CECW-EC

DEPARTMENT OF THE ARMY U.S. Army Corps of Engineers Washington, DC 20314-1000

ETL 1110-2-573

Technical Letter No. 1110-2-573 EXPIRES 30 SEPTEMBER 2013 Engineering and Design CONSTRUCTION COST ESTIMATING GUIDE FOR CIVIL WORKS TABLE OF CONTENTS

30 September 08

Paragraph Chapter 1. Introduction Purpose Applicability Distribution Statement References Scope Program Specific Requirements Document Organization Background Project Delivery Team Responsibilities Technical Reviews Chapter 2. Types of Construction Cost Estimates General 2.1 Estimate Structure 2.2 Estimates for Reconnaissance Phase 2.3 Estimates for Feasibility Phase 2.4 Estimates During Engineering and Design Phase 2.5 Independent Government Estimates for Contract Award 2.6 Estimates for Contract Modifications and Other Negotiated Procurement 2.7 Dredging Estimates 2.8 Life Cycle Cost Study Support 2.9 Estimates for Operation, Maintenance, Repair, Rehabilitation, and Replacement 2.10 Estimates to Support Other Programs 2.11 i 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11

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1-1 1-1 1-1 1-1 1-1 1-1 1-2 1-2 1-3 1-3 1-5

2-1 2-1 2-4 2-5 2-8 2-9 2-10 2-10 2-11 2-11 2-12

1 4.4 5.4 4. Direct Cost Development General Crews Labor Labor Productivity Construction Equipment and Plant Materials and Supplies Subcontracted Work Chapter 5. Independent Government Estimates General Contract Cost Details and Analysis of Construction Contract Costs Support to the Estimate Miscellaneous Support Data Estimate and Schedule Quality Review Revision to Independent Government Estimate 7.4 6-1 6-1 6-7 6-8 5.5 3-1 3-1 3-3 3-5 3-6 ii .3 3.3 6.7 7-1 7-2 7-2 7-4 7-5 7-5 7-6 6.5 7. and Escalation General Risk Analysis Contingency Cost Escalation Chapter 7.7 4-1 4-1 4-1 4-6 4-8 4-11 4-14 3.3 7.4 7.5 4.3 4.1 7.6 4.1 3. Preparing Construction Cost Estimates General Planning the Estimate Quantity Development Construction Unit Costs Safeguarding Cost Estimates Chapter 4.1 5.5 5-1 5-1 5-5 5-11 5-17 4.4 3.2 3. Risk.2 4. Indirect Costs General Overhead Costs Profit Surety Bonds Taxes Chapter 6. Contingency.3 5.2 6.2 5.ETL 1110-2-573 30 Sep 08 Chapter 3.1 6.2 7.6 7.

2 9.1 9.4 9-1 9-1 9-2 9-3 LIST OF APPENDIXES Appendix A Appendix B Appendix C Appendix D Appendix E Appendix F Appendix G Appendix H Appendix I Appendix J Glossary References Total Project Cost Summary Tri-Service Automated Cost Engineering Systems Preparation of Dredge Cost Estimates Sample Estimate Sheets and Forms Sample Quality Review Checklist Cost and Schedule Risk Analysis Sample Checklist for Cost Estimate Preparation or Reviewer Checklist Protests or Litigation Concerning the Independent Government Estimate Job Office Overhead Template iii .1 8.11 8.9 8.6 8. Independent Government Estimates for Contract Modifications General Reviewing Documents Determine Status of Construction Contractor's Existing Methods Current Labor and Equipment Rates Scope of Work Coordination Preparation of Cost Estimates and Negotiation Detail of Estimate Basis of Estimate Estimate Preparation Impact Cost and Schedule Cost Engineering Support Estimate Revisions 8.12 8.13 8-1 8-1 8-1 8-1 8-1 8-1 8-2 8-2 8-3 8-3 8-3 8-5 8-5 Chapter 9.7 8.4 8.3 8.5 8. Quality Reviews General District Quality Control Review Independent Technical Review External Independent Technical Review 9.8 8.ETL 1110-2-573 30 Sep 08 Chapter 8.10 8.2 8.3 9.

..... Civil Works Work Breakdown Structure ............ 5-9 Classes of Bonds .................. Performance and Payment Bond (completion time not to exceed 12 months) with Deviating Rates ........ Figure 5-1........................ 4-8 Weighted Guidelines Profit Sheet ....................................................................................... 2-2 Overtime and Shift Differential .................................................................................... 4-3 Job Office Overhead Costs ............ 5-16 Table 5-5..................................................................................... Figure 6-2.................... 7-1 iv ............... 5-2 Factors for Profit Determination ............... Table 5-4......................... 6-3 Sample Risk Register ... 5-12 Performance and Payment Bond (completion time not over 12 months) with Non-Deviating Rates ..... Table 5-1...... 5-8 Recommended Risk Analysis Process ....................... Effects on Worker Productivity from Long Periods of Overtime ................................ Performance and Payment Bond (not to exceed 24 months) with NonDeviating Rates .. Table 4-1...... 6-5 Example Composition of an Independent Government Estimate.. Figure 6-1...................................................................ETL 1110-2-573 30 Sep 08 LIST OF TABLES Table 2-1.............................. Table 5-2.............................................................. 5-17 LIST OF FIGURES Figure 4-1.... Figure 7-1......... 5-17 Table 5-6................................................................... Table 5-3.....................................................