Cost-type OT Law and Legal Definition

According to 32 CFR 3.4, (Title 32 - National Defense; Subtitle A - Department Of Defense, Chapter I - Office Of The Secretary Of Defense; Subchapter A – Acquisition; Part 3 -Transactions Other Than Contracts, Grants, Or Cooperative Agreements For Prototype Projects), Cost-type OT means “agreements where payments are based on amounts generated from the awardee's financial or cost records or that require at least one third of the total costs to be provided by non-Federal parties pursuant to statute or require submittal of financial or cost records/reports to determine whether additional effort can be accomplished for the fixed amount.”