DFARS 232.703-1

General.

(1) A fixed-price contract may be incrementally funded only if— (i) The contract (excluding any options) or any exercised option— (A) Is for severable services; (B) Does not exceed one year in length; and (C) Is incrementally funded using funds available (unexpired) as of the date the funds are obligated; or (ii) The contract uses funds available from multiple (two or more) fiscal years and— (A) The contract is funded with research and development appropriations; or (B) Congress has otherwise authorized incremental funding. (2) An incrementally funded fixed-price contract shall be fully funded as soon as funds are available.

Source: acquisition.gov — DFARS

← 232.702 232.703-3 →

More parts

Previous part: DFARS 231 — Contract Cost Principles and Procedures Next part: DFARS 233 — Protests, Disputes, and Appeals FAR counterpart: 32 — Contract Financing

Have a solicitation to win?

Paste it into the free Contrax bid scorer — get an AI win-probability score with the FAR clauses that matter, in seconds. No signup required.

Score any bid — free Browse the full FAR & DFARS library