When reading the shorter schedule of cost components, what is the definition of defined costs that you should be reading in conjunction with?
Defined Cost is a defined term in each of the ECC contract options, but it will be in the specific contract option elements as it is not a core clause (i…e not consistent across all of the options). It is 11.2(22) for options A/B and 11.2(23) for options C-E.
Under option A&B, Defined Cost is only used to assess compensation events using the shorter schedule of cost components.
Options C-E Defined Cost uses the full Schedule of Cost Components to assess not only compensation events but also the Price for Work Done to Date within the period.