Evaluation also involves specifically defining a project’s scope.The scope and parameters ofsome capital projects may be readily apparent.The precise scope of other projects may be difficult to determine; this is especially true for large projects and for those for which views differ about what the project size, capability, and quality should be. For example, if a local jurisdiction’s emergency communications system needs to be replaced, law enforcement officials may have different views from other emergency response officials about what specific capabilities a new communications system should have; all these officials may want a more powerful and expensive system than the jurisdiction’s budget staff think is needed.Even after agreement is ostensibly reached on a project’s scope,there can be upward “scope creep”as a project is designed and implemented. For example, professionals to be served by a project and the architects designing it may include components in the design phase that were not addressed in the agreed-on project scope and that add significantly to the project’s cost. After the project scope is defined, on the basis of project evaluation,it needs to be monitored by budget staff through the design and implementation phases of the project. The usual categories of cost for a construction project are land acquisition and preparation,planning and design,construction,and equipment and furnishings. Equipment and furnishings can be attached to the project or movable. Even though movable equipment and furnishings are not capitalized as part ofa facility’s cost for accounting purposes,they should be included among project costs ifthe equipment and furnishings are needed to make the facility operational.A contingency line is also typically included to allow for unforeseen cost items.If a project will not be built for a year or more or if it will take many years to build,an allowance for inflation is likely to be needed in estimating costs.Testing costs associated with project design should not be overlooked;the costs and time to obtain environmental clearances need to be considered. Legal fees related to land acquisition, construction contracting, and financing are project costs. Project management fees or costs, whether contracted or done in-house,can be significant and should not be overlooked. Interest on debt that is paid during construction is appropriately charged to a project.Outlays for project feasibility studies done before a project is approved are usually funded initially from other sources (the general fund),but ifa project is approved and financing is obtained for it, such costs are reimbursable from project financing proceeds.Finally,when construction is finished,there are usually project activation costs,including moving expenses. The evaluation ofcosts for a capital project should consider not only the construction or acquisition costs themselves but also any resulting ongoing operating and maintenance costs.All the capital,operating,and maintenance