48 CFR § 536.7105-6
Allowances
November 17, 2020
(a) Establishing a separate allowance in addition to the CCA is only permitted pursuant to a written determination approved by the contracting director supporting the use of any such allowance.
(b) The written determination for a separate allowance in addition to the CCA shall consider the following:
(1) Alternative contracting structures, such as a separate GMP line item or performing the work as part of the GMP option, and
(2) Ensuring conformance with all applicable rules and procedures relating to allowances, including FAR 11.702.