If the railroad company uses its own

workforce

to perform the work, reimbursement is usually made on a lump sum basis. The reimbursement for an individual crossing will be determined by multiplying the length of crossing surface panels along the track by the cost per track foot agreed upon with the railroad company. Lump sum reimbursements typically occur when a Master Agreement exists with the railroad company.

Actual cost reimbursement to the railroad company may also be used. In these scenarios, a cost estimate is developed prior to construction by the railroad company and approved by

RRD

. Actual cost reimbursement is typically used when a Master Agreement does not exist with the railroad company.

Project costs and method of reimbursement (actual or lump sum) are approved in the individual project agreement.