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Unread 19-10-2006, 20:31
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Re: Cost Determination, Section 5.3.4.4

Ken,

Quoting an old version of the rule that's obviously different from the current version weakens your argument. You'll notice the key difference there:
Quote:
Originally Posted by The New Rule
• The cost of items purchased in bulk or large quantities may be prorated on the basis of the smallest commonly available unit that satisfies the need for the item.
Quote:
Originally Posted by The Old Rule
• The cost of items purchased in bulk or large quantities may be prorated on the basis of their actual use on the robot. Example: A team purchases a 4' x 4' sheet of aluminum, but only uses 30 square inches of it on their robot. The cost that the team would have to report would be 30 divided by 2304 times the actual cost of the whole sheet.
The underlined are clearly different, so the rules and their meanings can be expected to be different. The basis for the prorating has changed. The new rule prorates to the smallest unit that fits the need. The old rule prorated to the amount that you used.

Let's apply some more common sense to this example from the current rules:
Quote:
Example: A team purchases a 4' x 4' sheet of aluminum, but only uses a piece 10” x 10” on their robot. The team identifies a source that sells aluminum sheet in 1’ x1’ pieces. The team may cost their part on the basis of a 1’ x 1’ piece, even though they cut the piece from a larger bulk purchase. They do not have to account for the entire 4’ x 4’ bulk purchase item.
I expect FIRST to use sensible examples. Now, a 1'x1' aluminum square always costs more than a 4'x4' square, on a $ per sq. in. basis. So, by the percentage of use logic, this example is telling us to use the $ per sq. in. cost of a 1' x 1' square for this. Instead of the $ per sq. in. cost of a 4' x 4' square. So through the example, FIRST is telling us to use the MORE expensive cost for the part. This makes no sense.

As I read the current rule, this prevents a team from prorating the cost based on ton lots of aluminum that their sponsor gets to make whatever. Or titanium or what have you. The problem is especially for exotic materials like the SLA goop that you just can't get in small amounts for any price. If my sponsor buys unobtanium in bulk lots of ten tons for $1 million and that's the ONLY way you can get it, then my using 2 pounds of it for just $100 is patently unfair. The rules are, in fact, occasionally about fairness rather than encouraging the use of every exotic material and technique known to man.
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