DPWH

• Cost Estimation Manual For Low Rise Buildings
• DPWH Department Order No. 137 Series of 2017
• PROGRAM OF WORKS (POW)


  The total estimated cost of the project which covers the Civil Works Cost, Engineering Supervision and Administrative Overhead, Road Right-of-Way Acquisition Cost, Construction Contingency, etc.
• PROGRAM OF WORKS (POW)


  • Includes information about the project location and limits, quantity and unit cost for each item of work, construction duration, funding source, equipment requirements, etc
• APPROVED BUDGET FOR THE CONTRACT (ABC)


  The total estimated agency estimate (direct cost, indirect cost and tax) for civil works contract of infrastructure projects, wherein it is the ceiling of award of contract for government locally-funded projects and reference for comparison of bid costs of contractors for both locally-funded and foreign-assisted projects
• DETAILED UNIT PRICE ANALYSIS (DUPA)


  The determination of reasonable unit cost of each item of work which reflects the breakdown showing the quantities of work items, unit prices of materials, equipment rental rates, labor rates and DPWH-prescribed indirect costs including taxes
• STANDARD LABOR RATES


  Matrices prepared and issued by Department of Public Works and Highways (DPWH) periodically showing the required compensation for manpower workforce of different categories, which comprises the minimum wage as approved by the NWPC, DOLE plus the monetary benefits
• ACEL GUIDEBOOK 2022


  A guidebook where rental rates of commonly used equipment for infrastructure projects are based. It is published by Association of Carriers and Equipment Lessors, (ACEL) Inc.
• CONSTRUCTION MATERIALS PRICE DATA (CMPD)


  A compilation of unit prices of construction materials updated quarterly per District Engineering Office to be used as reference in the pricing of materials component of the pay items of work in the preparation of DUPA, ABC & POW, including new items of work involved in a VO (Variation Order)
• DPWH STANDARD SPECIFICATIONS FOR PUBLIC WORKS AND HIGHWAYS


  A compilation of detailed descriptions of work items in constructing public works and highways projects such as roads, bridges, buildings, etc. In other words, a compilation of specifications of standard works acceptable to the DPWH
• DPWH STANDARD SPECIFICATIONS FOR PUBLIC WORKS AND HIGHWAYS is composed of specifications containing detailed description of the workmanship, material requirements, technical dimensions, materials proportion, datum lines and grades and other established references to follow or adhere to, e.g. AASHTO,ASTM,etc.; basis of measurement, payment and unit of measure/measurement; and basis of acceptance and special details that would give the user a clear view of the work to be done
• LOW RISE BUILDING


  One-storey up to 5-storeys in height, i.e. from 3.00 m up to a maximum of 15.00 meters above established grade; while not generally requiring an elevator if the building/structure is purely residential use; fire escapes and other safety systems are mandatory for all low-rise buildings/structures
• Cost estimation feels a very easy task to do or accomplish at one point but it is actually a complicated, delicate and an integral part of the engineering field
• Cost estimation scopes everything that took place, takes place, and is taking place in any field of work
• Everything starts from the acquisition of land ownership before proceeding with the design process
• There already is the professional fee as for the architect or civil engineer who will design such building/structure
• When designs and provisions are approved by the owner, the real 'battle' starts especially for the engineer or the engineering firm who will be handling the overall construction
• The major concern related to the design and construction would be how much will everything cost the owner
• If the project happens to be more than the capability of the owner, the project may not commence or commence but redesigning or other reconsiderations would be needed
• The second but equally major concern related to the design and construction would be how much will everything cost the engineer/engineering firm
• As professionals, and as businessmen we would want to make sure that we will gain the right profit/salary from the project
• The golden rule of cost estimation is 'Mabuti na ang lumabis kesa magkulang' (Better to overestimate than underestimate)
• Failed cost estimation is the main reason why many engineering firms went bankrupt (especially those handling multi-million projects)
• Cost estimation techniques and best practices

  • Skills in the interpretation of the plans and specifications
  • Wide experience in actual construction and estimating works
  • Familiarity with different types of construction materials and equipment
  • Consideration on actual site condition in the preparation of DUPA i.e. hauling distance, terrain, etc.
  • Familiarity on laws, policies, guidelines and procedures pertaining to the implementation of government infrastructure projects to ensure cost estimates are done at the right cost
• Everything, and every move that you will do will cost you money
• Things to consider in cost estimation


  • What shall be done and what it requires to be done
  • Equipment and Materials
  • Who will be doing it
  • How long will it take to be done
• The DPWH's Manual follows the GENERAL pattern of building construction
• Not all parts were necessarily needed to be filled since not all buildings require everything under the list in the manual
• Non-reusable materials


  Materials like concrete mixes, metal bars, CHB that cannot be reused
• Reusable equipment


  Equipment that can be rented like trucks, backhoes, concrete mixers, etc.
• Non-reusable materials can be estimated by having a number greater than the exact amount needed to account for accidents, construction and human error
• For reusable equipment, the main concern would be the amount of time that it will be used/ rented for construction
• If equipment were self owned, fees can be considered according to how much and how long it will be used
• Operated rental rates


  Includes operator's wages, fringe benefits, fuel, oil, lubricants and equipment maintenance
• The appropriate number and category of supervisor including unskilled labor to be deployed depends on the specific type and complexity of an item of work to be done
• The labor force (crew or gang) were established based on actual study and best practices observed
• Preparation of the Detailed Unit Price Analysis (DUPA)


  1. Determine the scope of works based on approved plans and specification including other requirements adopting the standard pay items of works

  2. Calculate the quantity and cost of material component of every item of work based on plans and specifications and prevailing prices of construction materials in the Construction Materials Price Data (CMPD) with consideration of allowance for waste and/or losses not to exceed 5% of the material's requirement

  3. Determine the appropriate quantity based on best norms and practices in the construction industry and cost for manpower and equipment requirement to be used based on Standard Labor Rates per Region and latest ACEL rates

  4. Determine the unit cost per item of work
• Cost Estimation Process


  The Estimator shall determine the items of work involved based on the Approved Plans.

  2. The Estimator shall prepare the DUPA, ABC & POW including its attachments applying the items of work involved based on the latest standard labor rates & CMPD, standard cost sheets and D.O. 22, Series of 2015.

  3. The District Engineer shall approve the ABC & POW, if the project is within the limits of authority delegated to him/her.

  4. If beyond the authority of the DEO, forward the DUPA, ABC & POW and Approved Construction Plans together with the required attachments to the Regional Office for review/evaluation and approval, if the project is within the limits of the delegated authority of the Regional Director.

  5. If Planning and Design Division of the Regional Office will make an adjustment in the quantities and delete/add pay item/s in the submitted construction plans, the ABC & POW shall be adjusted accordingly by the District Engineering Office and resubmit the same for approval.

  6. If beyond the authority of the RO, forward the DUPA, ABC & POW and Approved Construction Plans together with the required attachments to the Bureau of Construction (BOC) and Bureau of Design (BOD) respectively, for review/evaluation for approval of the Assistant Secretary for Technical Services, Undersecretary for Technical Services or Secretary depending on the limits of authority.

  7. If Bureau of Design shall make an adjustment in the quantities and delete/add pay item/s in the submitted construction plans, the ABC & POW shall be adjusted accordingly by the Regional Office and resubmit the same for approval.