POLICY: Estimate Presentation
PURPOSE: To present the estimated cost of the project for owner approval.
RESPONSIBILITY: Estimator in Charge
1. After the Estimate is complete, a minimum of two days prior to presentation to the Approving Authority, the Chief Estimator, the Senior Project Manager, the Project Manager, and the Superintendent (if identified) at a minimum will review the estimate including cost and all subcontractors/vendors included in the estimate. At this meeting, the subcontractors/vendors will be finalized. Note: Changes to the estimate or subcontractors/vendors should be made with the agreement of the Senior Estimator and Senior Project Manager.
2. The following items are to be in the estimate presentation in the order they are listed:
A. Cover letter
B. Comments and Clarifications and Outline Specs as applicable. The following note will be placed on all comments and clarifications. “Note: Items in the following comments and clarifications indicated in bold are anticipated project cost items that are not included in this estimate.” The Estimator in Charge will be responsible for ensuring the approving authority understands the scope included and excluded and the associated costs.
C. Estimate Summary sorted by specification section phase level with quantities. Estimate summary will be listed in Labor, Material, and Subcontract categories.
D. Alternates: Any item specifically designated in the specs or plans to be priced separately. These alternates are to be priced and numbered just as indicated on the plans and specs. (This section will be omitted if the plans or specs do not require any alternates.)
E. Cost Reduction Alternates: An alternate scope of work which specifies a cost savings. The following introductory statement shall appear at the head of the Cost Reduction Alternate page: “The following cost reduction suggestions and/ or substitutions are not covered under the bid documents. This information is for the sole benefit of the owner. All accepted items shall be agreed to by the owner and the design consultant, and shall be incorporated into the contract documents by the Architect/ Engineer of record.
F. List of project allowances.
G. Key personnel list (as applicable).
H. Subcontractor bond analysis.
I. Schedule: this is to be a preliminary overall project schedule as defined in O.EST.-15.
J. Projected Cash Flow Chart (see O.EST.-130 for development of chart – as applicable).
K. Site Layout and Signage Plan (see O.S.-150 for development of plan).
L. Estimate Comparison as with approval by Senior Project Manager and Estimator as provided in the preliminary conceptual estimate.
M. Estimate reconciliation if the final estimate cost is different from the previous estimate.
N. Project Fact Sheet
3. The Estimate to be presented to the Approving Authority will be reviewed and approved by another Senior Estimator and the Senior Project Manager.
4. The Estimator in Charge is to take the estimate file to the estimate presentation meeting.
5. The Estimator in Charge, Senior Project Manager, and the Project Manager (if identified) will be present at all estimate presentations.
6. The Estimator in Charge will be responsible for ensuring the approving authority understands the scope included and excluded and the associated costs.
7. After the estimate is presented and accepted by the Approving Authority, the project will be transferred to Accounting and Operations.
Sample Cover Page
Comments & Clarifications
Standard Estimate Report
Cost Reduction Alternatives
List of Allowances
Key Personnel List
Site Utilization Plan
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