INTD 504 -Project Management

Lecture: Week 5

Reading for this week: Chapters 6 and 7

Homework: p. 273, question 2, 6, 10; p. 318, questions 4,5,6,7and 17

TOPIC for this week:Cost estimates; Budget Reports

Purpose:Tracking tools to monitor costs at incremental spots in the project schedule

Used in Conjunction with:Project Budgets

Cost Control Reports

Other Budgeting tools

Project Schedules

Concept Development

Schematic Design

Design Development

Working Drawings, (Construction Documents)

Level of Accuracy:

Budget or conceptplus or minus 25%

Schematic Designplus or minus 15% to 20%

Design Developmentplus or Minus 7.5% to 10%

Construction Documentsplus or minus 2.5% to 5%

Elements of estimates:

1Soft Costs and Hard Costs

a)Soft Costs

Design Costs

Development costs

Permit Fees

Remediation

Land Purchase

Furniture

Equipment

Other non-Construction costs

b)Hard Costs

materials

labor

overhead

profit

design contingency

construction contingency

2Types of Estimates

a)Budget Estimates

Abatement Cost Allocation, (Remediation)

Percentage for "soft Cost"

Area costs for type of building and use

Design Contingency

Assumptions

b)Schematic Design

Abatement Cost

Soft Costs

A/E fees

CM and other fees

Percentage for remaining unknown soft costs

Building systems costs

Walls, Roofs, etc.

Contractor Profit & Overhead

Design Contingency – 15% - 20%

Construction Contingency 5% for new, higher for remodel

Assumptions & qualifications

c)Design Development

Abatement

Soft Costs

A/E Fees

CM and other Consultant Fees

Permits

Testing

Furniture

Equipment

Hard Costs

Detailed building Systems and components

Site Work

Landscape

Excavation

Foundations

Design Contingency 7.5%

Contractor Overhead and profit 12.5% varies with locale and job

Construction Contingency 5% varies with locale and job

d)Construction Documents Estimate

1)Soft Costs

A/E Fees

CM and other Consultant Fees

Permits

Testing

Furniture

Equipment

2)Hard Costs*

Detailed building Systems and components

– by division with labor & material breakdown

Site Work

Landscape

Excavation

Foundations...... thru Electrical

Design Contingency – 2.5%

Contractor Overhead and profit – 12.5% varies with locale and job

Construction Contingency - 5% varies with locale and job

*this is what shows up incontractor’s bid

3) Other potential costs – property purchase, development costs, rezoning, public relations

e)Contractor's bid Estimate

Permits

Testing that is done by Contractor

Detailed building Systems and components – by division with labor & material breakdown

Site Work

Landscape

Excavation

Foundations thru Electrical as defined in bidding documents

Design Contingency – 0%

Contractor Overhead and profit – 12.5% (varies by location and job)

Construction Contingency - 0% in Public Bid, can be negotiated in private work

Other Budgeting Tools

Work Breakdown Structure

Other reporting tools – Cost Control Reports

Company Name
Program Name
Projection of Costs
Monthly Costs
Hours / Dollars
EST'D / ACTUAL / DIFF / EST'D / ACTUAL / DIFF
Month
Jul-06 / 2020 / 1717 / (303) / $ 209,059.63 / $ 195,562.74 / (13,496.89)
Aug-06 / 2426 / 1497 / (929) / $ 221,495.79 / $ 171,361.78 / (50,134.01)
Sep-06 / 1649 / 1767 / 118 / $ 177,119.12 / $ 183,052.41 / 5,933.29
Oct-06 / 2020 / 1452 / (568) / $ 197,408.38 / $ 161,352.92 / (36,055.46)
Nov-06 / 2426 / 1402 / (1024) / $ 219,743.79 / $ 151,026.60 / (68,717.19)
Dec-06 / 1649 / 2068 / 419 / $ 167,367.11 / $ 202,959.48 / 35,592.37
2007
Jan-07 / 1649 / 1302 / (347) / $ 187,161.33 / $ 145,602.72 / (41,558.61)
Feb-07 / 2020 / 1574 / (446) / $ 198,174.46 / $ 161,605.79 / (36,568.67)
Mar-07 / 2426 / 1310 / (1117) / $ 226,693.74 / $ 159,102.53 / (67,591.21)
Apr-07 / 1649 / 1277 / (372) / $ 186,391.90 / $ 161,541.49 / (24,850.41)
May-07 / 2303 / 1298 / (1005) / $ 233,160.26 / $ 163,210.81 / (69,949.45)
Jun-07 / 1649 / 1146 / (504) / $ 242,625.04 / $ 165,494.88 / (77,130.16)
Jul-07 / 1737 / 1435 / (303) / $ 203,800.22 / $ 178,001.52 / (25,798.70)
Aug-07 / 1855 / 1214 / (641) / $ 196,576.31 / $ 173,074.62 / (23,501.69)
Sep-07 / 1737 / 1061 / (677) / $ 194,203.10 / $ 154,846.26 / (39,356.84)
Oct-07 / 1489 / 1092 / (397) / $ 179,690.73 / $ 154,517.05 / (25,173.68)
Nov-07 / 2103 / 1143 / (960) / $ 218,629.75 / $ 154,920.82 / (63,708.93)
Dec-07 / 1489 / 1394 / (96) / $ 171,737.57 / $ 178,867.14 / 7,129.57
2008
Jan-08 / 1489 / 1125 / (365) / $ 191,443.55 / $ 149,316.46 / (42,127.09)
Feb-08 / 1737 / 1161 / (576) / $ 194,432.55 / $ 154,934.09 / (39,498.46)
Mar-08 / 1855 / 1095 / (760) / $ 202,285.79 / $ 156,242.87 / (46,042.92)
Apr-08 / 1678 / 1678 / 0 / $ 199,723.97 / $ 199,723.97 / 0.00
May-08 / 1855 / 1855 / 0 / $ 209,056.19 / $ 209,056.19 / 0.00
Jun-08 / 1860 / 1860 / 0 / $ 266,354.97 / $ 266,354.97 / 0.00
Jul-08 / 1489 / 1489 / 0 / $ 187,027.47 / $ 187,027.47 / 0.00
Aug-08 / 2226 / 2226 / 0 / $ 224,789.20 / $ 224,789.20 / 0.00
Sep-08 / 1489 / 1489 / 0 / $ 174,008.67 / $ 174,008.67 / 0.00
Oct-08 / 1489 / 1489 / 0 / $ 167,676.83 / $ 167,676.83 / 0.00
Nov-08 / 1855 / 1855 / 0 / $ 195,120.19 / $ 195,120.19 / 0.00
Dec-08 / 1489 / 1489 / 0 / $ 163,387.87 / $ 163,387.87 / 0.00
2009
Jan-09 / 999 / 999 / 0 / $ 156,357.30 / $ 156,357.30 / 0.00
Feb-09 / 999 / 999 / 0 / $ 143,744.04 / $ 143,744.04 / 0.00
Mar-09 / 1205 / 1205 / 0 / $ 160,895.82 / $ 160,895.82 / 0.00
Apr-09 / 839 / 839 / 0 / $ 135,830.77 / $ 135,830.77 / 0.00
May-09 / 1045 / 1045 / 0 / $ 159,637.89 / $ 159,637.89 / 0.00
Jun-09 / 839 / 839 / 0 / $ 197,986.10 / $ 197,986.10 / 0.00
Jul-09 / 839 / 839 / 0 / $ 146,236.10 / $ 146,236.10 / 0.00
Aug-09 / 1045 / 1045 / 0 / $ 150,723.02 / $ 150,723.02 / 0.00
Sep-09 / 839 / 839 / 0 / $ 136,723.20 / $ 136,723.20 / 0.00
Oct-09 / 839 / 839 / 0 / $ 129,888.24 / $ 129,888.24 / 0.00
Nov-09 / 1045 / 1045 / 0 / $ 141,280.97 / $ 141,280.97 / 0.00
Dec-09 / 839 / 839 / 0 / $ 125,041.82 / $ 125,041.82 / 0.00
2010
Jan-10 / 519 / 519 / 0 / $ 113,944.60 / $ 113,944.60 / 0.00
Feb-10 / 519 / 519 / 0 / $ 100,131.32 / $ 100,131.32 / 0.00
Mar-10 / 645 / 645 / 0 / $ 114,486.15 / $ 114,486.15 / 0.00
Apr-10 / 519 / 519 / 0 / $ 104,071.38 / $ 104,071.38 / 0.00
May-10 / 645 / 645 / 0 / $ 170,150.41 / $ 170,150.41 / 0.00
Jun-10 / 519 / 519 / 0 / $ 112,406.25 / $ 112,406.25 / 0.00
Jul-10 / 519 / 519 / 0 / $ 110,656.25 / $ 110,656.25 / 0.00
Aug-10 / 645 / 645 / 0 / $ 112,146.15 / $ 112,146.15 / 0.00
Sep-10 / 519 / 519 / 0 / $ 103,428.38 / $ 103,428.38 / 0.00
Oct-10 / 519 / 519 / 0 / $ 93,027.80 / $ 93,027.80 / 0.00
Nov-10 / 645 / 645 / 0 / $ 104,731.43 / $ 104,731.43 / 0.00
Dec-10 / 519 / 519 / 0 / $ 92,135.66 / $ 92,135.66 / 0.00
2011
Jan-11 / 514 / 514 / 0 / $ 83,710.89 / $ 83,710.89 / 0.00
Feb-11 / 514 / 514 / 0 / $ 67,292.49 / $ 67,292.49 / 0.00
Mar-11 / 640 / 640 / 0 / $ 79,897.38 / $ 79,897.38 / 0.00
Apr-11 / 514 / 514 / 0 / $ 67,292.49 / $ 67,292.49 / 0.00
May-11 / 640 / 640 / 0 / $ 78,473.77 / $ 78,473.77 / 0.00
Jun-11 / 514 / 514 / 0 / $ 88,368.88 / $ 88,368.88 / 0.00
TOTALS / 76247 / 65396 / (10851) / $ 9,587,042.44 / $ 8,844,437.29 / (742,605.15)
(xxx.xx) is UNDER estimated hours or costs
125.74 / $ 135.24 / (9.51)
103166
(1467528)