What could be included in a cost report?
- cashflow
- budget
- VOWD
- accruals
- earned value analysis
- value engineering
- risk
Types of cost plan
- Unit
- Elemental
- Initial cost appraisal
- Approximate quantities
- Pre-tender estimate (using BOQ)
Methods of payment/ valuation
- Stage payments
- Milestone payments
- Activity schedule
- Bill of Quantities
- Defined cost
What is a letter of intent
- A document outlining the intentions of two or more parties to do business
- not usually legally binding but dependent on the wording of the letter
When must a modification be published under PCR 2015?
If it was modified due to reason b or c
What is the NEC term for DoV
Supplemental Agreement
Could there be a conflict between PM & Supervisor
Yes as PM focus is often time whilst supervisor is quality
What steps may be taken if conflict of interest identified?
- informed consent
- if two different individuals from the same firm then make sure they are from different teams, perhaps different locations, barriers in place to prevent sharing of information
How did I evaluate commercial bids
Commercial bids were evaluated based on the lowest bid being awarded the highest score for commercial with the remaining bids scored based on how much they deviated from the lowest bid.
However it was important to consider abnormally low bids, so it was also important to check all bids included pricing of the appropriate works and included everything stated in the spec. if yes you may be able to identify another reason for an abnormally low bid e.g reduced timescales, significantly lower rates
How is PAF used?
Identify appropriate index e.g OSR BCIS civil engineering series, DLR 30% RPI, 70% OPI
PAF= index at base date- index at new date/ index at base date
Option A = PAF x PWDD
Option C = PAF/ (1+PAF) x PWDD
Different for option C as Contractor also recovers effects of inflation as part of Defined Cost
