Guide for Conducting Benefit-Cost Analyses of Multimodal, Multijurisdictional Freight Corridor Investments (2017) / Chapter Skim
Currently Skimming:
Pages 25-30
The Chapter Skim interface presents what we've algorithmically identified as the most significant single chunk of text within every page in the chapter.
Select key terms on the right to highlight them within pages of the chapter.
From page 25... ...
25 S t e p 3 3.1 Goal The goal of this step is to include and adequately account for all project costs. These costs will be compared to the benefits in order to arrive at a project decision, so having the correct costs is important to the accuracy of the BCA.
|
From page 26... ...
26 Guide for Conducting Benefit-Cost Analyses of Multimodal, Multijurisdictional Freight Corridor Investments • Contingency costs. Projects with large capital outlays should include contingency costs (provisions)
|
From page 27... ...
Account for project Costs 27 The calculated RV will need to be discounted to current dollars. This is addressed in Step 8.
|
From page 28... ...
28 Guide for Conducting Benefit-Cost Analyses of Multimodal, Multijurisdictional Freight Corridor Investments share in costs to the extent to which they benefit from projects of regional, state, or national significance. The consideration of funding sources facilitates a separate financial BCA (financial analysis)
|
From page 29... ...
Account for project Costs 29 3.4 Best Practices and Examples Best practices for Step 3: • Present costs as ranges, particularly when components are subject to variation. The particular conditions encountered in a project make it difficult to apply a simple rule of thumb or standard unit cost.
|
From page 30... ...
30 Guide for Conducting Benefit-Cost Analyses of Multimodal, Multijurisdictional Freight Corridor Investments • Under-scales a project and fails to recognize that it may not be possible to justify a portion of a project in isolation from other functional elements. • Does not distinguish the logical phasing of projects and how costs and benefits should be allocated to the phases over time.
|
Key Terms
This material may be derived from roughly machine-read images, and so is provided only to facilitate research.
More
information on Chapter Skim is available.