Circular No. 17/2013/TT-BXD guiding the determination and management of construction survey costs

b) Determining the unit price of each type of construction survey work: The unit price of each type of construction survey work is determined based on applying the published construction survey unit prices by the People's Committee of provinces and centrally-administered cities or determining from the budget estimate consumption norms and related cost factors according to market prices, calculated using the following formula:

) x (1 + L

of_i = (C_ti + P_i• G_{organize credit institutions, foreign bank branches are responsible for organizing the implementation of this Circular.})               (2)

Wherein:

: Unit price of the i-th type of construction survey work;_i : Direct cost for one unit volume of the i-th type of survey work;

- Case NPV > 0: The project is financially viable._ti: Common cost for the i-th type of survey work;

• P_i • L

: Pre-tax income. These factors are calculated as follows:_{organize credit institutions, foreign bank branches are responsible for organizing the implementation of this Circular.} - Direct costs (C

Direct cost for one unit volume of the i-th type of survey work includes material costs, labor costs, direct machine usage costs, and is calculated using the following formula:_ti) :

: Direct material cost for one unit volume of the i-th type of survey work;

C_ti TTĐ_FUNCTION ĐMT_{Depreciation of fixed assets in year i of the project} ĐMT_{Vietnamese language domain names}                     (3)

Where:

- Case NPV > 0: The project is financially viable._FUNCTION : Direct labor cost for one unit volume of the i-th type of survey work;

- Case NPV > 0: The project is financially viable._{Depreciation of fixed assets in year i of the project} : Direct machine and equipment usage cost for one unit volume of the i-th type of survey work;

- Case NPV > 0: The project is financially viable._{Vietnamese language domain names} Direct material and fuel cost (C

Direct material cost (including fuel) can apply the material cost in the construction survey price published by the People's Committee of provinces and centrally-administered cities where the project is located or determined using the following formula:_FUNCTION):

• K

                    (4)

pi_{: Ratio norm of auxiliary materials to main materials for the i-th type of survey work;} • M

ịj_{: Consumption norm of material j for one unit volume of the i-th type of survey work;} • Z

: Price of material j (excluding tax) delivered to the survey site._{9. Travel distance is the distance traveled without using mechanical means (cars, motorcycles, motorboats) to reach locations for implementing technical forest management measures and patrolling to protect forests.} The price of materials delivered to the survey site is determined in accordance with the construction site location. The price of materials is determined based on local published prices, manufacturer quotations, supplier information, or similar material and fuel prices already applied to other projects under similar conditions, consistent with the prevailing market price level of the survey site.

Direct labor cost (Cni):

Direct labor cost can apply the labor cost in the construction survey price published by the People's Committee of provinces and centrally-administered cities where the project is located or determined using the following formula:

• N

C_{Depreciation of fixed assets in year i of the project} = N_i x L_i                    (5)

Where:

: Consumption norm of working days for one unit volume of the i-th type of survey work;_i : Daily wage of the person performing the i-th type of survey work.

: Pre-tax income. These factors are calculated as follows:_i Survey daily wage calculation is based on the principle of accurately calculating wages, allowances, and subsidies based on the minimum wage level set by competent authorities for workers in companies and enterprises, taking into account the prevailing wage market level of each region and specific working conditions of the project.

Direct machine and equipment cost (C

Direct machine and equipment usage cost can apply the machine cost in the construction survey price published by the People's Committee of provinces and centrally-administered cities where the project is located or determined using the following formula:_{Vietnamese language domain names}):

: Ratio norm of other machines to the main machine for the i-th type of survey work;

                 (6)

Where:

pi_{Vietnamese language domain names}• S

iq_{: Number of shifts of the main machine q for one unit volume of the i-th type of survey work;} : Shift price of machine q.

: Unit price of the i-th type of construction survey work;_q The shift price of survey machines can apply the local published machine and equipment shift price list or rental prices, or calculated according to the method of determining the shift price of construction machines and equipment issued by the Ministry of Construction for application to the project. Machine costs do not include operator labor costs.

- Common costs (P

Common costs are determined using the following formula:_i):

: General cost rate of the survey work expressed as a percentage of direct labor costs. The general cost rate is determined based on the direct costs in the table below:

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_i TTĐ_{Depreciation of fixed assets in year i of the project} x K_{: Ratio norm of auxiliary materials to main materials for the i-th type of survey work;}                  (7)

Where:

- Case NPV > 0: The project is financially viable._{Depreciation of fixed assets in year i of the project} : Direct machine and equipment usage cost for one unit volume of the i-th type of survey work;

pi_{: Ratio norm of auxiliary materials to main materials for the i-th type of survey work;} General rate (%)

- Taxable income for preliminary calculation (L)_{organize credit institutions, foreign bank branches are responsible for organizing the implementation of this Circular.}): Is determined at 6% on total direct costs (C_ti) and common costs (P_i).

c) Technical survey plan preparation costs and survey result report preparation costs: Are determined as a percentage of total direct costs, common costs, and taxable income for preliminary calculation; specifically as follows:

d) Temporary accommodation costs: Are determined from 3% to 5% of total direct costs, common costs, and taxable income for preliminary calculation depending on the type of survey work, volume of survey work, and actual conditions of implementing survey construction work. In cases where the survey work of the project has difficult implementation conditions, if the temporary accommodation costs determined according to the above percentage ratio are insufficient, a specific budget estimate should be prepared for this cost item.

e) Costs for transporting survey machinery and equipment:

- Depending on the specific conditions of each technical survey plan, the Project Owner decides to forecast the transportation costs of machinery and equipment serving the survey work in the survey construction cost estimate appropriately.

- The costs for transporting survey machinery and equipment to the project site can be determined based on the transportation plan, distance, type of transportation means, rental price of transportation means... and other appropriate methods in accordance with actual conditions.

f) Value-added tax: The value-added tax rate applicable to survey construction work of the project is applied according to current regulations and is calculated as a percentage of total direct costs, common costs, taxable income for preliminary calculation, technical plan preparation costs, survey result report preparation costs, temporary accommodation costs, and costs for transporting survey machinery and equipment.

g) Contingency costs: Are determined at a maximum of 10% of the survey construction costs after value-added tax.

Article 6. Determination of the estimated survey construction cost based on the application of unit prices of similar construction projects

When applying the unit prices of survey construction works already implemented in similar ongoing projects to determine the estimated survey costs, it is necessary to consider the technical survey factors, construction conditions, and implementation measures of the survey work, inflation factors, and the time required to complete the similar survey work.

Chapter III

MANAGEMENT OF CONSTRUCTION SURVEY COSTS

Article 7. Management of standard estimates for survey construction project budgets

1. The Ministry of Construction publishes standard estimates for survey construction for relevant agencies, organizations, and individuals to refer to and apply in establishing and managing survey construction costs.

2. Ministries and provincial People's Committees base on the method of establishing standards according to the guidance of the Ministry of Construction to organize the establishment and publication of standards for special survey construction tasks not included in the Standard Estimates for Survey Construction published by the Ministry of Construction, and annually send them to the Ministry of Construction for monitoring and management.

3. Project Owners, contractors, and consulting organizations base on the method of establishing standards according to the guidance of the Ministry of Construction to adjust the published standards that are not suitable for the project (applying different standards, procedures, and regulations than the current ones), establish new standards not included in the published standard system stipulated in Clause 2 of this Article, or apply the standards of similar survey construction tasks already in use in other projects to the project.

4. Project Owners may hire consulting organizations with sufficient capacity and professional experience to implement the establishment, adjustment, and review of survey construction standards. Consulting organizations bear responsibility for the rationality and accuracy of the standards they have implemented.

5. Project Owners decide on the application and utilization of published or adjusted survey construction standards, or the establishment of new standards for setting up and managing survey construction costs.

6. For projects extending along routes or built across multiple provinces, Project Owners decide on the application and utilization of published or supplemented, adjusted, and established survey construction standards for setting up and managing survey construction costs.

7. In cases where adjusted or newly established standards are used to set unit prices for survey construction in projects using state budget funds under designated tendering procedures, the Project Owner reports to the investment decision-maker for consideration and decision. For construction projects within investment programs decided by the Prime Minister, the Minister of the managing sector and the Chairman of the Provincial People's Committee make the decision.

Article 8. Management of Construction Survey Prices

1. The People's Committee of the province shall direct and entrust the Department of Construction to take the lead in coordinating with relevant departments based on the guidance of this Circular and the local price fluctuations to promptly determine and publish construction survey prices, material prices, labor prices, machinery and equipment rental prices commonly available in the market as a reference basis for establishing and managing construction survey costs.

2. Investors and consulting organizations shall base their establishment of construction survey unit prices for projects on technical requirements, construction conditions, specific construction methods of the project, and the method of establishing construction survey unit prices as guided by this Circular.

3. For projects funded by state budget, investors shall submit to the competent state management agency for review of the construction survey cost estimate according to regulations. For projects funded from other sources, investors may hire qualified consulting organizations or individuals with sufficient capacity and professional experience to perform tasks or parts of work related to the establishment or review of construction survey unit prices. Consulting organizations and individuals bear responsibility before the investor and the law for ensuring the rationality and accuracy of the construction survey unit prices they establish.

Chapter IV

IMPLEMENTING PROVISIONS

Article 9. Transitional Provisions

For construction survey work that has not yet signed a contract, investors shall consider and decide on applying the guidance of this Circular to adjust approved construction survey costs prior to the effective date of this Circular but have not been implemented or are currently being implemented.

For construction survey work that has already signed a contract, it shall be carried out according to the terms of the contract signed between the parties.

Article 10. Effective Date

1. This Circular takes effect from December 15, 2013, and replaces Circular No. 12/2008/TT-BXD dated May 7, 2008, of the Ministry of Construction on Guidelines for Establishing and Managing Construction Survey Costs.

2. During implementation, if there are any difficulties, organizations and individuals are requested to send their opinions to the Ministry of Construction for study and resolution.