Capitol Visitor Center: Status of Project's Schedule and Cost as 
of March 15, 2006 (15-MAR-06, GAO-06-528T).			 
                                                                 
This testimony discusses the Architect of the Capitol's progress 
in achieving selected project milestones and in managing the	 
project's schedule since Congress's February 15, 2006, hearing on
the project. As part of this discussion, we will address a number
of key challenges and risks that continue to face the project, as
well as actions AOC has taken or plans to take to address these  
risks. In addition, we will discuss the status of the project's  
costs and funding.						 
-------------------------Indexing Terms------------------------- 
REPORTNUM:   GAO-06-528T					        
    ACCNO:   A49157						        
  TITLE:     Capitol Visitor Center: Status of Project's Schedule and 
Cost as of March 15, 2006					 
     DATE:   03/15/2006 
  SUBJECT:   Construction contracts				 
	     Contract administration				 
	     Contract oversight 				 
	     Contract performance				 
	     Contractors					 
	     Cost analysis					 
	     Cost overruns					 
	     Facility construction				 
	     Federal facilities 				 
	     Federal funds					 
	     Future budget projections				 
	     Public visitor-centers				 
	     Schedule slippages 				 
	     Cost estimates					 
	     Capitol Visitor Center Project			 

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GAO-06-528T

     

     * Appendix I: Capitol Visitor Center: Critical Construction Mi

Testimony

Before the Subcommittee on the Legislative Branch, Committee on
Appropriations, U.S. Senate

United States Government Accountability Office

GAO

For Release on Delivery Expected at 10:30 a.m. EST

Wednesday, March 15, 2006

CAPITOL VISITOR CENTER

Status of Project's Schedule and Cost as of March 15, 2006

Statement of Bernard L. Ungar, Director Terrell Dorn Assistant Director
Physical Infrastructure Issues

GAO-06-528T

Mr. Chairman and Members of the Subcommittee:

We are pleased to be here today to assist the Subcommittee in monitoring
progress on the Capitol Visitor Center (CVC) project. Our remarks will
focus on the Architect of the Capitol's progress in achieving selected
project milestones and in managing the project's schedule since the
Subcommittee's February 15, 2006, hearing on the project.1 As part of this
discussion, we will address a number of key challenges and risks that
continue to face the project, as well as actions AOC has taken or plans to
take to address these risks. In addition, we will discuss the status of
the project's costs and funding.

Our remarks today are based on our review of schedules and financial
reports for the CVC project and related records maintained by AOC and its
construction management contractor, Gilbane Building Company; our
observations on the progress of work at the CVC construction site; and our
discussions with the CVC team (including AOC and its major CVC
contractors), AOC's Chief Fire Marshal, and representatives from the U.S.
Capitol Police. We also reviewed AOC's construction management
contractor's periodic schedule assessments and daily reports on the
progress of interior wall and floor stonework.

In summary:

Since the Subcommittee's February 15 CVC hearing, the CVC team has
continued to move the project's construction forward, but we continue to
believe, as we said at the February hearing, that AOC's proposed opening
dates-April 2007 for the base CVC project and May 2007 for the House and
Senate expansion spaces-do not allow enough time to complete several
critical activities and to address problems, challenges, risks, and
uncertainties. During the past month, the CVC team has essentially
maintained the pace of critical interior wall stone installation,
developed a draft work plan for floor stone installation, started to
develop a work plan to prevent a stacking of trades2 during finish work,
and maintained the opening dates that AOC announced at the February CVC
hearing. However, the number of activities critical to the project's
timely completion has increased, and several of these activities are now
scheduled to take longer to complete than planned. In addition, wall stone
deliveries are still backlogged, critical building systems still have to
be commissioned and tested, and although the project's overall design is
essentially complete, certain design elements are still incomplete or are
being clarified or refined. If the CVC team is successful in addressing
these issues, we believe that the base CVC project can be opened to the
public with a temporary cap on visitor occupancy in May 2007 and that the
expansion spaces can be opened for occupancy beginning in mid-August to
early September 2007. Congress may even be able to occupy the expansion
spaces earlier if AOC implements a phased opening plan it is considering
and if AOC is able to perform acceptance testing of the CVC and the
expansion spaces concurrently rather than sequentially-a possibility AOC
is continuing to explore. Nonetheless, we believe that AOC will be
challenged to meet the later dates we are projecting because of the
problems, challenges, risks, and uncertainties facing the project.

1GAO, Capitol Visitor Center: Results of Risk-based Analysis of Schedule
and Cost,  GA0-06-440T (Washington, D.C.: Feb. 15, 2006).

2Trade stacking can occur when workers from different trades, such as
stone masons, electricians, plumbers, or plasterers, have to work in the
same area at the same time to meet a schedule, sometimes making it
difficult to ensure sufficient space and resources for concurrent work.

We currently estimate that the total cost to complete the entire CVC
project is about $556 million without an allowance for risks and
uncertainties. This estimate exceeds our February 15 estimate by about $1
million because AOC now preliminarily estimates that it will need about
that much to pay for contractual support needed to complete acceptance
testing of the facility's fire protection system in time to meet the
project's schedule. AOC plans to use its general administration
appropriations for this work, including funds for fiscal year 2006 that it
has on hand and about $950,000 in fiscal year 2007 funds that Congress has
not yet provided. To date, about $528 million has been provided for CVC
construction. We continue to estimate that AOC will need about $25.6
million more in CVC construction funds to complete the entire CVC project
without an allowance for risks and uncertainties and taking into account
funding AOC plans to use from existing appropriations. Our $584 million
estimate of the cost to complete the entire project with an allowance for
risks and uncertainties remains unchanged because the cost of acceptance
testing is one of the uncertainties covered by this allowance.

  AOC Has Moved Construction Forward, but the Project Continues to Experience
                    Delays and Face Risks and Uncertainties

AOC's February 2006 schedule shows, as did its January 2006 schedule, that
the CVC base project will be ready to open to the public with a temporary
certificate of occupancy on February 13, 2007, and that the House and
Senate expansion spaces will be ready for occupancy on April 24, 2007. To
allow for possible delays and start-up time for operations, AOC has
proposed an April 2007 opening date for the base project and a May 2007
occupancy date for the expansion spaces. AOC expects all construction work
in the CVC, East Front, and expansion spaces to be completed by the April
opening date for the base project, but the CVC's occupancy at any one time
will be temporarily limited to 3,500, compared with about 4,200, the
normal anticipated occupancy level.3

Our Analysis Indicates Later Opening Dates Than AOC Is Proposing

We continue to believe, as we testified in February, that the CVC is more
likely to be ready for opening with a temporary certificate of occupancy
by about the end of May 2007 than by April 2007, as AOC is proposing. Our
projected opening is somewhat later than AOC's because CVC team managers
and members we interviewed believe that certain work, such as interior
stonework and finish work for the base project and East Front, will take
longer to complete than the revised schedule allows. Our projection also
assumes that AOC will be successful in addressing the challenges it faces
and takes into account the time that AOC believes will be necessary to
prepare for operations after construction work is completed. Similarly, we
continue to believe that the House and Senate expansion spaces are more
likely to be ready in mid-August or early September 2007 than in April or
May 2007, as AOC is proposing. We consider the later time frames more
likely for two reasons. First, AOC has scheduled the acceptance testing of
the expansion spaces after the acceptance testing of the base project and,
according to our analysis, the base project's testing will take longer
than scheduled. Second, AOC's Chief Fire Marshal believes the acceptance
testing of the expansion spaces will take longer than scheduled. However,
the expansion spaces could be ready sooner if AOC advances the schedule
for the acceptance testing-a possibility AOC is exploring.

3This temporary limit will be necessary because the "horizontal exits," or
passages, through the expansion spaces, which the life safety code
requires for exiting the base CVC project, will not be available until
later. These horizontal exits cannot be used until the fire alarm system
in the expansion spaces has been fully tested and accepted-work that is
not slated to be completed until after the base CVC is scheduled to open.
Some additional work will likely be required to provide temporary
emergency exit routes from the CVC, but the CVC team does not believe that
this work or its costs should be substantial.

Although construction work has been progressing and the sequence 2
contractor has met several schedule milestones, delays have continued in a
number of areas, and ongoing risks and uncertainties could cause further
delays. AOC's construction management contractor reported that, in terms
of the dollar value of the work in place, the overall CVC project was
about 77 percent complete and the sequence 2 work was about 63 percent
complete as of February 28-up from about 74 percent and 59 percent,
respectively, as of January 31. Furthermore, as of March 13, the sequence
2 contractor had completed work on five of the nine schedule milestones
that were due to be completed by today's hearing, according to the
project's January 2006 schedule. Three of the five were completed on time
or ahead of schedule. (See table 1 in app. I.) According to AOC's
construction management contractor, during the last 4 weeks, the sequence
2 contractor installed 4,363 pieces of interior wall stone, compared with
its 4,794-piece wall stone installation target, but installed only 1,590
square feet of its preliminary 3,600 square-foot floor stone installation
target. (See table 2 in app. I.) In addition, in measuring the sequence 2
contractor's February performance against the project's January 2006
schedule, AOC's construction management contractor reported delays in 12
of the 20 activity paths identified as important to meeting the base
project's overall completion date. These delays included, but were not
limited to, work in the East Front, the exhibit gallery, the auditorium,
the utility tunnel, the great hall, and the orientation theaters and
ranged from 2 to 36 work days, but did not affect the base project's
overall completion date.4 According to the CVC team, the delays occurred
for a variety of reasons, such as design changes, problematic sequence 1
work, late submissions or approvals of shop drawings, and changes in the
sequence of work activities by the sequence 2 contractor. Finally, in its
CVC progress report for February, AOC's construction management contractor
said that the sequence 2 contractor's monthly billings (reflecting the
value of construction work done relative to the project's schedule) were
generally not sufficient to meet AOC's currently scheduled completion
date.

The construction management contractor's February progress report also
showed that several House and Senate expansion space activities had fallen
behind the project's January 2006 schedule. These activities involved work
on the House and Senate circular stairs, the House and Senate lower
levels, and space intended for use by the U.S. Capitol Police on the
service level. The CVC team said these activities were delayed because of
(1) problems associated with sequence 1 or other sequence 2 work, (2)
redesign resulting from the CVC team's misunderstanding of congressional
requirements for certain space, or (3) security-related design changes.
According to the CVC team, these delays will not affect the schedule for
opening the expansion spaces, but could delay the base CVC project's
opening if the lost time cannot be recovered, since certain expansion
space work must be completed before the CVC can be opened to the public.
At this time, the sequence 2 subcontractor doing the expansion space work
believes that most, if not all, of the lost time can be recovered and that
all expansion space construction work necessary for the CVC's opening will
be completed by December 31, 2006.

4However, several activities, including interior wall stone installation,
penthouse mechanical work, and East Front fire protection system
acceptance testing, were delayed to the extent that even relatively short
additional delays could affect the CVC's overall completion date.

Project's Schedule Remains Vulnerable to Problems, Challenges, Risks, and
Uncertainties, Despite Actions AOC Has Taken and Plans to Take

As we indicated during the Subcommittee's February 15 CVC hearing, we
believe that AOC will be challenged to meet even the later opening dates
we have identified, given the problems, challenges, risks, and
uncertainties facing the project. A brief update on these, as well as on
AOC's actions and plans for addressing them, follows:

           o  Delivery of stone and pace of stone installation remain
           critical. In the 4 weeks preceding today's hearing, the sequence 2
           contractor reported receiving 9 of the 10 truckloads of interior
           wall stone it was expecting from the stone fabricator, but had not
           received any of the 20-truckload backlog. According to AOC, the
           supply of interior wall stone is adequate for the CVC at this
           time, given the quantity on hand, providing that the fabricator
           continues to deliver about 1,000 pieces a week for the next 12
           weeks. However, AOC said that the pace of installation is such
           that additional delays are likely to occur if the fabricator does
           not deliver the needed stone on time. According to AOC's
           construction management contractor, the sequence 2 contractor has
           installed 4,363 pieces of interior wall stone since the last
           hearing, meeting about 91 percent of its production target. By
           contrast, the sequence 2 contractor has installed only about 1,590
           square feet of floor stone, or about 44 percent of the quantity
           specified in a preliminary floor stone installation plan that the
           contractor provided to AOC shortly after the February 15 hearing.
           In addition, seven of the nine schedule milestones that AOC and we
           have been tracking for the Subcommittee for today's hearing are
           related to interior wall stone installation, and the sequence 2
           contractor has met three of these seven milestones. Although the
           sequence 2 contractor has recently increased the number of stone
           masons working on the project, delays are likely if the targets
           for interior wall and floor stone installation are not achieved.
           The targets could possibly be missed if the masons are less
           productive than planned, work spaces are not ready or available
           for stonework to begin, or the fabricator fails to deliver stone
           on time. During the February 15 hearing, we noted that it was
           critically important for the CVC team to aggressively address this
           area. AOC and its construction management contractor agreed and
           have been tracking interior wall stone installation daily. In its
           February CVC progress report, AOC's construction management
           contractor noted that interior wall stone delivery was the most
           critical issue at that time.
           o  Trade stacking could delay completion. As we discussed during
           the Subcommittee's February 15 CVC hearing, trade stacking could
           hold up finish work, such as drywall or ceiling installation,
           electrical and plumbing work, plastering, or floor stone
           installation. This work could be stacked if wall stone is not
           installed on schedule. Although the pace of wall stone
           installation was essentially maintained in February, it is not,
           according to AOC's construction management contractor, sufficient
           to eliminate the risk of trade stacking and delays in finish work.
           Such a situation could also increase the risk of accidents and
           injuries. Hence, it remains important, as we said at the February
           CVC hearing, for the CVC team to closely monitor construction to
           identify potential trade stacking and promptly take steps to avoid
           or, if necessary, address it. The CVC team has also identified
           trade stacking as a high risk, and the sequence 2 contractor has
           begun to develop area-by-area plans that will show when each
           subcontractor will be working in each area. The sequence 2
           contractor expects to complete these plans over the next few weeks
           and to meet regularly with its subcontractors to review and update
           the plans. We believe this is a positive step but note that
           further delays in completing wall stone installation could still
           limit the available work space, making it difficult for all the
           trades to complete their work on schedule. AOC agrees and plans to
           monitor this situation during its weekly risk management meetings
           with the CVC team.

           o  Complex building systems remain a significant risk. The CVC
           will house complex building systems, including systems for
           heating, air conditioning, and ventilation; fire protection; and
           security. These systems not only have to perform well
           individually, but their operation also has to be integrated. If
           the CVC team encounters any significant problems with their
           functioning, either individually or together, during commissioning
           or acceptance testing, the project could be seriously delayed. The
           shop drawings for the CVC's fire protection system, which are
           expected by the end of this week, have not yet been approved by
           AOC's Chief Fire Marshal. Delays could arise if the proposed
           system does not meet the design specifications or fire protection
           code requirements. In addition, the Chief Fire Marshal notes that
           delays could arise if the CVC team does not adequately pretest the
           system and correct any problems found during the pretesting. The
           CVC team is aware of these risks and has been taking steps to
           mitigate them as part of its risk management process. During the
           Subcommittee's February 15 CVC hearing, we suggested that the CVC
           team reassess its risk mitigation plans to ensure that it has
           identified the steps necessary to prevent major problems during
           the building systems' commissioning or testing and has measures in
           place to deal quickly with any such problems should they arise.
           AOC agreed and said that the CVC team will be continuously
           assessing this situation as part of its risk management process.
           It is also important to note that the Chief Fire Marshal's timely
           completion of the fire protection system's acceptance testing
           depends on his ability to obtain sufficient funding for a
           contractor to help his staff perform the tests. We will discuss
           this funding issue later in our testimony.

           o  Building design continues to evolve. The CVC has undergone a
           number of design changes. Some of these changes, such as changes
           in the exhibit gallery and in the East Front, have resulted in
           delays. In addition, designs or shop drawings for some elements of
           the project, such as certain security features, space for the
           Capitol guide service, and aspects of the facility's fire
           protection systems, have not yet been completed or fully approved
           and are subject to change. Moreover, eight design changes or
           clarifications have been issued since January 25, 2006. Additional
           design changes are being considered and have the potential to
           cause further delays. During the Subcommittee's February 15 CVC
           hearing, we said it would be important for the CVC team to
           carefully consider the need for proposed scope and design changes
           and try to minimize the impact of necessary changes on the
           project's schedule and cost. AOC agreed and said it plans to make
           only necessary design changes.

           o  Multiple critical activity paths complicate schedule
           management. In reporting on the project's February 2006 schedule,
           AOC's construction management contractor identified 20 critical
           activity paths that are important to the project's on-time
           completion-2 more paths than the contractor identified in
           reporting on the project's January 2006 schedule. According to the
           contractor's report on the project's February 2006 schedule,
           several of these activities fell behind schedule during the month
           and could delay the project's completion if the lost time cannot
           be recovered. As we have said in a number of our previous
           testimonies on the CVC, having a large number of critical and
           near-critical activities complicates project management and
           increases the risk of missing completion dates. We believe that
           the CVC team will be particularly challenged to manage all of
           these areas concurrently and to deal effectively with problems
           that could arise within these areas, especially if multiple
           problems arise at the same time. During our February 15 testimony,
           we said that it would be important for the CVC team to reassess
           its capacity to effectively manage and coordinate the schedule and
           work for the remainder of the project. According to AOC, the CVC
           team has done this and believes that it has the needed capacity.
           While we believe that the steps being taken by the sequence 2
           contractor to address trade stacking should, if effectively
           implemented, help in managing these critical activities, we
           continue to be concerned about this issue and plan to monitor it
           closely as the project proceeds.

           o  Opening the CVC and expansion spaces at different times is
           likely to result in a temporary cap on CVC occupancy and increase
           costs. As we reported during the Subcommittee's February 15 CVC
           hearing, AOC's current plan to open the CVC in April 2007 before
           the expansion spaces are scheduled for completion is likely to
           result in a temporary cap on visitor occupancy and a need to
           construct temporary emergency exits for fire and life safety
           protection.5 AOC is proposing this sequential approach because it
           believes that conducting the acceptance testing for the fire
           protection system for the CVC and the expansion spaces
           concurrently would delay opening the CVC to the public. Although
           AOC has not yet estimated the additional costs associated with the
           temporary measures that would need to be taken, it does not
           believe they will be substantial. During our February 15
           testimony, we said that it would be important for AOC to identify
           and consider the pros and cons (including the estimated costs) of
           opening the CVC and expansion spaces at about the same time and
           provide this information to Congress. AOC agreed and said that a
           senior superintendent with its construction management contractor
           will be evaluating this situation and that AOC will provide the
           information to Congress when the evaluation is complete.

           Finally, as we have said in previous discussions with AOC, its
           construction management contractor, and the Subcommittee, it will
           be important for AOC to have adequate analysis and documentation
           of the reasons and responsibilities for delays.6 We discussed this
           issue with AOC and its construction management contractor again
           last week, and they agreed to reassess this area and get back to
           us after the reassessment is done. They said that although they
           had received requests related to accelerating sequence 2 work,
           they had not yet received any requests from contractors for
           payment of costs related to delays encountered during sequence 2.
           However, they consider such requests likely in the future and
           agree that they need good information for evaluating them.

           In February, we estimated that the total cost to complete the
           entire CVC project would be about $555 million without an
           allowance for risks and uncertainties and could be as much as
           about $584 million with such an allowance. To date, about $528
           million has been provided for CVC construction. This amount does
           not include about $7.7 million that was made available for either
           CVC construction or operations.7 According to AOC, it expects to
           use about $2 million of this amount for construction. To obtain
           the additional funding that it expected to need to complete the
           project's construction, AOC, in December 2005, requested $20.6
           million as part of its budget request for fiscal year 2007. This
           request was based, in part, on discussions with us and took into
           account our November 16, 2005, estimate of the cost to complete
           the project's construction without an allowance for risks and
           uncertainties and funding from existing appropriations. Our
           subsequent work-completed in preparation for the Subcommittee's
           February 15 CVC hearing- indicated that AOC would need about $5
           million more, or about $25.6 million in additional funds, to
           complete construction without an allowance for risks and
           uncertainties. AOC has indicated that it plans to request this
           additional $5 million as a supplement to its fiscal year 2007
           budget for CVC construction.

           In February 2006, AOC contracted with a fire protection
           engineering firm, in part, to help AOC's Fire Marshal Division
           inspect, test, and review plans for the CVC's fire protection
           system. AOC has not yet received the final shop drawings for this
           system, but it preliminarily estimates that these contractual
           support services will cost about $1,150,000. According to AOC, it
           may be able to reduce these expected costs and it will be
           exploring ways to do so. On the basis of AOC's preliminary
           estimate and belief that the expected costs may be reduced, we
           added $1 million to our $555 million estimate of the cost to
           complete the entire project without an allowance for risks and
           uncertainties, bringing our total estimate to $556 million. We did
           not, however, change our $584 million estimate of the cost to
           complete the entire project with an allowance for risks and
           uncertainties, since contractual support costs for acceptance
           testing would be covered under such an allowance. Nor did we
           change our $25.6 million estimate of the additional CVC
           construction funds AOC would need because AOC has used and plans
           to use a different appropriation account to pay for this
           contractual support. AOC has used and plans to use its general
           administration account because this contractual support is needed
           to accommodate an overall increase in the Fire Marshal Division's
           workload, including its CVC-related work. AOC plans to use a total
           of $200,000 in fiscal year 2006 general administration
           appropriations to pay for contractual support for the CVC's
           acceptance testing and has requested another $450,000 in fiscal
           year 2007 general administration appropriations. After AOC has
           received the final shop drawings for the CVC's fire protection
           system and has explored ways to reduce the cost of needed
           contractor support, it plans to reprioritize its fiscal year 2007
           general administration budget request to obtain the remainder of
           the funding needed. At this time, AOC expects this amount to be
           somewhat less than $500,000, which would bring the total fiscal
           year 2007 funding needed for contractual support for CVC
           acceptance testing to about $950,000. We plan to monitor and
           report to the Subcommittee on these costs as soon as AOC has a
           firmer estimate.

           Mr. Chairman, this completes our prepared statement. We would be
           pleased to answer any questions that you or Members of the
           Subcommittee may have.

           For further information about this testimony, please contact
           Bernard Ungar at (202) 512-4232 or Terrell Dorn at (202) 512-6923.
           Other key contributors to this testimony include Shirley Abel,
           John Craig, Maria Edelstein, Elizabeth Eisenstadt, Brett
           Fallavollita, Jeanette Franzel, Jackie Hamilton, Bradley James,
           Scott Riback, and Regina Santucci.

           Table 1 compares the actual with the scheduled completion dates
           for critical sequence 2 construction milestones scheduled to be
           completed by March 15, 2006. Table 2 compares the actual with the
           targeted pace of wall and floor stone installation. The targets
           for wall stone installation are related to the wall stone
           milestones identified in table 1. The preliminary targets for
           floor stone installation are related to milestones that are
           scheduled to be completed after March 15, 2006.

5According to AOC, the CVC's occupancy at any one time would be
temporarily limited to 3,500, compared with about 4,200, the normal
anticipated occupancy level, until acceptance testing of the fire
protection system for the expansion spaces has been completed.

6See for example: GAO, Capitol Visitor Center: Effective Schedule
Management and Updated Cost Information Are Important, GAO-05-811T
(Washington, D.C.: June 14, 2005).

                     Need for Additional Funding Has Grown

7Public Law 108-447, enacted on December 8, 2004, provided that up to
$10.6 million could be transferred from AOC's Capitol Building
appropriation account for the use of the CVC project. The use of the
amount transferred is subject to the approval of the House and Senate
Committees on Appropriations. In June 2005, AOC received approval to use
about $2.8 million of this $10.6 million, leaving a balance of about $7.7
million that can be used in the future after a rescission amounting to
$84,800. AOC recently received approval to use more of these funds; we
will discuss this in our testimony for the next CVC hearing.

                          Contacts and Acknowledgments

Appendix I: Capitol Visitor Center: Critical Construction Milestones and
Stone Installation Targets, February 16-March 15, 2006

Table 1: Critical Construction Milestones, February 16-March 15, 2006

                                                         Scheduled     Actual 
Activity          Location                           completion completion 
Wall Stone Area 2 East Front Basement                   3/06/06 
Wall Stone Area 2 Orientation Lobby Upper Level         2/16/06    3/08/06 
Pedestals                                                       
Wall Stone Area 1 Orientation Lobby Upper Level         2/20/06    2/20/06 
Base                                                            
Wall Stone Area 1 Orientation Lobby Upper Level         3/06/06    3/02/06 
Wall Stone Area 3 Orientation Lobby Upper Level         3/10/06    2/20/06 
Base                                                            
Interior CMU      East Front Subbasement                2/06/06    2/21/06 
Walls                                                           
Hang VP Drywall   Congressional Auditorium Lower        3/13/06 
Ceiling           Level                                         
Wall Stone Area 1 East Front Basement                   2/20/06 
Install Pipe Sta. Utility Tunnel                        3/08/06 
0+00-2+00                                                       

Source: AOC's January 2006 CVC sequence 2 construction schedule for the
scheduled completion dates and AOC and its construction management
contractor for the actual completion dates as of March 13, 2006.

Table 2: Targets for Wall and Floor Stone Installation through March 11,
2006

                  Pieces of interior wall stone  Square feet of interior
                  stone                          floor               
Week starting          Target         Actual   Preliminary target   Actual 
13 Feb. 2006            1,060          1,054                  500      150 
20 Feb. 2006            1,280          1,214                  500        0 
27 Feb. 2006            1,180          1,046                1,200      740 
6 Mar. 2006             1,274           1049                1,400      700 
Total                   4,794          4,363                3,600    1,590 

Source: Sequence 2 contractor for targets and AOC's construction
management contractor for actual amounts installed. According to the
sequence 2 contractor, the targets for floor-stone installation are
preliminary and may change.

(543165)

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