© The College of Estate Management 2013

Paper 0181V3-0

General principles of civil engineering

measurement

Contents

1. Introduction to civil engineering measurement

1.1 Study information and notes for guidance
1.2 Conditions of contract
1.3 Drawings
1.4 Specification
1.5 Bill of Quantities
1.6 Generally

2. The civil engineering standard method of measurement

2.1 The sections

3. Structure of the Bill of Quantities

3.1 List of principal quantities
3.2 Preamble
3.3 Daywork schedule
3.4 Work items
3.5 Grand summary

4. Work classification and coding

5. Framing and coding a description

6. Specified Requirements and Method-Related Charges

6.1 Specified Requirements
6.2 Method-Related Charges – CESMM4 Section 7

7. Rates and prices

8. Prime cost items

9. Provisional sums

10. Provisional quantities

Self-assessment question
 General principles of civil engineering measurement Paper 0181 Page 3

1 Introduction to civil engineering measurement

1.1 Study information and notes for guidance
The main aim of these study papers is to help you apply the previously learned
principles of construction measurement to civil engineering works using:

CESMM4 (2012) Civil Engineering Standard of Method and Measurement (4th

revised edn), ICE Publishing. ISBN-13: 978-0727757517.

You MUST obtain a copy of the CESMM4 in order to understand the study papers
more fully, carry out the measurement tasks correctly, and follow the worked
examples. The CESMM4 also acts as a Library of Standard Descriptions used for all
items of work incorporated in a civil engineering Bill of Quantities, and gives
important information and guidance for the Bill compiler in Sections 1 to 7 of the
Method.

Without this Standard Method of Measurement, correct measurement and description

of civil engineering works is impossible.

It is anticipated that there will be a handbook and worked examples published by the
ICE later in 2013.

As with all measurement of construction work, the best way of learning the skill is by
doing it, and you are urged to work diligently through the examples of taking-off the
various work items involving a number of Work Classes from CESMM4.

As you can see from the syllabus list of papers, each study paper covers introductory
aspects of most Sections and Work Classes covered in CESMM4. Worked examples
covering various aspects of the work are provided with each study paper and model
answer guides are issued with each of the self-assessment questions given in the
papers.

Measuring civil engineering work has a different ethos from measuring building
work. So the first thing you should do is to ‘forget’ the provisions of NRM2 when
measuring civil engineering work. If an item does not appear in CESMM4 then it
is not measurable. The provisions of NRM2 do not apply, despite the fact that the
formats of the two Methods of Measurement are quite similar.
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Always remember that there are items which are measurable in NRM2 which are
deemed included (ie not measurable) in CESMM4. The scope of the work is different.
The type of work is often different. Project type and size are also different.

Never try to apply the provisions of NRM2 to civil engineering work. As will become
apparent from the study papers, there are a few types of work where the rules of
measurement are similar but this is the exception rather than the rule.

The scope of most civil engineering projects is large and much of it takes place in or
under the ground. Considerable emphasis is therefore given to earthworks and
reinforced in-situ concrete work, pipework, etc. Examples of civil engineering
contracts include reservoirs, railways, tunnels, wharves, jetties and dockwork, power
stations, roadworks and the like. There are also some classes of measured work in
CESMM4, such as rail track (Class S), tunnels (Class T) and sewer and water main
renovation (Class Y) which are not covered in NRM2.

Because of the extensive nature of most civil engineering projects, a lot of expensive
plant is employed in carrying out the works. Obviously the size, scope and location of
operations, together with utilisation of contractor’s plant, have a considerable effect
on costs. CESMM4 acknowledges these factors in its format and application, together
with the use of Section 7 and Class A3**, Method Related Charges (see later).

The confines of the distance learning packages and the sheer volume of drawings
needed for civil engineering work mean that it is not possible to use the numerous
large-scale drawings found on most ‘live’ projects in the work situation. The
examples used for this part of the course are therefore more limited in size, and some
drawings have been reduced to A3. However, the worked examples and self-
assessment questions cover several Work Classes from the Standard Method and give
an opportunity to gain experience of applying most of the Classes of CESMM4.

In order to give reasonable experience in the measurement of civil engineering works,

the approach to such techniques may seem not only ‘academic’ and detailed but
sometimes ‘PQS-orientated’. Unfortunately, to some extent this has to be the case, as
the main aim is to explain the ‘correct’ way of doing the job. Corner-cutting can
really only come with experience, when value judgements can be made as to which
short cuts can be taken without affecting the validity of the document produced. Once
a quantity surveyor can measure from drawings, whether in the office or on site,
he/she should have no difficulty in applying that knowledge to any post-contract
situation gained through working for a contractor.

The contract documents for civil engineering works usually comprise:

1. Conditions of contract
2. Drawings
3. Specification
4. Bill of Quantities.
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1.2 Conditions of contract

Any conditions may be used, but those commonly referred to as the ‘ICE Conditions
of Contract’ are most usual. Prepared by the Institution of Civil Engineers jointly with
the Association of Consulting Engineers and the Federation of Civil Engineering
Contractors, these include not only the Conditions of Contract but also the Forms of
Tender, Agreement and Bond.

Examples of other conditions which are used in civil engineering works are the
GC/Wks/1 for Government contracts.

1.3 Drawings
These show not only the geometry of the components and work executed on site
(assemblies) but also where these components and assemblies are located. They
should be listed in the Specification but may be added to or modified by the Engineer
during the progress of the works.

1.4 Specification
The Specification is prepared by the Engineer. It gives a general description of the
works and describes the quality of materials, components and workmanship. Again it
may be added to or modified by the Engineer as the work proceeds.

1.5 Bill of Quantities

The Bill of Quantities is generally prepared using the CESMM4, published by the
Institution of Civil Engineers and the Federation of Civil Engineering Contractors.

1.6 Generally
Remember that the contract documents are intended to be mutually compatible with
one another and explain each other. This means that it is not necessary to repeat
information or give detail in one document if it is already contained in another. If any
ambiguities or discrepancies between the documents are found, they should be
explained and adjusted by the Engineer.

Unlike the Building Contract, the Civil Engineering Contract is not a ‘lump sum’
contract in which the tender price forms the basis of the final account, with omissions
and additions calculated as set out in the contract. Rather it is a ‘measure and value’
contract in which the whole of the work is subject to re-measurement upon
completion. This does not, however, mean that original measurements can be made
inaccurately or without care; it simply recognises that the type of contracts covered –
road works, harbour works, large excavations, piling and the like – are subject to
many unforeseeable changes when the site is actually excavated and work has
commenced.
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2 The civil engineering standard method of

measurement
The original standard method of measurement for civil engineering works, entitled
‘Standard Method of Measurement of Civil Engineering Quantities’, was first
published in 1933. It recognised the diverse nature of civil engineering practice –
from mass excavation to detailed structures, from harbours to bridges, from airfields
to railways – and the many differing forms of construction this implied.

Rather than try to lay down specific rules for every possible form of construction,
which would have resulted in a very large document, it used the principle of allowing
variation in measurement, between wide guidelines, to suit differing needs. This
approach, though modified, has been retained in the CESMM through the use of
‘additional description’, especially that derived through clauses 5.10 and 5.13 on page
10.

It was a basic principle that the Bill should be as simple as possible and that,
wherever possible, it should refer to the drawings and the specification rather than
writing long involved items. This principle has been retained in the CESMM, even to
the extent of omitting the standard phrases in the Work Classification if the
information can be found in the other documents (clause 5.13 page 8) of CESMM4.

Because of this flexible approach to measurement, the 1933 form of measurement

was able to remain in use into the 1970s. It was revised in 1976 simply to allow
updating to conform with modern techniques of construction and practices of
measurement.

The 1976 edition therefore sought to make the following improvements:

1. To standardise the layout and content of Bills of Quantities in order to improve

communications between the client organisation and the tenderer.
2. To provide systematic structure of Bill items leading to more uniform
itemisation and description. This obviously required a more disciplined
approach on the part of the measurer than previously.
3. To review the subdivision of work into items to provide a more sensitive and
balanced description of the value of work in a contract. For example, when
considering piling the tenderer is given the opportunity of pricing the number
of times the piling rig has to be moved by stating the number of piles; how
long the plant is required by stating the length required to be driven or bored;
and the materials required by stating the length of the finished piles. (In
addition the tenderer may price bringing on to site, erection and removal of
plant in the General Items section.)
4. To take account of the new techniques in civil engineering construction and
management and their influence on the work itself and on the administration of
contracts.
(CESMM 1976, Foreword)
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In 1985 the CESMM was revised again to modernise the content further and to
correct errors and misunderstandings found in the first edition. This second edition
was introduced:

‘... to take account of developments in civil engineering technology and in the

significance of different costs of civil engineering work which have taken
place since the first edition was published ... and ... to take the opportunity of
altering the wording of a small number of provisions of the first edition which
experience had shown were not working either as smoothly as they might or in
the way which had been intended.’
(CESMM 1985, Foreword)

In 1991 the third edition was published:

‘... to incorporate amendments to enable its use with the ICE Conditions of
Contract sixth edition (January 1991) and the introduction of a standard
method of measurement for water main renovation and for simple building
works incidental to civil engineering works (classes Y and Z). Account has
also been taken of developments in civil engineering technology and the
opportunity taken to make minor amendments and corrections to the text of the
second edition.’
(CESMM3 1991, Foreword)

In 2012 the fourth edition was published:

‘... by 2009 it was being suggested that CESMM required updating to meet
current engineering practice and procedure […] The document is “contract
neutral” [and] “National Standard neutral”.’
(CESMM4 2012, Foreword)

2.1 The sections

The Civil Engineering Standard Method of Measurement is divided into eight
sections. The first seven deal with:

1. Definitions
2. General principles
3. Application of work classification
4. Coding and numbering of items
5. Preparation of the Bill of Quantities
6. Completion and pricing of the Bill of Quantities by a tenderer
7. Method-related charges.

These sections aim at satisfying object (1) described above in the 1976 edition.
 General principles of civil engineering measurement Paper 0181 Page 8

The last section, Section 8, is the work classification section. This is divided into 26
classes:

A General items
B Ground investigation
C Geotechnical and other specialist processes
D Demolition and site clearance
E Earthworks
F In situ concrete
G Concrete ancillaries
H Precast concrete
I Pipework – pipes
J Pipework – fittings and valves
K Pipework – manholes and pipework ancillaries
L Pipework – supports and protection, ancillaries to laying and excavation
M Structural metalwork
N Miscellaneous metalwork
O Timber
P Piles
Q Piling ancillaries
R Roads and pavings
S Rail track
T Tunnels
U Brickwork, blockwork and masonry
V Painting
W Waterproofing
X Miscellaneous work
Y Sewer and water main renovation and ancillary works
Z Simple building works incidental to civil engineering works.

These classes are intended to reflect the usual order of operations on site. Each class
has a heading, followed by a preamble listing the inclusions and exclusions which are
intended to clarify the scope of work to be measured. Next comes the tabulation of
measurement divisions. This is commented upon by rules, which are part of the rules
of measurement and therefore must be obeyed. If they are for any reason
contradicted, the tenderer must be informed.
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Section 1: Definitions
As would be expected, this section is devoted to explaining the meaning of a range of
phrases and conventions used in the remainder of the document, a few of which are
mentioned here.

 Definitions 1.5: Bill of Quantities.

This means a list of items giving brief identifying descriptions and estimated
quantities of the work comprised in a contract. The descriptions are brief
mainly because all specified information required to tender for the project and
construct the works is embodied in detail in the drawings and specification.
These, as stated previously, are also contract documents and must all be read in
conjunction with each other at all stages of the project.

 Definitions 1.8–1.11: Surfaces.

These clauses define the meanings assigned to the phrases ‘original surface’,
‘final surface’, ‘commencing surface’ and ‘excavated surface’, which are used
in connection with parts of identifying descriptions of excavation works.

The four types of rules

There are four types of rules in the work classification and their purpose should be
clearly understood.

1. Measurement rules. These set out how to measure work, when to measure
work and what work to measure. They also set out how quantities are to be
computed if the general instruction in clause 5.19 is not to apply.

2. Definition rules. These set out to define the meaning of terms used in
CESMM4 and therefore in the Bill. Such definitions can abbreviate item
descriptions in some cases, certain work being said to be ‘deemed’ to have a
specific nature. An example of this is Rule D2 in Class G on page 43 which
would abbreviate a standard description:

from: ‘Formwork: rough finish; Plane horizontal; Width exceeding 1.22m’

to: ‘Formwork: rough finish; Plane horizontal’.

It would still, however, carry the code G115.

3. Coverage rules. These set out to clarify what items are included but have not
been specifically stated in the description. Rule C1 in Class E on page 33
clearly states that temporary support to excavations, working space and the
removal of services are not measured separately when measuring excavation
but have to be included by contractors when pricing the bill.

Unlike the coverage rules in the Method of Measurement for Highway Works
(MMHW), they do not set out the scope of all items but clearly state those
operations which are deemed to be included in measurements and not
measured separately.
 General principles of civil engineering measurement Paper 0181 Page 10

4. Additional description rules. These state whether any additional description

must be given to an item over and above the standard phrases selected from the
Work Classifications. Rule A1 in Class G on page 43 illustrates this. It states
that any formwork ‘left in’ shall have this information added to the normal
description: eg –

‘Formwork: rough finish; Plane vertical

Width: 0.4–1.22m; left in’
(Code G144.1).

Such additional description is mandatory and not a matter of measurer’s

preference.

3 Structure of the Bill of Quantities

The Bill of Quantities should be divided into five sections:

1. List of principal quantities

2. Preamble
3. Daywork schedule
4. Work items
5. Grand summary.

3.1 List of principal quantities

The list of principal quantities is intended to enable the tenderer to make a rapid
assessment of the general scale and character of the proposed works before examining
the remainder of the Bill of Quantities and other tender documents. Other than in
exceptional circumstances, this list will comprise ten to fifteen items. An illustration
is shown in Table 1.
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TABLE 1 List of principal quantities

The contract comprises civil engineering works for an industrial estate:

Bill No 1 General items

Provision sums £20,000
PC items £15,000

Bill No 2 Earthworks
Excavation 60,000 m³
Filling 12,000 m³

Bill No 3 Roadworks
Roads 10,000 m²
Pavements 6,000 m²

Bill No 4 Pedestrian underpass

Excavation 580 m³
Concrete 360 m³

Bill No 5 Foul drainage

Pipes 1,300 m
Manholes 30 nr

Bill No 6 Surface drainage

Pipes 1,700 m
Manholes 45 nr

Bill No 7 Diversion of stream

Excavation 1,000 m³
Filling 750 m³
Concrete 225 m³

3.2 Preamble (5.4; 5.5; 5.20; 7.7)

The preamble should not be confused with the ‘preamble’ section in a building Bill of
Quantities. All specification of labour, materials, workmanship and the like in a civil
engineering contract is contained in the specification, not in the Bills.

The preamble is used to convey specific, and limited, information to the contractor:

a. Any methods of measurement other than the CESMM4 that are to be used to
measure part of the work. For example, if a building such as a block of offices
is to be included in the Bill, it might be felt that the rules in NRM2 more truly
reflect the work involved. This should be stated in the preamble and allowed
for in the contract.

b. Any changes in the rules of CESMM4 that may be thought desirable must be
specifically set out in the preamble.
c. A definition of any rock that is expected to be found in the excavations. For
example: ‘For the purpose of this contract, rock shall be taken to mean hard
limestone; such material can be viewed by visiting the site and inspecting the
trial holes’.
d. A description of any body of water (other than groundwater) found on the site,
with its relationship to the works clearly set out.

e. Confirmation that method-related charges will be paid in accordance with the

contract used.
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When measuring, preamble notes need to be written in the take-off if (a)–(d) apply.
The two most common reasons in examinations are the need to define rock and to
describe bodies of water.

3.3 Daywork schedule

The daywork schedule describes how dayworks should be paid for if the engineer
thinks it is a necessary or desirable basis for payment. The schedule may take one of
two forms:

a. A list of the various classes of labour, material and plant for which daywork
rates are to be inserted by the tenderer, together with a statement of the
conditions under which the contractor will be paid for work executed on a
daywork basis.

b. A statement that the contractor shall be paid for work executed on a daywork
basis at the rates and prices, and under the conditions, contained in the
schedules of dayworks carried out incidental to contract work issued by the
Federation of Civil Engineering Contractors current at the date of the
execution of the daywork, adjusted as follows:

– Labour addition/deduction* of ….....** percent

– Materials addition/deduction* of ….....** percent
– Plant addition/deduction* of ….…** percent
– Supplementary charges addition/deduction* of .……** percent

*To be deleted where inappropriate by the contractor when tendering.

**To be inserted by the contractor when tendering.

Adjustment is made after the percentage additions to the amount of wages and
the cost of materials contained in the schedules of dayworks have been
applied.

A provisional sum to cover the cost of monies expended on a daywork basis should
be included in the general items part (Class A) of the work item section.

3.4 The work items

The work items form the main part of the Bill. They itemise the quantities the
tenderer will price.

This part of the Bill is first divided into sections to break the contract into pieces. For
example, in a roadwork contract each bridge would be billed in a separate section, the
main carriageway in another section, with junctions, main drainage and the like all in
their own separate bills.

Each of these sections is then further subdivided into the various work classes B–Z
outlined in Section 8 of CESMM4. Work Class A – General Items – is usually not
included in each different section but billed once for the whole Bill.

Dividing the contract into small sections, where appropriate identifying the location
of each section, means that a list of principal quantities is needed to give the
contractor an idea of the total scope of the works.
 General principles of civil engineering measurement Paper 0181 Page 13

3.5 The grand summary

The grand summary is an abstract of all the section totals. If required, a provisional
sum for general contingencies may be also included.

An item described as the ‘adjustment item’ is also given in the grand summary. This
gives the tenderer the opportunity to insert a lump sum addition or deduction before
establishing the tender figure. Note that this is a lump sum and not a percentage. It
will therefore not be subject to adjustment except in the case of certain formula price
adjustments used in the final account.

Figure 1 illustrates the layout of a Bill of Quantities.

FIGURE 1 Structure of a Bill of Quantities for civil engineering works

CONTRACT TITLE

1 List of principal quantities

2 Preamble

3 Daywork schedule

4 Work items

a General items – Class A

b Sections – eg Bridge No 1

Measured items
Classes B–Z as appropriate

5 Grand summary

4 Work classification and coding

The work classification structure is made up of four levels.

The first level consists of 26 classes identified by a letter A to Z. Most classes are
divided into 8 features in the first division of classification, identified by a number
1 to 8. Classes are further subdivided into second and third divisions, again identified
by a number 1 to 8 in each case.

The character 9 is not used, being available for non-standard items.

Note also that where no phrase is available in a particular division the item is coded
‘0’. For instance, if timber supports are required to be left in an excavation, the item
description would read: ‘Excavation ancillaries; timber supports left in’, and the code
would be E570, indicating no available phrase in the third division.

The class titles normally appear in the Bill of Quantities as headings. The description
elements from the first, second or third division or additional description are only
incorporated into sub-headings if there are, say, three or more descriptions in the Bill
containing that element.
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The coding structure described in the CESMM4 is not mandatory but is intended to
cover the common ground between the client and the contractor. Coding descriptions
therefore aim not only to help in the production of a systematic Bill of Quantities but
also to aid the contractor.

The codes, if used, are only for identification. If there is any discrepancy between the
words written in the Bill and the words in the Standard Method with the same code,
then the words in the Bill take precedence.

Coding is used in billing instead of item numbers and is not usually included when
measuring. However, it is often useful to include a code when measuring to convey
information to an examiner as to the scope of a description if for some reason it is
changed from CESMM4.

5 Framing and coding a description

When framing a description, a suitable phrase is selected from each of the three
divisions of the appropriate class, together with any additional description required by
the additional description rules. Abbreviations of phrase wording is not permitted.
Descriptions appearing in CESMM4 are written out in full.

Additional description can also be derived from clauses 5.11 or 5.14 on pages 8 and 9
if the item requires it, either to identify the item clearly with regard to the
specification or the drawings, or where some special feature would have cost or
construction implications.

Descriptions can be amended or shortened by omitting any of the standard phrases or

additional description and substituting a reference to the specification or drawings as
described in clause 5.13. However, the code number of the omitted phrase must
always be included in the full code number.

Where the actual size of an item needs to be given – for example the specific nominal
bore of drainpipes in accordance with Rule A2 in Class 1 on page 49 – this should be
substituted for the range as described in clause 3.10. It follows that care should be
taken with size ranges used in CESMM4, as some will be used but others will be
replaced with actual dimensions. Remember too that certain phrases should be
omitted from descriptions in compliance with the coverage rules.

Unlike the Building Method of Measurement (NRM2), it is a requirement that every

item measured under CESMM4 should have its own identifying code. This must
comprise as a minimum the work classification letter and 3 digits, each representing
the appropriate phrase from each division of CESMM4. Where additional description
is called for in the Rules, an appropriate suffix code number should be inserted after
the last digit.

For example, in Class E – Earthworks, an item of:

‘Excavation ancillaries; preparation of excavated surfaces; material other than

topsoil or rock’

would normally be coded E522. If, however, there was a requirement for a further
item to read:

‘Excavation ancillaries; preparation of excavated surfaces; material other than

topsoil or rock; excavated by dredging’,
 General principles of civil engineering measurement Paper 0181 Page 15

each item code would require a suffix, because most of the description is the same but
with the extra phrase at the end. The first item, therefore, would be coded E522.1 and
the second E522.2 (Rule A8).

Example 1 shows these various procedures in framing a description, together with

their relevant codings.

EXAMPLE 1

Code EARTHWORKS

E324 Excavation for foundations: maximum depth; 1–2m.

In this example the second division phrase ‘Material other than top soil, rock or
artificial hard material’ is omitted in accordance with Rule D1.

IN SITU CONCRETE

Provision of Concrete
F234 Designed mix; Grade C15; Cement to BS EN 206-1, 40mm aggregated.

In this example the grade of mix incorporates a reference to the table of concrete
mixes in the specification and BS EN 206-1.

PRECAST CONCRETE

H124.1 Beams: length 6m; mass: 1–2t; 300 × 600 mm in concrete mix ‘D’; Mark 11; fixed
at 3m above ground level.

In this example the actual length of the beam and its cross-sectional size are given in
accordance with Rule A4 and details of the beam are given in accordance with Rules
C1, Al and A2.

TIMBER

0242.1 Softwood components: size 150 × 300mm; length: 1.5–3m; structural grade as
specification.

In this example the actual size replaces the range and the grade is given by reference
to the specification in accordance with Rule A1.

Any part of a description either within the three divisions or all or part of the
additional description may be abstracted from the description and used as a sub-
heading in the Bill. For example:

PILES

Preformed concrete piles: 400 × 400mm; to support bridge base shown on drawing
L32; general commencing surface 96.500; pile type B3 as specification.

P351.1 Piles 12m long.

P352.1 Depth driven.

In this example the first and second division descriptions, together with the
additional description needed to comply with Rules A1, A3, A6, and A8 (part by
reference to the specification), have been abstracted and used as the sub-heading
with only the third division description used to describe the item. The range has also
been replaced with the actual cross-sectional dimension in accordance with Rule A6.
 General principles of civil engineering measurement Paper 0181 Page 16

6 Specified Requirements and

Method-Related Charges

6.1 Specified Requirements

The preliminary section of the specification will contain the general contract
provisions the contractor must comply with – such as the insurances he will have to
take out and the site huts, etc. he will have to provide. The specification is a separate
document and these preliminaries cannot be priced by the contractor. They must
therefore be listed in the ‘general items’ section of the Bill as set out in class A.

The ICE Form of Contract also allows the Engineer to define, if he wishes, the work
pattern and temporary works to be carried out by the contractor. These directions
would also be set out in the specification and listed in the ‘general items’ section of
the Bill to allow the contractor to price them. For measuring, these Specified
Requirements should be divided into ‘Fixed Charges’, ‘Time-Related Charges’ or
even, perhaps, be related to quantities or measurements.

6.2 Method-Related Charges – CESMM4 Section 7

This is arguably the most important of the introductory sections of CESMM4, as the
value of these items priced in a Bill of Quantities can be up to 40 percent of the tender
total. The major difference between Method-Related Charges items and all other
items appearing in a priced Bill of Quantities is that they are written and priced by the
tenderer. Their use is completely optional: tenderers insert whichever items of
charges they deem appropriate to the method of execution envisaged when the tender
is prepared.

Clause 7:1 defines the terms:

a. Method-Related Charge – a sum of money for an item inserted by a tenderer

in a Bill of Quantities.
b. Time-Related Charge – a charge for work of which the cost is considered
proportional to the length of time taken to execute the work.

c. Fixed Charge – any Method-Related Charge which is not time-related.

Clause 7:2 advises that Method-Related Charges are inserted into a Bill of Quantities
by the tenderer, as mentioned previously.

Clause 7:3 states that descriptions for Method-Related Charges should follow the
order of classification set out in Class A, with separate items being inserted to
distinguish between Time-Related and Fixed Charges. Item descriptions must fully
describe the precise nature and extent of work covered in accordance with the
requirements of Clause 7:4.

The contractor is not bound to adopt the method(s) he enters in the priced Bill, but
any changes he introduces will not be permitted to increase the cost of the works.
However, if the Engineer instructs the contractor to change the method, the contractor
will be entitled to be reimbursed for any additional costs incurred, as set out in
Clauses 7:5 to 7:8 inclusive.

CESMM4 recognises that a list of the permanent works does not adequately reflect
the many variables in the cost of civil engineering construction. It therefore gives the
tenderer the opportunity of pricing any additional items deemed necessary due to the
method of construction adopted. By including a number of blank pages in the Bill,
headed ‘Method-Related Charges’, the tenderer may describe and price these
additional items.
 General principles of civil engineering measurement Paper 0181 Page 17

As a guide, the CESMM4 lists in Class A some typical items that may appear under
the heading of Method-Related Charges. These include accommodation and
buildings, services, plant, temporary works, and supervision and labour which the
contractor requires in order to complete the works.

The purpose of Method-Related Charges is to enable the tenderer to price the total
works more easily and to provide a basis for interim payments that reflects more
accurately the cash flow of the contractor. For example, if the contractor has
described temporary works under Method-Related Charges, he may claim for their
cost on interim certificates when they are completed, instead of waiting for the
permanent works to be completed before being paid for both temporary and
permanent works. In civil engineering works where items such as temporary works
are a large proportion of the contract sum, the advantages must be obvious. Method-
Related Charges are not, however, quantity-related.

The tenderer does not have to accept this method. He may choose to include all these
items in his work classification item prices. If he does adopt this method, however,
any items inserted must be described as either:

 Time-Related Charges – for items of work the cost of which is considered

proportional to the length of time taken to execute the work; or
 Fixed Charges – for items of work the cost of which is considered not
proportional to the length of time taken.

The contractor will be generally entitled to the value of Method-Related Charges

whether or not he actually executes the work according to his original plan, provided
he completes the work satisfactorily. Unless there is a variation to the contract, these
Method-Related Charges are not subject to re-measurement or revaluation.

Remember, however, that if the Engineer requests a change of Method, the contractor
is entitled to reimbursement of any additional costs as set out in Clauses 7:5 to 7:8
inclusive.

In the case of both Specified Requirements and Method-Related Charges, Fixed

Charges relate to specific operations such as:

 bringing plant on to site

 erecting site huts
 constructing temporary bridges,

and Time-Related Charges relate to continuing operations such as:

 hiring and maintaining plant, huts, etc.

If the Engineer issues variations to the contract and the period of time included is
altered for a Time-Related Charge, then an addition or omission to the tender price of
the charge will be necessary. Such an adjustment will be on the time stated at tender
stage and not on the actual time taken.

For example, if a Time-Related Charge for hiring an excavator is given as for 10

months and the excavations are increased by 10 percent, then the Time-Related
Charge will be revalued at 11 months, regardless of the actual time the excavator is
on the site.
 General principles of civil engineering measurement Paper 0181 Page 18

7 Rates and prices

Rates and prices inserted in the rate column of the bill should be in pounds sterling
and pence expressed as decimal fractions of one pound. Unless covered by Method-
Related Charges, rates are deemed to be fully inclusive. This means they should
include all labour, materials, plant, temporary works, transport to, from and about the
site – and everything, whether of a temporary or permanent nature, required to
complete and maintain as far as necessary to satisfy that described in or reasonably
implied by the contract documents.

8 Prime cost items

A prime cost item is the estimated sum of money to be used for the execution of work
or the supply of goods, materials or services for the works.

Any specialists, merchants, tradesmen or others nominated in the contract for a prime
cost item, or ordered by the Engineer to be employed by the contractor, are known as
‘nominated subcontractors’. When the nominated subcontractor is to carry out work
on site, the prime cost item included in the Bill of Quantities must be followed by:

1. an item allowed by the tenderer for the cost of the nominated subcontractor
using scaffolding, mess rooms, sanitary accommodation and welfare facilities
provided by the contractor for his own use; for providing space for office
accommodation and storage of plant and materials; and for providing light and
water for the work of the nominated subcontractor; and
2. an item, expressed as a percentage of the price of the prime cost item, to cover
all other charges and profit.

If the nominated subcontractor is not carrying out work on the site, the prime cost
item must be followed by:

1. an item allowed by the tenderer for unloading, storing and hoisting materials
supplied by the nominated subcontractor and returning packing materials; and
2. an item similar to (2) above, expressed as a percentage, for all other charges
and profit.

In this case items to be fixed by the contractor are described in the appropriate
section.

CESMM4 also requires that, in the case of goods, materials or services supplied by
the nominated subcontractor which are to be used by the contractor in connection
with any item, reference shall be made in the description of that item, or in an
appropriate heading or sub-heading, to the prime cost item under which the goods or
materials are to be supplied.

All prime cost items are usually described in the general items section of a Bill of
Quantities.
 General principles of civil engineering measurement Paper 0181 Page 19

9 Provisional sums
Provision for contingencies is made by including provisional sums in the Bills of
Quantities. Quantities should not be increased beyond those of the work expected to
be required. Provisional sums for specific contingencies in respect of the execution of
work or the supply of goods, materials or services shall be given in the general items
section of the Bill of Quantities. A provisional sum for a general contingency
allowance, if necessary, is given in the grand summary.

10 Provisional quantities
CESMM4 makes no reference to provisional quantities. Most compilers of Bills of
Quantities for building work insert some provisional quantities to cover items that are
neither shown on the drawings nor indicated in the specification, but which the
compiler believes are likely to occur during the work. However, including provisional
quantities can cause problems with pricing unless the quantity included is
‘reasonable’.

Paragraph 5.18 of CESMM4 establishes that ‘provision for contingencies shall be

made by giving provisional sums in the Bill of Quantities and not by increasing the
quantities beyond those of the work expected to be required’. In other words, the
quantities should not be padded out or even rounded up beyond the amounts
measured from the drawings to provide a hidden contingency.

All quantities should be as accurate as the scale and detail of the drawings permit. In
the absence of provisional quantities, therefore, even the most uncertain quantities for
items such as excavation and filling of soft spots must be estimated sensibly, or
covered by a provisional sum.

As we have said, a Civil Engineering Contract is a ‘measure and value’ contract in

which the whole of the work is subject to re-measurement upon completion. This
means that there is no need to insert any provisional quantities into the measured
work.

SELF-ASSESSMENT QUESTION
Section 6 of CESMM4 deals with the use of an ‘Adjustment Item’ which may be inserted,
at the tenderer’s discretion, in the Grand Summary of a Bill of Quantities.

Discuss the use and application of the Adjustment Item and how, if at all, it can be used as
a device for strategic tender manipulation for tenderers when pricing a BQ.
 General principles of civil engineering measurement Paper 0181 Page 20

MODEL ANSWER GUIDE

Uses

 Insufficient time to carry out pricing; getting in subcontractors’ quotes and

enquiries for the supply of materials, etc.
 By using the Adjustment Item, tenderers have the facility to increase/decrease the
tender total ‘at a stroke’, and yet still present a well-balanced bid.
 Can also be used to increase/decrease a contractor’s determination to submit a
keen bid or otherwise, depending upon the volume of work in hand.

Note the provision of paragraph 7.7 on p.12 of CESMM4 regarding payments on account
at interim valuation. The sum is fixed and is not subject to any effect of variations in the
final account total of the contract – it is a lump sum.

Consider the possibility of contractors using the device as a means of ‘front-end loading’
to help recover costs at an early stage in the progress of the works. With a bit of
imagination, you ought to be able to cite a few examples of the kind of items where this
may be tried on.