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Office of Program Policy Analysis and Government Accountability

Review of the Florida Department of Transportation's Performance in Controlling Construction Cost Overruns and Establishing Accountability for These Problems, Report No. 96-21, November 1996
 
Full report in PDF format


  • In 102 recently completed projects with initial budget of $302.7 million, the Department of Transportation experienced construction cost overruns of $28.6 million (9.5%). Over half of this amount ($15.6 million or 5.2% of budget) was classified as avoidable costs, and the remaining amount was considered to be unavoidable.
  • About $4.2 million (1.4% of budget) in avoidable cost overruns did not add value for citizens and represents wasted money. Responsibility for cost overruns is shared among consultants, third parties, and Department staff. (Third parties include utility companies, permitting agencies, and local governments.)
  • Department practices limit its effectiveness in recovering cost overruns or sanctioning those responsible for overruns. The Department needs to take additional steps to hold consultants, third parties, and its staff accountable for cost overruns.
  • The Department is taking steps to minimize cost overruns, the impact of which may not be known for several years.

Which Government Program Summaries contain related information?

Pre-construction and Design Services
Highway Construction and Engineering
Right-of-Way Acquisition

What other OPPAGA-related materials are available?

  • Report No. 98-24 Report on the Florida Department of Transportation's Performance In Controlling Cost Overruns and Establishing Accountability for These Problems, published in December 1998.
  • Report No. 97-22 Follow-up Report on the Florida Department of Transportation's Performance In Controlling Cost Overruns When Building Roads and Bridges, published in December 1997.
  • Report No. 96-85 Review of the Florida Department of Transportation Construction Bid and Contract Administration Process, published in May 1997.
  • Report No. 95-30 Florida Department of Transportation's Performance in Controlling Cost Overruns and Delays When Building Roads and Bridges, published in January 1996.

Copies of this report in print or alternate accessible format may be obtained by telephone (850/488-0021), by FAX (850/487-9213), in person, or by mail (OPPAGA Report Production, Claude Pepper Building, Room 312, 111 W. Madison St., Tallahassee, FL 32399-1475).
e-mail address: oppaga@oppaga.fl.gov


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