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Introduction 13 outside contractor(s). For example, while a construction contractor might build their expected overhead costs into their bid, their total bid price from the transit agency's perspective, and according to the definition above, is a hard construction cost. 1.4. Organization of This Report This report consists of five broad sections: · A literature review on the definition and components of soft costs; · Results from an industry questionnaire and interviews about how soft costs are estimated; · Analysis of the relationship between project characteristics and actual as-built soft costs from 59 past rail projects, including univariate and multivariate analyses; · A summary of the analysis underlying the Guidebook's new soft-cost estimation technique; and · Concluding remarks and directions for future research.