UFC 3-740-05 8 November 2010

UNIFIED FACILITIES CRITERIA (UFC) HANDBOOK: CONSTRUCTION COST ESTIMATING APPROVED FOR PUBLIC RELEASE; DISTRIBUTION UNLIMITED

UFC 3-740-05 8 November 2010 iv UNIFIED FACILITIES CRITERIA (UFC) REVISION SUMMARY SHEET Document: UFC 3-740-05 Superseding: UFC 3-700-02A, dated 1 Mar 05 Description of Changes: This document is a complete update to UFC 3-700-02A, establishing uniform guidance to describe methods, procedures, and formats for the preparation of construction cost estimates and construction contract modification estimates. It addresses all phases of construction cost estimating from planning phases through modification estimates during construction. The term construction includes remedial action environmental projects, dredging and other construction type work often implemented as service contracts. Reasons for Changes: This UFC will provide guidance on the correct way for DOD personnel to prepare a project cost estimate. Impact: There are negligible cost impacts. Non-Unification Issues: Due to differences in Services management structure and operational processes, not all criteria within this UFC are unified. Independent Review of Construction Cost Estimate - The independent review processes vary among the Services due to differing organizational structures and operational processes, which are delineated in separate Service-specific directives. The independent reviews of Army DD Form 1391 programming documents are performed by a specialized team of cost engineers residing in Huntsville District. The review is performed under the direction of HQUSACE and in coordination with the HQACSIM. For the Navy, independent reviews are performed by the Region/FEC and the Consistency Review Board at NAVFACHQ. Format, Presentation of Government Estimate, and Productivity Adjustment Factors - The preliminary and intermediate steps in the preparation of the estimates vary among the Services, however, the final estimate product is essentially the same. 1) The design execution processes by which the Services produce cost estimates are also different. The Army manages this process by means of using design