BPM006010_ATTACH_13_Pricing_Document.pdf

Request for Proposal

Solicitation No. BPM006010

ASRAC Assessment and Remediation of Hazardous Substances

Arizona Department of Environmental Quality (ADEQ)

1110 W. Washington Street Phoenix, AZ 85007

Solicitation Attachment 13 – Pricing Document | Revision No. 1 | Revised 04-23

Attachment 13 – Pricing Document

Offeror to complete ALL ITEMS in Attachment 13 - Pricing Document in its entirety. In addition, Offeror is to complete the Excel Pricing Sheet, which includes the hourly personnel classifications. Both Attachment 13 (this Word document) and Attachment 13 – Pricing Sheet (Excel document) must be completed and attached to the offer to be valid.

Failure to return a completed Word Attachment 13 - Pricing Document AND the Excel Attachment 13 – Pricing Sheet may result in the rejection of the offer.

Offeror shall complete the Line Item in the Items (F) tab in the Arizona Procurement Portal (APP) system by inputting one-dollar ($1.00) in the “Unit Price” field to ensure offer submission for the Offer to be considered.

Pricing shall be submitted on an all-inclusive basis and shall include all costs associated with performance of the Scope of Work, including without limitation, labor rate, labor benefits, payroll burden, insurance, Workman’s Compensation, fees, all taxes, profit, overhead (including repairs and maintenance if applicable), administrative costs, reporting and all other related cost factors for services offered in response to this solicitation. ADEQ will not reimburse any item other than the all-inclusive rates contained in the Pricing Schedule. The Pricing Schedule is not meant to indicate all costs related to additional services.

Indicate whether organization will offer a prompt payment discount, please complete one or more that will apply:

DISCOUNT WILL BE ____% IF ADEQ PAYMENT ISSUANCE DATE TO CONTRACTOR IS WITHIN SEVEN (7) CALENDAR DAYS FROM

ADEQ’S RECEIPT OF INVOICE.

DISCOUNT WILL BE ____% IF ADEQ PAYMENT ISSUANCE DATE TO CONTRACTOR IS WITHIN TEN (10) CALENDAR DAYS FROM ADEQ’S

RECEIPT OF INVOICE.

DISCOUNT WILL BE ____% IF ADEQ PAYMENT ISSUANCE DATE TO CONTRACTOR IS WITHIN ____ (__) CALENDAR DAYS FROM ADEQ’S

RECEIPT OF INVOICE.

Offeror to include one or two paragraph(s) describing how Offeror derived pricing proposed in Pricing Document.

Request for Proposal

Solicitation No. BPM006010

ASRAC Assessment and Remediation of Hazardous Substances

Arizona Department of Environmental Quality (ADEQ)

1110 W. Washington Street Phoenix, AZ 85007

Solicitation Attachment 13 – Pricing Document | Revision No. 1 | Revised 04-23

Offeror Response:

CDM Smith’s pricing was determined based on the following process.

First, we identified several staff persons for each category who would be likely to participate in the types of projects anticipated to be awarded via this contract and tabulated their raw pay rates.

The raw hourly rate for each potential staff person was marked up with the following:

A multiplier of 2.763 is added to the raw rates to cover overhead costs for our North American Unit and Technical Services Unit employees, converting raw rates into burdened rates. For employees in our India Global Resources Center, burdened rates are looked up directly and already include the India GRC overhead.

4% escalation is added to cover the period from April 1, 2024 through March 31, 2025. Most staff receive salary raises effective April 1 of each year. For 2024, CDM Smith used 4% of salaries as a total budget for salary increases.

4% escalation is added to cover the period from April 1, 2025 through March 31, 2026.

Work done between April 1, 2026 and the two-year anniversary of the contract can be done at the proposed rates. It is assumed that rate increases will be provided upon the two-year anniversary of the contract.

A markup of 10.5% is added to the escalated burdened rates for profit.

This amounts to a total escalation of the burdened rates of 19.5%, and an anticipated profit percentage of 9.5%. The 9.5% profit percentage is based on anticipated labor costs during the period of April 1, 2025 through March 31, 2026.

We compared the resulting billing rates for the staff people identified for each category, and selected a single representative billing rate for each category that would be at least as high as some but not necessarily all of the potential staff in that category.

We rounded this rate up to the nearest dollar.

End of Attachment 13

Indicate whether organization will offer a prompt payment discount, please complete one or more that will apply: