77 Ill. Adm. Code 1120.110
Project and Related Cost Data – Review Criteria
Section 1120
Section 1120.110 Project and
Related Cost Data
– Review Criteria
a) Estimated Total Project
Cost
The applicant shall provide the
estimated total project cost, including the amounts for each cost component
(line item) applicable to the project. When a project or any component of a
project is to be accomplished by lease, donation, gift or any similar means,
the fair market value or dollar value that would have been required for
purchase, construction or acquisition shall be included in the estimated total
project cost. The applicant shall submit documentation as to the fair market
or dollar value as defined in 77 Ill. Adm. Code 1130.140. Costs shall be
provided for the following components (line items), as applicable:
1) Preplanning
Costs − those costs incurred prior to the submission of an application,
such as development and feasibility studies, market studies, legal fees, bid
solicitation, etc.;
2) Site Survey
and Soil Investigation Fees − the costs for surveying of a proposed
project site and related soil investigation fees;
3) Site Preparation
Costs includes, but is not limited to, costs for equipment rental for
earthwork, concrete, lifting and hoisting, site drainage, utilities, demolition
of existing buildings or structures on site, clearing, grading and related
earthwork;
4) Off-site
Work Costs – all costs related to off-site activities, such as drainage, pipes,
utilities, sewage, traffic signals, roads and walks;
5) Construction
and Modernization Contracts – all costs and expenses covered under the
construction contract, including major medical and other fixed equipment,
contractor's overhead and profit;
6) Contingencies
− a cost allowance to be used solely for unforeseeable events relating to
construction or modernization costs;
7) Architectural
and Engineering Fees –
the costs
associated with the design, development of contract documents, and construction
administration related to the proposed project, including only those fees
defined as "basic services"
in Document B101-2007, Standard Form
of Agreement Between Owner and Architect (www.aia.org) (American Institute of
Architects, 1735 New York Ave., NW, Washington DC 20006-5292, 800/242-3837; 2007,
no later editions or amendments included);
8) Consulting
and Other Fees – the costs and charges for the services of various types of
consulting and professional expertise, including environmental impact, computer
software fees, certificate of need fees, etc. (the applicant shall provide a
detailed listing of types and amounts of such fees);
9) Capital
Equipment Not Included in Construction Contracts − the cost of all fixed
and movable capital equipment, including any medical equipment and the cost of
installation of the equipment, excluding any trade-in allowances on existing
equipment, that are not included in construction contracts;
10) Bond
Issuance Expense − all costs associated with the issuance of bonds to
finance a project, including issuer's fees, bond counsel's fees, official
statements (feasibility study), official statement printing, printing of bonds,
survey of the collateral site, title insurance to property, auditor's fees,
trustee fees, underwriters' discount, and government fees (if applicable);
11) Net
Interest Expense During Construction – the cost representing the difference
between interest earned on funds for construction and interest expense on the
amount of borrowed funds;
12) Other
Costs that Are To Be Capitalized − miscellaneous fees, expenses (e.g.,
asbestos removal, mold treatment, temporary insurance, workers' compensation,
surface parking lots, temporary roads or paving, lighting, fencing, security,
etc., that are not included in construction contracts) and working capital
expenses related to the project (the applicant shall provide a detailed listing
of all other fees and expenses and the amount of each);
13) Acquisition
of Buildings or Other Property (excluding land) − the cost incurred (or
the fair market value) for the acquisition of buildings or property for the
project. Any acquisition that has occurred within two years prior to the date
of application for permit submission must be included as part of project costs.
HFSRB NOTE: If the acquisition is
by a lease, and the terms of the lease include capital improvements to the
property, then those capital improvements are to be listed separately.
b) Related Project Cost
Data and Information Requirements
The applicant shall provide the
following information related to the project, as applicable.
1) Land
Acquisition Cost − the purchase price or fair market value, whichever is
applicable, for the acquisition of land that has been acquired within two years
prior to the date of application for permit submission or that will be required
in order to undertake the project. Acquisition of land is not included as part
of total estimated project costs.
2) Operating
Start-up Costs − the estimated non-capitalized operating start-up costs,
including any estimated initial operating deficit, and any other necessary
amounts to make the project operational (AMPO). Any capitalized costs that are
related to the start-up costs of a facility must be included in the total
estimated project cost.
3) Project
Development Schedule − a project completion schedule that provides the
project start date, the estimated date when one third of the total estimated
project cost will be expended, and the anticipated date for completion of the
project.
HFSRB NOTE: Project completion
includes all post-construction activities, including installation of
furnishings and equipment, inspections and training of staff. (Applicant should
refer to definition of "Project Completion" in 77 Ill. Adm. Code
1130.140.)
4) Construction
Schedule − a construction schedule that provides the dates for
construction start and midpoint of construction and anticipated date for
construction completion.
5) Debt
Service Reserve Fund − the amount that will be placed in a debt service
reserve fund and the terms of and conditions on uses of the fund.