Presentation on theme: "Construction Cost Estimation Michael Mincic Civil Engineering Technology Department 22 February 2007."— Presentation transcript:
Construction Cost Estimation Michael Mincic Civil Engineering Technology Department 22 February 2007
Civil Engineering Technology at CSU- Pueblo Bachelor of Science CET –Four year degree accredited by the Accreditation Board for Engineering and Technology TAC- (ABET)
Outline 1.Construction Cost Estimating 2.Bid Documents 3.The Estimation Process 4.Cost of Construction Labor & Equipment
Construction Cost Estimating Estimating is not an exact science! Construction knowledge Common sense Good judgment Lots of Luck!!!
Types of estimates The construction process players –The Owner –The Designer –The Contractor Approximate Estimates Detailed Estimates
Organization of Estimates See Steps for preparing a detailed estimate (pg. 8, Table 1.2) CSI Format –Building Construction –16 major divisions WBS Format –Heavy Engineering
Awareness of Estimation Items Quantity Take-Off Labor and Equipment crews Checklist of Operations Bid Documents Addenda & Change Orders Overhead Material Taxes Labor Costs Workmen’s Compensation Insurance Labor Burden Bonds Insurance
Bid Documents & Contract Documents Bid Document –Before Agreement Contract Document –After Agreement Architect – building type Engineer –Heavy/Industrial
Bid Documents Contract Requirements Arrangement of Contract Documents –Business/legal matters –Technical matters Building Construction Specs Heavy/Highway Specs
Bid Documents Requirements Bid Solicitation Instructions to Bidders –Time of completion –Obligation of Bidder Information Available to Bidders Bid Forms –Lump sum –Unit price
Drawings Heavy/Highway –Plan, profile, earthwork, cross section, details, schedules, etc. Building Construction Drawings –Civil –Architectural –Structural
Decision to Bid Assess the desire to Bid –Do we want to bid this project? –Do we have the skills to complete this project? –Do we have the available labor to complete this project? –Do we have the necessary equipment to complete this project? –Do we have experience with similar projects? –How busy are we? –Can we bond for the additional work with the existing projects?
Additional Decisions to Bid Geographic Location Complexity of the Project Owner’s Reputation Designer’s Reputation Do we want to expand?
Sources of Labor Rates Union Wage –Predetermined by contractor’s union Open-Shop –Agreed upon by the employer and employee Prevailing rate –Dependant on the local area The Cost of Labor
Employee Costs Social Security Tax Unemployment Compensation Tax Worker’s Compensation Insurance Public Liability & Property Damage Insurance Fringe Benefits