Circular No. 01/2017/TT-BXD guiding the determination and management of construction survey costs

CIRCULAR

Guidelines for determining and managing construction survey costs

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Pursuant to the Construction Law No. 50/2014/QH13 dated June 18, 2014;

BASED ON Decree No. 62/2013/ND-CP dated June 25, 2013 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Construction;

Based on Decree No. 32/2015/NĐ-CP dated March 25/3/2015 of the Government on qon construction investment cost management;

Decree No. 46/2015/NĐ-CP dated 12/5/2015 of the Government on qmanagement quality and maintenance of construction works ;

At the proposal of the Director of the Construction Economy Department and the Director of the Construction Economy Institute;

The Minister of Construction issues this Circular guiding the determination and management of construction survey costs.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular guides the determination and management of construction survey costs to serve the preparation of investment project proposals, design of construction projects, surveys to prepare construction planning, and other related survey activities in construction investment activities.

Article 2. Applicability

1. Agencies, organizations, and individuals involved in the determination and management of construction survey costs for projects using state budget funds, state capital outside the budget as stipulated in Clause 1, Article 2 of Decree No. 32/2015/NĐ-CP dated March 25, 2015 of the Government on the management of construction investment costs (hereinafter referred to as Decree No. 32/2015/NĐ-CP) and construction investment projects under public-private partnership (PPP) models.

2. It is encouraged that agencies, organizations, and individuals involved in the determination and management of construction survey costs for projects using other sources of funding apply the provisions of this Circular.

Article 3. Principles for determining and managing construction survey costs

1. Construction survey costs must be determined in accordance with the construction survey tasks as prescribed in Clause 1, Article 74 of the Law on Construction No. 50/2014/QH13 and Article 12 of Decree No. 46/2015/NĐ-CP dated May 12, 2015 of the Government on the management of construction work quality and maintenance.

2. Construction survey costs shall be accurately calculated for each project and construction work and shall be consistent with the stages of the construction investment process, design steps, types of construction survey work, levels of construction works, and relevant regulations.

3. Management of construction survey costs includes: management of the estimated cost of construction survey, management of the standard cost estimate for construction survey, and management of construction survey prices.

4. The investor bears full responsibility for ensuring the quality of construction surveys and managing construction survey costs.

Chapter II

CONTENT AND METHODS FOR DETERMINING CONSTRUCTION SURVEY COSTS

Article 4. Contents of construction survey costs

1. Construction survey costs are determined based on the estimated cost of construction survey.

2. The estimated cost of construction survey includes direct costs, common costs, pre-tax income, other costs serving survey work, value-added tax, and contingency costs. The contents of each cost item are as follows:

a) Direct costs include material and fuel costs; labor costs and survey equipment costs.

b) Common costs include enterprise management costs for conducting construction survey work, production site management costs, worker service costs, construction survey site service costs, and other related costs.

c) Pre-tax income is the profit of the construction survey enterprise anticipated in the estimated construction survey costs.

d) Other costs serving survey work include costs for preparing technical plans for construction surveys based on approved survey tasks, reporting survey results, and general category costs.

đ) Value-added tax is the amount of tax payable according to regulations.

e) Contingency costs for additional work volume and price escalation factors during the construction survey period.

Article 5. Methods for determining the construction survey cost estimate

1. Depending on technical requirements and specific conditions to carry out construction survey works for each project, the construction survey cost estimate shall be determined according to one of the following methods:

a) Determined based on the volume and unit price of construction surveys;

b) Determined based on the volume of material and fuel consumption; labor; survey machinery and equipment and corresponding price lists.

2. The methods for determining the construction survey cost estimate are detailed in the annex accompanying this Circular.

Article 6. Determination of certain costs related to construction surveys

1. The cost of preparing the construction survey task is determined at 3% of the construction survey cost estimate.

2. The construction survey supervision cost is determined based on the percentage rate standard published by the Ministry of Construction.

Chapter III

MANAGEMENT OF CONSTRUCTION SURVEY COSTS

Article 7. Review and approval of the construction survey cost estimate

The investor, the head of the agency assigned to prepare the project shall be responsible for organizing the review and approval of the construction survey cost estimate together with the construction survey task.

Article 8. Adjustment of the construction survey cost estimate

1. The approved construction survey cost estimate shall be adjusted in cases where there are modifications or supplements to the construction survey task.

2. The investor shall organize the preparation, review, and approval of the adjusted construction survey cost estimate.

Article 9. Management of construction survey cost estimate standards

1. The Ministry of Construction shall publish construction survey cost estimate standards pursuant to Clause 1, Article 34 of Decree No. 32/2015/ND-CP for relevant agencies, organizations, and individuals to apply and use in determining and managing construction survey costs.

2. Management of construction survey standards shall be carried out in accordance with Article 19 of Decree No. 32/2015/ND-CP.

Article 10. Management of construction survey prices

1. The People's Committee of the province or centrally governed city (hereinafter referred to collectively as the Provincial People's Committee) shall assign the Department of Construction to take the lead and coordinate with relevant agencies to determine the price of construction survey materials, construction survey labor prices, construction survey machine and equipment prices, and construction survey unit prices as the basis for publishing construction survey prices to serve the preparation and management of construction survey costs.

2. The investor shall organize the determination of the construction survey estimate based on the method of determining construction survey prices, guidance from the Provincial People's Committee, technical requirements, conditions, and specific construction measures of the project.

3. The investor may hire organizations or individuals with sufficient capacity to prepare, review tasks, unit prices, and construction survey estimates. The review cost shall be determined by preparing an estimate.

Chapter IV

IMPLEMENTING PROVISIONS

Article 11. Transitional Provisions

1. For the construction survey cost estimate that has been approved before the effective date of this Circular but has not yet signed a contract to implement the survey work, the investor shall consider and decide to apply the guidance of this Circular to adjust the construction survey cost estimate.

2. For construction survey works that have already signed contracts, they shall be implemented according to the contents of the signed contract.

Article 12. Effective Date

1. This Circular takes effect from April 1, 2017. Circular No. 17/2013/TT-BXD dated October 30, 2013 of the Ministry of Construction guiding the determination and management of construction survey costs shall cease to be effective from the date this Circular takes effect.

1. This Circular takes effect from February 15, 2020, and replaces Circular No. 06/2016/TT-BXD dated March 10, 2016, guiding the preparation and management of construction project investment costs.