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![handle is hein.gao/gaobabmlv0001 and id is 1 raw text is:
DOCUMENT RESUME
08180 - rC3468561]
fWMATA Process for Developing the Estilatad Cost of METRO Can Be
Improved]. 8-141529. December 8, 1978. 2 pp.
Report to Theodore C. Lutz, General Hanager, Washington
Metropolitan Area Transit Authority; ky Jerome B. Stclarov,
Director, Procurement and Systems Accuisition Div.
Issue' Area: Transportation Systems and Policies (2400) ; Erovile
Conqress with Accurate and Objective Informaticn cn
Individual Major Systems for Which Funds Are Being
Requested. (1907).
Contact: Procurement and Systems Acquisition Div.
Budqet Function: Commerce and Transportation: Ground
Transportation (404).
Organization Concerned: Department of Transportation.
Congressional Relevance: House Committee on District of
Columbia.
The process used by the Washington Metropolitan Area
Transit Authority (WHATA) to estimate the cost of the Washington
Metropolitan Rapid Rail TranLit System (METRO) at December 31,
1977, was reviewed, Although VEATA has improved iti estimating
capability, it misclassi-Ued and excludel costs frcm the
estimate, inadequately recognized progras changes,
insufficiently used and analyzed available data, and lacked an
independent review. Most-of the prollems stem from the absence
of written direction and guidance. Consistent and effective cost
estimating procedures and guidelines should be develope4 and
implemented with provision for: defining contingencies and
analyzing uncertainties in the METRO system; including all costs
associated with the design, construction, and scquisitice of
equipment regardless of the funding source; estimating the total
impact of program changes through program completion; and
providing an effective indopendent review cf the estimate.
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