Los Alamos Scientific Laboratory building cost index
The Controller's budget request for FY-1979 established guidance for escalation rates at 6 to 8 percent for construction projects beyond FY-1976. The Los Alamos Scientific Laboratory (LASL) has chosen to use an annual construction escalation rate of 10 percent. Results of this study should contribute toward the establishment of realistic construction cost estimate totals and estimates of annual construction funding requirements. Many methods were used to arrive at the LASL escalation rate recommendation. First, a computer program was developed which greatly expanded the number of materials previously analyzed. The program calculated the 1970 to 76 weighted averages for labor, materials, and equipment for the base line project. It also plotted graphs for each category and composite indexes for labor and material/equipment. Second, estimated increases for 1977 were obtained from several sources. The Zia Company provided labor cost estimates. Projected increases for material and equipment were obtained through conversations with vendors and analysis of trade publications. Third, economic forecast reports and the Wall Street Journal were used for source material, narrative, and forecast support. Finally, we compared LASL Building Cost Index with the effects of escalation associated with three recently developed projects at LASL.
- Research Organization:
- Los Alamos National Lab. (LANL), Los Alamos, NM (United States)
- DOE Contract Number:
- W-7405-ENG-36
- OSTI ID:
- 7278459
- Report Number(s):
- LA-6995-MS; TRN: 78-001027
- Country of Publication:
- United States
- Language:
- English
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