(a) If a contract for R & D is with a hospital (profit or nonprofit), the Contracting Officer shall modify the ``Allowable Cost and Payment'' clause at FAR 52.216-7 by deleting from paragraph (a) the words ``Subpart 31.2 of the Federal Acquisition Regulation (FAR)'' and substituting ``45 CFR Part 74 Appendix E.''
(j) The Contracting Officer shall insert the clause in 352.216-70, Additional Cost Principles, in solicitations and contracts when a cost-reimbursement contract is contemplated.
Subpart 316.5_Indefinite-Delivery Contracts