48 CFR § 35.003 - 35.003 Policy.

---
identifier: "/us/cfr/t48/s35.003"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "48 CFR § 35.003 - 35.003   Policy."
title_number: 48
title_name: "Federal Acquisition Regulations System"
section_number: "35.003"
section_name: "35.003   Policy."
chapter_number: 1
chapter_name: "FEDERAL ACQUISITION REGULATION"
subchapter_number: "F"
subchapter_name: "SPECIAL CATEGORIES OF CONTRACTING"
part_number: "35"
part_name: "RESEARCH AND DEVELOPMENT CONTRACTING"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "40 U.S.C. 121(c); 10 U.S.C. chapter 4 and 10 U.S.C. chapter 137 legacy provisions (see 10 U.S.C. 3016); and 51 U.S.C. 20113."
regulatory_source: "48 FR 42352, Sept. 19, 1983, unless otherwise noted."
cfr_part: "35"
---


# 35.003 35.003   Policy.

(a) *Use of contracts.* Contracts shall be used only when the principal purpose is the acquisition of supplies or services for the direct benefit or use of the Federal Government. Grants or cooperative agreements should be used when the principal purpose of the transaction is to stimulate or support research and development for another public purpose.

(b) *Cost sharing.* Cost sharing policies (which are not otherwise required by law) under Government contracts shall be in accordance with 16.303, 42.707(a) and agency procedures.

(c) *Recoupment.* Recoupment not otherwise required by law shall be in accordance with agency procedures.