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Appendix A
Description of the Classes of Estimates Used by PSPC for Construction Costing of Building Projects

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Class “D” (Indicative) Estimate

“Based upon a comprehensive statement of requirements, an outline of potential solutions and/or functional program, this estimate is to provide an indication of the final project cost that will enable ranking to be made for all the options being considered. This cost estimate shall be prepared in elemental analysis format. The level of accuracy of a Class D cost estimate shall be such that no more than a 20% design allowance is required.”


Class “C” Estimate

“Based on schematic/conceptual design and/or comprehensive list of project requirements, this estimate shall be adequately detailed and shall be sufficient for making the correct investment decision. This cost estimate shall be based on measured quantities of all items of work and prepared Public Services and Procurement Canada Page 13 in elemental analysis format. The level of accuracy of a Class C cost estimate shall be such that no more than a 15% design allowance is required.”


Class “B” (Substantive) Estimate

“Based on design development drawings and outline specifications, which include the preliminary design of all major systems and subsystems, as well as the results of all site/installation investigations, this estimate shall provide for the establishment of realistic cost objectives and be sufficient to obtain effective project approval. This cost estimate shall be based on measured quantities of all items of work and prepared in elemental analysis format. The level of accuracy of a Class B cost estimate shall be such that no more than a 10% design allowance is required.”


Class “A” (Pre-tender) Estimate

“Based on completed construction drawings and specifications prepared prior to calling competitive tenders, this estimate shall be sufficient to allow a detailed reconciliation and/or negotiation with any contractor’s tender submission. This cost estimate shall be based on fully measured quantities of all items of work and prepared in both elemental analysis and Trade division format as per MasterFormatTM. The level of accuracy of a Class A cost estimate shall be such that no more than a 5% design allowance is required.”


Reference

Public Services and Procurement Canada. “Cost Estimate Definitions.”
https://buyandsell.gc.ca/cds/public/2020/01/28/1309436c314b43a9317acb80ee8fb9b4/ABES.PROD.PW_PWZ.B050.E10977.ATTA001.PDF, accessed September 14, 2020.