ASTM E2168-10 (R2016) PDF Download

The ASTM E2168-10 (R2016) standard provides guidelines for the inclusion of monetary provisions for change, risk, and other uncertainties in construction cost estimates. These provisions, known as allowance, contingency, and reserve sums, are commonly used by various individuals involved in construction planning, delivery, and financing, including owners, developers, cost planners, estimators, architects, and engineers, among others.

The standard emphasizes the importance of these sums in activities such as cost budgeting, conceptual and design estimating, economic evaluation, investment analysis, and cost control during planning, design, and construction. It highlights that while the requirement or component of the planned construction may be known, the defined solution, design, or specification may not be. Therefore, including a monetary sum within an estimate is necessary to account for these unknown requirements.

The classification distinguishes between allowance, contingency, and reserve sums based on their purpose. Allowance sums are intended to cover specific known requirements, while contingency sums are included for non-specific or general purposes. Reserve sums may be allocated for planned spending or as a mitigation for unplanned events and requirements.

The standard applies universally to all forms of construction work and is not based on permanent physical elements but rather on cost components common to construction estimates.