Pricing Variances by State and Zip   There are times when you will need to consider pricing modifications in each area of the country and decide if it influences your cost of construction. These pricing modifications will allow you to easily identify material, installation, and weighted average cost differences by each state or in every major sectional zip code service center in the country. Keep in mind, however, although these modification factors are widely respected compilations, the percentages are based upon commercial and residential construction and primarily apply to only a few areas of subcontracting work and commodities. These sectional zip code prices should only be used to increase pricing, where applicable! Professional tower erection, antenna and line installation and other crafts specifically related to wireless construction are typically not affected by these modifiers due to industry requirements to provide highly skilled technicians in addition to maintaining high safety standards and the proper insurance coverage. In addition, you would not expect to see a material increase for products such as towers, accessories, equipment buildings and other common components. High cost zip code areas should be carefully assessed prior to providing a proposal. All pricing should be modified to meet client requirements, value added services, regional pricing influences and site conditions. USAGE TIPS: Here’s how you can effectively use these modifications. If you’re comfortable with your pricing in your home state, identify the increase in another state’s county and adjust your price accordingly. If your state is listed as being 10% below the national average and you’re anticipating a proposal in another state where the county rate is 30% above average, consider an increase of 40% for some portions of your estimate, if  applicable. In some major cities the costs can be as high as 60% or more above the national average for crane and other services such as electrical installation. Commodities such as concrete can also be considerably higher. In addition, there might be union requirements to consider. Add to that list, parking fees, traffic tickets, meals and lodging and all other expenses that the local contractor is fully knowledgeable about. Oftentimes a project is awarded to a contractor that did not take local economic and geographic conditions as well as regulations into consideration. Everybody loses! The bidder loses money on the project. A reputable and knowledgeable contractor loses the opportunity to complete the job they should have received. Oftentimes the low bidder will look for every opportunity for a change order to lower his losses and may possibly provide a substandard, perhaps unsafe installation to minimize costs…making the client the biggest loser. If you’re interested in finding out what the highest allowable per diem rate is that you are allowed to reimburse to your employee and still maintain the full deduction, visit Per Diem Maximums. Whenever you receive a quotation from a contractor that appears to be too low, identify if they have the proper insurance, safety training and the expertise to complete the job. Oftentimes they don’t! If a supplier’s or service provider’s pricing is also extremely low, ensure that the materials and/or design meet the specifications or that they’re competent in providing their service offerings. Check references at least twice and you’ll only have to cut the purchase order once!