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Grants, Contracts, RFAs, and RFPs. 1  A grant is a funding mechanism for a particular scientific inquiry that you generate. 2  In contrast, a contract is a funding mechanism of government agencies or other organizations to obtain specified services or goods.
The contract type defines the expectations, obligations, incentives, and rewards for both Government and contractor during an acquisition. The Government contracting officer selects the contract type based on analysis of the most effective way to satisfy mission requirements.