FAR 32.706-2 Clauses for limitation of cost or funds

Subsection Federal Acquisition Regulation

Facts

Citation
FAR 32.706-2
Type
Subsection
Text as of
FAC 2026-01
Official text
acquisition.gov

Text from acquisition.gov. Federal Register history from the Federal Register's records of the rules that amended this subsection.

Text

(a) The contracting officer shall insert the clause at 52.232-20, Limitation of Cost, in solicitations and contracts if a fully funded cost-reimbursement contract is contemplated, whether or not the contract provides for payment of a fee.

(b) The contracting officer shall insert the clause at 52.232-22, Limitation of Funds, in solicitations and contracts if an incrementally funded cost-reimbursement contract is contemplated.

Sections cited

Quick answers

What is FAR 32.706-2?

FAR 32.706-2 is a subsection of the Federal Acquisition Regulation, titled "Clauses for limitation of cost or funds".

Are changes to FAR 32.706-2 proposed?

No proposed rule from the last 3 years is waiting on a final rule.

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