Fabio
76b8ec33a7
Ingested titles 12–51 and 54 from OLRC USLM XML @119-100 (the whole Code now, uniform edition; Title 53 is reserved/empty). LegalText 11,221 -> 59,740; repo total 105,704 records. Deterministic (byte-identical rerun, verified on Title 42's 8,356 sections); make check green. make legal-us-code default now covers every title. Co-Authored-By: Claude Opus 4.8 <noreply@anthropic.com>
50 lines
3.3 KiB
Markdown
50 lines
3.3 KiB
Markdown
---
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type: "LegalText"
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title: "41 U.S.C. § 3905"
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description: "Cost contracts"
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jurisdiction: "us"
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corpus: "united_states_code"
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kind: "code_section"
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title_number: 41
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title_name: "PUBLIC CONTRACTS"
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chapter_number: "39"
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chapter_name: "SPECIFIC TYPES OF CONTRACTS"
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section: "3905"
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citation: "41 U.S.C. § 3905"
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status: "current"
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release_point: "119-100"
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release_date: "2026-06-26"
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source: "official"
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source_url: "https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc41@119-100.zip"
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source_identifier: "/us/usc/t41/s3905"
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source_file: "data/legal/raw/us/code/title-41/usc41.xml"
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source_hash: "7723a5d661da6da1ea2b64088a07cb965bd3e33ab0776a6e4e686321c209450b"
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raw_snapshot_hash: "0977ff7e7fefd99bbd25a86e009a9e4c2707301ec8c49233d17b6604e38702e3"
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text_hash: "7c2abdc140b7429c9e7e5bc3e9151a70c7d1cef5c46f8d8f80f90f81af58c24d"
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retrieved_at: "2026-07-04"
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confidence: "official"
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tags: ["legal", "us-code"]
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---
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# 41 U.S.C. § 3905 - Cost contracts
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## Text
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(a) Cost-Plus-A-Percentage-Of-Cost Contracts Disallowed.— The cost-plus-a-percentage-of-cost system of contracting shall not be used.
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(b) Cost-Plus-A-Fixed-Fee Contracts.— (1) In general.— Except as provided in paragraphs (2) and (3), the fee in a cost-plus-a-fixed-fee contract shall not exceed 10 percent of the estimated cost of the contract, not including the fee, as determined by the agency head at the time of entering into the contract.
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(2) Experimental, developmental, or research work.— The fee in a cost-plus-a-fixed-fee contract for experimental, developmental, or research work shall not exceed 15 percent of the estimated cost of the contract, not including the fee.
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(3) Architectural or engineering services.— The fee in a cost-plus-a-fixed-fee contract for architectural or engineering services relating to any public works or utility project may include the contractor’s costs and shall not exceed 6 percent of the estimated cost, not including the fee, as determined by the agency head at the time of entering into the contract, of the project to which the fee applies.
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(c) Notification.— All cost and cost-plus-a-fixed-fee contracts shall provide for advance notification by the contractor to the procuring agency of any subcontract on a cost-plus-a-fixed-fee basis and of any fixed-price subcontract or purchase order which exceeds in dollar amount either the simplified acquisition threshold or 5 percent of the total estimated cost of the prime contract.
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(d) Right To Audit.— A procuring agency, through any authorized representative thereof, has the right to inspect the plans and to audit the books and records of a prime contractor or subcontractor engaged in the performance of a cost or cost-plus-a-fixed-fee contract.
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(Pub. L. 111–350, § 3, Jan. 4, 2011, 124 Stat. 3776.)
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## Notes
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Historical and Revision Notes RevisedSectionSource (U.S. Code)Source (Statutes at Large) 3905(a)41:254(b) (1st sentence words before 1st comma).June 30, 1949, ch. 288, title III, § 304(b), 63 Stat. 395; July 12, 1952, ch. 703, § 1(m), 66 Stat. 594; Pub. L. 103–355, title I, § 1071, title IV, § 4402(c), title X, § 10005(e), Oct. 13, 1994, 108 Stat. 3270, 3349, 3408. 3905(b)41:254(b) (1st sentence words after 1st comma). 3905(c)41:254(b) (last sentence words before semicolon). 3905(d)41:254(b) (last sentence words after semicolon).
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