Selection of Construction Cost Factors
As with sustainment cost factors, a hierarchy was established for groups of cost factor sources. Where more than one cost
factor source was available within Source 1, a selection was based upon engineering judgment and approved by consensus of
the FSM Working Group.
Construction Cost Factor Source Hierarchy
Easily-accessed and widely applicable data. Cost factors in this category were taken directly from the DoD Tri-Service Committee on
Source 1
Cost Engineering (mandatory within the DoD for applicable construction); Service-specific cost guidance (USACE, USAF);
commercial cost-estimating guidelines (e.g., M&S or Whitestone); or other Government-published cost guidance (e.g. Fairfax County
(Virginia) Park Authority).
Unpublished government or trade association average cost data (e.g. CEAC).
Source 2
Unpublished project-specific data, derived from Service project documents (e.g. DD Forms 1391), or by calculating costs from
Source 3
reported plant replacement value and inventory.
Revisions to Construction Cost Factors
Construction cost factors in this version of the Guide have been updated from the previous version. Changes may be due to
any of the following reasons:
Updated cost data from construction contract awards (for those cost factors based upon Tri-Service unit costs in Part 2
of this guide)
Changed composition of the FAC (i.e., changed mix of constituent facility category codes)
Changed source of data (to a more credible source) or changed methodology for cost calculation
A "ripple effect" where a cost factor for one FAC is directly derived from another changed cost factor
Guidelines for Revising Published Cost Factors
Users of the DOD FACILITIES PRICING GUIDE are encouraged to suggest revisions to the published cost factors, particularly for
facilities unique to their mission. Submit proposed changes to the Office of the Under Secretary of Defense for Installations
(ODUSD(I)/A&I)13 in accordance with the following guidelines:
Revised factors should come from an equivalent or superior source
Revised factors should be easily audited
13
E-mail to: DoD.Pricing.Guide@osd.mil.
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DOD FACILITIES PRICING GUIDE Version 7
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