Appendix C DETERMINING COST of PROPERTY DAMAGE

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Horatio French
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1 Appendix C DETERMINING COST f PROPERTY DAMAGE Key questin: Will the part be scraped, verhauled, r replaced? The prperty damage cst f a mishap is the ttal cst f Cast Guard and nn-cast Guard prperty damage resulting frm Cast Guard peratins. The cst f envirnmental cleanup, resulting frm a Cast Guard mishap shall als be included in the cst f the mishap. Multiple resurces may be damaged r destryed by a single event, and shall be reprted as a single mishap. Only direct csts are t be used in determining mishap damage csts. This includes cst f materials, parts and direct repair labr csts directly resulting frm the mishap. Direct csts are thse csts directly attributed t the lss r damage f the aircraft. Cst assciated with persnnel injury r death are figured by e-aviatrs based n data entered n the MEDICAL INFO page D Nt include indirect csts in determining the mishap cst. Indirect csts are thse csts incurred during the investigatin prcess and include salvage/wreckage recvery, transprtatin (persnnel r prperty), salvage, shipping, temprary additinal duty, specialize technical assistance, setting up equipment t facilitate repair, etc. The fllwing guidelines are prvided: CG Prperty Damage includes the actual cst f materials, parts (use ALMIS cst data when available, see page 3) and direct repair wrk hurs. Parts cst includes the cst t repair damaged parts (if repairable) r the replacement cst f damaged r destryed parts. Cst f wrk-hurs is cmputed by the mishap database using the standard rate f $46* per wrk-hur. * Figure is current as f this versin f the User Guide. CG-113 may adjust this rate peridically t reflect estimatins f USCG wrkfrce distributin and reimbursable rates cntained in COMDTINST (series). Cntract Labr: If cntactr repairs are used, this cst may be used. Nte this in the parts field. Direct wrk-hurs include the wrk hurs: Required t remve, repair, and replace damaged equipment. Required t restre the damaged equipment t serviceable cnditin, if ecnmically repairable. Required t remve and replace undamaged cmpnents t gain access t damaged assemblies and/r cmpnents. Required t remve and replace a part if the part is nt ecnmically repairable. 1

2 Wrk-hur csts: DO NOT include time used t set up equipment fr the actual repair wrk r t remve, replace, and inspect undamaged parts and cmpnents slely t satisfy technical manual inspectin requirements. Overhaul/Rewrk Csts: If a repairable item can be ecnmically verhauled, use the verhaul cst vice replacement cst fr that particular item. Mst large items (e.g., transmissins, engines) have fixed verhaul csts. When pssible use ALMIS Avg Repair Csts. If there is n established verhaul cst, estimate the repair cst as 20% f the item s replacement cst (ALMIS Unit Cst). Wrk-hur csts fr remval, installatin, etc. must be included in the ttal cst estimate. Parts damaged beynd ecnmical repair: Use the replacement cst (ALMIS Unit Cst). Replacement f Damaged Cmpnents: Remving a damaged cmpnent and replacing it with a new r used cmpnent t decrease cst and the wrk-hurs required fr purpses f mishap classificatin is prhibited. If a like cmpnent is installed s a facility is available fr peratins, use the best-estimated wrk-hur csts t remve, repair, and replace the damaged cmpnent fr mishap classificatin. Cntractr Repairs: When repairs are made under a repair cntract (i.e. pwer by hur r ther maintenance cntracts) use the actual charge t the Cast Guard fr repairs perfrmed by a cntractr. Warranty Repairs: Csts t repair damage must be reprted even if perfrmed under warranty. Figure these cst as if n warranty was in place. Destryed, Missing, r Abandned Cast Guard Aircraft: Althugh the acquisitin cst is fixed at time f purchase, subsequent mdificatins may change the resurce cst. Structural & engine verhaul csts als change due t the prevailing market cst f labr/parts. CG-113 will crdinate w/cg-711 & CG-41 t determine the acquisitin & verhaul csts f an airframe. Nt Ecnmically Repairable: An aircraft that is damaged, but will nt be repaired, is nt autmatically cnsidered destryed. If the aircraft culd be repaired and put back int service (but is cnsidered nt ecnmically repairable ) the cst f thse repairs r an estimate shuld be determined. Use the lesser f the replacement cst and the repair cst. (CG-41 and CG-1131 will determine this). Envirnmental Cleanup Csts: Envirnmental cleanup csts resulting frm a CG mishap shuld be included in the cst f the mishap. These cst shuld be included as part f the mishap damage and shuld include the cst f clean-up, decntaminatin, dispsal and restratin f prperty, bth private and public. Civil engineering can help determine these csts. Cst f Nn-Cast Guard Prperty: Nn-Cast Guard prperty damage and nn-gvernment prperty damage resulting frm Cast Guard peratins are reprtable. All csts are in current dllars as f the date f the mishap. Use the best estimate f repair r best estimate f replacement cst whichever is lwer. Auxiliary Aviatin Prperty. Use cst r estimates prvided by the wner f the Auxiliary asset. Estimates prvided by the wner s insurance cmpany are acceptable. Replacement r acquisitin cst is seldm used, mst parts are repaired r verhauled, and this cst shuld be used. 2

Hwever, DO NOT include these csts as part f the ttal mishap csts. Expected damage t CG experimental r prttype systems incurred during authrized testing.

3 Damage NOT Included in Mishap Damage Cst Estimates: Damage caused by rescue, salvage peratins r fire fighting. Damage resulting frm rescue, salvage, fire fighting r wreckage transprt, shall be reprted in the Cast Guard Salvage Reprt and the final Mishap Analysis Reprt. Hwever, DO NOT include these csts as part f the ttal mishap csts. Expected damage t CG experimental r prttype systems incurred during authrized testing. Authrized intentinal destructin f CG equipment and prperty. Using ALMIS fr Mishap Csts NOTE: Recmmend leaving the damage cst determinatin t Engineering. In ALMIS, Select ALMIS Queries. Select Supply - NIIN 3

repaired (nrmally). Otherwise use 20 % f the Unit Price.

4 Search by Part Number. T search by part number, type in part NIIN and click SUBMIT QUERY Use Average Repair Cst fr the mishap cst, if it is available and the part can be repaired (nrmally). Otherwise use 20 % f the Unit Price. The Unit Price is the mst current cst f the material and shuld be used if the is n Average Repair Cst. Use 20% f this cst. NOTE: Average Repair Csts and Unit Cst are refigured annually, and may have changed since the last time it was used in a mishap message. NEVER use the Catalg Price. The catalg unit price is the cst f the asset when it was laded int ALMIS and shuld nt be used. 4

5 Search by Partial Part Number. T search by a partial part number, click n Parts in the secnd rw f chices. Enter the partial number in the NIIN field and click n Submit Query. This will display a list f all matching parts. Select the desired NIIN t view the Cst Page fr that part. 5

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