Hi, a contractor has submitted a quote for ongoing temporary lighting, which are on site and due to stay for a further few weeks, their cost has come in a couple of weeks into the hire period and they are using the shorter schedule of cost components which is considerably more than the actual cost to rent from their subbie.
I am arguing that if we have actual costs that can be used we should use these, am i correct?
NEC3 Option A
Any advice would be appreciated
Thanks
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Welcome Nick.
I’m afraid you are not correct. They get the rate from the Shorter Schedule of Cost Components unless you both agree to use rates per 63.14. I don’t expect your Contractor will agree, but you can ask.
The actual cost is not relevant in assessing the CE. Only the defined cost. In this case, cost is defined in the SSoCC. The Client and Contractor have agreed these rates and have included them in the contract.
My advice is to assess using the rates agreed by the Contractor and the Client, not some other rates you think are applicable.
Alternatively, off hire the lights from the contractor and get someone else to provide and maintain the lights for a cheaper price.
Just to add to the comments, as stated at clause 52.1, Defined Cost is calculated using rates and percentages stated in the Contract Data and other amounts at open market or competitively tendered rates.
If there is an applicable rate for the required temporary lighting in Contract Data then this should be used to assess Defined Cost, in accordance with the above.