Pub. L. 102-588, tit. IV, sec. 403
DEFINITIONS.
SEC. 403. DEFINITIONS. For the purposes of this title— 106 STAT. 5122 (1) the term “performance-based contracting” means structuring all aspects of an acquisition around the purpose of the work to be performed as opposed to either the manner by which the work is to be performed or broad statements of work; (2) the term “positive fee incentive” means that element of the potential total remuneration that a contractor may receive for contract performance over and above the allowable costs; (3) the term “negative fee incentive” means a rebate pay able to the National Aeronautics and Space Administration by a contracting party whose deliverable item or service is not in conformance with contract requirements or is otherwise deemed to be defective work; and (4) the term “rollover” means the act of reallocating any positive fee incentives not earned by a contractor due to less than excellent performance to subsequent opportunities for award available in the contract.