Information Technology: HUD (Department of Housing and Urban Development) Needs to Address Significant Weaknesses in Its Cost Estimating Practices, Report to Congressional Committees [open pdf - 1MB]
"HUD (Department of Housing and Urban Development) relies extensively on IT to deliver services and manage programs in support of its mission. For fiscal year 2017, HUD requested $36 million for IT investments intended to deliver modernized enterprise-level capabilities that better support the department's mission. Critical to the success of such efforts is the department's ability to develop reliable cost estimates that project life-cycle costs and provide the basis for, among other things, informed decision making and realistic budget formulation. The joint explanatory statement that accompanied the Consolidated and Further Continuing Appropriations Act, 2015, included a provision for GAO (Government Accountability Office) to evaluate HUD's cost estimating practices. This review determined the extent to which HUD implemented cost estimating best practices for selected IT investments. GAO selected four IT modernization investments with the largest portion of requested funding for fiscal year 2017, interviewed relevant agency officials, and analyzed and compared each investment's cost estimate to best practices in the Cost Guide. This guide states that, when most or all of the practices are 'fully' or 'substantially' met, an estimate is considered reliable."
Government Accountability Office: http://www.gao.gov/