NEW YORK, Nov. 17 ACEC-NY-design-report
NEW YORK, Nov. 17 /PRNewswire-USNewswire/ -- A just-released report by Polytechnic Institute of New York University reveals that New York State can achieve significant cost savings by using private sector engineers for the design of public projects. When compared to in-house design costs, outsourced design costs were found to be at least 14% lower, based on conservative assumptions.
The results were formulated using comparative data for in-house engineers versus private sector engineers on: direct salaries adjusted for hours of work per week; fringe benefits including medical insurance, pension plans, survivors benefits, workers compensation, unemployment and social security insurance; and overhead.
Statistical information for in-house costs was based on New York State Department of Transportation data, April 2007. Private engineering firm statistics were derived from an April 2008 random sampling of salaries, benefits and overhead information from professional engineering firms throughout New York State, indexed and adjusted using the U.S. Department of Labor Statistics' Employer Cost Index established for private professionals and related groups.
"The Polytechnic Institute findings confirm our long-held belief that increased use of private sector engineering firms is in the best interests of the state. New York's designers are recognized as world leaders in their field. Optimizing the use of these resources while saving New York tens of millions of dollars will greatly benefit the taxpayers," says Jay Simson, executive director of the American Council of Engineering Companies of New York (ACEC New York). "We look forward to working with the Governor and the legislature and being part of the solution to help during these challenging financial times."
Founded in 1921, American Council of Engineering Companies of New York is one of the oldest organizations of professional consulting engineering firms in the U.S. A statewide association, its members represent all major engineering disciplines and range from highly specialized solo practitioners to multidiscipline firms employing thousands with branch offices worldwide. For additional information about ACEC New York, log on http://www.acecny.org.
SOURCE American Council of Engineering Companies of New York
