CHAPTER Ill, SECTION 3

progress engineer, and one property records
engineer. This group was supervised by a Principal Engineer working directly under the H&N
Resident Engineer’s supervision.

other Departments.

Estimating functions performed for Operation CASTLE entailed such activities as: (1)
the preparation of preliminary estimates which
reflected the total cost of anticipated construction, engineering, camp operations, maintenance,

field.

support services and roll-up services; (2) origi-

These important depart-

mental functions included such activities as
Contract Administration, Budget and Accounting, Industrial Relations, Procurement, and
Engineering at both the Home Office and in the

All cost estimates prepared during Operation CASTLE followed an established pattern,
which detailed or segregated the relevant elements as follows:

nal estimates, prepared after engineering design
was authorized and formally submitted to the

1. The items of direct labor, direct material, equipment usage, and batch and
aggregate plant production were considered as direct costs and were estimated for each job on the basis of similar work in the Zone of the Interior.

Field Manager; and (3) current estimates, which

included the cost of any and all changes that
deviated from the preliminary design. The

estimated construction cost, when approved, be-

came the official cost used to determine the

2. In accordance with previous experience
at the Pacific Proving Ground, other
expenses were estimated as follows:

Contractor’s fee for approved construction.

When authorized changes in design oc-

curred after release of the current estimate, a

a. Indirect as 65% of combined direct
labor and direct material.

from the original design. This estimate super-

b. Operations as $4.50 per man-hour of
the estimated direct labor.

revised current estimate was issued which included the cost of any additions or deletions

seded the previously issued current cost estimate in its entirety. Special studies were also
prepared to supply general information or com-

c. Field Engineering as 4.75% of total
estimated construction cost of each

parative data for the proper determination of
design, manpower requirements, or construction
schedules.

project.

d. Engineering design as 4.00% of total
estimated construction cost of each

A copy of all estimates was supplied to the

Jobsite for use and reference in reporting prog-

ress, and for preparing monthly completion
estimates where it was found that the latest
current cost estimate deviated from the field
estimate “to complete’ by ten per cent. This

information was included in each monthly cost

statement of work in progress.

_
Data originated or assembled by Estimating was used in work performed by various

Type of Estimate
Cost studies
Budget forecasts
Preliminary Cost Estimates
Original Cost Estimates
Current Cost Estimates

Total - All Types

project.

The following compilation, which totals
2173 estimates, represents approximately 300%
more than the number of approved estimates
incorporated into the Contract. This over-all
total was due principally to the fact that many
estimates required complete processing throug
the preliminary and original estimate phases
prior to the preparation of approved current

estimates.

Number of

Gross

Net

Estimates

Dollar Value

Dollar Value

110
82
99
741
1,141

$ 17,089,295
43,000,000
35,669,940
23,290,854
47,707,600

$ 17,089,295
43,000,000
30,792,964
21,285,104
43,505,820

2,173

$166,757 ,689

$155,623,183

An “Estimated Operations Schedule,” reflecting the scheduling of engineering, procurement and construcion for each item of authorized construction, was issued and reviewed pe-

riodically by the Manager, Construction-Operations Division, his staff, and the Project Engineer. This provided the means for coordinating
the work of the various Departments involved.

Immediately following the review and issuance

of this schedule, a complete catalogue of Scien-

tific Stations was issued which provided a brief
description of the construction involved, site locations, and User requirements, and served to
coordinate the User’s needs with Jobsite construction.

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