EP 1165-2-1
30 Jul 99
(4) Forecast Final Cost Estimate. All Civil Works projects
are managed, planned, and executed under the Life Cycle Project
Management System (LCPM) (ER 5-1-11). Consistent with ER 5-1-11, the
forecast final cost estimate to be entered into PCAs for all
specifically authorized new starts (including separable elements,
resumptions, and unstarted projects previously funded for
construction) will be based on the most current cost estimate prepared
in accordance with the Micro-Computer Aided Cost Estimating System (M-
CACES) in the Code of Accounts format. The ASA(CW) will not execute
any PCA for a new construction start which does not have an M-CACES
cost estimate presented in the Code of Accounts format. District and
division commanders must ensure that the financing plan and PB-2a
accompanying the PCA package that are submitted to HQUSACE, are based
upon the appropriate cost estimate as described above. District and
division commanders must also ensure that M-CACES cost estimates are
completed for projects proposed for authorization (in feasibility
reports) and projects for which construction capabilities are
expressed in any particular fiscal year. Feasibility reports that
recommend a project must include the project's baseline estimate
(i.e., fully funded: escalated for inflation through construction)
which is the fully-funded M-CACES estimate developed for the
recommended scope and schedule. Final approval of the project
baseline estimate lies at the division and will become fixed in value
at the time the division commander issues the public notice.
(5) Disclosure of Lobbying Activities. Section 319 of the
Department of the Interior and Related Agencies Appropriations Act for
Fiscal Year 1990 amends Title 31 of the United States Code by adding
Section 1352 entitled, "Limitation on use of appropriated funds to
influence certain Federal contracting and financial transactions".
Section 1352 affects, among other things, Federal contracts, grants,
and cooperative agreements, that are entered into after December 23,
1989. All PCAs executed subsequent to December 23, 1989, for all
specifically authorized and Continuing Authorities projects, together
with all feasibility studies, Section 204 and Section 215 Agreements,
and water supply and recreation contracts, will require an
accompanying signed Certification Regarding Lobbying, and if
applicable, a completed Disclosure Form. These forms must be
thoroughly discussed with the non-Federal sponsors prior to submission
of the final PCA to HQUSACE, or in the case of Continuing Authorities,
prior to final approval of the PCA. Signed certificates and, if
necessary, disclosure forms will be attached to the PCA prior to
execution by the appropriate Department of the Army official and must
be kept on file by the executing office for later submission to
HQUSACE, if requested.
h. Credit for Non-Federal Sponsor Indirect Costs. The policy
for crediting the costs associated with the non-Federal sponsor's
efforts towards implementation of a project is generally established
in OMB Circular A-87 and ER 1165-2-131.
(1) Specifically, credit will be allowed for all reasonable,
allocable and allowable costs incurred or accrued by the non-Federal
sponsor in connection with its responsibilities associated with the
project. This includes the actual cost of efforts to acquire lands,
easements. rights-of-way and provision of relocations and disposal
areas (i.e., LERRD) required for the project, either 5 years prior to
or any time after execution of the PCA. These creditable costs
include the necessary engineering and design, actual project
management costs as well as the actual costs of establishing and
maintaining management systems necessary to conduct non-Federal LERRD
10-4
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