Overview
Quoted items define the phases and tasks involved in a project and tie them to the budget's ACR (Accounting Cost Report). They provide a detailed structure for the vendor’s scope of work, housing the Schedule of Values (SoVs)—a breakdown of labor, consultants, reimbursables, and more.
The structure of quoted items in bid packages or contracts determines how vendors present their costs for the phases of work. This ensures that the vendor's cost structure matches the higher party’s requirements.
Examples of Quoted Item Structures
Example A: One-to-One Structure
In a One-to-One structure, the higher party (e.g., General Contractor, Architect) specifies each quoted item they want the vendor to align with. The vendor builds their bid package by matching these quoted items and can add tasks to further describe the work under each item.
Scenario:
A General Contractor sends a bid request to a subcontractor.
The bid request lists specific quoted items, such as "Demolition" and "Framing."
The subcontractor must structure their bid and breakdown tasks (e.g., labor, materials) under each quoted item exactly as requested.
This structure ensures precision and direct alignment between requested and provided details.
Example B: One-to-Many Structure
In a One-to-Many structure, a single quoted item acts as a summary for the vendor to compile all related scope of work under. This structure allows vendors greater flexibility in organizing and presenting their cost details.
Scenario:
An Owner’s Rep sends a bid package with a single quoted item, such as "Construction."
The vendor breaks down all construction-related costs (e.g., materials, labor, phases) within that quoted item.
The vendor can decide how detailed their breakdown should be, grouping costs by phases or tasks within the single quoted item.
This approach is ideal when the vendor is trusted to determine the appropriate level of detail.
Key Note
Quoted items house the Schedule of Values (SoVs), which outline the phases and tasks to be completed. The structure of these items dictates how costs are reported and ensures consistency in scope definition across all parties involved.
By choosing the appropriate structure (One-to-One or One-to-Many), project teams can tailor the level of cost and scope detail to meet their specific needs.