Voluntary - 43 Cfr 3809 Plan Of Operations Form - United States Department Of The Interior Page 34
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36Voluntary – 43 CFR 3809 Plan of Operations Form
1. Engineering, Design and Construction (ED&C) Plan (6.1)
4. Bond (6.2)
5. Contractor Profit (6.3)
6. Contract Administration (6.4)
Subtotal Add-on Costs
GRAND TOTAL
RECLAMATION COST ESTIMATION SUMMARY SHEET FOOTNOTES
1. Federal construction contracts require Davis-Bacon wage rates for contracts over $2,000. Wage rate estimates may
include base pay, payroll loading, overhead and profit. (NOTE – Depending on type of operations, it may be issued as a
service contract.)
2. The reclamation cost estimate must include the estimated plugging cost for holes utilizing the most reliable
assumption of total depth.
3. Miscellaneous items should be itemized on accompanying worksheets.
4. Management plans for hazardous material to include petroleum products
5. Any mitigation measures required in the Plan of Operations must be included in the reclamation cost estimate.
Mitigation may include measures to avoid, minimize, rectify and reduce or eliminate the impact, or compensate for the
impact.
6. Fluid management should be calculated only when mineral processing activities are involved. Fluid management
represents the costs of maintaining proper fluid management to prevent overflow of solution ponds through premature
cessation or abandonment of operations. Calculate a minimum six month direct cost estimate which includes power,
supplies, equipment, labor and maintenance.
7. Details in reference to section “H – Indirect Costs” of the table above.
(1) Engineering, design and construction (ED&C) plans are often necessary to provide details on the reclamation
needed to contract for the required work. To estimate the cost to develop an ED&C plan use 4. 8% of the
operations and maintenance cost. Inclusion of a line item for the development of an ED&C plan may not be
necessary for small operations, such as notice-level exploration. With small, uncomplicated reclamation efforts
contracting may be able to proceed without developing an ED&C plan.
(2)Federal construction contracts exceeding $100,000 require both a performance and a payment bond (Miller
Act, 40 USC 270et seq.). Each bond premium is figured at 1.5% of the O&M cost. Enter the sum of both premium
costs on this line, as applicable.
(3) For Federal construction contracts, use 7% of estimated O&M cost for the contractor’s profit.
(4) To estimate the contract administration cost, use 6 to 10% of the operational and maintenance (O&M) cost.
Comments:
Page 34 of 36
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