# NEC ECS:  Option b subcontract %

**URL:** https://reachback.builtintelligence.com/t/nec-ecs-option-b-subcontract/5172
**Category:** Contract Data
**Created:** [16 July 2019 08:41 UTC](https://reachback.builtintelligence.com/t/nec-ecs-option-b-subcontract/5172 "2019-07-16T08:41:27Z")
**Posts on this page:** 3
**Page:** 1

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### Author: ![Ian.Murphy](https://dub1.discourse-cdn.com/flex013/user_avatar/reachback.builtintelligence.com/ian.murphy/32/1080_2.png) [@Ian.Murphy](https://reachback.builtintelligence.com/u/Ian.Murphy)
#### Post date: [16 July 2019 08:41 UTC](https://reachback.builtintelligence.com/t/nec-ecs-option-b-subcontract/5172/1 "2019-07-16T08:41:27Z")

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I am currently pricing a main contract under NEC4 engineering and construction contract Option B. The contract data part 2 issued with the tender documents does not have a section to price people rates. It has a fee % plus a subcontract fee %. In the Bill of Quantities there are quantities of hours for labour and staff to be priced - the documents do not state if these are to include the fee % or not.  
(1) Should contract data part 2 not include a section for pricing people rates?  
(2) Should there only be a fee % in contract data part 2 and not a fee % and a subcontract fee %?  
(3) If I do not include the fee % on the labour and staff rates priced in the Bill of Quantities can I then add the fee % to these as I will have included a fee % in the contract data part 2?

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### Author: ![Jon\_Broome](https://dub1.discourse-cdn.com/flex013/user_avatar/reachback.builtintelligence.com/jon_broome/32/192_2.png) [@Jon\_Broome](https://reachback.builtintelligence.com/u/Jon_Broome)
#### Post date: [16 July 2019 09:18 UTC](https://reachback.builtintelligence.com/t/nec-ecs-option-b-subcontract/5172/2 "2019-07-16T09:18:31Z")

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In answer to your questions :  
(1) Should contract data part 2 not include a section for pricing people rates?  
Yes, or at the very least a reference to a schedule where they are contained. You could reference those in the BoQ.  
(2) Should there only be a fee % in contract data part 2 and not a fee % and a subcontract fee %?  
Yes. NEC4 ECC only has one fee percentage.  
(3) If I do not include the fee % on the labour and staff rates priced in the Bill of Quantities can I then add the fee % to these as I will have included a fee % in the contract data part 2?  
Yes, especially if you reference them from CD Part 2. This fee percentage would only be applied when a compensation event occurs, but when else would you use labour rates ?

Having said all of this, I would check the Z clauses to see if the Client or their advisors have done something ‘clever’ or not (as is most likely).

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### Author: ![Ian.Murphy](https://dub1.discourse-cdn.com/flex013/user_avatar/reachback.builtintelligence.com/ian.murphy/32/1080_2.png) [@Ian.Murphy](https://reachback.builtintelligence.com/u/Ian.Murphy)
#### Post date: [16 July 2019 12:55 UTC](https://reachback.builtintelligence.com/t/nec-ecs-option-b-subcontract/5172/3 "2019-07-16T12:55:22Z")

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OK Jon, thank you very much for the analysis and advice.
