[Code of Federal Regulations]
[Title 48, Volume 1]
[Revised as of October 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR31.701]

[Page 620]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 31--CONTRACT COST PRINCIPLES AND PROCEDURES--Table of Contents
 
          Subpart 31.7--Contracts With Nonprofit Organizations
 
Sec. 31.701  Purpose.


    This subpart provides the principles for determining the cost 
applicable to work performed by nonprofit organizations under contracts 
with the Government. A nonprofit organization, for purpose of 
identification, is defined as a business entity organized and operated 
exclusively for charitable, scientific, or educational purposes, of 
which no part of the net earnings inure to the benefit of any private 
shareholder or individual, of which no substantial part of the 
activities is carrying on propaganda or otherwise attempting to 
influence legislation or participating in any political campaign on 
behalf of any candidate for public office, and which are exempt from 
federal income taxation under section 501 of the Internal Revenue Code.