Common use of Cost Recovery and Collection Agreements Clause in Contracts

Cost Recovery and Collection Agreements. BLM or USFS cannot collect “cost recovery” fees when processing requests from CDOT, made through FHWA, for Title 23 highway easement deeds (HED). Applications by CDOT for BLM ROW grants outside a HED are exempt from “cost recovery” regulations per 43 CFR 2804.16 (a). Applications by CDOT for special use permits (SUP) from USFS outside a HED are subject to cost recovery regulations, but may be eligible for processing and monitoring fee waivers. Collection agreements are voluntary fee collection agreements made to offset costs of a project. CDOT, BLM, and USFS can enter into any such separate agreements to pay for expenses incurred by another agency. These types of agreements between agencies will be negotiated on a case-by-case basis.