In construction, project overhead typically includes all of the following EXCEPT:

In construction, project overhead refers to the indirect costs that are not directly tied to a specific project but are necessary for the overall operation of the project. These costs can include a variety of expenses that help in the management and administration of the construction activities.

Utilities, local taxes, and insurance are all costs that fall under project overhead. Utilities are essential services required to maintain a worksite, local taxes are obligatory financial contributions based on the project's location, and insurance costs protect the project from potential liabilities.

On the other hand, materials are considered direct costs, as they are specifically tied to the actual construction work being performed. Materials include items like cement, steel, fixtures, and other supplies that are used in the construction process. Because they can be allocated directly to a particular project, they do not fall under the umbrella of project overhead. Understanding the distinction between overhead and direct costs is crucial in construction accounting and budgeting.