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CONSTRUCTION CONTRACT. S. Department of Housing and Urban DevelopmentOffice of Housing OMB Approval No. 25020598 (Exp. 04/30/2014)HUD Project No.: Cost Plus Contract Project Name: Lump Sum Contracts
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A cost-plus contract is a type of construction contract in which the contractor is paid for all of its allowed expenses, plus an additional amount for profit.
The contractor and the client or project owner are required to file a cost-plus contract.
A cost-plus contract can be filled out by detailing all expenses incurred during the project, along with the profit margin to be added.
The purpose of a cost-plus contract is to provide transparency on project expenses and ensure the contractor is adequately compensated for their work.
The cost-plus contract must include details on all project expenses, including labor, materials, overhead costs, and profit margin.
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