) costs, as described in 48 CFR part 31.208–18, that meet all of the criteria in paragraphs (a) through (e) of this section. IR & D is acceptable as cost sharing, even though it may be reimbursed by the Government through other awards. It is standard business practice for all for-profit firms, including commercial firms, to recover their IR & D costs through prices charged to their customers. Thus, the cost principles at 48 CFR part 31 allow a for-profit firm that has expenditure-based, Federal procurement contracts to recover through those procurement contracts the allocable portion of its research and development costs associated with a technology investment agreement. Contracting officers should note that in accordance with section 603.545, they may not count participant's costs of prior research, including IR & D, as a cost sharing contribution.