sum. This is to meet or offset costs of undefined work which cannot be foreseen before construction begins and which may not arise at all. A contingency sum has no real relation therefore to the contract works, and in practice merely serves to reduce the total net cost of any extra or more expensive work than that originally envisaged. Provisional sum for define work The following information should be provided with the provisional sum; The nature of work How and is to be fixed. Quantity showing the and extend of work The limitation methods sequence and timing. Provisional sums for undefined work Undefined provisional sums are typically used to make provisional for possible expenditure on elements of work which cannot be wholly forcing at tender stage or cannot be quantity. SMM 7 makes provision for a provisional sum to be included in bills of quantities which is neither define nor undefined for work to be carried out by the local authority or statuary undertaking including privatise services authorities carrying out statuary works Provisional sum for by statutory authorities SMM makes provision for a provisional sum to be included in a bill of quantity which is neither define no undefined for work to be carried out by the local authority or statutory under takings including privatized services authorities carrying out statutory works. How & by whom Prime Cost sums and provisional sums are included In the building contract, prime cost sum is a provided for work or services to be executed by a nominated sub-contractor or for materials or goods to be obtained from a nominated supplier. In the building construction some of the special work must be do the special contractors. So client appointed the nominated sub contractors. And some materials also supply to the site by nominated suppliers. Those are the reasons the prime cost sum include the building contract by consultant. Prime cost sums are deemed to be exclusive of the general contractor’s profit. Provision is made in bills of quantities and specifications for a separate addition which is normally calculated as a percentage of the p.c. sum, the tendered stating the percentage that he requires. In the event of the Employer paying a sub-contractor direct for any reason, the general contractor is still entitled to the profit addition, as this is management fee for arranging, organizing and taking responsibility for the sub-contract or for arranging and checking the supply of goods and materials.
sum. This is to meet or offset costs of undefined work which cannot be foreseen before construction begins and which may not arise at all. A contingency sum has no real relation therefore to the contract works, and in practice merely serves to reduce the total net cost of any extra or more expensive work than that originally envisaged. Provisional sum for define work The following information should be provided with the provisional sum; The nature of work How and is to be fixed. Quantity showing the and extend of work The limitation methods sequence and timing. Provisional sums for undefined work Undefined provisional sums are typically used to make provisional for possible expenditure on elements of work which cannot be wholly forcing at tender stage or cannot be quantity. SMM 7 makes provision for a provisional sum to be included in bills of quantities which is neither define nor undefined for work to be carried out by the local authority or statuary undertaking including privatise services authorities carrying out statuary works Provisional sum for by statutory authorities SMM makes provision for a provisional sum to be included in a bill of quantity which is neither define no undefined for work to be carried out by the local authority or statutory under takings including privatized services authorities carrying out statutory works. How & by whom Prime Cost sums and provisional sums are included In the building contract, prime cost sum is a provided for work or services to be executed by a nominated sub-contractor or for materials or goods to be obtained from a nominated supplier. In the building construction some of the special work must be do the special contractors. So client appointed the nominated sub contractors. And some materials also supply to the site by nominated suppliers. Those are the reasons the prime cost sum include the building contract by consultant. Prime cost sums are deemed to be exclusive of the general contractor’s profit. Provision is made in bills of quantities and specifications for a separate addition which is normally calculated as a percentage of the p.c. sum, the tendered stating the percentage that he requires. In the event of the Employer paying a sub-contractor direct for any reason, the general contractor is still entitled to the profit addition, as this is management fee for arranging, organizing and taking responsibility for the sub-contract or for arranging and checking the supply of goods and materials.
CA%206.docx