Plans and Specifications Review

Now that you have collected all the bid documents, it's time to begin reviewing the specification documents to understand the details of the job. Carefully read the specifications documents and all notes on the drawings so that you have a clear understanding of the scope of the project and the bid requirements before you begin the actual take-off. Make notes of any important details that you need to remember while completing the estimate. Take note of any alternate options for material or installation methods and allowances to be included in the bid. If you are bidding an entire project identify any subcontractors that must be used or brand restrictions. If you're providing a small part of a larger make sure you can meet the insurance and bonding requirements before you do all the work to submit a bid that you don’t qualify to perform.

If the owner is supplying material, such as a fixture package, remember to deduct only the material cost of the item(s) supplied not the labor, profit, or overhead. You will still incur the same costs of handling, storing, installation, labor for any warranty, and all of the other overhead costs and risk factors associated with that material.

Plans

Reviewing plans can be a daunting task. Plans are often crowded with details that are difficult to identify and important to the final price. This is one area that on screen takeoff software excels. Make sure to make multiple passes over the drawings so that you catch the little details that you may miss on the first review. Take a close look at all drawing legends, details, notations, and symbols. If you see something on the legend that's not on the drawing, take care to ensure you didn’t overlook something. Some projects will have device and fixture counts available with the bid documents. These are a great way to double check your work and make sure you didn’t miss something. Watch for control wiring, underground wiring, area lighting, signs, and outdoor equipment that may not be a normal part of the job. Become familiar with the entire installation and check for any special or unusual features such as elevated ceilings. Check to see if proper working space is provided for the electrical equipment, look for the locations of utilities, and so on.

Case Study No. 1:?A friend of mine, who was just getting started in business, did not read the note on the drawing that required him to replace 180 ft of 4/0 AWG service conductors with 500 kcmil service conductors.

The Result: He underbid the job by $4,000 on a $35,000 job, and won the job losing $4,000!

Case Study No. 2:?The drawings indicated that the electrical contractor was required to install three of the owner’s fixtures. The contractor didn’t have sufficient information on the fixtures and figured 3 hours for each fixture during the bid. The actual fixtures weighed over 500 lb each and required three men three days to install them!

The Result: He won the bid and lost 15 hours of labor.

Case Study No. 3:?During the estimating takeoff process, a symbol for a lighting fixture was overlooked by the electrical contractor. The owner was providing the fixtures but the wiring and labor costs for the installation was $125.00 each.

The Result: There were 40 of these fixtures indicated on the plans throughout the building so the contractors lost $5,000!

Specifications

Underline, circle, or highlight important and/or unusual items that can affect the estimate. Some estimators will circle these items before doing the take-off, and only highlight them after taking care of the item in the estimate. Determine who is responsible for painting exposed conduits, trenching, backfill, concrete work, patching, cleanup, temporary power, and so on. Find out if the use of special equipment or overtime is required. Don’t take anything for granted. You may be able to work some of these details out after you’re on the job with other sub-contractors but always assume you're going to pay to have them done when determining your cost.

Case Study No. 1:?According to the specifications a contractor was required to provide a video projector. He priced a similar brand and model that cost $5,000 because he didn't make the time to price out the exact model specified.

The Result: The owner required the exact model specified in the plans not the proposed alternate. The specified model cost $18,000 not $5,000 resulting in a $13,000 loss!

Specifications Checklist

To help you keep track of the drawings and specifications details, complete the Specifications Checklist worksheet as you proceed through the estimate. You will need this information at different stages of the process. Make pertinent notes such as scope and wiring methods for reference as you complete the various steps of the estimate. Use the list below to create a checklist of important items to be checked off when the estimate is near completion. This list is best kept on a spreadsheet or paper separate from the bid so that you can check it off as you go through the bid documents.

The above content is extracted from?Mike Holt's Electrical Estimating Program.

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Mike Holt is an author, businessman, educator, speaker, publisher and?National Electrical Code? expert. He has written hundreds of electrical training books and articles, founded three successful businesses, and has taught thousands of electrical code seminars across the US and internationally. His company, Mike Holt Enterprises, has been serving the electrical industry for over 40 years, creating and publishing books, DVDs, online training and curriculum support for electrical trainers, students, organizations, and electrical professionals.?

Mike has devoted his career to studying and understanding the?National Electrical Code?and finding the easiest, most direct way to share that knowledge with others. He has taught over 1,000 classes on over 40 different electrical-related subjects to tens of thousands of students. His knowledge of the subject matter, coupled with his dynamic and animated teaching style, has made him sought after from companies like Generac, IAEI, IBEW, ICBO, NECA, and Fortune 500 companies such as IBM, Boeing, Motorola, and AT&T. He is a contributing Editor for?Electrical Construction and Maintenance?Magazine (EC&M) and formerly Construction Editor to?Electrical Design and Installation?Magazine (EDI). His articles have been seen in?CEE News,?Electrical Contractor?(EC)?International Association of Electrical Inspectors?(IAEI News),?The Electrical Distributor?(TED) and?Power Quality?Magazine (PQ).