Examining engineering costs for development of highway projects.
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2012-12-01
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Abstract:The Texas Department of Transportation (TxDOT) commissioned a research team at Texas State University-San Marcos Department of Accounting to analyze the cost of projects by determining the cost of a preliminary engineering hour necessary to develop highways projects. The current study determined the cost of engineering design on an hourly basis using comparable direct and indirect cost definitions and allocations as used by external consulting engineering firms. The analysis consisted of three tasks:
• Task 1: Determine average TxDOT cost per engineering hour.
• Task 2: Determine the typical cost of design engineering team members.
• Task 3: Determine the challenges of comparing costs to the private sector, which included analysis and comparison of the various overhead rates.
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