Templates | Post Award: Finance, Procurement, Inventory Management-Independent Cost Estimate Example (Higher Ed)

Independent Cost Estimate Example (Higher Ed)

Pdf Summary

This document is the Independent Cost Estimate (ICE) form (Form 3201 FR.04) used by Yale University for procurement purposes, last revised on October 2, 2020. It outlines the requirements and instructions for preparing an ICE, which is a neutral and unbiased estimate of the cost of goods or services based on specifications alone, without supplier influence. An ICE is mandatory before soliciting supplier proposals for federally funded purchases above $250,000.<br /><br />The ICE cannot rely solely on a single supplier’s quote, but may use publicly available pricing like catalog or list prices from sole sources. The form identifies three common sources for developing an ICE: (1) pricing from previous similar purchase orders or contracts, (2) commercial pricing sources such as catalogs or price lists, and (3) cost estimates from finance or engineering based on labor, materials, indirect costs, and reasonable profit.<br /><br />Confidentiality is emphasized, instructing that ICE details must never be shared with potential suppliers. The form includes fields to describe goods or services and provide independent cost estimates along with supporting evidence such as past prices or cost breakdowns.<br /><br />Additionally, the form requests recommended sourcing methods—either comparative pricing involving multiple quotes or a sole source justification—and lists potential suppliers. It reminds that the Procurement Department must manage all Request for Proposals (RFPs) for federally funded contracts exceeding $250,000.<br /><br />Finally, the form collects submitter contact information and includes a section for Procurement Department use when assigning sourcing managers and approvals. The form ensures compliance with federal procurement regulations and promotes transparency and accuracy in cost estimating and sourcing decisions.

Keywords

Independent Cost Estimate

ICE form 3201 FR.04

Yale University procurement

federally funded purchases

cost estimation

supplier proposals

sole source justification

comparative pricing

procurement regulations

Request for Proposals