Republic Act (RA) No.

8182, also known as the ODA Act of 1996, as amended by RA 8555,

mandated NEDA to conduct an annual review of the status of all projects financed by ODA and identify
causes of implementation and completion delays or reasons for bottlenecks, cost overruns (actual and
prospective), and continued project or program viability. NEDA is required to submit to Congress a
report on the outcome of the review not later than June 30 of each year.

Flyvbjerg defines Cost overrun as the the actual cost exceeds estimated cost, with cost measured
in the local currency, constant prices, and against a consistent baseline. Overrun is typically measured in
percent of estimated cost, with a positive value indicating cost overrun and a negative value underrun.
Size, frequency, and distribution of cost overrun should all be measured as part of measuring cost
overrun for a certain investment type. Cost overrun is the difference between actual and estimated
capital costs for an investment.

Cost overruns Cost overrun is defined as additional costs over and above the Investment
Coordination Committee (ICC)-approved project cost (Section 2.1 of the IRR of the ODA Act)