Forum discussion
NC-2009 MRc4: Recycled Content
1. The calculation section in the reference guide says to multiply the total construction cost (hard costs only) by.45. Does total hard cost = cost with contractor's fee? or = to cost without contractor's fee?
2. Also, the reference guide says material costs include all expenses to deliver the material to the project site. Should this be consistent with 1 above? Include the fee if included in 1 above and don't include the fee if not included in 1 above. Correct?
Thanks,
Travis
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The recycled content percentage on the product data sheet is given as a range. What should I do?
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Are there recycled content claims that I should be wary of?
Travis Layman
Chief Estimator, LEED AP BD&CHarman Construction, Inc.
20 thumbs up
January 18, 2010 - 5:22 pm
Another related question:
Is the material cost = the contract value of the material? Typically the contract value of the material is an estimated value. Actual cost could be more or less.
Thanks.
Nadav Malin
CEOBuildingGreen, Inc.
LEEDuser Moderator
844 thumbs up
January 19, 2010 - 2:06 pm
Hi Travis,
Contractor fees are typically considered part of the "hard costs" of construction (as opposed to design fees and permitting costs, which are soft costs), so they should be included. That is also consistent with the Ref Guide guidance on your 2nd question--which is to include transportation/delivery fees in the cost of materials.
Regarding Travis' question on actual cost vs. contract value, the preferred approach would be to use actual costs, but if that's hard to get and you have contract values readily available that might be acceptable. Could be worth asking in a CIR or trying it that way in an initial application, as long as you're prepared to go back and dig up the actual costs if they require that.
Geoffrey Brock
Director of SustainabilityIPS-Integrated Project Services
7 thumbs up
September 25, 2014 - 10:26 am
Here's the problem I have with this: "Cost to the owner" AKA "Contract Value" can be way more than just hard hosts. Many of our subcontractors have a design-assist role (i.e. curtain wall subcontractor/installer), and I don't think it's fair to include all that money for hours and hours of engineering and drafting to take your 45% from. Temporary materials? Yes. Shop Drawings? No. Imagine a Venn diagram with material cost within installed cost, and installed cost within contract value. I think it's perfectly fair to take 45% from whatever you can prove (via a SOV or requisition) is an accurate "installed cost", even if that "installed cost" is only 70% of the contract value. I can't say there is consensus on this, this is my interpretation based on the intent of the credit. I can't say all other agree with me on this but you should...