48 CFR § 2452.216-81 - 2452.216-81 Level of effort and fee payment.

---
identifier: "/us/cfr/t48/s2452.216-81"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "48 CFR § 2452.216-81 - 2452.216-81   Level of effort and fee payment."
title_number: 48
title_name: "Federal Acquisition Regulations System"
section_number: "2452.216-81"
section_name: "2452.216-81   Level of effort and fee payment."
chapter_number: 24
chapter_name: "DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT"
subchapter_number: "H"
subchapter_name: "CLAUSES AND FORMS"
part_number: "2452"
part_name: "SOLICITATION PROVISIONS AND CONTRACT CLAUSES"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "40 U.S.C. 121(c); 42 U.S.C. 3535(d)."
regulatory_source: "53 FR 46538, Nov. 17, 1988, unless otherwise noted."
cfr_part: "2452"
---


# 2452.216-81 2452.216-81   Level of effort and fee payment.

As prescribed in 2416.506-70(f), insert the following clause in all level-of-effort term contracts:

****LEVEL OF EFFORT AND FEE PAYMENT (APR 2019)

(a) The total level of effort to be provided under this contract is ______hours. The Contractor shall be reimbursed for the actual labor costs incurred.

(b) The contractor shall be paid the fixed fee specified in B.____, Estimated Cost and Fixed Fee, herein, on a prorated basis in proportion to the percentage of the level of effort (LOE) performed at the time of billing in accordance with the following formula:

(Number of acceptable hours delivered) divided by (Total hours in level of effort) × (Total fixed fee) = Fee payment

(*e.g.,* 1,000 hours delivered/10,000 hours (LOE) × $15,000 = $1,500)

(c) In no event shall the amount of fee paid under the contract exceed the total fixed fee specified in B.[ ], Estimated Cost and Fixed Fee, herein.

****(End of clause)

[84 FR 15130, Apr. 15, 2019]