Job Order Contracting Glossary
Terms and Definitions associated with a Job Order Contract
Unit Price Book (UPB): The list and price information for all pre-priced items covered
in in a job order contract. The UPB includes at least 90% of the line items anticipated during the duration of the JOC. Each line item has a description in common terms and “plain English” without excessive use of abbrievations, and details breakdowns of material, equipment, and labor costs. Demolition line items and modifiers to parent line items are also included. Costs should not include contractor overhead and profit, or other items as noted in the JOC. Each line item has a unique line item number that is based upon MasterFormat2004+
Line item: An item or system denoted in the UPB by a unique line item number.
Bare costs: The cost of a line item without any multiplier.
Multipliers: All factors added to the bare cost pricing of the UPB. This generally includes the contractors’ coefficients. Sometime localization or other factor are allowed, though this practice is not recommended. Instead, UPBs should be localized to the work area and be updated annually.
Pre-priced line item: A line item from the UPB with approved changes.
Non-pre-priced line item (NPI/NPP): A line item that is not a pre-priced line item.
Selective demolition line item: The removal of material with no concern for its
replacement. If a line item can be found in the UPB for selective demolition, that line
item will be used. If there is no line item for selective demolition, the Contractor will
locate the line item in the UPB. Then the Contractor generally creates an alternate pre-priced
line item removing the cost for the material and equipment, and the remaining labor
amount will be multiplied by a percentage, i.e. 50%. This is then be used as the means to demolish that item. This line item may be considered pre-priced. If the line item cannot be found in the UPB, the demolition will be NPP.
Removal and replacement line item: An item that is to be removed and then replaced
without damaging the item. If a line item can be found in the UPB for removal and
replacement, that line item will be used. If there is no line item for removal and
replacement, the Contractor will locate the line item in the UPB. Then the Contractor
will create an alternate pre-priced line item removing the cost for the material and
equipment, and the remaining labor amount will be multiplied by 150%. This will be
used as the means to demolish that item. This line item will be pre-priced. If the line
item cannot be found in the UPB, the demolition will be an NPP.
