Managing a program of this size, complexity, and cost requires a consistently high level of diligence in applying accepted project management practices. However, Caltrans has not fully incorporated generally accepted standards for project management. This report considers Caltrans' efforts in managing project risk, cost, and communications—areas in which it could have guided the program better to achieve the maximum chance of success. In the area of risk management, the report focuses on the East Span, which accounts for $2.5 billion of the $3.2 billion in cost overruns and the four-year delay. Although Caltrans took steps to identify and mitigate risks to the East Span project, such as hiring consultants to perform a risk assessment in February 2003, it lacked a comprehensive risk management plan for the East Span. Without a risk management plan, Caltrans never defined its risk management activities for the program. As a result, Caltrans lacked processes to identify, track, and quantify risks throughout the project's life.
[emphasis added]