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How To Estimate The Cost of Hot Mixed Asphalt Concrete Paving For Commercial Construction Projects
How To Estimate The Cost of Hot Mixed Asphalt Concrete Paving For Commercial Construction Projects
How To Estimate The Cost of Hot Mixed Asphalt Concrete Paving For Commercial Construction Projects
HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR
COMMERCIAL CONSTRUCTION PROJECTS
$11. INTRODUCTION:
Costing is the determination of the estimate of the cost of all inputs that are used in any
form of construction or installation. This involves determining the total costs of capital, materials,
labor and any professional charges that may be required in the construction of any proposed
project. The cost of an installation project is usually based upon the totals in the construction
contract/s plus other direct installation based costs. These do not include fees paid to
professional consultants and engineers, right-of-way, cost of land or any other form of costs
defined as the owner’s responsibility in the contract document.
A. CSI Division:
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Master Format
B. CSI Subdivision:
Master Format
This composition paper will discuss the take-off methodology of the Construction
Estimator from the perspective of the General Contractor, as a scope of work within the overall
project scope. It will not attempt to delve deeply into technical aspects of raw materials,
manufacturing and mixing requirements or techniques of the actual product or the various
production rates, efficiencies and cost of the individual pieces of machinery or operating crew by
whom the actual work will be performed.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Generally speaking, there are two types of asphalt mixes; hot-mix and cold-mix. Hot Mixed
Asphalt (HMA) is commonly used for heavier traffic areas while cold-mix asphalt is used for
secondary roads, and maintenance of roads.
HMA is a manufactured product, created in a gas fired batch plant, blended from an engineered
design mixture of suitable large aggregate, small aggregate and occasionally special additives
such a recycled rubber from tires, other man made materials and bituminous asphalt emulsion
(hydrocarbons). (Fig 1)
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Steel wheeled vibratory roller/compactor machines (Fig. 4) are employed to evenly roll and
compact the mixture to the required thickness and density. The material must remain at or
above 175 deg. Fahrenheit to spread and compact properly. The application of the asphalt
base and the surface course is done in separate operations allowing the base to cool and
harden prior to applying the final surface course. Depending on the design there may be several
layers applied over the base course. Paving designs are constantly being improved by
innovative designs using green earth technology, an emphasis on reducing the carbon foot print
as well as improving the life cycle, noise reduction and wear ability of the finish product.
Figure 4 Steel wheel vibratory roller compactors compacts the fresh laid HMA to the
correct final thickness and density
2. METHODS OF MEASUREMENT:
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
All take-off quantities and calculations used in this composition are based on the Imperial unit of
measure. The units used in this paper are as follows:
When preparing an estimate of Probable Cost, it is important to know distances to the
nearest Hot Mix Asphalt producer. Trucking cost is a large percentage of the installation cost for
paving, and therefore; knowing the probable haul distance will obviously have a bearing on the
unit price estimated. Prepare a rough but reasonable time-line schedule for the project.
Determine if paving will occur in the summer or winter months.
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In the rural Southeast where many of the Asphalt producers make the Lion’s share of
their sales from Federal, State or Local highway and road contracts, the producers may close
their plants during the coldest periods of the year; these are usually January through March.
The Producer will use this period to do major maintenance on the plant and his equipment. If
the project schedule is such that it is a must that paving be constructed during these periods, it
may necessitate an escalation in the anticipated unit price. A call to the producer will answer
these questions and get you the minimum quantity that the plant requires to remain in operation.
Small volumes will be more costly than larger volumes, for instance an in-filled area inside a
parking lot or an added turn-out or infill between existing asphalt and say a new concrete gutter.
The purpose of this paper is to provide guidance to the Estimator in his role to do
take-off and to
Estimate the total cost to the General Contractor, for the as-specified in-place Asphalt Paving.
As most General Contractors do not self-perform Asphalt Paving with its own forces, materials,
labor and equipment are of little interest to the estimator. Of course it is of paramount
importance that the estimator understands the process of the paving activity and the capabilities
of prospective sub-contractors. All sub-contractors are not equal. It is prudent to visit the
location of unknown or prospective sub-contractors that have never been employed by the firm.
Knowing or familiarizing oneself to the age and condition of the sub-contractor’s equipment,
management staff and plant facilities etc; will give insight to any potential contingencies that
should be included with one sub-contractor’s bid over another.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
$15. Costs Associated with Hot Mixed Asphaltic Concrete Paving in Commercial
Projects.
The installation capital cost for projects of laying asphalt paving includes expenditure
related to initial establishing of the installation. The expenses include feasibility and planning
expenses, engineering designs and documentation, construction including labor, material and
equipment. Other costs may also include field supervision for installation, construction financing,
taxes and insurance involved in the installation, owner’s office overheads, furnishing and
equipment not included in the installation as well as testing and inspection fees.
The total amount of each cost component is dependant on the size, nature and location of the
project in question as well as the management’s organizational structure-just to mention but a
few. However, the ultimate goal any project’s owner is to obtain the lowest possible total
installation cost that falls within the objectives of the investment. In budgeting for installations,
an allowance for un-expected costs is always made (contingencies). This is due to the fact that
deviant variations may occur in the budget’s estimate. These costs may be included in each
item’s cost or in other cases they may be incorporated into a single group of installation
contingency. Contingencies are deduced from historical records and experience as well as the
anticipated complexity of the installation. Adjustments by contingencies inclusions may be
necessitated by design changes, differences in the nature of the site from the expected,
schedule changes and general administrative changes such as changes in wage rates. Third
party impositions such as permit fees that may come up during installation could also
necessitate contingencies.
The typical Paving Sub-contractor will be at the mercy of the fuel and oil market therefore; he
will want to limit his risk by guaranteeing his quote for only a short period usually 30 to 60 days if
possible. There are times when conditions dictate an even shorter price hold period due to the
volatility of the oil market. Sub-contractors realize that usually a major part of the project has to
be constructed before the work begins and this will escalate his price. In order to handle this
issue, an educated guess has to be made as to how the market will do during that period. The
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Construction Estimator should be aware of these same conditions. He should not double dip on
the subcontractors escalation.
$17.
One of the biggest management task for an asphalt pavement installation project is cost
estimation. Cost estimation activities lays the baseline of the costs of the project in the
sequential steps of the installation of the paving. The estimation of cost at a specific stage of the
installation reflects a deduction provided by the estimator or engineer based on data that is
available. The (AACE)-American association of cost engineers- defines cost engineering as an
area in which the practice of engineering experience and judgement is used in the
implementation of scientific techniques and principles to the challenges of estimating costs,
control of cost and profitability. Almost all cost estimating is done by a combination or
one of the following general costing approaches:
A cost unit is dedicated to every task and each facility component depending on the
representation in the bill of quantities. Therefore, in order to get the total costs; unit costs are
multiplied by the quantities estimated and summed up to give the total cost figure. This is a
parametric model of costing that employs the use of project parameters (characteristics) in a
mathematically desingned model that predicts the costs of aproject. The costing model could be
as simple as using the cost per square metre of asphalt paving to approximate costs for large
areas to be covered by the paving. In some instances this could be as complex as the use of
multiple varying factors to determine the cost of installation-such as the number of drainage
holes and kerb sides for the paving. This method is straightforward in its simpler form of
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
principle, though; it it a very tedious and laborious method (‘Cost estimation’, n.d).
The initial step in the use of this method would involve the differentiation of a project into broken
down, singular tasks. In this case these tasks can be exemplified by tasks such as grading,
excavation of drainages trenches, establishment of drainage holes and channels, compaction,
leveling and laying of the asphalt as well as its compaction. Tasks that may come later in the
sequence may involve building of side-kerbs, installation of signs and recovery of vegatation
around the site-just to mention but a few. These tasks have to be accomplished in order for the
installation to be complete, and thus; form the scope of works. The determination and defination
of these tasks is followed by the assessment of quantities of elements such as material or labor
required for each task. All defined tasks and their assigned costs are then summed, and thus;
form the total cost of the installation project. Task disaggregation/decomposition varies greatly
depending which estimate level is selected.
This estimation method utilizes data from previous actual projects to draw projected estimations
of cost for current projects. This methodology is useful in instances where there is little or no
information about the current installation project. Thus, installation estimations may be drawn
based on historical records of similar projects. The data used in this method can only be be
useful if it was organized during collection in a format that could make it applicable as a tool for
future projections. As a result, data used in cost estimation should always be collected and
stored in a manner that will render it useful for future use in the exercise of estimation. This
should include its occassional update that will ensure it will always be up-to-date with the
current times. In this project’s case cost data published in some print sources could be useful.
These are printed by various organizations and could acts as resourceful references. These
sources may include periodicals that print construction cost data details, commercial manuals
with cost data details, digest that have actual installation project costs and catalogs.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Cost data from historical records must be used with care because changes occur in
relative pricing over time and these could cause substantial impacts to the costing process.
Another unfortunate fact is that it is dificult to predict the changes that may occur or have
occurred on the pricing of tasks and material as a person reviews the material. Additionally,
analysis may be carried out erroneously and thus introduce new errors in the whole costing
system
Therefore, data and information retrieved from these records should not be directly
applied in the determination of the estimates of costs in this kind of installation. Instead these
records should be used as a basis to make a preliminary cost analysis that will later be used to
draw finer estimates based adjustments that take into account the current trends and pricing the
construction industry. As a result, it should be noted that this is never an effective method on its
own. Therefore, it should be used alongside another method in order to draw the closest
possible estimate.
Experience in estimating this work scope tells us that the following factors are usually
required for input:
$1· An bituminous tack coat or “Binder” is spray applied to the subbase prior to
installing the first layer or “base layer” of hot mixed asphalt. Bituminious tack coat usually costs
around $1.00 per square yard of contact coverage for labor, equipment and material depending
on the specified rate per gallon of coverage. Photo complements of Division of
Construction, California Department of Transportation, State of California,
April 2009
$1· Hot mixed asphalt is sold by the ton to the applicator, who then adds his labor,
equipment and mark-up and resales it as an in-place product. He may elect to propose the work
on a per ton in-place price or per square yard in-place price. Most subcontractor applicators will
provide a scope letter that indicates the price of their work by one or the other of these means.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
with a stated approximate number of tons or square yards of each product along with an
extended value for the total cost of the job.
$1· The estimator must be acutly aware that the subcontractor’s quote will more
times than not, exclude a gurantee of the stated quantities and thus limit the applicators
responsibility to guranteeing the unit price only. For this reason, it is impreitive that the estimator
familiarize himself throughly with the toal scope of the project, make a comprehensive estimate
of quanities that will include an appropriate waste factor based on his company’s history of over
and under runs for projects they have completed in recent years. It is also important for the
estimator to profile the typical bidding subcontractos as to the consistantsy of their estimates
and whether they typically hit the mark on quanity or histoirically run over or under. In the
bidding wars of today, there are many tactics used to effect the low bid, unfortunantly for the
General Contractor, many Subcontractors will under state the quantities in order to seemingly
have a lower bid, beware of this tactic! One should realize that Asphalt Paving contractors are
typically localized to the area of construction except for major highway construction. This is
because of the vast expense in building or setting up an asphalt mixing plant. Unlike most
concrete redi-mix suppliers, most asphalt batching plants are there to provide materials to their
own installation crews. Out-of-towners bidding against locals will effectively be required to buy
their materials from their respecitive competitors. Unless there is no local participation
anticipated for the impending bid, the non-locals may use the aforementioned tactic to lure a
general contractor into using his price.
$1· Spacific gravity of materials will of course determine the total weight of the
installed mix as mentioned earlier and the specified compaction and design mix will likely vary
from geographical area to geographical area. For this estimator, the rule of thumb for caculating
inplace tonage in the Southeastern states of Tennessee, Arkansas, Mississippi, Alabama and
Lousiana, is 110 pounds per square yard inch. That means, for every square yard placed that
is 1” thick will require an input of 110 lbs., this figure may be devided or multiplied as necessary
to achieve the total weight for the specified thickness. For example, the project documents call
for two thicknesses of paving, one for standard auto parking and access and the other for heavy
traffic such as delivery and maintenance trucks. The standard paving might be labled “Light
Duty” and the other “Medium Duty”. The Light duty paving in this estimate requires a 2”
compacted asphalt base and a 1-1/2” asphalt surface course for a total of 3-1/2” of aspahlt
paving. The Medium Duty paving requires 1-1/2” of hot mixed asphalt surface course over a
2-1/2” of hot mixed asphalt base for a total of 4” of asphalt paving. It is important that the
estimate take-off includes quantities for both the base material and the surface material as
these material are priced differently. The surface course material will typicall cost slightly more
than the base due to the increase quantity of asphalt and seive size of the large aggregate in
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
the mix.
$1· Asphaltic binder ot tack coat is calculated by taking the total coverage area
times one unless the paving specifications require a second application between the base and
surface course which sometimes is the case.
For the everyday construction estimator, calculating the cost for constructing a parking lot, street
or drive as we do on practuically every commercial construction project we pursue, the average
General Contractor will not actually perform this work. The estimator however; must determine
in advance of bid day, what his firm can resonably expect to pay for this scope of work. To do
so, he must first determine the point of beginning and the point of ending for this scope of work.
For the benefit of this paper, we will conclude that the point of beginning is from the top of the
prepared subgrade which, may include material other than compact earth such as compacted
stone subbase. Since the topic of this techinical paper is determining the cost of Hot Mixed
Asphaltic Concrete Pavement, we will exclude any other related cost. The asphalt paving
estimate will include the following scope:
To determine the quanity of asphalt required for an asphalt paving scope, one must fist
determine the total area to be paved. Depending on the shape of the paved area, this
determination may be as simple as calculating the length by the width but unless you are
building a tennis court or a long straight drive, your estimate will require much more input than
that. Since most paving projects encountered on a commercial project will likely include
turn-outs, planter areas, cul-de-sacs and areas where the shape is irregular.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
If one has the use of an electronic digitizer, calculating the volumn of these areas is a piece of
cake but if not, the take-off may at first seem impossible. By sectioning off all the various areas
and dividing them into simple geometric shapes, the task can be made much easier while
maintaining accuracy in quantity take-off.
Even if one has the luxury of these modern day tools, he should learn the basic method of
take-off as well; who knows, just when you need that software tool the most, suddenly it is
nonfuncting.
The National Association of Asphalt Paving (NAPA) suggest that the following geometric shapes
and basic formulas be used to calculate the areas of the difficult shapes.
The Estimate
The following illustration indicates an asphalt paved area that includes an entry drive,
automobile parking and a service drive passing through the project. Light Duty and Medium
Duty paving is indicated by the darker and lighter shaded areas and notations on the drawing.
This estimate is broken into the two types paving, Light Duty and Medium Duty Paving.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
As noted in the take-off, there is a total of approximatly 3,432 square yards of paved area, of
this there is 1,086 square yards of Light Duty and 2,346 square yards of Medium Duty paving.
Factors:
The quanity survey for light duty paving yeilds 9,774 square feet of area.
The design specifies a 2” compacted asphalt base “often times called Black Base” placed over a
bituminous binder coat therfore:
Black Base : (9,774 / 9) = 1,086 so (1,086 sqyd x 2 inch deep) = 2,172 sqyd-inch
Surface Course: (9,774 / 9) = 1,086 so (1,086 sqyd x 1.5 inch deep) = 1,629 sqyd/inch
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
The quanity survey for medium duty paving yeilds 21,114 square feet of area.
The design specifies a 2.5” compacted asphalt base “often times called Black Base” placed over
a bituminous binder coat therfore:
Black Base : (21,114 / 9) = 2,346 so (2,346 sqyd x 2.5 inch deep) = 5,865 sqyd-inch
Surface Course: (21,114 / 9) = 2,346 so (2,346 sqyd x 1.5 inch deep) = 3,519 sqyd/inch
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
Estimate Summary
- 1086 sqyd of Light Duty Asphalt Paving Cost: $9,712.5 + $8,222 + $1,086 = $19,021
- 2346 sqyd of Medium Duty Asphalt Paving Cost: $26,340 + $17,656 + 2,346 = $46,342
$65,363.00
Phase
Description
Quant
U/M
Labor
Material
Sub - U/$
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
Sub $$
Other
Total
261.04
3,432.00
SQYD
261.061
95
Tons
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$86.55
$8,222
$8,222
261.062
1,086.00
SQYD
261.066
204
Tons
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$86.55
$17,656
$17,656
261.067
2,346.00
SQYD
261.032
125
Tons
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$77.70
$9,713
$9,713
261.033
1,086.00
SQYD
261.036
339
Tons
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$77.70
$26,340
$26,340
261.037
2,346.00
SQYD
261.038
1,086.00
SQYD
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$1.00
$1,086
$1,086
261.039
2,346.00
SQYD
$1.00
$2,346
$2,346
$0.00
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONS
$0.00
$330.50
$65,363
$0.00
$65,363
Conclusion
It is of paramount importance that all estimators and costing engineers take note of the fact that
there is no single costing method that can be effective on its own. Therefore, they should learn
to do costing using the best combination of methodologies that should give an estimate that is
closest to the actual cost. This is important because poor costing could lead to subsequent poor
budgeting that may cause the installation projects to grind to a halt.
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HOW TO ESTIMATE THE COST OF HOT MIXED ASPHALT CONCRETE PAVING FOR COMMERCIAL CONST
It is not easy to foresee every problem that may arise in the installation and operations of
constructing an asphalt pavement. It is been evident that estimates in construction
activities’costs have more often than not been underestimated in comparison to their actual
costs at completion. This could be attributed to the non-anticipated rise in costs, over-optimism
and changes in the initial design that come up during the construction process. Therefore, since
prices of future installed facilities are affected by a lot of uncertain factors, its essential for all
involved parties to be cognizant of the fact that the risk must be borne by everyone to some
extent. These parties include the design engineers, financiers and construction contractors.
$111. References:
June, 2010.
$1· RS Means
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