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welcome to act notes tutorials my name is shelly and i am going to give you a quick tutorial on incremental funding what is incremental funding the incremental funding policy states that partial funding of a contract is allowed with additional funds anticipated to be provided at a later time the amount budgeted shall be limited to the budget authority needed to cover all costs expected to be incurred during a 12-month period this is used when the total cost of a project cant be covered within the current allocated budget because the project spans multiple years the definition of incremental funding means the partial funding of a contract or an exercised option with additional funds anticipated to be provided at a later time incremental funding for cost reimbursement contracts the contract clause for incremental funding for cost reimbursement contracts is prescribed in 48 cfr 3432 under this clause initial funds will be obligated under the contract to cover an estimated base performanc
