EP 1110-1-8
(Vol. 7)
31 July 03
for regional variations in labor and parts costs. This cost element has been calculated
and listed separately in table 2-2. It is expressed as a formula as follows:
Tire Repair Cost = Total Hourly Tire Wear Cost x 0.15 x LAF
c. Belt Cost for Equipment that Uses Conveyor Belts. The belt wear is treated
like tire wear. The wear factors are listed in the front tire wear factor column in
appendix D. Belt life is shown in appendix F and appendix G, and belt cost is listed in
appendix F.
SECTION IX. STANDBY HOURLY RATE
2.27
Standby Hourly Rate
The standby rate is computed by allowing the full FCCM hourly cost (based on a
40 hour workweek) plus one-half of the hourly depreciation. It is expressed as a
formula, as follows:
Standby Rate/hr = (DEPR/hr x 0.50) + FCCM/hr
a. Paid standby shall not exceed 40 hours per week (7 calendar days) (based
on a 40 hour workweek) per unit of equipment. Actual operating hours during a week
will be credited against the 40 hours maximum standby allowance.
b. Standby will not be allowed during periods when the equipment would have
otherwise been in idle status.
c. When the equipment is purchased used, standby will be computed on the
basis that the equipment was purchased new by the contractor in the year it was
actually manufactured. Refer to chapter 3 for rate adjustments.
SECTION X. RATE CALCULATION EXAMPLE
2.28
Computation Example
A blank Equipment Rate Computation Worksheet is included in appendix A and can be
copied as needed.
a. When an hourly rate for a specific unit of equipment is not included in this
pamphlet and a rate must be computed, the methodology contained in chapter 2 shall
be followed. However, when a unit of equipment is not included in this pamphlet and
the necessary factors to compute a rate are not found in appendix D, please contact the
Chief, Cost Engineering Branch, Engineering Division, Walla Walla District, U.S. Army
Corps of Engineers, for assistance as explained in chapter 1. A Microsoft Excel
spreadsheet (CHECKRATE) is also available for rate computation (see chapter 1).
b.
See chapter 3 for further guidance on the procedure for rate adjustments.
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