Escolar Documentos
Profissional Documentos
Cultura Documentos
◦ Education
B.S. in Building Theory and Practice – Washington State University
Masters in Building Construction – University of Florida
◦ Other
2 books, many scholarly papers, given many professional seminars
Latest seminar for the ASCE – Atlanta (2 days)– Fundamentals of
Construction Estimating
And ASCE – Panama (Panama Canal Authority – 10 days) Const. Estimating
Learning Outcomes for
(Estimating for Heavy Construction
and Unit Price Bids)
The attendee will be able to:
◦ Discuss how heavy construction estimating is
different from commercial estimating
◦ Describe a unit price bid
◦ Decide when and where the different types of
estimates are used
◦ Illustrate the different parts of the unit price
estimate and describe them
◦ Explain how the different types of cost play a
role in heavy construction estimating
Session Outline
Programming Team
& Scope Definition Selection
Confirm Project
Scope and Program
Procurement is the
methodology used to buy
design and construction
services.
Construction Contracts
Method of pricing Method of award
◦ Fixed-price ◦ Competitively Bid
Lump sum contract contracts
Unit price contract With designer doing
Project Supervision
◦ Cost-plus With CM – agency
Cost plus percentage CM at Risk
of cost Design Build
Cost plus fixed fee
Cost plus fixed fee ◦ Negotiated contracts
with a targeted GMP
maximum cost Design Build
Cost plus incentive Negotiated Lump
fee sum
CM at Risk
◦ Guaranteed Max Price
GMP plus percentage
of cost
GMP plus fixed fee
GMP plus a fixed fee
plus share of savings
- incentive
Procurement Options
Contractual Relationship
Owner to constructor
Responsibilities
Owner Program, finance, management
Designer Prepares plans & specs, normal
services
Constructor Prime and sub construction
Design-Bid-Build
Advantages
RAPIDLY
MAJOR DECREASING LOW
INFLUENCE INFLUENCE INFLUENCE
Large
High
COST
INFLUENCE
Low Small
Specifications Group
General Requirements
Subgroup
1 General Requirements 01 General Requirements
Divisions
MasterFormat 1995 MasterFormat 2004
Facility Construction
Subgroup
2 Site Construction 02 Existing Conditions
3 Concrete 03 Concrete
4 Masonry 04 Masonry
5 Metals 05 Metals
6 Wood and Plastics 06 Wood, Plastics, and Composites
20 Reserved
13 Special Construction 21 Fire Suppression
15 Mechanical 22 Plumbing
15 Mechanical 23 Heating, Ventilating, and Air
Conditioning
24 Reserved
Divisions
MasterFormat 1995 MasterFormat 2004
Facility Services Subgroup
(continued)
Division 31 - EARTHWORK
Divisions
MasterFormat 1995 MasterFormat 2004
Process Equipment Subgroup
11 Equipment 40 Process Integration
11 Equipment 41 Material Processing and
Handling Equipment
11 Equipment 42 Process Heating, Cooling and
Drying Equipment
11 Equipment 43 Process Gas and Liquid
Handling, Purification and Storage
Equipment
Divisions
MasterFormat 1995 MasterFormat 2004
Process Equipment Subgroup
(continued)
11 Equipment 44 Pollution Control Equipment
11 Equipment 45 Industry-Specific Manufacturing
Equipment
46-47 Reserved
16 Electrical / 13 48 Electrical Power Generation
Special Construction
49 Reserved
Unit Prices
Standard Units
◦ Defined in Standard Specifications
Unit Bid Items / Bid
03-0E2004 BID245
03-SIE-49-2 C O N T R A C T P R O P O S A L O F L O W B I D D E R PAGE 7
04/23/08 04/27/08
-----------------------------------------------------------------------------------------------------------------------------------
ITEM ITEM UNIT OF ESTIMATED
NO. CODE ITEM DESCRIPTION MEASURE QUANTITY BID AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
1 074016 CONSTRUCTION SITE MANAGEMENT LS 1 10,000.00
10,000.00
2 (S) 074017 WATER POLLUTION CONTROL PROGRAM LS 1 1,000.00
1,000.00
3 074032 TEMPORARY CONC WASHOUT FACILITY EA 1 1,500.00
1,500.00
4 (S) 120090 CONSTRUCTION AREA SIGNS LS 1 3,000.00
3,000.00
5 (S) 120100 TRAFFIC CONTROL SYSTEM LS 1 150,000.00
150,000.00
6 (S) 128650 PORTABLE CHANGEABLE MESSAGE SIGN LS 1 20,000.00
20,000.00
71 50662 REMOVE METAL BEAM GUARD RAILING LF 6,520 6.00
39,120.00
8 150771 REMOVE ASPHALT CONCRETE DIKE LF 840
10.00 8,400.00
9 011868 REMOVE PRECAST CONC POST SUPPORT EA 2 2,500.00
5,000.00
10 (S) 153103 COLD PLANE ASPHALT CONC PAVEMENT SQYD 550 30.00
16,500.00
11 160101 CLEARING AND GRUBBING LS 1 10,000.00
10,000.00
12 190101 ROADWAY EXCAVATION CY 450 125.00
56,250.00
13 193006 STRUCTURE BACKFILL (SLURRY CEMENT) CY 45 250.00
1,250.00
14 260201 CLASS 2 AGGREGATE BASE CY 23 250.00
5,750.00
15 390132 HOT MIX ASPHALT (TYPE A) TON 550 100.00
55,000.00
16 394077 PLACE HOT MIX ASPHALT DIKE (TYPE F) LF 1,410 5.00
7,050.00
17 394090 PLACE HOT MIX ASPHALT (MISC AREA) SQYD 2,380 35.00
03-0E2004 BID245
03-SIE-49-2 C O N T R A C T P R O P O S A L O F L O W B I D D E
R PAGE 7
04/23/08 04/27/08
--------------------------------------------------------------------------------------------
----------------
ITEM NO. ITEM
UNIT OF
CODE DESCRIPTION
MEASURE
--------------------------------------------------------------------------------------------
----------------
ESTIMATED UNIT
BID
QUANTITY PRICE
AMOUNT
--------------------------------------------------------------------------------------------
----------------
2 (S) 074017 WATER POLLUTION CONTROL
PROGRAM LS 1 $
1,000.00 $ 1,000.00
_______________________________________________________
_____
4 (S) 120090 CONSTRUCTION AREA SIGNS
LS 1 $ 3,000.00
$ 3,000.00
_______________________________________________________
______
5 (S) 120100 TRAFFIC CONTROL SYSTEM
LS 1 $ 150,000.00
$ 150,000.00
___________________________________________________
__________
7 1 50662 REMOVE METAL BEAM GUARD RAILING
UNIT OF ESTIMATED UNIT BID
MEASURE QUANTITY PRICE AMOUNT
------------------------------------------------------------------------------
LS 1 $ 98,000.00 $ 98,000.00
TOTAL $ 980,685.00
Heavy Estimates take on two styles:
Major Differences
◦ Larger labor component
◦ Larger equipment component
◦ Very few Subcontractors
◦ More self performed work
◦ Not as many activities or work items
◦ Work items are often quantified by the
agency for Unit Price Estimates
Structure of a Lump Sum
Estimate and Bid
Summary Sheet Headings
◦ Description
◦ Labor
◦ Material (often called Permanent Materials)
◦ Consumables / Expendables (often called
Expendable Materials)
◦ Subcontractors
◦ Equipment Operating Costs or Expense
◦ Repair Costs (Labor item)
◦ Rental Costs or Company Equipment Costs
◦ Total
Typical Lump Sum Bid
Description Labor Materials Expendables Subs Equip Repairs Rent Total
Operating
Costs
Direct
Costs
Jobsite
Indirect
Costs
End of Bid
Items
Total Bid
Typical Unit Price Bid
03-0E2004 BID245
03-SIE-49-2 C O N T R A C T P R O P O S A L O F L O W B I D D E R PAGE 7
04/23/08 04/27/08
-----------------------------------------------------------------------------------------------------------------------------------
ITEM ITEM UNIT OF ESTIMATED
NO. CODE ITEM DESCRIPTION MEASURE QUANTITY BID AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
1 074016 CONSTRUCTION SITE MANAGEMENT LS 1 10,000.00 10,000.00
2 (S) 074017 WATER POLLUTION CONTROL PROGRAM LS 1 1,000.00 1,000.00
Work quantity
Relationship of the work
quantity to the Bid Item
How can an
04/23/08 04/27/08
|------------------------------ |-------------------------------
ITEM| SIXTH | SEVENTH
Owner tell
| BID AMOUNT | BID AMOUNT
|------------------------------ |-------------------------------
1 | 8,000.00 8000.00 | 650.00 650.00
or why
2 | 1,500.00 1500.00 735.00 735.00
3 | 2,000.00 2000.00 | 2,300.00 2300.00
4 | 3,200.00 3200.00 | 1,540.00 1540.00
5 | 146,000.00 146000.00
6 | 12,500.00 12500.00
7 | 10.00 65200.00
| 112,777.24
| 4,800.00
| 6.80
would they
112777.24
4800.00
44336.00
8 | 11.00
9 | 2,000.00
10 | 18.00
9240.00
4000.00
9900.00
| 21.00
| 480.00
| 15.70
17640.00
960.00
8635.00
even
11 | 10,000.00 10000.00
12 | 65.00
13 | 340.00
29250.00
15300.00
| 15,124.00
| 556.80
| 5,346.66
question
15124.00
250560.00
240599.70
14 | 240.00
15 | 130.00
5520.00
71500.00
| 401.99
| 127.73
9245.77
70251.50 the
Contractor’
16 | 4.50 6345.00 | 2.35 3313.50
17 | 35.00 83300.00 | 30.03 71471.40
18 | 4,800.00 23520.00 | 1,885.70 9239.93
s Unit
19 | 2,200.00 52800.00 | 3,450.00 82800.00
20 | 2,000.00 64000.00 | 3,400.00 108800.00
21 | 5.00 4580.00 | 8.20 7511.20
Prices?
22 | 50.00 3450.00 | 42.00 2898.00
23 | 50.00 200.00 | 41.80 167.20
24 | 30.00 200700.00 | 29.24 195615.60
25 | 35.00 14350.00 | 43.50 17835.00
26 | 6,600.00 66000.00 | 3,600.00 36000.00
27 | 120.00 600.00 | 98.00 490.00
28 | 1,250.00 6250.00 | 624.00 3120.00
29 | 3,000.00 9000.00 | 2,800.00 8400.00
30 | 11.00 3850.00 | 6.72 2352.00
31 | 100,000.00 100000.00 | 157,316.00 157316.00
TOT 1,032,055.00 1,487,484.04
Other Bid # 3 Other Bid # 5
Possible Example
Remember earlier we spread our indirects and end of
bid items over our direct cost items.
We did that based on each cost items value and gave
each item a piece of the indirect costs based on that
value. More costly items got more of the indirect cost.
Instead of doing a percentage of each direct cost item,
one could allocate any amount of the indirect costs to
that bid items.
We could even go so far as moving direct costs onto
another direct cost in increase its total, keeping in
mind that we would want to keep the total the same
as a balance bid.
Example of Unbalancing:
Fixed Costs, In-directs, etc.
Flow chart of the Heavy Bid Process
Begin Takeoff
Estimator begins takeoff of quantities of
for Self Work
work this contractor will do with their own
forces. They will review the
specifications for what to include in both
the pay quantities and work quantities.
Request for
Material Quotes Estimator determines the scope of
materials and sends out for quotes.
Heavy contractors often control their own
materials. i.e. rock, asphalt, concrete
Site Visit
Estimator schedules a site visit
(Mandatory vs. Voluntary).
Preparation for Pricing Continued:
Request for
Sub bids
Labor Pricing
Material Pricing
Plant and
Equipment Pricing
Estimate Summary
Bid or
Adjustment to Award of
Proposal
Bid or Proposal Project
Submission
Questions?