Rough Order of Magnitude (ROM) Costs and Detailed Cost Estimates

Rough Order of Magnitude (ROM) Costs and Detailed Cost Estimates

Customers frequently need estimates of what their new communications service requirements are going to cost.  Sometimes a very general, rough order of magnitude number may satisfy this need.  At other times, the need may be for a fairly accurate estimate of all the costs associated with a set of requirements.  CSO shall provide ROM costs and Cost Estimates upon request.

The distinctions between a ROM Cost and a Cost Estimates are described in the following paragraphs:

Rough order of Magnitude (ROM) Cost

A ROM Cost is a general approximation of the cost of providing a stated service.  It is based on experience, costs of similar services, or on a cursory examination of other vendor’s rates.  A ROM Cost is usually provided to a Customer who is seeking general information.  ROM Costs do not include engineering analysis, references to configuration databases, or the development of alternative solutions to generally stated communications requirements.  ROM Cost information can normally be provided within 5 working days.


Detailed Cost Estimate

A Detailed Cost Estimate provides a more detailed and comprehensive response than a ROM Cost does.  Detailed Cost Estimates are based on the costs associated with a specific solution to a generally stated requirement.  Detailed Cost Estimates generally result in dollar figures that include all known cost elements, i.e., labor, additional equipment, overhead, carrier recurring and non-recurring costs, travel (if required), etc.  Given the variability of the factors associated with developing Detailed Cost Estimates, CSO cannot set a general standard that would be applicable to all requests.  Often, detailed information is required from sources outside CSO and may only be gained by the issuance of a formal Request for Information (RFI) to industry.  However, CSO shall provide the requester with status information and with such cost information (e.g., for those elements of the solution, which have been priced) within 15 working days of receipt of a Request for a Detailed Cost Estimate.


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