Advancd Measurement and Contract Administration Faculty of Engineering and Technology Department of the Built Environment 5612BESG Advancd Measurement and Contract Administration

AS1 Report Submission

Lecture title: Cost plan / AS1 Report submission

In this session… Progress against “week by week planner” Cost plan status (NRM1) NRM1 Levels (1-5) Cost Plan descriptions (based on NRM1) NRM1 Level 5 costs informing Level 4 rates Coding / referencing (based on NRM1) Cost Plan summary (NRM1 Appendix H) “Below the line” items Inflation Report submission structure Marking Criteria

Learning outcomes At the end of this session you should be able to: Be able to track your progress against the week by week planner Create cost plan descriptions, inline with NRM1, for each of the items you have measured (1-13 from guidance notes) Calculate NRM1 Level 4 rates informed by your Level 5 costs Populate the Cost Plan summary page (NRM1 Appendix H) Rebase your Cost Plan: Rebase your cost plan rates obtained from Spons 2014 Inflate your Cost Plan total cost for: Tender Inflation Construction Inflation Recap marking criteria and submission structure

What type / status is your cost plan? NRM1 page 8

NRM1: Formal Cost Plan 2 3.11.4 The method of measuring quantities for each formal cost plan shall be as follows: (b) Formal Cost Plan 2 “…coincides with the completion of the design development... It is developed by cost checking of cost significant cost targets for elements as more detailed design information is made available from the design team. “The key information required from the employer and other project/design team members to enable preparation of Formal Cost Plan 2 is set out in Appendix G…” “Where insufficient design information is available from which to quantify building works in accordance with the rules of measurement for elemental cost planning, then the quantity measured is to be the GIFA.” NRM1 page 54

NRM1: Formal Cost Plan 2 NRM1 page 352 From: The Employer For example - Budget / Programme / procurement strategy / contract strategy The Architect For example – scaled General Arrangement plans / Elevations / Sections / GIFA / NIA / Spec The Mechanical & Electrical Services Engineer The Structural Engineer For example – advice on ground conditions / contamination / General Arrangement plans / Frame configuration / layout of shear, core walls, columns and beams / Estimates of reinforcement content / section showing ground floor slab construction / pile sizes and lengths / ground beam sizes locations NRM1 page 352

NRM1 Levels (1-5) for Cost Plan descriptions: P.347 NRM1 – Appendix E Levels 1-3/4 P.72 NRM1 – Level 5

Level / Coding Example (NRM1 P.71&72) 4.4 Method of codifying elemental cost plans 4.4.1 The logic and arrangement of levels for elemental cost plans is shown at Appendix E of these rules, ie Levels 1-3 4.4.2 Codes for levels 1 to 3 are provided by the measurement rules, while codes for level 4 (i.e. components) will be user defined. This is because of the number of variable components that could be generated for any one sub-element. It is recommended, therefore, that each component measured be numbered sequentially within the sub-element. This will allow a unique level 4 code to be established for each component.

Level 2: Element Level 1: Group Element Level 3: Sub Element

Level 2: Element Level 1: Group Element Level 3: Sub Element

Levels / Coding Level 1: Group Element Level 2: Element Level 3: Sub Element Level 5: Sub Component Level 4: Component

Cost Plan descriptions: The order of cost plan descriptions is the order in which they appear in NRM1, ie: Substructure: Pile Matt Pile Pile Caps Ground Beams Lowest Floor Slab (ground floor slab) Lowest Floor Slab Details Superstructure: Columns Core and Shear Walls Upper Floors Roof

NRM1 Levels NRM1 coding / references NRM1 Descriptions

Coding Level 1-3 codes taken from Appendix E: 1 = Substructure 1.1 = Substructure 1.1.2 =Specialist foundations All items after this add a 0.0.0.1 Ie: 1.1.2.1 Piling matt 1.1.2.2 Piling plant 1.1.2.3 Moving piling rig Etc Add 0.0.0.0.1 for level 5s 1.1.2.9.1 Excavation

Piling would come before LFC, see NRM1 order Lowest Floor Slab “build up” ie insulation etc Design Joint will then follow, see NRM1 order

Then Core & Shear Walls, see NRM1 order Total length per type/size Total GIFA of all the upper floors Then Core & Shear Walls, see NRM1 order then Roof, see NRM1 order

Level 5 costs inform Level 4 rate The 50m2 at Level 4 represents the GIFA measure not the slab area Level 4 Level 5 Above is an example only, ie not from your assessment

Level 5 costs inform Level 4 rate The Level 5 Above is an example only, ie not from your assessment

Level 5 costs inform Level 4 rate The Level 4 Level 5 Above is an example only, ie not from your assessment

Cost Plan Summary

Cost Plan Summary Include GIFA here Then express group element costs based on the GIFA (see notes below) What do you think goes here???? Total cost divided by GIFA = £m2 Exclude SAY GIFA 16,910 Substructure £250,254 £14.80m2 Level 1 – Group Element SUPERSTRUCTURE Level 2 – Element FRAME Level 3 – Sub Elements EXCLUDED FROM SUMMARY as priced in cost plan detail tab

Cost Plan Summary A = all your costed “building work”items: Piling, lowest slab, design joints etc B = 9.1 + 9.2 C = “building works” + prelims D = 10.1 + 10.2 E = “building works” + prelims + OHP F = EXCLUDE

Cost Plan Summary G = EXCLUDE H = “building works” + prelims + OHP I = ???? etc J = ???? etc K = ???? etc L = ???? etc M = ???? etc Exclude

“Below the line items” 1 INCLUDE 2 INCLUDE 3 EXCLUDE

“Below the line items” Con’d 4 EXCLUDE 5 EXCLUDE 6 INCLUDE 7 EXCLUDE

Main Contractor Preliminaries What are they? For your CW cost as Formal Cost Plan 1, NRM1 P.55&56 (3.1.4.2) The methods of estimating the cost of the preliminaries will vary according to the RIBA Work Stage. To begin with, for Formal Cost Plan 1 (prepared for RIBAWork Stage C), the estimated cost of main contractor’s preliminaries will be based on a percentage addition derived from a properly considered assessment of cost analyses of previous buildings. As more information becomes available a more detailed approach to costing the main contractor’s preliminaries is to be taken. NRM1 P.56, 70, 277

For your CW cost as a combined cost centre, %, NRM1 P.57 Ensure % is applied to works estimate plus prelims!! Exclude: Visiting staff and extraordinary support costs where an allowance has been made within the preliminaries What are they? Overheads: costs of head office set up and administration Proportioned to each contract by the main contractor Profit: The amount of net profit that the main contractor needs to achieve.

Project/design team fees are to be included in cost plans unless specifically excluded at the request of the employer. NRM1 P.59,309 For your CW EXCLUDE project and design team fees

Other development costs are to be included in cost plans unless specifically excluded at the request of the employer. NRM1 P.61,317 For your CW EXCLUDE insurances, planning fees, fees in connection with party wall awards, decanting and relocation costs, marketing costs etc

Exclude eg design co-ordination Exclude eg incomplete design Exclude eg changes in time/spec Exclude eg availability of funds

Value Added Tax (VAT) Assessment Value Added Tax (VAT) in relation to buildings is a complex area. In view of the complexities, it is recommended that VAT is excluded from cost plans. It is recommended that specialist advice is sought on VAT matters To ensure that the correct rates are applied to the various aspects of a building project. Exclude for your CW

Rebase: Inflation and/or Location Cost Plan Rate Rebase (Inflation and Location) NRM1p.56 Project Inflation – Tender Inflation: period from the estimate base date to the date of tender return (NRM1p.63) Construction Inflation: period from the date of tender return to mid point of construction period (NRM1p.64) Key Project Dates Tender Contract Award Start on Site Completion Estimate Base Date = your submission date See module guide / brief for associated dates

Tender Price Inflation (page 63) NRM1 page 63 Tender Price Inflation (page 63) Above is an example only, ie not from your assessment

Inflation / Location rebase Above is an example only, ie not from your assessment

Inflation Calculation: Above is an example only, ie not from your assessment

Above is an example only, ie not from your assessment

This is an example only, you need to apply the dates for your project, see module guide/brief

Summary At the end of this session you should be able to: Be able to track your progress against the week by week planner Create cost plan descriptions, inline with NRM1, for each of the items you have measured (1-13 from guidance notes) Calculate NRM1 Level 4 rates informed by your Level 5 costs Populate the Cost Plan summary page (NRM1 Appendix H) Rebase your Cost Plan: Rebase your cost plan rates obtained from Spons 2014 Inflate your Cost Plan total cost for: Tender Inflation Construction Inflation Recap marking criteria and submission structure