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Construction


A combination of engineering, procurement, fabrication, erection, installation, assembly, or demolition to create a new building, structure, or other real property asset; the addition, expansion, improvement, or replacement of an existing real property asset; or the relocation of a real property asset. Construction includes: installed equipment; related site preparation; excavation, filling and landscaping, or other land improvements; and design of the facility. [adapted from 48 CFR § 2.101; DOE Financial Management Handbook, Chapter 10; and DOE G 413.3-21, Cost Estimating Guide]

Any combination of engineering, procurement, erection, installation, assembly, or fabrication activities involved in creating a new facility or altering, adding to, or rehabilitating an existing facility. It also includes the alteration and repair (including dredging, excavating, and painting) of buildings, structures, or other real property.

The act of erecting, renovating, reconditioning, or demolishing a building or other facility, including the labor, materials, and equipment required to complete the task. This is a direct cost. Costs will be charged to plant and capital equipment - construction.

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