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OPERATING AND SUPPORT COST-ESTIMATING GUIDE

OPERATING AND SUPPORT COST-ESTIMATING GUIDE OFFICE OF THE SECRETARY OF DEFENSE COST ASSESSMENT AND PROGRAM EVALUATION MARCH 2014 This page intentionally left blank Contents 1. INTRODUCTION .. 1- 1 Purpose .. 1- 1 Applicability .. 1- 1 Overview .. 1- 1 2. OVERVIEW OF LIFE-CYCLE COSTS .. 2- 1 Life-Cycle Cost Categories .. 2- 1 Life-Cycle Cost Category Definitions .. 2- 3 Life-Cycle Cost Categories and Budget Appropriations .. 2- 5 3. ROLE OF O&S COST INFORMATION .. 3- 1 Introduction .. 3- 1 O&S Cost Information and Program Decision Points.

guide. Estimates of program life-cycle cost are to capture all costs of the program, regardless of funding source or management control; the estimates are not limited to certain budget accounts or to categories controlled by certain lines of authority. Life-cycle cost isdefined as the sum of four major cost categories: (1) research and

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