Sunday, September 07, 2008
Orlando Sept Xactimate 2
Current Topics


Catastrophe Central
Subject: Estimating Questions
Prev Next
You are not authorized to post a reply.

Page 1 of 512345 > >>
AuthorMessages
Bryan HinesUser is Offline

Member
Posts:96


11/14/2007 12:25 AM  

When estimating a large loss and a GC is involved how do you account for project supervision? When a roof requires deck and shingle replacement and is two stories and steep, do you allow 2 steep fees and 2 two story fees?

Bob HarveyUser is Offline
Gold Member
California, Central Coast
Member
Posts:388


11/14/2007 12:43 AM  
When estimating a large loss and a GC is involved how do you account for project supervision?

In my opinion that is just a different method of writing an estimate used by contractors that don't use the same software we do.  It's like expressing the job in a "Time and Materials" basis rather than unit costs.  They are describing some of the stuff that goes into the sausage.

It is part of the bits and pieces that would include "mobilization" and some of the other odd things you see on contractor bids that are not typically part of the Xactimate, MSB, or other estimating software programs. I think the short answer is that the unit costs should include adequate compensation for supervision once O&P are also allowed.

If it's a large loss, and there is economy of scale in the quantity of repair, then the unit costs should work out OK. I have allowed trip charges for a variety of reasons that are not included in unit costs, but to pay someone to supervise the same tasks that you are paying for by unit costs + O&P smells like double dipping to me.

When a roof requires deck and shingle replacement and is two stories and steep, do you allow 2 steep fees and 2 two story fees?

I would allow something for the steep decking, but I just looked at the Xactimate price list and you are right there is no specific item for steep decking.  There is for steep roof framing, so it stands to reason that the decking should be compensated as well - though the steep fee for roofing seems a bit too high to apply to the decking, just my opinion. 

joseph lombardo jr.User is Offline
Adjuster
Clearwater, Florida
Member
Posts:112


11/14/2007 7:27 AM  

Bob and Bryan,
Estimating programs have made, for the most part, our creating of an estimate in a uniform format much easier than hand writing an estimate on a three part tear off .....
However, remember we are adjusters......adjust the estimate to a fair price so that the loss can be adjusted (hopefully) to a conclusion within the parameters established by the policy .
If you need to add a charge that is NOT IN THE PROGRAM, do so with an explanation........because the line item is not in the software does not mean that the operation does not exist or is not a righteous charge.....

Case in point.....how about fuel charges........any takers??

Best regards,
Joe

Bob HarveyUser is Offline
Gold Member
California, Central Coast
Member
Posts:388


11/14/2007 10:21 AM  
If you need to add a charge that is NOT IN THE PROGRAM, do so with an explanation........because the line item is not in the software does not mean that the operation does not exist or is not a righteous charge.....

I agree with that 100%, and with a unique property or circumstance I find myself doing that. "Temp brace roof structure as pull tree out of living room"

And the decking that is 2 story and steep.

But the last time I personally saw the "Project supervision" line item was on 2 contractor estimates in 1994 for the Northridge earthquake, and I have done lots of hard hit burns etc. since then without that line item being proposed by a contractor. Or on my sheets. So I would have to ask myself, is this something that is not being allowed for in the unit costs and O&P?

Oh I just remembered another one last year, a University was flooded when our backhoe operator hit a 12" water line and they couldn't find the shut off. Lots of water, lots of buildings, and the 18 wheeler crews came in from out of town to dry it out. They billed for "project supervision" but their entire invoice was T&E with a documented list of man hours, and equipment, not our estimating program unit costs.

I'm not saying I would never consider it in addition to our "unit cost" estimating database + O&P, but I haven't thus far. My first reaction would be "double dipping".

.....how about fuel charges........any takers??

I could use some of that. Rather than increase in my mile fee, I am getting a lot more "flat rate" files with first 50 miles free.
On a repair estimate, I would never put it there first, but if a contractor was from out of town working something like the California fires and they put it in their estimate, I would consider it.

joseph lombardo jr.User is Offline
Adjuster
Clearwater, Florida
Member
Posts:112


11/14/2007 8:19 PM  
Bob,
I think that the fuel charge , even under local conditions is fair as the price lists can not keep up with the increase in fuel....remember that DRY MN in xactimate that included three trips to complete the repair....how much more fuel is being used just on a minimum like that.......now take that and say you are dealing with a fire loss with cleanable contents and structure plus restoration, etc....sure adds up to a lot of fuel.....so I think that we need t adjust our estimates accordingly.....very important especially to the local talent on daily claims as they are not working with the inflated prices of a CAT......

Just my .02

Joe
Bob HarveyUser is Offline
Gold Member
California, Central Coast
Member
Posts:388


11/14/2007 8:23 PM  

If we put our blind faith in the quarterly price updates, you would hope that the market research they do would account for the increased fuel costs - our gas has been sky high for about a year.

I think the spirit of your post, is when the database doesn't meet the real world, we need to look at these kind of issues.

Everything costs more, getting worse, and it seems to feed on itself.  I wish the pay schedule was keeping up with it.

Bryan HinesUser is Offline

Member
Posts:96


11/14/2007 11:02 PM  
Well I was hoping for a few more thoughts but thanks for those who replied. Well I'll give my firm's stance and I'm sure it will draw a few more replies. We use xactimate and reach an agreed scope with the insurance company. Once this is done we set up a timeline for the project and determine the amount of hours that it will take to supervise the job. We then add a line item amount for admin/project supervision usually under general items. At the completion of the job we reconcile the actual hours. We do this with every project.
Bob HarveyUser is Offline
Gold Member
California, Central Coast
Member
Posts:388


11/14/2007 11:05 PM  
We use xactimate and reach an agreed scope with the insurance company.

OK, so you are not an adjuster?

Bryan HinesUser is Offline

Member
Posts:96


11/14/2007 11:08 PM  
Some times I'm not sure what I am! Does it matter?
Bob HarveyUser is Offline
Gold Member
California, Central Coast
Member
Posts:388


11/14/2007 11:28 PM  
Well as I stated before, I typically do not see the separate entry for "project supervision" on top of Xactimate unit costs for the tasks on top of O&P. To put it another way, prices are determined by the market. Government (and other) jobs are put out to bid.

If I had 3 bids from competent contractors, and yours was the only one adding that additional supervision entry, then yours would not be the one I would choose to do the job. People, feel free to chime in if you are used to paying "project supervision" on top of Xactimate unit costs for the tasks on top of O&P.
You are not authorized to post a reply.
Page 1 of 512345 > >>

Forums >General Discussions >General > Estimating Questions



ActiveForums 3.7


Adjuster Chat Room Activity
Room:Users
The Den1



MyProfile

Introducing  "MyProfile", your space on CADO, create it, arrange it, share it! 
Click here to create your page!



Search CADO
  Google Custom Search


Home | Bulletins | Classifieds | Forums | Adjusters | Channels | Directory | Cado | Marketplace
Privacy Statement  |  Terms Of Use  
Copyright 1995-2007 by CatAdjuster.org Adjuster to Adjuster