Section 316.307 - Contract clauses(a)(1) If a contract for research and development is with a hospital (profit or nonprofit), the contracting officer shall modify the "Allowable Cost and Payment" clause at FAR 52.216-7 by deleting from paragraph (a) the words "Federal Acquisition Regulation (FAR) subpart 31.2" and substituting " 45 CFR part 75 ."(2) The contracting officer shall also insert the clause at 352.216-70, Additional Cost Principles for Hospitals (Profit or Non-Profit), in solicitations and contracts with a hospital (profit or non-profit) when a cost-reimbursement contract is contemplated.