Final Construction Cost as a Percent of Contract Award
Benchmark: Maintain Final Cost at 95% to 105% of the Contract
Final Construction Cost as a Percent of Contract Award 107.1% Updated 8/3/2023 |
Why This Is Important Stakeholders and the public expect ITD to deliver highway projects that improve safety, enhance mobility and drive economic opportunity. This requires projects to be well designed and delivered within budget--as close to the contract award amount as possible. Projects delivered within budget allow ITD to efficiently invest limited funding and maximize benefits. How We Measure It ITD totals the construction costs for projects which have had the final payment made in the given calendar year (excluding any additional costs that may have been paid for contracturally specified adjustments), totals the bid amounts for these projects at contract award, and then compares the adjusted construction costs to the bid amounts at contract award. What We're Doing About It ITD uses a variety of techniques to limit cost increases due to factors within its control including enhanced risk assessment and management on complex projects, regular process reviews and improvement implementations, ongoing training of staff, and annual post-construction reviews. |
Final Construction Cost as a Percent of Contract Award
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