Cost Reimbursable Contracts
There are several flavors of Cost Reimbursable (CR) contracts. The two most common at Georgia Tech are the pure Cost Reimbursement and the Cost Plus Fixed Fee (CRFF). Including cost sharing in a contract or proposal is also a form of a CR contract. The CR and CRFF contract is the preferred contract for the Institute to receive (without cost sharing) as it limits risk on research endeavors that may not have a clearly defined statement of work (SOW). Under the CRFF, in addition to reimbursing the Institute for costs related to the work, the sponsor will also provide the Institute with a fee.
Fixed Price Contract
This contract is most appropriate when there is a clear SOW and little risk to the Institute. On occasion, a sponsor will insist on a Fixed Price contract. If the PD/PI's lab/school determines that the financial/legal risks are minimal and acceptable, the researcher's lab/school will state that internal funds will be available in the event of a cost overrun and that the deliverables do not include hardware or software items. Some special programs may be accepted on a fixed price basis with the approval of the Associate Vice Provost for Research. This is the preferred contract type when a PI has subcontractors or will be issuing subawards on the project.
Time and Materials Contract
Under this type of agreement, the sponsor agrees to pay a negotiated hourly rate for specified types of labor and to reimburse the Institute for materials used on the project. Base hourly rates invoiced to the sponsor include base hourly rate plus all indirect costs – prepare your budget as such. This type of contract requires careful oversight and management. This type contract also requires the approval of the Associate Vice Provost for Research.
Federal Demonstration Partnership (FDP)
FDP agreements are agreements that have been established by a cooperative of participating universities that have a common set of terms and conditions agreeable to all parties. The goal is to create a uniform set of procedures within the cooperative and expedite contract processing based on common practices.
Grants from Nonfederal Sponsors
Private foundations fund many research projects through requests for proposals (RFPs) or through direct contact with PIs. Learn more about grants from nonfederal sponsors.
Georgia Tech offers industry contracting templates, also known as the Contract Continuum, that enable U.S. companies and Georgia Tech researchers to engage at all stages of research and development. Similar contracting policies and procedures are applicable to both industry contracts and contracts with federal agencies; however, one notable distinction is found with respect to rights in intellectual property. While research contracts with federal agencies uniformly grant nonexclusive government rights to intellectual property developed with government funds, the Contract Continuum provides straightforward intellectual property terms consistent with the location of the activity within the research and development cycle. Additional information may be found on the Contract Continuum page.