
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC7256a]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                    CHAPTER 84--DEPARTMENT OF ENERGY
 
                SUBCHAPTER VI--ADMINISTRATIVE PROVISIONS
 
                Part C--General Administrative Provisions
 
Sec. 7256a. Costs not allowed under covered contracts


(a) In general

    The following costs are not allowable under a covered contract:
        (1) Costs of entertainment, including amusement, diversion, and 
    social activities and any costs directly associated with such costs 
    (such as tickets to shows or sports events, meals, lodging, rentals, 
    transportation, and gratuities).
        (2) Costs incurred to influence (directly or indirectly) 
    legislative action on any matter pending before Congress or a State 
    legislature.
        (3) Costs incurred in defense of any civil or criminal fraud 
    proceeding or similar proceeding (including filing of any false 
    certification) brought by the United States where the contractor is 
    found liable or has pleaded nolo contendere to a charge of fraud or 
    similar proceeding (including filing of false certification).
        (4) Payments of fines and penalties resulting from violations 
    of, or failure to comply with, Federal, State, local, or foreign 
    laws and regulations, except when incurred as a result of compliance 
    with specific terms and conditions of the contract or specific 
    written instructions from the contracting officer authorizing in 
    advance such payments in accordance with applicable regulations of 
    the Secretary of Energy.
        (5) Costs of membership in any social, dining, or country club 
    or organization.
        (6) Costs of alcoholic beverages.
        (7) Contributions or donations, regardless of the recipient.
        (8) Costs of advertising designed to promote the contractor or 
    its products.
        (9) Costs of promotional items and memorabilia, including 
    models, gifts, and souvenirs.
        (10) Costs for travel by commercial aircraft or by travel by 
    other than common carrier that is not necessary for the performance 
    of the contract and the cost of which exceeds the amount of the 
    standard commercial fare.

(b) Regulations; costs of information provided to Congress or State 
        legislatures and related costs

    (1) Not later than 150 days after November 8, 1985, the Secretary of 
Energy shall prescribe regulations to implement this section. Such 
regulations may establish appropriate definitions, exclusions, 
limitations, and qualifications. Such regulations shall be published in 
accordance with section 418b of title 41.
    (2) In any regulations implementing subsection (a)(2) of this 
section, the Secretary may not treat as not allowable (by reason of such 
subsection) the following costs of a contractor:
        (A) Costs of providing to Congress or a State legislature, in 
    response to a request from Congress or a State legislature, 
    information of a factual, technical, or scientific nature, or advice 
    of experts, with respect to topics directly related to the 
    performance of the contract.
        (B) Costs for transportation, lodging, or meals incurred for the 
    purpose of providing such information or advice.

(c) ``Covered contract'' defined

    In this section, ``covered contract'' means a contract for an amount 
more than $100,000 entered into by the Secretary of Energy obligating 
funds appropriated for national security programs of the Department of 
Energy.

(d) Effective date

    Subsection (a) of this section shall apply with respect to costs 
incurred under a covered contract on or after 30 days after the 
regulations required by subsection (b) of this section are issued.

(Pub. L. 99-145, title XV, Sec. 1534, Nov. 8, 1985, 99 Stat. 774; Pub. 
L. 100-180, div. C, title III, Sec. 3131(a), Dec. 4, 1987, 101 Stat. 
1238.)

                          Codification

    Section was enacted as part of the Department of Defense 
Authorization Act, 1986, and also as part of the Department of Energy 
National Security and Military Applications of Nuclear Energy 
Authorization Act of 1986, and not as part of the Department of Energy 
Organization Act which comprises this chapter.


                               Amendments

    1987--Subsec. (b). Pub. L. 100-180 designated existing provisions as 
par. (1) and added par. (2).


                               Regulations

    Section 3131(b) of Pub. L. 100-180 provided that: ``Regulations to 
implement paragraph (2) of section 1534(b) of the Department of Energy 
National Security and Military Applications of Nuclear Energy 
Authorization Act of 1986 (as added by subsection (a)) [42 U.S.C. 
7256a(b)(2)] shall be prescribed not later than 90 days after the date 
of the enactment of this Act [Dec. 4, 1987]. Such regulations shall 
apply as if included in the original regulations prescribed under such 
section.''
