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 shall include the direct cost of the material, including applicable taxes and
delivery to the jobsite. Also, include the operating and direct costs (owned
or rented) and applicable taxes for construction equipment required to install
the listed item, except that the costs for small tools shall be included under
labor costs.
(b) Labor Costs - Bare line item costs for labor shall
include the direct cost of labor, fringe benefits, "fixed" overhead on labor
(i.e., taxes and insurance such as workers' compensation, federal and state
unemployment taxes, social security taxes, builders' risk insurance, public
liability costs, etc.), small tools and foreman. The government will provide
a copy of the prevailing wage rates pertinent to the project location for use
in estimating labor costs. The wage rates will indicate the direct cost of
labor and the costs for fringe benefits only. Taxes and insurance must be
added to these rates to arrive at total bare labor costs.
5) On projects with an ECC of $25,000 or greater, a lump sum cost
for Contractor Quality Control (CQC), System 003, must be shown. Use the
following table to determine estimated costs for CQC at this stage of design:
ECC ($ MILLIONS)
CQC AS % OF ECC
Less than 2
5.0
2 to <3
5.0 - 3.6
3 to <5
3.5 - 3.1
5 to <10
3.0 - 2.6
10 to <15
2.5 - 2.1
15 to <20
2.0 - 1.6
20 to <30
1.5 - 1.1
30 to <40
1.0 - 0.91
40 to 50
0.9 - 0.8
6) COSTS FOR OMSI, PCAS, CONTINGENCY FOR FIELD CHANGE ORDERS AND
SIOH (COST SYSTEMS 041 THROUGH 044) ARE NOT TO BE INCLUDED AS PART OF THE
ESTIMATE. COSTS FOR THESE ITEMS WILL BE SEPARATELY ADDED TO THE ECC BY THE
GOVERNMENT.
7) Individual line item material and labor costs on the cost
estimate backup sheets shall be subtotaled to arrive at a bare cost total for
each system.
b)
Markup Summary Sheets
1) The Markup Summary Sheets summarize markups applied to each
bare cost system total (home office and field overhead, profit, bond, etc.) in
terms of both percentages and total dollar amounts and indicate the grand
total cost for each system. A blank set of Markup Summary Sheets (3 pages
long) is attached to this chapter.
2) The following markups shall be shown and applied to arrive at
a grand total cost for each system (Note: The following markups are not to
be applied to system 003, CQC.) (Refer to Sample #3):
(a) Design Contingency: An appropriate percentage for
design contingency shall be applied to each system bare cost subtotal. The
percentage applied shall correlate with the level of design completion.
(b) Overhead and Profit (OH&P): OH&P costs shall be shown
as percentage allowances applied to the subtotal of bare costs + design
contingency in the schematic backup cost estimate. Where systems are to be
subcontracted, show separate percentages for the subcontractor's OH&P in
addition to the percentages shown for the general contractor's OH&P. In these
instances, overhead refers to the general contractor's and/or subcontractor's
cost to do business, i.e., his home office and field overhead (sometimes
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