Section 3-123-7 - Contingencies(a) Contingency costs are contributions to a reserve account for unforeseen costs and are unallowable except as provided in subsection (b).(b) For the purpose of establishing a contract cost estimate in advance of performance of the contract, recognition of uncertainties within a reasonably anticipated range of costs may be required and is not prohibited. However, where contract clauses are present which serve to remove risks from the contractor, there shall not be included in the contract a contingency factor for such risks. Further, contributions to a reserve for self-insurance in lieu of, and not in excess of, commercially available liability insurance premiums are allowable as an indirect charge.[Eff 12/15/95; am and comp 11/17/97; am and comp 11/15/01; am and comp 11/25/02] (Auth: HRS § 103D-601) (Imp: HRS § 103D-601)