Prices in Civil Engineering 15.7.2019

Price on the Building Market Change of goods between subjects on the building market Investor Side of demand Supplier Side of supply Negotiated price 15.7.2019 Prices in Civil Engineering

Prices in Civil Engineering Law n. 526/1990 Coll., about prices, defines the price as amount of money: Agreed by the buying and sale of goods Using e. g. by building works price assessment Ascertained according to the special law for next purposes Price calculated according to the law about evaluation of property (law n. 151/1997 Coll., about evaluation of property) 15.7.2019 Prices in Civil Engineering

Price Agreement, Contract for Work Price is agreed in the agreement about price mentioned in the contract for work Parties to contract are investor (buyer) and supplier Contract is agreed in the sense of the business code (law n. 513/1991 Coll.) Terms of contract for work: I. Parties to contract – investor, supplier II. Subject of delivery – building object, building work III. Time of delivery – time of finishing of the delivery IV. Price of delivery V. Payment conditions – the way of paying for deliveries VI. Qualitative and technical conditions VII. Realization of work VIII. Handover and takeover of building object – way of handover IX. Responsibility for defects, guarantee, warranty claims X. Avoidance of contract XI. Sanctions XII. Next agreements 15.7.2019 Prices in Civil Engineering

Building Object Price Assessment Price of a building object includes all costs necessary for its preparation and realization Costs are divided into particular chapters From chapters there is created summary budget of building object 15.7.2019 Prices in Civil Engineering

Summary Budget of Building Object – Overview of Chapters I Project and research works II Operational sets III Building part IV Machines and machinery V Artworks VI Subsidiary budget costs VII Other costs VIII Reserve IX Costs connected with land X Induced investments XI Operational costs for preparation and realization 15.7.2019 Prices in Civil Engineering

Summary Budget of a Building Object – Particular Chapters I. Project and research works Project works: Activity of the building designer Author supervision Projects of demolitions, dismantling, if they are parts of the building realization Changes asked by investor Next agreed works in the frame of project documentation Models for project works Research works: Geological research and documentation Geodetic and cartographic works as groundwork for the project documentation creation 15.7.2019 Prices in Civil Engineering

Summary Budget of a Building Object – Particular Chapters II. Operational sets Delivery and installation of machines and machinery functionally connected with the building objects (e.g. technological lines, elevators etc.) III. Building part Acquisition and delivery of building objects including all materials and works IV. Machines and machinery Machines and machinery not requiring installation during realization of building (high-lift trucks, test instrumentation, measuring instruments etc.) V. Artworks Sculptures, murals (immovable artworks connected with the building) 15.7.2019 Prices in Civil Engineering

Summary Budget of a Building Object – Particular Chapters VI. Subsidiary budget costs (costs connected with the building site situation) Costs for building site accessories Costs connected with influence of extreme climate conditions Exceptionally bed travel conditions Transit of employees to building site and back Costs arising in case of working on listed buildings VII. Other costs Patents and licenses for realization Works of non-building organizations Realization of geodetic network Setting out of parks, plantations, vineyards, hop-gardens 15.7.2019 Prices in Civil Engineering

Summary Budget of a Building Object – Particular Chapters VIII. Reserve reserve allowing e.g. the projection of changes in input material prices, wages etc. reserve allowing to cover higher price of building works during reconstructions IX. Costs connected with land buying of lands for own building realization payments for extraction of land from agricultural land resources rent for lands intended for building site X. Induced investments payments to other investors (e.g. necessity of relaying water pipes, gas pipes, sewerage, etc.) costs for buying of property intended for liquidation costs for not used projects alternatives 15.7.2019 Prices in Civil Engineering

Summary Budget of a Building Object – Particular Chapters XI. Operational costs for preparation and realization organizational and preparation activity of investor: preparation of building site works inspector of investor preparation of the building operation work assembly of supplier: consultations by the building projects elaboration realization of building site accessories assurance of operation and maintenance of building site accessories takeover of building site accessories and handover of its parts to sub suppliers coordination of works of particular sub suppliers providing of building help out elaboration of documentation of real building realization attendance on building acceptation and handover of building to the phase of usage 15.7.2019 Prices in Civil Engineering

III. Building Part - Budget Costs for building part are calculated as a sum of costs: for particular building works materials not included in the building work (valuated as a specification) shift with materials For calculation it is prepared the item budget Item budget includes following basic costs Item represents: building works material in specification 15.7.2019 Prices in Civil Engineering

Item of Budget of Building Part Numeral code of item (Classification of Building Constructions and Works) Description of item Measure unit Amount of item in measure unit Unit price in e.g. CZK per measure unit Totally per item Unit weight in tons Weight in tons totally per one item 15.7.2019 Prices in Civil Engineering

Overview of Groups of Building Sections Number Title of group of building sections General construction and works 1 Earthworks 2 Foundations, special foundations 3 Vertical and complete constructions 4 Horizontal constructions 5 Communications 6 Construction of surfaces, floors 7 Associated building production (handcrafts, installations) 8 Pipage, conduction 9 Finishing works, demolitions 15.7.2019 Prices in Civil Engineering

Data for the Budget Preparation Documentation of building (drawings, design, technical report) Technologic processes Price catalogue of building works Price catalogues of material for valuation of materials in specifications Prices agreed with sub-suppliers 15.7.2019 Prices in Civil Engineering

Item of Budget of Building Part Calculation of costs per item item totally in CZK = amount in m. u. x Unit price of item in CZK/M. u.  Items totally = building part totally 15.7.2019 Prices in Civil Engineering

Negotiated Price of Building Delivery Defined with help of budget Budget includes those chapters of summary budget that will be object of delivery Usually it concerns about: Building part – basic costs Subsidiary costs connected with the building situation Work assembly of supplier Agreed sub-supplies Value added tax 15.7.2019 Prices in Civil Engineering

Negotiated Price of Building Delivery – Acceptance Conditions Delivery and qualitative conditions, for that the price is agreed, are defined in the contract of work. Mainly it concerns about: Kinds of works and their range (delimited in the project documentation) Quality (delimited by recommending government standards and technological processes) 15.7.2019 Prices in Civil Engineering