A5_F23 (1)
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School
Virginia Tech *
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Course
3014
Subject
Industrial Engineering
Date
Dec 6, 2023
Type
Pages
6
Uploaded by MasterCrabMaster51
V
IRGINIA
P
OLYTECHNIC
I
NSTITUTE AND
S
TATE
U
NIVERSITY
CIVIL AND ENVIRONMENTAL ENGINEERING DEPARTMENT
CONSTRUCTION ENGINEERING AND MANAGEMENT
CONSTRUCTION ENGINEERING AND MANAGEMENT
CIVIL AND ENVIRONMENTAL ENGINEERING DEPARTMENT
V
IRGINIA
P
OLYTECHNIC
I
NSTITUTE AND
S
TATE
U
NIVERSITY
C
EE
-3014
C
ONSTRUCTION
M
ANAGEMENT
A
SSIGNMENT
5
T
HE
M
OUNT
H
OKIE
P
ROJECT
C
HAPTER
5:
ENGINEER
’
S ESTIMATE
C
HAPTER
6:
EQUIPMENT COST
&
PRODUCTION
Notes:
This is a
GROUP
assignment. You can only
discuss concepts
with other individuals.
No other
discussions are allowed. DO NOT COPY answers from any sources such as Internet or
Past Assignments.
This assignment is worth
100 points and has 2 requirements.
If you have a problem or question after reading the assignment, email your instructors team.
CEE-3014 Construction Management
Assignment 5
CEE-3014 Construction Management
Page
2
of
6
ENGINEER
’
S ESTIMATE
Requirement 1: Setting
Recall that you and Claire worked out the cash flow analysis a short while ago.
In the event of other construction delays, the draw amount may not be sufficient for the project’s needs.
Claire therefore requested another meeting with Betsy. Their conversation went as follows:
Betsy
:
Claire! It’s nice to hear from you again. I went over your cash flow analysis and it looks like you
should be able to cover your costs with the draw amounts I suggested. Therefore,
Best Banking is offering you a loan with a principal amount of $21 million. This amount should cover
your expenses.
Claire
: Great! That means I got the loans? You know Betsy, it was more work than I expected it to be.
Betsy
: Developing such a big project requires a lot of work, as you will continue to find out. I also have to
inform you that there are more papers we need in order to provide you with the loans. After
reviewing your case, Best Banking decided it is necessary for us to have more detailed information
on your management plan. Since this is your first construction project and you chose a big one to
start off with, we would like to see a detailed description of your management and delivery strategy.
This verifies to us that the project will be a success.
With your help, Claire decided on Construction Management at Risk as the best contracting
strategy. She realized that she did not have the knowledge and experience to manage the whole project all
by herself. Professional organizers were necessary, so she e
mployed the firm "Management Matters Inc.”,
owned by Matt Matters, to assist her with construction management activities. On Claire’s behalf,
Management Matters engaged Tony Tect, the architect and owner of Pretty Plan Architects as well as with
Eager Engineers & Partners, the company Angie Neer is employed by, to continue their design work.
Best Banking was very pleased with Claire's new management plan and they gave her the OK for
the loans. The final approval would be signed once construction prices were better understood.
Angie Neer prepared the bid documents for the site work. Section 7.1 of the contract between
Eager Engineers & Partners (ENGINEER) and Management Matters Inc. (representative of OWNER)
entitled "Opinions of Probable Construction Cost" reads as follows:
ENGINEER's opinion of probable Construction Cost provided for herein are made on the basis of
ENGINEER's experience and qualification and represent ENGINEER's best judgment as an experienced
and qualified professional engineer generally familiar with the construction industry. However, since
ENGINEER has no control over cost of labor, materials, equipment or services furnished by others, or over
Contractor's methods of determining prices, or over competitive bidding or market conditions,
ENGINEER cannot and does not guarantee that proposals, bids or actual Construction Cost will not vary
from opinions of probable Construction Cost prepared by ENGINEER. If OWNER wishes greater assurance
as to probable Construction Cost, OWNER shall employ an independent cost estimator as provided in
paragraph…
From Management Matters, Claire learned that an engineer's estimate is an effort by the design
engineer to anticipate the contract amount for which the work will be done by the contractor. Preparing the
engineer's estimate also enabled Angie Neer to design within the limits set by Claire and Management
Matters. In addition, it can save Angie Neer from expensive redesigning that might otherwise be necessary
if bids submitted for the site work are much higher than the amount of the budget.
CEE-3014 Construction Management
Assignment 5
CEE-3014 Construction Management
Page
3
of
6
Requirement 1: Deliverables
Imagine you are interning with Eager Engineers & Partners. You receive the following list of items that are
part of the engineer's estimate for the site work of the Mount Hokie Project.
●
Use the pages out of
Means Manual 2010
that are provided to price each item.
●
Calculate the total estimated cost and write a short memo to the engineering office.
●
Be sure to bring the estimate to the year that
construction will start (2023),
using the anticipated
inflation rate of 3.1% per year
●
Item 7
is given in
2023 dollars
.
Item
No.
Estimated
Quantity
Unit
Description
Unit Price
$
Total Price
$
1
7,200
CF
Demolition of small concrete building
2
4
Acre
Trees felling and piling 500 trees per
acre, 8 out of 10 trees are hardwood
3
8
Acre
Brush (heavy) clearing with dozer and
rake
4
250,000
CY
Bulk excavation with elevating scraper,
clay, 1500 ft haul
5
3,500
CY
Trench excavation, stormwater 6.5 ft
deep, 1-1/2 CY hydraulic backhoe, clay
costs 50% more than earth
6
1,200
CY
Trench excavation, water and sewer, on
average 2 ft deep, ½ CY tractor
loader/backhoe, clay costs 50% more
that earth
7
Sum of all other items (i.e. pipe laying
incl. material), which have been already
estimated by Eager Engineer & Partner
$700,000.00
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CEE-3014 Construction Management
Assignment 5
CEE-3014 Construction Management
Page
4
of
6
E
QUIPMENT COST
&
PRODUCTION
Requirement 2: Setting
After determining the Engineer’s Cost Estimate, Management Matters and Claire Clever now have
an idea of what the site-work will cost. The estimate provided a dollar amount within the budget, which is
good. However, to ensure that the design for the site-work will be realized within budget, it is the aim of
Angie Neer and Management Matters to receive a low bid price. To accomplish this, the
Notice to Bidders
was advertised in newspapers, trade journals, and on the web. Claire's CM firm also maintained mailing
lists that contain qualified bidders. As you discussed with Claire earlier this semester, due to her lack of
experience in the construction field, it could be a disadvantage for her to obtain a price on a negotiated
basis.
A set of plans and specifications were made available for consultation at the plan room of
Management Matters in Williamsburg. Dirk Dirkson, senior estimator for a well-known earthwork contracting
company in Virginia called "Dirt Diggers,” went to check ou
t the plans at Management Matters. The job
looked promising to Dirk. As soon as he returned to Virginia Beach, the location of his main office, he sat
down at his desk and started crunching numbers.
After a day or two of rough estimating, Dirt Diggers decided to bid on the site-work job for the Mount
Hokie Mall. Since the estimate is the basis for determining the bid price, it must be prepared carefully and
with the assistance of senior estimators, who have the experience and ability to sense potential trouble
spots that will affect the cost. While some of his colleagues prepare the quantity takeoff, Dirk analyzed the
company resources in terms of equipment and manpower available for this specific job in order to determine
if some of the items would need to be subcontracted. His analysis revealed that all of Dirt Diggers crews
specializing in: (1) cut and fill operations and (2) trench excavation and storm-water piping operations would
be unavailable since they would be working on other job sites. Therefore, Dirt Diggers would have to
subcontract this portion of the site-work.
Dirkson contacted some companies that previously worked with Dirt Diggers in similar operations.
He asked these companies to provide a cost estimate for the mall's storm-water system. Three potential
subcontractors responded to Dirk's invitation. One of these subcontractors, "Site Pro Ltd.," was owned by
brothers Peter and Paul Piper.
Peter and Paul started preparing their quotation for Dirt Diggers. Paul realized that he needed to
analyze several aspects of the cut and fill operation before he could submit a bid price to Dirt Diggers.
Requirement 2: Deliverables
Imagine Peter and Paul are your uncles; they are both busy and need your assistance with analyzing the
cut and fill operation. After reviewing the project documents and Paul’s notes about the cut and fill operation,
you know the following:
●
The cut and fill operation requires transporting fill material from a borrow site to the project area.
For this operation, you plan to use a combination of
two-wheeled rubber-tire motor scrapers
and a
pusher dozer
at the borrow site; the scrapers will deliver the fill. The haul route to the fill site is uphill
with a percent grade of 3%, has a distance of 3,000 ft., and is firm earth (estimated rolling resistance
factor of 70 lb/ton). The scraper will likely carry a 30-
ton load. The scraper’s weight distribution
characteristics are as follows:
CEE-3014 Construction Management
Assignment 5
CEE-3014 Construction Management
Page
5
of
6
Paul has asked you to answer the following questions and provided you with information about the
hauling equipment (coefficients of traction and travel time charts):
a)
What is the force required for the scraper to climb the hill?
b)
What is the useable force; assume that the weight distribution for a fully loaded scraper is accurate
for this situation?
c)
Will the scraper be able to climb the hill?
d)
What is the estimated travel time to and from the fill site for the scraper?
e)
If the cut material is 2,100 lbs. per loose cubic yard (2,100 lbs/LCY), then what loose volume will
the scraper carry per 30-ton load (ton = 2,000 lbs.)?
f)
What is the maximum system productivity
–
consider all possibilities
–
for this operation if a 60
minute working hour is assumed and the total time cycle time for loading is 1.3 minutes and the
time to unload at the fill site is 0.5 minute.
CEE-3014 Construction Management
Assignment 5
CEE-3014 Construction Management
Page
6
of
6
g)
If the dozer’s unit price is $225/hr and the scraper’s unit price is $215/hr, then what are the $/LCY
for this operation one scraper above and below the balance point? What trade - offs are involved
between using the minimum price or the maximum price for this operation?
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