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

2. AS1 Report Submission

3. Lecture title: Cost plan / AS1 Report submission

4. 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

5. 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

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

7. NRM1: Formal Cost Plan 2
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

8. 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

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

10. 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.

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

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

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

14. 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

15. NRM1 Levels
NRM1 coding / references
NRM1 Descriptions

16. 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
Ie:
Piling matt
Piling plant
Moving piling rig
Etc
Add for level 5s
Excavation

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

18. 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

19. 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

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

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

22. Cost Plan Summary

23. 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

24. 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

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

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

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

29. Main Contractor Preliminaries
What are they?
For your CW cost as Formal Cost Plan 1, NRM1 P.55&56 ( )
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

30. 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.

31. 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

32. 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

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

34. 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

35. 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

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

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

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

39. Above is an example only, ie not from your assessment

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

42. 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