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within the ECC.
If, after having taken all the steps outlined above, the A/E still determines
that the cost estimate will exceed the ECC, then the A/E shall contact the DM
for further direction at least one (1) week prior to making the design
submittal.
12.2.2
Cost Estimating Criteria
In addition to the specific instructions included herein, the A/E shall
prepare all cost estimates in accordance with the applicable or referenced
portions of MIL-HDBK-1010, "Cost Engineering:  Policy and Procedures."
12.2.3
General Basis for Cost Estimate Pricing
The A/E shall prepare all cost estimates to accurately reflect what the
government may reasonably anticipate as a low bid for the construction of the
project based on an unrestricted competitive advertisement.  (Where
procurement of construction is to be by other than a low bid unrestricted
competitive advertisement, such as small disadvantaged business set asides,
the government shall be responsible for making appropriate adjustments, if
any, to the A/E prepared cost estimate.)  The A/E shall utilize both standard
and specialized cost estimating techniques and practices to arrive at an
anticipated final construction cost for the project based on the requirements
of the design documents.  The A/E prepared cost estimate shall include
consideration of geography (project location), local conditions, labor costs,
marketplace conditions, complexity of the design, special design features,
escalation and anticipated bidding climate at the time of project
advertisement and shall reflect the A/E's working knowledge of trends
affecting the construction industry.
12.2.4
Cost Estimate Submittal Formats
12.2.4.1
NORTHDIV Format
Cost estimate submittal items listed herein shall be prepared either manually
or by computer submitted in a separate booklet.  Many of the submittal items
required are available from NORTHDIV in computerized spreadsheet format.
These are:
a)  Cost Estimate Backup Sheet (NAVFAC 11013/7 form) (for system cost
estimating)
b)  Cost Estimate Backup Sheet (NAVFAC 11013/7 form) (for detailed
material and labor cost estimating)
c)
Markup Summary Sheets
d)
Building Budget Estimate Summary Sheet
e)
Cost Analysis Sheet
f)
Cost Tracking Sheet
g)
Checklist of Overhead Cost Items
System requirements for running the computerized versions of the above listed
submittals items are as follows:
a)
IBM or IBM compatible computer with 256K RAM minimum
b)
Lotus 1-2-3 (Release 2.01 or later)
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