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TaxDollarData

Cooperative Agreement

A type of federal financial assistance similar to a grant, but with "substantial involvement" by the government in carrying out the funded activity.

How It Works

Cooperative agreements sit between contracts and grants. Like grants, they provide federal funding for a public purpose. Unlike grants, the government actively participates in the project — providing technical direction, reviewing work products, or contributing resources. Cooperative agreements are common in research partnerships between agencies and universities. They're tracked on USASpending.gov alongside grants and contracts.

Related Terms

  • Federal GrantGovernment funding awarded to state/local governments, nonprofits, or institutions for a specific public purpose — unlike contracts, grants are not purchases of goods or services.
  • Federal ContractA legally binding agreement between the U.S. government and a private company to provide goods or services — from fighter jets to IT consulting.

About This Definition

This definition is part of the TaxDollarData Federal Spending Glossary31 terms explaining how the U.S. government spends taxpayer money. All definitions are written in plain language for taxpayers, journalists, contractors, and researchers.