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48 CFR · Federal Acquisition Regulation and Defense supplement

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The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

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57 sections with “reduced rate”: the first 40

  • FAR 47.104 Government rate tenders under sections 10721 and 13712 of the Interstate Commerce Act (49 U.S.C. 10721 and 13712).
    …ort persons or property for the account of the United States without charge or at “a rate reduced from the applicable commercial rate.” Reduced rates are offered in a Government rate tender. Additional information for civilian agencies is a…
  • FAR 32.503-9 Liquidation rates—alternate method.
    …rate if— (1) The contractor requests a reduction in the rate; (2) The rate has not been reduced in the preceding 12 months; (3) The contract delivery schedule extends at least 18 months from the contract award date; (4) Data on actual c…
  • FAR 32.608-2 Interest credits.
    …ollowing circumstances: (1) When the amount of debt initially determined is subsequently reduced; e.g., through a successful appeal. (2) When any amount collected by the Government is in excess of the amount found to be due on appeal unde…
  • FAR 41.205 Separate contracts.
    …on liability, or any other facilities charge to be paid by the Federal Government will be reduced or eliminated; or (3) The utility service supplier refuses to render the desired service except under a contract exceeding a 1-year period.
  • FAR 42.707 Cost-sharing rates and limitations on indirect cost rates.
    …irect cost rates are less than the negotiated ceiling rates, the negotiated rates will be reduced to conform with the lower rates.
  • FAR 52.212-4 Contract Terms and Conditions—Commercial Products and Commercial Services.
    …ecome payable to the Contractor. (vii) The interest charge made under this clause may be reduced under the procedures prescribed in FAR 32.608-2 in effect on the date of this contract. (j) Risk of loss. Unless the contract specifically pr…
  • FAR 46.314 Transportation contracts.
    …arriers, or to freight services provided under bills of lading or to those negotiated for reduced rates under 49 U.S.C. 10721 or 13712. (See part 47, Transportation.)
  • FAR 47.104-3 Cost-reimbursement contracts.
    …cts a statement requiring the contractor to use carriers that offer acceptable service at reduced rates if available; and (2) Ensure that contractors receive the name and location of the transportation officer designated to furnish support…
  • FAR 47.304-4 Shipments originating outside CONUS.
    …s, giving full consideration to the possible use of Government transportation facilities, reduced rates available, special licensing or custom requirements, and availability of U.S.-flag shipping services between the points involved (see su…
  • FAR 52.219-9 Small Business Subcontracting Plan.
    …ividual subcontracting plans, provided the master subcontracting plan has been approved. Reduced payment means a payment that is for less than the amount agreed upon in a subcontract in accordance with its terms and conditions, for supplie…
  • FAR 52.246-14 Inspection of Transportation.
    …arriers, or to freight services provided under bills of lading or to those negotiated for reduced rates under 49 U.S.C. 10721 or 13712. (See part 47, Transportation.) Inspection of Transportation (APR 1984) The Government has the right to…
  • DFARS 215.404-71-3 Contract type risk and working capital adjustment.
    …on of the contract action (also see 217.7404-6(a) and 243.204-70-6). When considering the reduced cost risks associated with allowable incurred costs on an undefinitized contract action, it is appropriate to apply separate contract risk fac…
  • FAR 22.2109 Enforcement of Executive Order 13706 paid sick leave requirements.
    …ages in an amount equaling any monetary relief may also be directed unless such amount is reduced by the Administrator of the Wage and Hour Division because the violation was in good faith and the contractor had reasonable grounds for belie…
  • FAR 42.1503 Procedures.
    …ss. (iv) Management or business relations. (v) Small business subcontracting, including reduced or untimely payments to small business subcontractors when 19.702(a) requires a subcontracting plan (as applicable, see Table 42-2). (vi) Oth…
  • FAR 49.502 Termination for convenience of the Government.
    …applicable conditions (e.g., paragraph (d)) in 52.249-2 should be deleted and the periods reduced for submitting the subcontractor's termination settlement proposal (e.g., 6 months), and for requesting an equitable price adjustment (e.g., 4…
  • FAR 52.232-12 Advance Payments.
    … be considered as decreasing the unliquidated balance as of the date of the check for the reduced payment. (2) Interest charges resulting from the monthly computation shall be deducted from payments, other than advance payments, due the Co…
  • DFARS 215.404-71-2 Performance risk.
    …d to exacting standards; (D) The contractor's independent development and investment has reduced the Government's risk or cost; (E) The contractor has accepted an accelerated delivery schedule to meet DoD requirements; or (F) The contrac…
  • DFARS 217.7404-6 Allowable profit.
    …, the head of the contracting activity shall ensure the profit allowed reflects— (a) Any reduced cost risk to the contractor for costs incurred during contract performance before negotiation of the final price. However, if a contractor sub…
  • FAR 2.101 Definitions.
    …Environmentally preferable means, in the case of a product or service, having a lesser or reduced effect on human health and the environment when compared with competing products or services that serve the same purpose. This comparison may …
  • FAR 15.306 Exchanges with offerors after receipt of proposals.
    …ve range comprised of all of the most highly rated proposals, unless the range is further reduced for purposes of efficiency pursuant to paragraph (c)(2) of this section. (2) After evaluating all proposals in accordance with 15.305(a) and …
  • FAR 15.404-4 Profit.
    …s costs are known at the time of price agreement, in which case the risk factor should be reduced accordingly. The contractor assumes the least cost risk in a cost-plus-fixed-fee level-of-effort contract, under which it is reimbursed those …
  • FAR 19.701 Definitions.
    …ividual subcontracting plans, provided the master subcontracting plan has been approved. Reduced Payment means a payment that is for less than the amount agreed upon in a subcontract in accordance with its terms and conditions, for supplie…
  • FAR 19.704 Subcontracting plan requirements.
    …d conditions of the subcontract, and notify the contracting officer if the offeror pays a reduced or an untimely payment to a small business subcontractor (see 52.242-5). (b) Contractors may establish, on a plant or division-wide basis, a …
  • FAR 19.705-4 Reviewing the subcontracting plan.
    …arket, consider the offeror's current capacity to perform the work and the possibility of reduced subcontracting opportunities. (5) Evaluate subcontracting potential, considering the offeror's make-or-buy policies or programs, the nature o…
  • FAR 31.205-6 Compensation for personal services.
    …ed in accordance with subparagraph (o)(2)(iii)(E) of this section; the fair value must be reduced by the prepayment credit as determined in accordance with subparagraph (o)(2)(iii)(F) of this subsection. (ii) PRB cost attributable to the t…
  • FAR 32.006-4 Procedures.
    …tractor's overall financial condition and ability to continue performance if payments are reduced or suspended; (4) The contractor's essentiality to the national defense, or to the execution of the agency's official business; and (5) Asse…
  • FAR 32.206 Solicitation provisions and contract clauses.
    … the amount paid to the contractor upon acceptance of the item by the Government shall be reduced by the amount of installment payments made for the item. The contractor's request for final payment for each item is required to show this cal…
  • FAR 47.301 General.
    …e in good order and condition and on time at the required place. (See 47.104 for possible reduced transportation rates for Government shipments). (b) The requiring activity shall— (1) Consider all transportation factors including present …
  • FAR 47.304-1 General.
    …nsportation and permit Government-controlled transportation; (5) Permit negotiations for reduced freight rates (see 47.104-1(b)); and (6) Permit use of small shipment consolidation stations. (d) When destinations are tentative or unknown…
  • FAR 52.214-27 Price Reduction for Defective Certified Cost or Pricing Data—Modifications—Sealed Bidding.
    …hese parties furnished data of any description that were not accurate, the price shall be reduced accordingly and the contract shall be modified to reflect the reduction. This right to a price reduction is limited to that resulting from def…
  • FAR 52.215-10 Price Reduction for Defective Certified Cost or Pricing Data.
    …ties furnished data of any description that were not accurate, the price or cost shall be reduced accordingly and the contract shall be modified to reflect the reduction. (b) Any reduction in the contract price under paragraph (a) of this …
  • FAR 52.215-11 Price Reduction for Defective Certified Cost or Pricing Data—Modifications.
    …ties furnished data of any description that were not accurate, the price or cost shall be reduced accordingly and the contract shall be modified to reflect the reduction. This right to a price reduction is limited to that resulting from def…
  • FAR 52.216-7 Allowable Cost and Payment.
    … Contractor's invoices or vouchers and statements of cost audited. Any payment may be (1) reduced by amounts found by the Contracting Officer not to constitute allowable costs or (2) adjusted for prior overpayments or underpayments. (h) Fi…
  • FAR 52.216-26 Payments of Allowable Costs Before Definitization.
    …Contractor's invoices or vouchers and statements of costs audited. Any payment may be (1) reduced by any amounts found by the Contracting Officer not to constitute allowable costs or (2) adjusted for overpayments or underpayments made on pr…
  • FAR 52.222-41 Service Contract Labor Standards.
    …tes that bear a reasonable relationship to those listed in a wage determination cannot be reduced to any single formula. The approach used may vary from wage determination to wage determination depending on the circumstances. Standard wage …
  • FAR 52.225-8 Duty-Free Entry.
    … (3) Except as otherwise approved by the Contracting Officer, the contract price shall be reduced by (or the allowable cost shall not include) the amount of duty that would be payable if the supplies were not entered duty-free. (d) The Con…
  • FAR 52.225-26 Contractors Performing Private Security Functions Outside the United States.
    …n. The duty of the Contractor to comply with the requirements of this clause shall not be reduced or diminished by the failure of a higher- or lower-tier Contractor or subcontractor to comply with the clause requirements or by a failure of …
  • FAR 52.229-3 Federal, State, and Local Taxes.
    …at was exempted or excluded on the contract date but whose exemption was later revoked or reduced during the contract period, on the transactions or property covered by this contract that the Contractor is required to pay or bear as the res…
  • FAR 52.232-16 Progress Payments.
    …active price reduction, after computing liquidations and payments on past invoices at the reduced prices and adjusting the unliquidated progress payments accordingly. The Government reserves the right to unilaterally change from the ordinar…
  • FAR 52.232-17 Interest.
    … become payable to the Contractor. (g) The interest charge made under this clause may be reduced under the procedures prescribed in 32.608-2 of the Federal Acquisition Regulation in effect on the date of this contract. (End of clause)

FAR (chapter 1)

DFARS (chapter 2, Defense)

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Rule changes in progress: FAR, DFARS. Terms: glossary.