01_20_05_-_Cost_Estimating_Requirements.docx

Navajo Gallup Water Supply Project Cutter Lateral - Water Treatment Plant and Reach 21 Solicitation No.

SECTION 01 20 05

COST ESTIMATING REQUIREMENTS

GENERAL

MEASUREMENT AND PAYMENT

0. In accordance with Section 01 81 05 - General Performance Requirements.

REFERENCE STANDARDS

Bureau of Reclamation (USBR) FAC 09-01 Reclamation Manual, Directives and Standards, FAC 09-01-Cost Estimating

SUBMITTALS

Submit the following in accordance with Section 01 33 00 - Submittals and Section 01 12 16 - Work Sequence.

30 Percent Design Estimate.

60 Percent Design Estimate:

Refined 30 percent design estimate.

100 Percent Design Estimate.

Refined 60 percent design estimate.

RSN 01 20 05-1, Estimates for Contract Modifications.

QUALIFICATIONS

Cost Estimator:

Minimum 6 years’ Experience Preparing:

Cost estimates for water treatment plants and line pipe of similar complexity.

Construction cost estimates, submitted as sealed bids on traditional design-bid-construct delivery contracts. Sealed bid values of at least 10 million dollars each.

COST ESTIMATES

Cost estimates shall be the formal submittal of the Open Book cost estimating process where the Contractor and Government negotiate project related costs within a progressive design-build contract approach. The Government will review and comment on the development of the cost estimate Cost estimates shall include:

Logical work breakdown structure with descriptions of major features of the water treatment plant, maintenance building, pipeline and other related facilities.

Pay item numbers, units of measure, quantities, unit prices, and amounts for each pay item in accordance with FAC 09-01. Refer to Section 51 40 10 - Cost Estimate Guides.

Name of the person (s) performing the following tasks in the preparation of quantities and cost estimates:

Developed.

Peer reviewed.

Checked, different from the peer reviewer.

Include the date for each of the above items.

Reclamation title block information including the Reclamation Project name and state, Feature description, Reclamation Region, Estimate Level Unit Price Level, with sheet or page numbers.

Summary worksheet listing items in accordance with FAC 09-01and Section 51 40 10 - Cost Estimate Guides :

Subtotal of the construction prices of items.

Mobilization.

Subtotal with mobilization.

Contract cost allowances:

Design Contingencies.

Special Taxes including Navajo Nation Sales Tax or New Mexico Gross Receipt Taxes or combination of both in varying proportions.

Construction Contingencies.

Construction Cost.

Estimate quantities and final prices rounded in accordance with rounding guides in accordance with Section 51 40 00 - Cost Estimate Guides.

Documentation formatted for review and understanding. Support estimate assumptions and construction costs, including:

Labor classifications for applicable Davis Bacon Craft Labor and Design-Build Contractor’s field and professional staff.

Federal wage rate decision number and date for Craft labor only.

Details for each labor classification including:

Base wage rates.

Labor burden details including Davis-Bacon Fringes for craft labor only.

Labor taxes including Federal Insurance Contributions Act (FICA), Federal Unemployment Tax Act (FUTA), and State Unemployment Tax Act (SUTA).

Labor insurance rates including workers compensation and other applicable insurances.

Other applicable adders including per diem, travel expenses, allowances for small tools.

Overtime rates.

Applicable direct cost for individual equipment rates:

Based on industry standards and practices.

Assumed fuel prices.

Ownership or rental rates.

Equipment operating costs.

Materials cost quotes and/or other documentation:

Identifies the direct cost of material or equipment items and their source.

Equipment descriptions, materials, model numbers, dimensions, weights, capacities, flowrates, horsepower as applicable.

Obtain a minimum of 2 independent quotes for cost drivers that exceed approximately 5 percent of the total cost of the feature.

Subcontractor quotes including, taxes, freight, scope of work, schedule, crew sizes, equipment, production rates and related items. Obtain a minimum of 2 independent quotes for sub-contractor work effort as defined above that exceed 5 percent of the total cost of the feature.

Productivity rate assumptions:

Crew makeup and size.

Craft personnel on each crew.

Overtime.

Crew shift assumptions for identified items of work.

Indirect cost:

Assumptions, references, computations/calculations.

Job or field management/general expense costs.

General and Administrative or home office expense.

Profit/fee costs.

Bond costs.

Other indirect cost applied to direct costs for prime contractor work and subcontractor work, as applicable.

Unit prices and lump sums:

Assumptions, calculations, references, and vendor quotes.

Sources of information, references, contact information.

Pricing derivation.

Other information relative to unit prices and lump sums for the identified items of work.

Lump sum items shall have breakdowns and descriptions of subitems, subcosts and previously noted information as applicable.

Progressions of cost developments to final unit prices. Identify all costs or computations, with applicable units of measure.

Task or activity based estimate for engineering, architectural and other design related services.

Separate and not combined with the construction estimate.

Scope for design work, listing major tasks or activities, along with products or services.

Identify resources including:

Breakdown of staff days or hours itemized by task or activity and by job title.

Non-labor costs, such as equipment, travel, transportation, supplies and miscellaneous expenses.

Job titles of various professional and labor classifications along with hourly rates for each position.

Deliverables.

Staff days for peer review and/or quality assurance.

LIFE CYCLE COST ESTIMATES

Identify life cycle costs for the water treatment system.

Located within the boundary of the plant site.

List all water treatment system components including, but not limited to ultraviolet (UV) disinfection system, backwash pumps, filter media requiring maintenance and/or replacement during the life of the system. Provide estimated costs for maintaining or replacing each component.

Annual Costs:

Power, water treatment chemicals, maintenance equipment including forklifts, front end loaders, pickup trucks.

Subcontracted costs and labor required to operate and maintain the plant in accordance with technical requirements.

Assume $0.01219 per kilowatt-hour, plus an electrical demand charge of $5.18 per kilowatt per month, unless otherwise directed COR.

Power costs for membrane treatment systems:

Utilize midpoint transmembrane pressure (TMP). Midway between clean membranes and terminal TMP.

Identify TMP utilized in power consumption calculations.

Assumed chemical costs.

Assumed waste quantities and solids handling volumes/weights and disposal costs for the treatment process.

Total estimated cost for annual operation and maintenance of the water treatment system. Include estimated hours for each labor classification and assumed hourly rates.

Omit maintenance, replacement, or supply costs that total less than $300.

Do not include life cycle costs for buildings, site improvements such as fencing.

Apply the forecast nominal or market interest rate. Provided by Government after contract award.

Assume 50 years duration for the life of the water treatment system. Calculated to start once the system is commissioned.

List assumptions related to capital costs and when the construction of future installation(s), if any, would take place.

Include assumptions in the future installation plan, identified in Section 01 81 05 - General Performance Requirements.

Up to three life cycle cost estimate alternatives may be required. Base alternatives on different assumptions.

List flow rate assumptions for each year of water treatment plant operation during the life cycle.

List annual costs for power, chemicals, labor, equipment and incidentals.

Describe maintenance and replacement assumptions and anticipated costs:

Government will review and approve life cycle assumptions. Discuss assumptions with Government prior to performing life cycle cost estimates.

Translate life cycle costs for each alternative into total present worth value.

Show life cycle cost assumptions, steps, factors, calculations and other applicable items.

PRODUCTS

Not Used

EXECUTION

Not Used

END OF SECTION

Cost Estimating Requirements 01 20 05 - 1