table of contents contents...specific sub-division these buildings are typically located in the...

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2 Table of Contents Contents Introduction .................................................................................................................................................. 4 Main CSI Division....................................................................................................................................... 4 Specific Sub-Division ................................................................................................................................. 4 Subject Description ................................................................................................................................... 6 Types and Methods of Measurements, and Construction Methods ............................................................ 7 Preconstruction......................................................................................................................................... 8 Foundations .............................................................................................................................................. 9 Masonry .................................................................................................................................................. 10 Concrete Lintels, Columns and Beams .................................................................................................... 11 Formwork ................................................................................................................................................ 13 Scaffold ................................................................................................................................................... 13 Roof Trusses, Purlins and Corrugated Roof Sheeting ............................................................................. 14 Site Work................................................................................................................................................. 14 Specific Factors – (quantities magnitude, geographical location, and seasonal effect) ............................. 15 Overview of Labor, Material, Equipment and Indirect Costs...................................................................... 15 Labor ....................................................................................................................................................... 15 Materials ................................................................................................................................................. 17 Equipment & Tools.................................................................................................................................. 18 Indirect Costs .......................................................................................................................................... 19 Special Risk Considerations ......................................................................................................................... 19 Currency Exchange Rate ......................................................................................................................... 19 Inflation ................................................................................................................................................... 21 Political Issues ......................................................................................................................................... 22 Security ................................................................................................................................................... 22 Ratios and Analysis ..................................................................................................................................... 23 Other Pertinent Information....................................................................................................................... 23 Sample Sketches ......................................................................................................................................... 25 Sample Take-off and Pricing Sheets ............................................................................................................ 26 Exemplar Photographs ................................................................................................................................ 29 References .................................................................................................................................................. 30

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Page 1: Table of Contents Contents...Specific Sub-Division These buildings are typically located in the tropics. Within the tropical zone. 1 (see Appendix, Map “A”) come numerous and varied

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Table of Contents

Contents Introduction .................................................................................................................................................. 4

Main CSI Division ....................................................................................................................................... 4

Specific Sub-Division ................................................................................................................................. 4

Subject Description ................................................................................................................................... 6

Types and Methods of Measurements, and Construction Methods ............................................................ 7

Preconstruction ......................................................................................................................................... 8

Foundations .............................................................................................................................................. 9

Masonry .................................................................................................................................................. 10

Concrete Lintels, Columns and Beams .................................................................................................... 11

Formwork ................................................................................................................................................ 13

Scaffold ................................................................................................................................................... 13

Roof Trusses, Purlins and Corrugated Roof Sheeting ............................................................................. 14

Site Work ................................................................................................................................................. 14

Specific Factors – (quantities magnitude, geographical location, and seasonal effect) ............................. 15

Overview of Labor, Material, Equipment and Indirect Costs...................................................................... 15

Labor ....................................................................................................................................................... 15

Materials ................................................................................................................................................. 17

Equipment & Tools .................................................................................................................................. 18

Indirect Costs .......................................................................................................................................... 19

Special Risk Considerations ......................................................................................................................... 19

Currency Exchange Rate ......................................................................................................................... 19

Inflation ................................................................................................................................................... 21

Political Issues ......................................................................................................................................... 22

Security ................................................................................................................................................... 22

Ratios and Analysis ..................................................................................................................................... 23

Other Pertinent Information ....................................................................................................................... 23

Sample Sketches ......................................................................................................................................... 25

Sample Take-off and Pricing Sheets ............................................................................................................ 26

Exemplar Photographs ................................................................................................................................ 29

References .................................................................................................................................................. 30

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Appendix ..................................................................................................................................................... 31

Copy of Topic Approval Letter .................................................................................................................... 32

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Introduction

Estimating construction projects in Third World countries means specializing in the

unpredictable. Governments and economies change faster than the seasons; currency

exchange and local inflation rates are as volatile as the transitioning stock market and material

and equipment availability is equally inconsistent.

Main CSI Division

Due to the broad nature of estimating a non-profit ministry building in these Third World

countries, the Construction Specification Index assigned is 1.4 - General Construction.

Specific Sub-Division

These buildings are typically located in the tropics. Within the tropical zone1 (see Appendix,

Map “A”) come numerous and varied species of wood eating insects and wood rotting fungi.

Accordingly, these structures are built using methods similar to Type II construction2

01 54 19 Temporary Cranes – a combination of scaffolding, ballast, and chain falls are

used to fashion cranes capable of lifting and setting metal trusses, purlins, and

corrugated metal roof sheeting.

; usually

cast-in-place reinforced concrete, concrete masonry units, and steel. In the specific Sub-

Divisions that follow, brief Sub-Division descriptions are included due to the unusual

circumstances of Third World construction:

1 Tropical Zone Aw (Tropical Savanna) is the zone near the equator with hot temperatures, and wet and dry seasons, per the KÖppen-Gieger Climate Classification system. 2 These Type II buildings are constructed of noncombustible materials. Typically built using masonry bearing walls, structures with steel studs for walls, and steel joists for floor and roof structures.

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01 54 23 Temporary Scaffolding and Platforms – erected in place and rolling scaffolding

is used to support personnel and materials as the work progresses above 5 feet, and

generally no higher than 25’. Many times this scaffold is a combination of tree poles,

lumber, and planks.

03 21 11 Plain Steel Reinforcement Bars – various sizes of rebar (i.e. ¼”, 3/8”, ½”,

5/8”and ¾”) are used in the cast-in-place concrete foundations, columns, lintels, bond

beams, and slabs.

03 31 13 Heavyweight Structural Concrete – generally concrete is mixed on-site using a

variety of types of mixers and manual labor. The concrete is transported via wheel

barrows and buckets to its intended work location for casting, many times multiple

scaffolding levels high.

03 41 00 Precast Structural Concrete – door and window lintels are typically precast on

the first day of the project. The ease of forming and casting these uniform concrete

lintels at ground level, in advance of the ultimate usage as structural supports above

these openings, is time efficient and a clear advantage to casting-in-place in the midst of

the production masonry phase.

04 22 00 Concrete Unit Masonry – these concrete masonry units (“CMU”) are typically

cast on-site using rudimentary casting molds and solar curing. The non-structural CMU

are generally inconsistent in weight, configuration, and strength. The aggregate types

and sizes are diverse based upon local availability and cost. The cement-to-water ratio

and cement-to-aggregate ratio changes daily due to materials, readily accessible water,

and the quality of casting labor crew. Generally the CMU is approximately 6”x 8”x 16”

(W x H x L) in size.

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05 44 00 Cold-Formed Metal Trusses – the steel used is typically a “C” channel

configuration, and varies in gauge from 16 to 223

07 41 13 Metal Roof Panels – corrugated sheet metal roof panels are available in 26 or

28 gauge

. This steel comes in six meter lengths

(or 19’8” U.S.). However, on some projects wood trusses are fabricated as steel

materials are not available.

4

08 11 13.16 Custom Hollow Metal Doors and Frames – sheet steel is fabricated for

doors and door frames by local craftsman at a home based work area, or on-site to take

advantage of the available rare conveniences of stable electricity and power tools.

These door and frame units are non-standard in size and operate with various degrees

of efficiency and security.

material and are four meters in length (or 13’1” U.S.) and a meter in width (or

3’3” U.S.).

08 51 23 Steel Windows – non-glazed, metal louvered windows are usually fabricated

by a local craftsman at a home based work area, or on-site to take advantage of the

available rare conveniences of stable electricity and power tools. These window units

are non-standard in size and operate with various degrees of efficiency and security.

Subject Description

Third World, non-profit construction projects, for church and school use, comes in all shapes

and sizes. From five-sided buildings and hexagonal shaped sanctuaries to perfect rectangular

school rooms; even to 2500 square foot building groups and three-story high, 10,000 square

foot multi-purpose structures. Fortunately, most are simple rectangles planned for ease of

3 Gauge per Manufacturers' Standard Gage for Sheet Steel 4 Gauge per Manufacturers' Standard Gage for Sheet Steel

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construction and simplicity of use. These buildings can be located in the “downtown” of

crowded urban areas or hours from any organized city center, normal utility grids and material

suppliers. The methods used in developing labor costs, material take-offs, and equipment

rentals for estimating these projects can be just as varied and eternally creative. Calculating the

costs and schedule durations of a largely untrained American volunteer workers, who are

supplemented by mostly unreliable local workers at an unforeseeable rate pay, is difficult to

accurately estimate. Then converting U.S. measurements (US) to metric measurements (M)

adds another layer of complication to the estimating process. Lastly, accounting for anticipated,

and unanticipated, fluctuations in the currency exchange rates, and local versus global inflation,

is nearly impossible for non-economic professionals to forecast. Constructing these simple

structures costs $60,000.00 to $70,000.00.

Types and Methods of Measurements, and Construction Methods

Generally project plans are not provided for the planning and estimating phase. Dimensions,

quantities, and building configuration (e.g. rectangular shape, single story with 12’wall heights

and a single gable roof at a 5:12 pitch, with a front porch shed roof on columns) are discussed

and agreed to in principle. Using a computer aided design program (CAD) a basic plan is

developed, including all known dimensions, sizes, architectural features, components, and the

plot and site conditions. When possible, this plan is dimensioned using both US and metric

measurements.

The Third World uses the metric system. Thus, converting the local metric dimensions to US

dimensions to plan labor and production rates is essential to the estimating process. However,

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upon developing material takeoffs in US dimensions another calculation must be performed to

“localize” the material list into meters, etc. for pricing.

Below is a chart of typical conversion calculations for US and metric measurements.

Convert US to Metric Convert Metric to US 1" 2.5 cm 10 centimeters 4" 12" or 1' .3 m or 30 cm 1 yard .91 m or 91 cm 1 meter 3'3" 1 square foot .093 square meter 1 square meter 10.76 square feet 1 cubic foot .029 cubic meter 1 cubic yard .765 cubic meter 1 cubic meter 1.31 cubic yards 1 pound .45 kg 1 kilogram 2.2 pounds 1 ton .9 metric tonne 1 metric tonne 1.1 tons 1 gallon 3.78 liters 1 liter .26 gallon #2 or 1/4" rebar #6 metric #3 or 3/8" rebar #10 metric #4 or 1/2" rebar #12 metric #5 or 5/8" rebar #16 metric #6 or 3/4" rebar #18 metric

Detailed material takeoffs are developed in both US, and metric quantities, for ease in

calculating costs and conducting project discussions with our domestic leadership, local

suppliers (in-country) and other international stakeholders. Based upon past experience,

calculating very detailed and accurate material takeoffs is one of numerous variables to the

project cost which can be eliminated or vastly reduced.5

Preconstruction

Typically these projects start with the preconstruction readiness work and the initial site work.

Since plans are typically not available, engineering is also not provided by the in-country hosts.

Thus, U.S. engineers provide rudimentary engineering for the structure.

5 See below for material waste factors for unreliable or untrained labor.

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Using one of the readily available satellite imaging programs determine the location and

approximate size of the property and work area. Also calculate the length of the property lines

and the size and locations of gates for easy access. The program can be used to estimate the

quantity of tree poles (8’on-center) and barb wire strands to provide a five feet fence (strands

one foot apart) for perimeter security, and also, include the necessary number of security lights

to illuminate large portions of the work area, including exposed THHN type #12 wire to supply

power. Then determine the location of the mortar and concrete mixing area, and allows an

estimate of the materials to construct a water tank platform easily accessible for tanker trucks

delivering water. Yet the tank needs to be high enough to allow gravity fed water for material

mixing. Lastly the program can determine the amount of grading needed (limited) for the

building pad. Except for the grading, no labor calculations are required due to a volunteer force

for the work on the first day. The estimated cost of local laborers providing the grading is

minimal; usually there are six local laborers and one local foreman for four to five days. There

should not be any significant materials cost and minimal equipment costs included in the

estimate.

Foundations

In non-seismically active areas the foundation system designs are uncomplicated (see detail

below). The footings are 18” x 12”, and 24” deep, top to bottom. Two pieces of rebar are

placed near the bottom of the footing, parallel to the footing length, with lateral pieces every

24” on-center. Vertical pieces of rebar, at 24” on-center, join the footing with the foundation

wall. Typically, all rebar is #4 or ½”. At times when the foundation wall is greater than 48” in

height, due to property topography, a grade beam is used at the top of the foundation wall.

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The grade beam is generally 12” x 12” with four #4 rebars, with additional #4 rebar joining the

grade beam and foundation wall.

This detail is easy to quantify and translate into the estimating process for the required

materials. Since the foundation must be completed prior to the volunteer team’s arrival, a local

crew completes this work. Based upon experiences it takes local crews approximately three

times as long to accomplish this type of work as one would expect in the United States (due to a

lack of equipment, readily available materials, culture etc.). After determining the size and

composition of the crew, the Labor Rate matrix below is used (see the Labor sub-section) to

calculate the labor costs. Usually a crew will consist of one lead, two experienced workers and

four laborers.

Masonry

Calculating the amount of CMU needed for a project is purely a square footage calculation:

multiply the lengths by the height of each wall and deduct for door and window opening

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and structural columns, lintels and bond beams. Add the normal waste factor of ten

percent; add an additional ten percent for unusable materials due to poor quality. Then

divide by the square footage of a single CMU (i.e. .88 square feet per “block”) to

determine the quantity.

The volunteer crew lays the CMU. However, local masons can be hired to supplement this task.

Calculate that each volunteer mason crew (i.e. block layer and tender) can lay 100 CMU per

day. This amount sounds very low, however, given the environmental issue (e.g. temperature

and humidity), inexperience and poor quality CMU, and mortar this rate is accurate. A local

crew’s production is similar. For every four volunteer crews, figure on hiring one local crew, the

Labor Rate matrix below is used (see the Labor sub-section) to calculate this labor cost.

The mortar is produced using inconsistent aggregates, hydrated lime and regular cement (Type

I). Due to the inconsistent aggregate materials (e.g. beach sand, volcanic sand, etc.) the mortar

“mixture” is as much art as science. Poor aggregates and inexperienced labor necessitate

doubling the amount of materials needed to lay the CMU, or 8 cubic feet of mortar to every 100

square feet of CMU. By using the following ratio calculate the cement, sand and lime – 1:3:.25.

A typical mason’s mixture, using the above ratio, is; 94 pounds of Portland cement, 27

“shovels” of sand, 25 pounds of hydrated lime, and approximately 7 gallons of water.

Concrete Lintels, Columns and Beams

Much like the foundation system, the estimating process for the cast-in-place lintels, columns

and beams (i.e. bond beams and structural beams) is based upon material quantities developed

by analyzing the basic details for each of these concrete components.

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For all concrete components on non-seismic projects (i.e. foundation, lintels, columns and

beams) a 3000 PSI concrete mix is used. Calculate the cement, sand and gravel materials by

using the following formula – 1:3:3. To produce a cubic yard of concrete (i.e. 3000 psi), the

mixture ratio is: 517 pounds of cement, 1560 pounds of sand, 1600 pounds of gravel and

approximately 33 gallons of water.

The rebar used to reinforce the concrete is fabricated on-site as “cages”; and other reinforcing

components. The cages are fabricated using four, #4 or #5 main bars and #2 bars as “hoops” or

ties at 6” on-center. The cages are fabricated full length for ultimate strength and ease of

installation. Four to eight 90 degree angles are used at these intersections. All of these

materials are simple to quantify using the basic details and developing lineal footage of each

separate type.

Embeds are fabricated using plate steel and rebar bent into a “J”. This small amount of material

is harvested from cut off materials, thus no additional quantities are calculated.

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A single roll of tie wire will build approximately 60’ of rebar cage.

Formwork

All of the formwork is erected using rough hewn lumber of various widths, lengths, thicknesses,

and quality. This makes the estimating process difficult. For each lineal foot of lintels, columns,

and bond beams, three board feet of forming lumber is required. However, since the columns

and bond beams are not poured monolithically, the amount can be reduced by half. For each

lineal foot of form lumber, one and a half feet of cleats are needed for top cleats, slicers, and

spreaders. Custom made “form ties” are fabricated out of #2 rebar (smooth), figure two lineal

feet of form ties for every lineal foot of columns and bond beams.

Scaffold

Scaffold frames are built from tree poles. Figure on one frame at five feet on-center as the

frames and planks are not very strong. Estimate 27 lineal feet of poles for one scaffold frame.

The entire inside perimeter is set up at once, then divide the total perimeter by five and add

four more frames for wall ends.

Example of tree pole scaffold frames & planks.

Sonfonia Gare, Guinea; 2009.

Photo by D. Bethany

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Estimate using three 2x planks (or two 1x’s) on the scaffolding. Thus the perimeter length

multiplied by three will give you the amount of planks needed. A 12’ (4m) plank will only span

ten feet due to overlapping.

Roof Trusses, Purlins and Corrugated Roof Sheeting

Roof trusses can be fabricated out of steel or wood. Steel trusses are lighter, stronger, and

more durable in the hot, humid, and insect ridden tropical areas. However, many remote

locations in Third World countries do not have readily available inventories of steel materials.

In those situations, wood trusses are fabricated on-site using various types and dimensions of

lumber. Steel purlins (rafters installed perpendicular to the trusses) are used with steel trusses

and, likewise, wood purlins are used with wood trusses. Trusses are installed at roughly ten

feet on-center, and are connected to the bond beams with welds or bolts. The purlins are

installed at three feet on-center.

Corrugated roof sheeting is placed over the purlins and mechanically fastened with self tapping

screws or screw nails with rubber grommets.

The steel or wood used for the trusses and purlins is estimated by the lineal foot (or meter)

including the top and bottom cords and truss webbing. The corrugated roof sheeting is

estimated by the square foot in full length pieces.

Site Work

Protecting the exterior perimeter of buildings in tropical environments is important due to

heavy rains and typically expansive soils. Thus, placed concrete porches, steps and landings,

and building skirts (3’ wide concrete slab installed at the outside perimeter of the foundation to

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reduce the exposure of the expansive soils to large amounts of water) are used. In addition,

the porches, steps, and landings provide easy access to the structure.

These concrete features are estimated either by the square foot or by cubic yard of concrete.

Specific Factors – (quantities magnitude, geographical location, and seasonal effect)

Remote estimating these projects is difficult. Not being able to visit the site in advance, meet

the stakeholders, or local labor, or materials suppliers limits vital knowledge based upon

background information. Secondly, not being able to understand the local culture and business

tendencies, means the estimator must make many assumptions based upon past experience,

not current information. Consideration must be given when completing the estimate from

these factors. The level of “adjustment” for unknown factors changes from one country to the

next.

Overview of Labor, Material, Equipment and Indirect Costs

Labor

Local labor is unreliable with a wide range of daily wage costs and skill. Below is a chart

showing the array of potential daily costs by trade and experience level. These costs, though

low by comparison to U.S. labor rates, must be factored in to properly calculate the project

labor costs. Before being accused of exploiting the local labor it should be understood that

paying grossly higher rates for the local labor is ill-advised. This practice has backfired on many

an altruist when building these projects by dramatically upsetting the local worker hierarchy.

Therefore, in estimating the work use the actual rates charged by the local workers.

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Average Third World Country Labor Rates Position/Level Laborer Experienced Lead General Labor $2.00 $6.00 Concrete $3.00 $8.00 $8.00 $15.00 $10.00 $16.00 Masonry $2.00 $6.00 $4.00 $10.00 Electrician $8.00 $12.00 $12.00 $16.00 $15.00 $20.00 Security Guard $1.00 $3.00 $2.00 $4.00

Developing labor estimates knowing that the American volunteer labor crew is mostly

untrained, presents challenges as well. Properly appraising the experience and potential

production levels of these volunteer workers is crucial to forecasting the need, and cost, of the

local labor force used to supplement the work. Interestingly, the highly skilled trades of form-

setting (carpentry) and welding are the trades most successfully performed by the American

crew. This can be attributed to the highly skilled volunteers are assigned to the most technical

tasks. These construction professionals serve as “de facto” foremen leading small crews in the

specialized work.

The less experienced volunteers tend to do the more repetitive tasks, such as, of concrete and

mortar mixing, material distribution, rebar fabrication and masonry. The work is physically

demanding and untrained and occasionally out of shape workers can tire over the course of

several days. Hiring the local tradesmen and laborers provide the needed boost of production

to keep the project on schedule.

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Estimating the labor requirement differs from one project to the next, but can be roughly

determined by using one local worker for every six volunteers on an average per work day.

Though this ratio changes by trade.

Materials

Due to the difficulty in locating, ordering, and transporting building materials in Third World

countries, the practice of “over-ordering” or ordering in bulk is typical. Not only to assure

having enough material to complete the project, but frequently the materials come in large

quantity “packages” (e.g. aggregates are purchased by the 10 wheeler load). However, these

larger quantities do not always equal better prices.

Local Electrical Crew installing conduit.

Quisqueya, Dominican Republic; 2010.

Photo by D. Bethany

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Consumable materials such as tie wire, welding rod, etc. must be purchased in the city centers

and delivered to the project. Deliver costs are higher and become a significant percentage of

the material costs.

Key Material Costs for Estimating

Description Type Units Unit Cost (US $) CMU (6x8x16) ea 1 $ 0.72 Cement (94 lbs.) ea 1 $ 7.22 Aggregates m3 1 $ 0.56 Rebar (1/2") m 6 $ 9.18 Steel - Trusses (2x6 "C") m 6 $ 45.60 Corrugated Roof (81sf) ea 1 $ 2.78 Lumber (1x12x16) lf 16 $ 20.10

Equipment & Tools

Generators, concrete mixers, welders, vibrators, and some hand tools are not readily available

and typically of a poor condition. Whatever equipment is available rents at prices similar to the

U.S. for new, good conditioned equipment. However, these costs double as it takes two piece

of equipment to provide one usable piece at any given time. Also, figure on renting the

equipment for the entire duration of the project. Once the equipment is on-site do not return

it until the project is finished, as a returned piece may not be available again for weeks.

Description Days or

Lump Sum Quantity per Day

Unit Cost (US $) Totals

Generator 16 1 $ 28.00 $ 448.00 Concrete Mixer 16 1 $ 28.00 $ 448.00 Welder 16 1 $ 14.00 $ 224.00 Water Truck (const.) 1 1 $ 610.00 $ 610.00 Vibrator 16 1 $ 5.00 $ 80.00 Tools 1 1 $ 2800.00 $ 2800.00

Totals $ 4610.00

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Indirect Costs

Most of the typical U. S. indirect costs are not a factor in Third World, nonprofit construction

projects. Nevertheless, indirect costs must be determined and estimated, as follows;

Both American volunteers and local labor expect to be provided a mid-day meal.

Material delivery and related transportation costs ensure prompt delivery of

unexpected materials.

Ample clean drinking water must be delivered to the site each day for workers.

Emergency medical supplies.

The cost of losses due to theft.

Typically, these indirect costs represent approximately 5% of the project costs.

Description Days or

Lump Sum Quantity per Day

Unit Cost (US $) Totals

Meals - Mid-Day 16 50 $ 4.25 $ 3,500.00 Trucking/Transportation 16 1 $ 125.00 $ 2,000.00 Drinking Water 16 50 $ 2.25 $ 1,800.00 Medical Supplies 1 1 $ 250.00 $ 250.00 Losses Due to Theft 1 1 $1,000.00 $ 1,000.00

Totals $ 8,550.00

Special Risk Considerations

Currency Exchange Rate

Third World construction projects recently estimated have been located in Chile, Guinea (West

Africa) and Nicaragua – a diverse group of projects in diverse settings. In the Historical

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Exchange Rates graph6

below, the potential volatility in the exchange rate with U.S. currency

can be evaluated. As an example, both Chile (CLP = dash line) and Nicaragua’s (NIO = heavy

solid line at the bottom) currency has been relatively stable versus the U.S. dollar (USD).

However, Guinea’s (GNF = solid line) currency demonstrates a history of extreme fiscal

volatility, and a loss of currency value, also referred to as international inflation. Usually a high

level of currency volatility is evidence by enormously high national debt, poor economic

management and high levels of governmental corruption.

6 OANDA - Historical Currency Rates Comparison Compare historical foreign exchange rates against a base currency, as a currency graph. OANDA Rates™ are available from January, 1990 for most major currencies. Compare currencies as a currency chart; Average exchange rates are available daily, weekly, monthly, quarterly, or yearly. A monthly Midpoint exchange rate was used. (The exemplar data & information is provided from the OANDA website at: http://www.oanda.com/currency/historical-rates/)

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Inflation

The timing of completing the project estimate by costing the labor requirements, material take-

offs and equipment rentals is as important as designing the project in Third World countries

because these countries are prone to hyper-inflation. Pricing too far in advance may render the

budget underfunded. Given the challenges of finalizing project funding, and ultimately having

the construction resources available, it is important to price and purchase well in advance of

the normal ordering time frames used in the U.S. It’s important to find the inflation “sweet

spot” for pricing the project. In the Guinea Inflation Rate graph7

below, the known and

potential inflation rate can be forecasted and this information is used for forecasting the final

estimate and project budget.

7 Trading Economics provides accurate information for 232 countries including historical data for more than 300,000 economic indicators, exchange rates, stock market indexes, government bond yields and commodity prices. The data is regularly checked for inconsistencies and based on official sources; with the World Bank, the International Monetary Fund, central banks and national statistics bureaus being the most important. TradingEconomics.com has received more than 20 million page views from more than 200 countries. (The exemplar data & information is provided from the Trading Economics website at: http://www.tradingeconomics.com/guinea/inflation-cpi)

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Generally if the increase in the exchange rate (aka, Third World country currency devaluation

against the U.S. dollar) is roughly equaled by the country’s inflation rate then the net effect on

the estimate total and construction budget, based upon U.S. dollars, should be at, or near, zero.

However, as with Guinea’s current economic situation, if the currency exchange rate against

the U.S. dollar is roughly static or strong, while the countries internal inflation rate is very high,

this creates an estimator’s nightmare. In this case, an economic contingency line item must be

projected and funded to account for the imminent budgetary increase.

Political Issues

The national political issues affecting the estimating process are mostly accounted for in the

“Currency Exchange Rate” and “Inflation” sections above. However, the local political aspects

of estimating these projects must be considered and planned for. Understanding the potential

local level of corruption and its effect on delivery schedules, and labor and material availability,

is important. A small percentage of the overall project costs should be set aside as a

contingency line item for this purpose, generally about two percent of the project cost is used.

Security

Securing materials, tools, equipment, and the site is a vital consideration. Unfortunately,

finding reliable security guards is difficult. Security systems are mostly useless due a lack of

reliable electrical power; a general lack of proper law enforcement for crimes at this level also

causes problems, especially when it’s the Americans accusing the locals… not a good situation

to be in. Hiring a separate guard to watch the front line security guards is a good plan. And

changing the security procedures from one day to the next is always a good idea to keep the

security force from becoming complacent. To estimate the cost of this service, triple the daily

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rates of the guards and rotate the personnel; plus, add the cost a security guard overseer, those

hours and visits vary. Set aside a small percentage of the overall project costs to be used for

this purpose, generally about four percent.

Ratios and Analysis

To check the takeoffs, and confirm the accuracy of the estimate, certain ratios have been

developed and relied upon. Though exact adherence to these ratios is not recommended,

general conformance is expected for estimate accuracy. Below is a matrix of these formulaic

ratios used for analysis;

Line Item Description

Category Percentages Materials Labor (Local) Indirect

Line Item Totals

Preconstruction 4%

72% 24% 4% 100% Foundation 12%

72% 24% 4% 100%

Masonry 10%

87% 7% 6% 100% Concrete 19%

92% 2% 6% 100%

Lumber 8%

96% 2% 2% 100% Scaffold 7%

92% 2% 6% 100%

Roof 29%

92% 2% 6% 100% Site Work 6%

92% 2% 6% 100%

Indirect Costs 5% Total 100%

Other Pertinent Information

Third World nonprofit construction projects are planned well in advance with an in-country

schedule of approximately 16 days. The work schedule must be “fast and furious” for any

chance of completing the work. Thus, the estimate must take into account the fast paced, little

or no days off, work schedule. Waiting for material and equipment is not part of the program.

Adding extra material and equipment due to limited ongoing availability and difficult delivery

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schedules is essential. And, of course, the material and equipment suppliers are not right

around the corner. Estimate for more than enough material to do the job and obtain extra

equipment; then figure enough secure storage space to receive all needed items on day one of

the project.

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Sample Sketches

Standard Church Design

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Sample Take-off and Pricing Sheets

Units Unit Cost (GNF) Costs (GNF) Totals (GNF)Unit Cost

($)Costs & Totals

($)Labor (Local)

Foundation 1 17,475,000.00 17,475,000.00 2,500.00 2,500.00 Masonry 1 3,145,500.00 3,145,500.00 450.00 450.00 Electrical 1 1,747,500.00 1,747,500.00 250.00 250.00

1 2,446,500.00 2,446,500.00 350.00 350.00 24,814,500.00 3,550.00

CMU8x8x16 (better if 6x8x16) 3500 5,048.33 17,669,166.67 0.72 2,527.78

17,669,166.67 2,527.78

Bulk MaterialsCement

mortar 35 50,483.33 1,766,916.67 7.22 252.78 columns/BB/lintels 200 50,483.33 10,096,666.67 7.22 1,444.44 slabs (3") 240 50,483.33 12,116,000.00 7.22 1,733.33 footings (24"x16") 1025 50,483.33 51,745,416.67 7.22 7,402.78

Gravelcolumns/BB/lintels 10 3,883.33 38,833.33 0.56 5.56 slabs 15 3,883.33 58,250.00 0.56 8.33 footings 85 3,883.33 330,083.33 0.56 47.22

Sandmortar 10 3,106.67 31,066.67 0.44 4.44 columns/BB/lintels 8 3,106.67 24,853.33 0.44 3.56 slabs 12 3,106.67 37,280.00 0.44 5.33 footings 60 3,106.67 186,400.00 0.44 26.67

Limemortar 50 14,562.50 728,125.00 2.08 104.17

77,159,891.67 11,038.61

ReBarHoops 1/4" 530 2,912.50 1,543,625.00 0.42 220.83 1/4" 400 2,330.00 932,000.00 0.33 133.33 3/8" 250 5,825.00 1,456,250.00 0.83 208.33 1/2" 615 10,679.17 6,567,687.50 1.53 939.58 5/8" 660 16,504.17 10,892,750.00 2.36 1,558.33 3/4" 75 23,300.00 1,747,500.00 3.33 250.00

23,139,812.50 3,310.42

Trusses/Roof2x8 372 17,475.00 6,500,700.00 2.50 930.00 2x6 341 15,921.67 5,429,288.33 2.28 776.72 Perlins - 2x4 1042 15,533.33 16,185,733.33 2.22 2,315.56 Welding supplies 1 2,097,000.00 2,097,000.00 300.00 300.00 Welding tools 1 1,747,500.00 1,747,500.00 250.00 250.00 Roof tin (8m x 1m) 3360 19,416.67 65,240,000.00 2.78 9,333.33 Roof fasteners (200 pcs) 200 2,427.08 485,416.67 0.35 69.44

97,685,638.33 13,975.06

Guinea Francs US Dollars

Description

On-site security costs

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Lumber1x4x10 1000 2,135.83 2,135,833.33 0.31 305.56 1x6x14 600 3,689.17 2,213,500.00 0.53 316.67 1x12x16 700 8,737.50 6,116,250.00 1.25 875.00 2x3x10 300 3,495.00 1,048,500.00 0.50 150.00

Rebar tableFormsCleatsLadders 4 18,640.00 74,560.00 2.67 10.67

11,588,643.33 1,657.89

HardwareNails - all 350 6,213.33 2,174,666.67 0.89 311.11 Bolts 1 388,333.33 388,333.33 55.56 55.56

2,563,000.00 366.67

Windows & DoorsWindows (meters)

1.8 x 1.1 2 679,583.33 1,359,166.67 97.22 194.44 1.5 x 1.1 8 582,500.00 4,660,000.00 83.33 666.67 .8 x 1.1 2 388,333.33 776,666.67 55.56 111.11

Doors (meters)2. x 2.15 1 737,833.33 737,833.33 105.56 105.56 1. x 2.15 2 368,916.67 737,833.33 52.78 105.56

8,271,500.00 2,366.67

Tools & EquipmentMixer (gas, 1 sack) 16 194,166.67 3,106,666.67 27.78 444.44 Generator (25KVA) 16 194,166.67 3,106,666.67 27.78 444.44 Welder 16 97,083.33 1,553,333.33 13.89 222.22 Water Truck 10 427,166.67 4,271,666.67 61.11 611.11 Wheel Barrows 15 446,583.33 6,698,750.00 63.89 958.33 Shovels 20 54,366.67 1,087,333.33 7.78 155.56 Barrels 4 48,541.67 194,166.67 6.94 27.78 Buckets 25 44,658.33 1,116,458.33 6.39 159.72 Miscellaneous 1 10,679,166.67 10,679,166.67 1,527.78 1,527.78

31,814,208.33 4,551.39

Unknown Costs (Rough Estimates)1 4,854,166.67 4,854,166.67 694.44 694.44 1 6,795,833.33 6,795,833.33 972.22 972.22 1 970,833.33 970,833.33 138.89 138.89

1 970,833.33 970,833.33 138.89 138.89 1 1,941,666.67 1,941,666.67 277.78 277.78 1 24,270,833.33 24,270,833.33 3,472.22 3,472.22 1 9,708,333.33 9,708,333.33 1,388.89 1,388.89 1 1,941,666.67 1,941,666.67 277.78 277.78

51,454,166.67 7,361.11

Total Direct Costs 346,160,527.50 50,705.58

CisternSepticBarbed wire fences

Lunch on-site by church

Temporary Toilet on-siteTrucking - materials/tools

Shade - tarps, poles & ropesOn-site storage

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Indirect Costs 5% 346,160,527.50 17,308,026.38 50,705.58 2,535.28

Inflation (14% x 1/2 year) 7% 346,160,527.50 24,231,236.93 50,705.58 3,549.39

Contingency 5% 346,160,527.50 17,308,026.38 50,705.58 2,535.28

Security 4% 346,160,527.50 13,846,421.10 50,705.58 2,028.22 72,693,710.78 10,648.17

Total Budget 418,854,238.28 61,353.76

Exchange RateGNF X to $1.00 (US)

X = 6,990.00

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Exemplar Photographs

Standard Church Design – similar to sketch.

Boffa, Guinea; 2009.

Photo by D. Bethany

Modified Church Design.

Ochomogo, Nicaragua; 2012.

Photo by D. Bethany

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References

1. OANDA Corporation. “Historical Currency Rates Comparison.” http://www.oanda.com/currency/historical-rates/. 2012. December 5, 2012.

2. Trading Economics. “Guinea Inflation Rate.” http://www.tradingeconomics.com/guinea/inflation-cpi. 2012. December 5, 2012.

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Appendix

1. Map “A”

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Copy of Topic Approval Letter