Costs computational strategy

Costs computational strategy

1. Based upon cost estimation normative documentation.

Budgets which are estimated at reference prices use the cost estimation norms valid from 2001 and revised under the systematic supervision of Russian Federation Construction Committee. The norms are developed upon a principle of averaging of all resources whether required and sufficient (construction worker labor costs, construction machines operation time, demand of materials, products and structures and etc.) for performance of a certain type of work.

For rating of construction at the current (forecast) price level we use budgets upon reference prices and a system of forecast indexes determined for the subjects of construction or types of works with account of current changes of prices on various resources used in construction. Object-based index calculation is performed on a contractual basis by the URAL REGIONAL CONSTRUCTION PRICING CENTER. Construction work type-based index calculation is also performed by the URAL REGIONAL CONSTRUCTION PRICING CENTER and is published with various informational bases.

2. Alternative calculation methods use the following cost estimation methods:

  • resource-based;
  • resource and index-based;
  • upon the data bank of the cost of similar previously built objects.

the resource-based calculation method means calculation with current prices and tariffs on the resources required for project implementation. Calculation is based upon required materials, products, structures (including the auxiliary ones which are used for performance of works), methods and distances of their transporting to construction sites, utilities consumption rates for technological purposes, construction machine operation times and inventory, labor costs. The above resources are taken from engineering docs and the other normative or contractual documents are also used.

the resource and index-based method is a combination of the resource-based approach and the system of indexes on resources for individual jobs, which account for changes of prices on the resources used or the technological sequence of works.

— Use of the data banks of the cost of similar previously built objects means that of the cost data of buildings and structures similar to that being under design engineering.

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