Subchapter Z. LIFE CYCLE COSTING
Sec.
1.311. Definition.
1.312. Adoption.
1.313. Implementation.
Source The provisions of this Subchapter Z adopted by Executive Order No. 1980-3, dated February 8, 1980, effective February 23, 1980, 10 Pa.B. 844, unless otherwise noted.
§ 1.311. Definition.
Life Cycle Costing is a method of calculating the total cost of ownership of an acquisition over its life span. It includes initial cost and expected subsequent costs of significance, as well as disposal value and another quantifiable benefits to be derived.
§ 1.312. Adoption.
The methodology of Life Cycle Costing is hereby adopted for acquisitions which will require substantial operating and maintenance costs over their life spans.
§ 1.313. Implementation.
The Department of General Services is responsible for developing, implementing, and coordinating a Life Cycle Costing procedure for acquisitions which will require substantial operating and maintenance costs. Life Cycle Costing shall be applied to the following areas:
(1) State building construction during the development and design phases.
(2) Equipment for state agencies which has significant operating and maintenance costs. Examples of equipment acquisitions which should be purchased using LCC methodology are as follows:
(i) Air conditioning and refrigeration equipment.
(ii) Solar equipment.
(iii) Electrical office equipment.
(iv) Heavy construction equipment.
(v) Heating and ventilating equipment.
(vi) Water heaters.
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