CEMP-E/CECW-E
EI 01D010
1 September 1997
fringe and the amount for the various crafts can
d. Some fringe benefits and travel/subsistence are
usually be found with the Davis-Bacon Act wage
subject to payroll taxes. For example, vacation benefits
determination in the specifications. Non-union
are taxable and should be added to the basic wage rate.
contractors pay comparable fringe benefits directly to
their employees.
5-7. HTRW Program Specific
Requirements
b. Example 5-3 illustrates the calculations for
fringe benefits. Since the values change and vary by
HTRW cleanup projects may include activities
region and union agreement, the calculations shown
classified as either construction and/or service (non-
are presented as an example only. Actual values
construction). HTRW contracts are frequently
must be determined by the cost engineer.
comprised of both types of activities. An example
would be a contract which contains the construction of
Example 5-3
a permanent treatment plant and the operation of that
plant for three years following construction
Health and welfare .....................................
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.70/hrcompletion. The overall contract classification is
usually determined by which type of activity is more
Pension ........................................................ 0.75/hr
predominant. This determination will control the wage
Apprentice training ...................................... 0.00/hr
rates applicable to the particular activities, (i.e., Davis-
Bacon for construction activities and Service Contract
(N/A in this case)
Act for service activities). Some union agreements
may require an additional amount be added to the basic
Total fringe benefits ...................................
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.45/hr
wage rate for a worker who must wear protective
clothing, respirators, etc. The cost engineer must
c. Travel and Subsistence. Travel and
insure that appropriate wage rates are used in the
subsistence costs are normally expressed as a daily or
HTRW cost estimate.
weekly cost. When included in the cost estimate,
they should be converted to an hourly cost and
excluded from an overtime premium unless travel
and subsistence are part of an increased hourly wage.
See sample estimates for methodology.
5-3
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