The LBNL Project Manager is responsible for creating a project plan consistent with the project objectives, gaining approval on the project plan, and managing the project within the project plan. A key element of the project plan is the creation and management of the project budget.
The Project Manager is supported by the Project Controls staff and the Project Coordinator.
6.3.1 Cost Estimates
Cost estimates will be prepared for all projects during the budget formation stage, when the estimate will be used as the basis for creation of the project budget, and during design preparation stages, when the estimate will be used to track projected costs against the project budget.
6.3.2 Cost Budgeting
The Project Manager has overall responsibility for accuracy of information in the cost plan. At project initiation, the Project Manager fills out cost plan information in the Original Budget Column and Approved Budget Column, and distributes the budget by month. On a monthly basis, the Project Manager will review budget, actual costs, and other financial information to verify accuracy, and note any variances.
6.3.3 Cost Reporting
The Project Manager has overall responsibility for updating the cost reports on a monthly basis at a minimum, incorporating the latest projections of LBNL staffing levels, subcontracts and other costs in a timely and complete fashion. With the support of the Project Controls staff and the Project Coordinator, the Project Manager shall:
- Status and comment on project progress.
- Provide an accurate and timely forecast of costs-to-go (or, if easier, a forecast of total expected project costs) once a month.
- Identify risks and evaluate contingency.
- Alert the Design & Construction Management Department Head and Division Finance Manager of any risks of cost overruns immediately, so that risks can be mitigated and additional funding identified if risks cannot be mitigated.
- Prepare a revised Construction Directive Authorization (CDA) for GPP/IGPP projects if forecast costs change by 10 percent or more of authorized TEC.
- Close out all projects in a timely manner.
- Verify that the remaining balance is adequate to complete the project.
- Initiate corrective action as required if the estimated cost to complete exceeds the funds available.
The Facilities Finance Group shall:
- Communicate regularly during the month with each Project Manager, to understand risks and opportunities.
- Monitor GPP/IGPP Budget and Reporting (B&R) funds balances in hand.
- Assist Project Manager in preparing a revised CDA if necessary.
- Prepare and submit requests for revised authorizations to the DOE Berkeley Site Office (BSO) when necessary.
- Provide assurance review for financial information included in project status reports.
Typical documents include:
- Cost Workbook
- Cost Performance Report (EVMS)
- DOE Monthly and Quarterly Reports
- Financial Status Report (for UC projects)
- Financial Summary (GPP/IGPP/Small Projects)
- Monthly updates for the Chief Operating Officer
- Facilities Projects List
6.3.4 Signature Authority
Project Managers and other selected staff are delegated signature authority up to a designated dollar amount. It is the responsibility of the individual to know the amount of his/her signature authority. Signature authority limits the amount of obligations (such as purchase requisitions) that can be approved. It does not limit the approval amount for invoices against previously approved obligations.
