Thursday 31 May 2012

SMM, NRM & NEC3 Contracts

Whilst on the subject on BoQs (ps, just how many projects these days use BoQs I wonder?!) RICS has fairly recently replaced SMM with the New Rules of Measurement (NRM), which is a toolkit for cost management. The attempt is to bring consistency to the cost management of construction and maintenance work, giving surveyors a set of rules for measuring and capturing cost data. Of course, this is aimed at the building industry (I'm not sure if it is worldwide or just UK, would be a shame if just the latter).

The good news is that this seems to have been written on the basis of contract neutrality so can be used with NEC3 Contracts. Care would have to be taken though to fully understand the new rules as they continue to cover traditional (and in my opinion completely outdated) practices of things like dayworks and provisional sums. The only use of BoQs with NEC3 Contracts are Options B&D of both NEC3 ECC & ECS - these both envisage remeasurement of an approximate BoQ. NRM seems to provide for firm and approximate BoQs, firm BoQs are not provided for in NEC3 Contracts.

In principle, with some care, the NRM should be readily usable with those NEC3 Contracts that support approximate BoQs.

Any other thoughts, comments, differences of opinion, someone extolling the virtues of dayworks (!) would be good.

Rob

CESMM4 & NEC3

Just a note that the Civil Engineering Standard Method of Measurement has been updated from CESMM3 to CESMM4. For the first time it has been written to be contract neutral and also brings the method into line with changes in industry practices and extends its usages into all new areas. Sample pages available at icevirtuallibrary.com/cesmm. The most appropriate NEC3 Contracts this would be used in are Options B & D of NEC3 ECC & ECS. Happy BoQ preparing....