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DEPARTMENT OF THE ARMY ER 1110-2-1302 U.S. Army Corps of Engineers CECW-EC Washington, DC 20314-1000 Regulation No. 1110-2-1302 30 June 2016 Engineering and Design CIVIL WORKS COST ENGINEERING
9. Cost Engineering Products and Updates. Cost engineering products include
quantities, estimates, schedules and escalation, risk analyses and contingencies, and
cost reports. These products are critical management tools used for establishing and
monitoring costs, schedule, and risks over the project life cycle.
a. Cost engineering involvement in the project’s cost estimate development and
updates are continuous. The level of estimating intensity varies with progression
through the different phases of project development and implementation. The five
typical project phases are:
(1) Federal Interest Determination (Alternative Studies).
(2) Feasibility phase.
(3) Preconstruction, engineering, and design (PED) phase.
(4) Construction phase.
(5) O&M, Repair, Replacement, and Rehabilitation phase.
In some cases, such as Continuing Authorities Program (CAP) projects, phases are
combined into Feasibility and Implementation.
b. Update of the cost products are a key component to project management
controls. Cost engineering products must be updated to reflect project scoping
changes, clarifying technical information, acquisition strategy identification or changes,
construction element changes and current commodity cost (labor, equipment, materials,
etc.). Update of construction schedule and cost and schedule risk update.
(1) Regular updates (annually or sooner) must be performed to ensure the total
project cost estimate is based on current information. The cost PDT member is
required to evaluate changes on the project for the above items to determine
appropriate methods for updating the cost products. Full updates (requiring updated
cost pricing based on the above factors must occur within a two-year timeframe
measured from the previous estimate preparation date. Escalation of cost (if deemed
appropriate by the cost development responsible personnel) may occur within the twoyear
period.
(2) Total project cost estimates presented for budget or funding requests must
have an estimate preparation date within two years of the date of submission.
(3) Total project cost estimates presented in Chief of Engineer's reports must have
an estimate preparation date within two years of the report date
(4) For active authorized total project costs, the cost products must be updated
annually as identified above and include spent costs within TPCS. For projects that are
currently not active and are attempting to seek funds to become active, the product
submittal must follow the requirements from above. HQUSACE reserves the right to
require estimate product updates regardless of timelines. Refer specific update
requirements including review requirements to the Cost MCX.
c. The Civil Works Construction Cost Index System (CWCCIS), EM 1110-2-1304,
must be used to update unit prices and various project cost features to current or future
price levels. CWCCIS indices used for future projections are developed directly from
the escalation factors provided to the Federal agencies by the Office of Management
and Budget (OMB). The OMB factors are published by HQUSACE, Programs Division,
in the Engineer Circular (EC) for the Annual Program and Budget Request for Civil
Works Activities.
Total Project Cost Summary.
a. The TPCS is the product that is certified by the Cost MCX, because it presents
the total project costs developed by the PDT rolled up into a single summary page.
When the TPCS is updated, the update must include consideration for scope, current
acquisition strategy, quantities, updated costs, schedules, inflation, risks, and
contingencies.
APPENDIX C
Total Project Cost Summary
GLOSSARY
Terms and Abbreviations
GLOSSARY
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