1 BROOKHAVEN SCIENCE ASSOCIATES CFAC Review Marty Fallier NSLS-II Conventional Facilities CFAC Cost Review May 9, 2007

1 BROOKHAVEN SCIENCE ASSOCIATES

CFAC Review

Marty FallierNSLS-II Conventional Facilities

CFAC Cost ReviewMay 9, 2007


Outline

• Recap of CDR Cost Estimate•Cost Estimate Methods•Construction Cost Escalation•Parametric Comparisons•Estimate Summary

• Planning for Title –I /CD-2 estimate•Changes since CDR


CDR Cost Estimate Sources

Conventional Facilities Management 1.6.1 6,131,000 488,000 6,619,000 Engineering EstimateConventional Facilities Engineering and Design 1.6.2 1,830,000 14,780,000 16,610,000 Engineering EstimateConventional Facilities Construction 1.6.3 - 140,594,000 140,594,000 Sum

CF Construction Management 1.6.3.1 - 4,830,000 4,830,000 Engineering EstimateImprovements to Land 1.6.3.2 - 7,416,000 7,416,000 LIRO/VJ/HDRCentral Lab-Office Building 1.6.3.3 - 17,516,000 17,516,000 LIRO/VJ/HDRRing Building 1.6.3.4 - 80,246,000 80,246,000 LIRO/VJ/HDRLab - Office Building(s) 1.6.3.5 - 3,296,000 3,296,000 LIRO/VJ/HDRMechanical Utilities 1.6.3.6 - 7,729,000 7,729,000 LIRO/VJ/HDRChilled Water Utilities 1.6.3.7 - 7,711,000 7,711,000 Giffels CHW StudyCryogenic Utilities 1.6.3.8 - 1,100,000 1,100,000 Engineering EstimateElectrical Utilities 1.6.3.9 - 10,750,000 10,750,000 LIRO/VJ/HDR

Integrated Controls and Communications 1.6.4 216,000 400,000 616,000 Engineering EstimateStandard Equipment 1.6.5 - 1,600,000 1,600,000 Engineering EstimateCommissioning 1.6.6 - 900,000 900,000 Engineering Estimate

166,939,000 1Source of estimateEngineering Estimate - Prepared by NSLS II project team and detailed in the project cost estimate databaseLIRO/VJ/HDR - Prepared by consultant team and detailed in "LIRO" estimate packageGiffels CHW Study - Prepared by consultant and detailed in Giffels Chilled Water Alternatives Study

Source of Estimate11.6Conventional FacilitiesDirect Total FY 2006 $

Labor Material

Note: WBS for CF is now 1.5


CDR Estimate Sources

• Engineering Estimates (WBS 1.6.1, .2, .4, .5, .6 & 1.6.3.1, .8)• Prepared by BNL based on level of effort, engineering judgment,

vendor quotes or parametric comparisons• Include staff labor hours, FTE’s, BNL resource labor (ie. PE) and

material & travel expenses• Labor rates applied by labor categories in cost database• Burden and escalation applied in cost database


CDR Estimate Sources cont’d

• LIRO/HDR (WBS 1.6.3.2, .3, .4, .5, .6, .9)• LIRO/HDR are the A/E team preparing conceptual design for NSLS II CF• LIRO and VJ Associates prepared the estimates• LIRO is an Architectural/Civil /CM firm with extensive NY/LI estimating,

construction and CM experience• Uses Timberline with RS Means unit costs and local adjustments

• VJ is an estimating firm with extensive experience in the NY/LI construction market

• They provided very accurate re-estimating support for the CFN Re-bid• Use their own Database built on experience in the NY/LI area

• General Construction estimates are prepared by LIRO• MEP estimates are prepared by VJ


CDR Estimate Sources cont’d

• Giffels CHW Study (WBS 1.6.3.7)• Chilled water alternatives evaluation prepared by Giffels

Engineers inc.• Designed CHW Storage Upgrade to CCWF • Prepared CDR for CCWF Plant Expansion in 2001

• Updated labor and material costs to current rates• Includes detailed qty take-offs for planned expansion of CCWF• Includes CHW piping costs to NSLS II site

• Cost Sharing w/BNL• Costs for CCWF expansion split with BNL

• 2 Chillers for NSLS II; 1 Chiller for BNL; 1 spare bay for BNL


CDR Estimate Methods

• Major construction items - WBS 1.6.3• Estimates primarily based on material quantity take-offs from the

conceptual drawings• Some systems that are not yet detailed are based on system

cost/SF (mainly in MEP estimates)• Estimators used their own cost estimate systems developed to

reflect cost of construction in the NY/LI area (this is their livelihood)• Reflects recent price experience on critical commodities like concrete,

steel, copper etc.• Base cost is subcontractor cost plus GC OH&P• 15% General Conditions is added to account for bonds, insurance,

supervision, safety, mobilization, site maintenance etc.


CDR Estimate Methods cont’d

• Major construction items - WBS 1.6.3• Estimates primarily based on material quantity take-offs from the

conceptual drawings• Some systems that are not yet detailed are based on system

cost/SF (mainly in MEP estimates)• Estimators used their own cost database developed to reflect cost

of construction in the NY/LI area (this is their livelihood)• Reflects recent price experience on critical commodities like concrete,

steel, copper etc.• Base cost is subcontractor cost plus GC OH&P• 15% General Conditions is added to account for bonds,

insurance, supervision, safety, mobilization, site maintenance etc.


CDR Construction Escalation

• The majority of construction costs are labor, not material• While some material prices have been volatile, labor prices

have been steady in most markets, including NY/LI• While there was a sharp increase in construction costs in 2005,

the market has adjusted in 2006 • ENR NY construction cost increase for 06 is 3.6%• ENR NY building cost increase for 2006 is 4.0%• ENR NY labor cost increase for 2006 is 3.1% • ENR NY material cost increase for 2006 is 6.9%

• So despite material cost increase of 6.9% actual construction /building cost is much closer to the labor cost increase


CDR Construction Escalation cont’d

• Looking ahead – NY vs LI markets• NY has a number of large projects in the planning stage in addition to the

Freedom Tower project just getting underway• Projects in planning stage historically have several years before all approvals and

financing are in place, if they happen at all.• By contrast, LI has one major project (development of the Nassau Coliseum

area) in planning stage and this is likely to go to a commercial developer.• In sum, NY City may have a tight market but LI will likely be competitive

(downward price pressure).

• Major LI Contractor using 5% for construction escalation• Given local ENR data (~3.7%) and local contractor practice,

escalation of 5% is prudent at this time.


Buffalo Federal Courthouse Buffalo, NY Courthouse New Federal Courthouse Dec-05 258,240 $340 $357

Academy of Information Technology

Stamford, CT SchoolNew 122,400 SF college lab/lecture facility

Jun-05 122,400 $287 $304

Islip federal Court Bldg1 Islip , NY CourthouseNew 870,000 SF 12 story courthouse

Aug-98 870,000 $230 $303

NYS Suffolk County Court Riverhead, NY Courthouse New State Courthouse Oct-04 88,000 $324 $368

BNL Research Support Bldg BNL, Upton NY OfficeNew 65,000SF Office Complex

Feb-05 65,000 $194 $233

BNL CFN BNL, Upton NYNanotech Laboratory

New Hi-technology Laboratory Bldg

Jul-05 94,500 402 $427

ANL APS1 Argonne, ILL Light Source959,000 SF Lightsource Research Facility

1991 959,000 184 270

BNL NSLS-II BNL, Upton NY Light Source361,000 SF Lightsource Research Facility

2006 361,000 388 388

Date of costProject Title

Project Location Project Type Project Description Total GSF

Bid Cost $/GSF

Current Cost $/GSF

CDR Construction Cost Comparison

Costs include building construction and related sitework and utilities.

1 - Based on cost at completion, not bid cost NSLS II in upper range of data except compared to CFN due to substantial difference in CFN building type


Building Cost Comparison

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CDR Construction Cost Comparison

Costs escalated to FY06 $

• Costs include sitework and utilities


WBS Dictionary: All phases of design, construction, and commissioning of the conventional facilities.

CDR Conventional FacilitiesTotal Estimated Cost ($ x 1000)

WBS Description

Direct $ Total

Burdened &

Escalated

Bottoms up Contingency

Total with ContingencyFTEs Labor Material % $ Value

1.06 Conventional Facilities 56.8 $8,177 $158,762$200,13

5 30.8% $61,699 $261,834

1.06.01 Conventional Facilities Management 45.4 $6,131 $488 $8,493 9.0% $764 $9,257

1.06.02 Conventional Facilities Engineering & Design 9.7 $1,830 $14,780 $18,254 29.9% $5,454 $23,707

1.06.03 Conventional Facilities Construction 0.0 $0 $140,594

$169,554 32.6% $55,237 $224,791

1.06.04 Integrated Controls and Communications 1.7 $216 $400 $767 21.0% $161 $928

1.06.05 Standard Equipment 0.0 $0 $1,600 $1,969 2.0% $39 $2,008

1.06.06 Conventional Facilities Commissioning 0.0 $0 $900 $1,099 4.0% $44 $1,143


WBS Dictionary: Construction of all NSLS-II buildings, utilities and improvements to land.

Conventional Facilities Construction Total Estimated Cost ($ x 1000)

WBS Description

Direct $ Total

Burdened&

Escalated

Bottoms upContingency

Total withContingencyFTEs Labor Material % $ Value

1.06.03 Conventional Facilities Construction 0.0 $0 $140,594 $169,554 32.6% $55,237 $224,791

1.06.03.01 CF Construction Management 0.0 $0 $4,830 $5,570 29.0% $1,615 $7,185

1.06.03.02 Improvements to Land 0.0 $0 $7,416 $8,759 31.0% $2,715 $11,474

1.06.03.03 Central Lab Office Building 0.0 $0 $17,516 $21,916 26.0% $5,698 $27,614

1.06.03.04 Ring Building 0.0 $0 $80,246 $96,023 37.0% $35,529 $131,552

1.06.03.05 Lab Office Building 0.0 $0 $3,296 $4,138 22.0% $910 $5,048

1.06.03.06 Mechanical Utilities 0.0 $0 $7,729 $9,345 25.0% $2,336 $11,681

1.06.03.07 Chilled Water 0.0 $0 $7,711 $9,371 28.0% $2,624 $11,994

1.06.03.08 LN2 and GN2 Distribution System 0.0 $0 $1,100 $1,460 21.0% $307 $1,767

1.06.03.09 Electrical Utilities 0.0 $0 $10,750 $12,973 27.0% $3,503 $16,475Note: WBS for CF is now 1.5


CDR Cost Estimate Summary

• Largest Cost areas for CF (WBS 1.6.3) have relatively detailed estimates for conceptual design.• Significant value engineering has already taken place and is identified in

the add/deduct alternate estimates• Estimates used recognized methods, rates are updated frequently and

include adjustment for local conditions or unique work• Escalation of 5% balances recognition of material cost volatility with

relatively stable labor rates• Exceeds ENR of 3.7 – 4.0 %• Matches the value used by local contractor 5%

• Comparison with other construction indicates estimate is on par or slightly conservative


Changes to Estimate Since CDRCost Change Revised CD-1

Direct $Conventional Facilities Management 1.5.1 6,619,000 6,619,000 No ChangeConventional Facilities Engineering and Design 1.5.2 16,610,000 16,610,000 No ChangeConventional Facilities Construction 1.5.3 140,594,000 148,740,000 Sum

CF Construction Management 1.5.3.1 4,830,000 4,830,000 Increased with scope changesImprovements to Land 1.5.3.2 7,416,000 7,416,000 No change

1.5.3.3 17,516,000 (6,500,000) 11,016,000

Replaced CLOB with Smaller Ops Center - went from 53 ksf to 9 ksf, added compact booster tunnel and equipment area(15ksf)

Ring Building 1.5.3.4 80,246,000 (954,000) 79,292,000 Revised shield wall to reduce HD concrete. Added ratchet wall shield doors.

Lab - Office Building 1.5.3.5 3,296,000 15,600,000 18,896,000

Increased number and size of LOB's, now have 3@ 72 person ea. instead of "two" @ 30 person ea. (1 LOB in CLOB)

Mechanical Utilities 1.5.3.6 7,729,000 7,729,000 No ChangeElectrical Utilities 1.5.3.7 10,750,000 10,750,000 No ChangeCryogenic Utilities 1.5.3.8 1,100,000 1,100,000 No ChangeChilled Water Utilities 1.5.3.9 7,711,000 7,711,000 No Change

Integrated Controls and Communications 1.5.4 616,000 616,000 No Change

Standard Equipment 1.5.5 1,600,000 1,600,000 No change, # of ofcs roughly same (220 CDR vs 222)

Commissioning 1.5.6 900,000 900,000 No Change166,939,000 - 175,085,000

Costs are Direct FY06 $ CDR Current

Booster-Linac-Operations Center (BLOC) formerly CLOB

Comments1.5Conventional FacilitiesDirect CDR

Total FY 2006

With Burden & Escalation CF Total is ~$ 220M

Direct FY06$


Changes since CDR Cost Estimate

• 1.5.3.3 BLOC – $6.5M direct FY06$ decrease• Added cost for Compact Booster – detailed take-off• Deleted CLOB and replaced with Operations Center – SF estimate

• 1.5.3.4 Ring Bldg - $1.0M direct FY06$ decrease• Revised shield wall cost by reducing HD concrete - unit cost/cu. yd.• Added 60 ratchet wall shield doors – vendor quote unit cost

• 1.5.3.5 Lab Office Bldgs - $15.6M direct FY06 increase• Increased # and size of LOB’s – SF estimate


Contingency & Scope Contingency

• Contingency Estimates will be based on next update of Risk Analysis• CDR Calculated was 31% but applied Mgt. allowance of 35%• Current Mgt allowance is ~40%

• Scope contingency is primarily limited to LOB’s and Ratchet Wall Doors – all other scope is essential to operation• 3 LOB’s @ $6.3M direct ea. = $18.9M ($31.5 TPC)• 60 ratchet Wall Doors @ $40k direct ea. = $2.4 M ($4.0 TPC)• Total Scope Contingency = $21.3 M ($35.5 TPC)


Estimate Changes Needed for CD-2

• Must capture modest changes to scope dependent level of effort activities• Need to increase design costs (1.5.2) and CM costs (1.5.3.1) to reflect

increased scope for Booster and LOB’s

• BLOC (1.5.3.3) reflects estimate for Compact Booster• Need to differentiate Booster, Linac and Ops Ctr costs

• LINAC costs are currently in Ring Bldg (1.5.3.4) and need to be moved into BLOC • For LOB’s (1.5.3.5) - Should resolve what level of development of

lab/office program will be in base scope• Could be full build-out of space or just shelled space for future beamline

programs


Estimate Changes Needed for CD-2 cont’d

• Need fully developed take-off & vendor quote based estimate• Updated escalation analysis based on local factors and trend

analysis• Updated and more detailed risk analysis with Monte Carlo

simulation for contingency development• Application of value management and alternatives cost

analysis (Value Engineering Report) and incorporation of selected alternatives• Time phased estimate based resource loaded schedule with

escalation to at-year $.

Documents

1 BROOKHAVEN SCIENCE ASSOCIATES CFAC Review Marty Fallier NSLS-II Conventional Facilities CFAC Cost Review May 9, 2007