32 CFR § 34.1 - Purpose.

---
identifier: "/us/cfr/t32/s34.1"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "32 CFR § 34.1 - Purpose."
title_number: 32
title_name: "National Defense"
section_number: "34.1"
section_name: "Purpose."
chapter_name: "OFFICE OF THE SECRETARY OF DEFENSE"
subchapter_number: "C"
subchapter_name: "DoD GRANT AND AGREEMENT REGULATIONS"
part_number: "34"
part_name: "ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND AGREEMENTS WITH FOR-PROFIT ORGANIZATIONS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "5 U.S.C. 301 and 10 U.S.C. 113."
regulatory_source: "63 FR 12204, Mar. 12, 1998, unless otherwise noted."
cfr_part: "34"
---


# 34.1 Purpose.

(a) This part prescribes administrative requirements for awards to for-profit organizations.

(b) Applicability to prime awards and subawards is as follows:

(1) *Prime awards.* DoD Components shall apply the provisions of this part to awards to for-profit organizations. DoD Components shall not impose requirements that are in addition to, or inconsistent with, the requirements provided in this part, except:

(i) In accordance with the deviation procedures or special award conditions in § 34.3 or § 34.4, respectively; or

(ii) As required by Federal statute, Executive order, or Federal regulation implementing a statute or Executive order.

(2) *Subawards.* (i) Any legal entity (including any State, local government, university or other nonprofit organization, as well as any for-profit entity) that receives an award from a DoD Component shall apply the provisions of this part to subawards with for-profit organizations. It should be noted that subawards (see definition in § 34.2) are financial assistance for substantive programmatic performance and do not include recipients' procurement of goods and services.

(ii) For-profit organizations that receive prime awards covered by this part shall apply to each subaward the administrative requirements that are applicable to the particular type of subrecipient.

[63 FR 12204, Mar. 12, 1998, as amended at 85 FR 51244, Aug. 19, 2020]