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Case <br /> <br /> ENGINEERING CHARGES <br />By: Sandra Ashley Helling, Finance Officer <br /> <br />Backgr~ <br /> <br />Since the <br />Engineer <br />use appli <br />establish~ <br />been det~ <br /> <br />For your <br />the ASCI <br /> <br />und: <br /> <br /> has added the Engineering Department, it has been determined that time spent by the <br />and.his Staff on specific activities such as engineering reviews, inspections, etc. for land <br />:ati~ns will be billed at an hourly rate. This rate is established annually by resolution. The <br />ndrd~. ~hor allocation method for staff engineering costs on construction projects has not yet <br />infdymation ! have enclosed a memo from the City Engineer dated February 7, 1992 and <br />B~ie Services Cost Curve. <br /> <br />Observatiogs: <br /> <br />While thb COst Curve presented would indicate the percentage at 13.22% for the 1992 Street <br />Mainten~ .nce~ Program, the City Engineer points out that the majority of construction projects <br />involve a gre~ter degree of complexity than does sealcoafing. <br /> <br />The City of Rarnsey does not have the benefit of historical information as to time actually spent on <br />various 12 ity (gonstmction projects, but we do need to establish this overhead cost in advance when <br />a project ts to..' be special assessed. <br />Recomn len~lation: <br />Staff re~0mt~ends engineering services for the City's annual street program be charged at 10% of <br />the totateonSguction costs. <br /> <br />- and - <br />Staff further ~ecommends that all other projects prepared by the City Engineering Department be <br />charged ~ peru_ ent of the construction cost of the project consistent with the ASCE Cost Curve. <br /> <br />Budget: ~ommittee Action: <br /> [ . . <br />Based on~d~sCuss~on. <br /> <br />Review iChecklist: <br /> <br />City Adn!i_'nis~rator <br />City Engi~ee~ <br />Finance Officer <br /> <br />BC: 02/11/92i <br /> <br /> <br />