Save Money with Smart Equipment Choices on Long Projects

For construction projects lasting over two years, deciding whether to buy or rent equipment can make or break your budget. A solid buy/sell analysis helps contractors choose the cheapest option—saving you, the project owner, from inflated costs. Done right, it keeps pricing fair, builds trust, and ensures you’re not overpaying.

Why It Matters

Renting equipment might seem convenient, but over a long project, those monthly fees add up fast. Buying equipment, using it efficiently, and selling it later often costs less. Plus, owning equipment means contractors can avoid rental delays, schedule work flexibly, and maintain assets properly—all of which keep your project on track.

Without this analysis, contractors might pad budgets to cover unknowns or stick with pricey rentals to avoid upfront costs. This can lead to charges that feel unfair or unclear, eroding trust. A clear buy/sell plan prevents this by showing exactly how equipment costs are calculated.

How It Works

A buy/sell analysis compares the total cost of renting versus buying, using, and reselling equipment. It looks at:

Purchase Costs: Upfront price, taxes, and setup.
Operating Costs: Fuel, maintenance, and labor.
Resale Value: What the equipment can be sold for after the project.
Rental Costs: Monthly fees over the project’s duration.

Example: The Bulldozer Decision

Imagine a three-year project needing a bulldozer. Renting costs $10,000/month, totaling $360,000. Buying the bulldozer costs $200,000, with $30,000 in maintenance over three years, and it can be resold for $100,000. The net cost of buying is $130,000 ($200,000 + $30,000 - $100,000)—a savings of $230,000 compared to renting. By sharing this math, contractors prove they’re prioritizing your budget.

Protecting Your Wallet

To avoid getting overcharged:

Ask for Transparency: Request the buy/sell analysis to see how equipment costs are justified. Look for clear numbers on purchase, maintenance, and resale estimates.
Push for Early Planning: Insist contractors run this analysis before finalizing budgets. This locks in cost-effective choices from the start.
Negotiate Fair Terms: Suggest cost caps or shared savings to ensure contractors pass savings to you, not just their bottom line.

Building Trust

When contractors share their buy/sell analysis, it’s a sign they’re treating your money like their own. It demystifies costs and shows they’re committed to value. For high-use equipment like cranes or excavators, this approach can save hundreds of thousands while keeping your project on schedule.

The Bottom Line

A buy/sell analysis isn’t just about saving money—it’s about fairness. For any project over two years, demand this step in the planning process. It ensures contractors make smart equipment choices, keeps your costs down, and builds a partnership based on trust. Don’t let vague pricing or missed savings catch you off guard—ask for the numbers and protect your budget.

At Innovative Contracting & Engineering, our team’s decades of experience as former contractors gives us a real-world edge, helping clients unlock savings from hundreds of thousands to millions through cost-effective equipment strategies. We know how to spot savings and avoid pitfalls, ensuring our clients get the most cost-effective equipment strategy every time.

The Delaware Memorial Bridge

ICE Teams is proud to have been part of the successful delivery of the Delaware Memorial Bridge Ship Collision Dolphins project, a vital transportation link in the I-95 corridor connecting Delaware and New Jersey, is undergoing a significant upgrade through a $93 million Ship Collision Protection System project, initiated by the Delaware River and Bay Authority (DRBA) in July 2023. This ambitious endeavor aims to safeguard the bridge’s twin spans, constructed in 1951 and 1968, against potential collisions from modern, larger, and faster vessels navigating the Delaware River.

The DRBA’s proactive approach was further highlighted after the 2024 collapse of Baltimore’s Francis Scott Key Bridge, emphasizing the importance of such protective measures.

The core of the protection system involves the installation of eight 80-foot-diameter, stone-filled dolphin cylinders, strategically placed at the piers supporting the bridge’s eastern and western towers. These robust structures, are engineered to absorb or deflect impacts from vessels up to 120,000 deadweight tons traveling at seven knots, offering a sacrificial barrier to protect the bridge’s piers. The construction, led by R.E. Pierson Construction Company includes driving 115-foot-long steel sheet piles 50 feet into the riverbed, with each cylinder filled with sand and capped with concrete and rock. A temporary 360-foot trestle and barges facilitate the transport of materials and personnel, ensuring minimal disruption to the 100,000 daily vehicle crossings.

The collaborative delivery meshed all the experience of DRBA, R.E. Pierson, S.T. Hudson Engineers, Inc. and ICE Teams. The projects had seemingly insurmountable risks which the team methodically mitigated. The result was an optimized design that reduced costs from an initial $115 million bid to $93 million. The methods of collaborative delivery have been on full display at progress meetings when the owner, design, and construction team come together to overcome ongoing project hurdles. Upon completion, this protection system will set a precedent for safeguarding aging infrastructure against evolving maritime challenges, securing the bridge’s role as a cornerstone of regional connectivity.

This month, we’re proud to shine the spotlight on Alex Orcutt, who just celebrated his one-year anniversary with ICE Teams!

Alex joined our team with a decade of experience in civil engineering, cost estimation, and scheduling, having contributed to a wide range of transportation projects—from highways and bridges to streetcars and retaining walls. A graduate of the University of Wisconsin–Madison with a B.S. Degree in Civil Engineering, Alex previously worked with industry leaders like Kraemer North America and HNTB, bringing both contractor and consultant perspectives to his role.

From day one, Alex embraced ICE Teams’ fast-paced and collaborative environment. He took the lead on Level Up-31, a CMGC project in Indiana that was a first not just for him—but also for the client and contractor. Guided by mentors like Jeremy and Kyle, Alex navigated this challenge with confidence and clarity, quickly establishing himself as a trusted project lead.

He described his first months at ICE Teams as “drinking from a firehose,” especially during the Blue Mesa project, where he sharpened his skills in OPCC meetings and learned to thrive under pressure. Alex credits ICE Teams’ culture of trust, accountability, and open communication for his rapid growth. He appreciates that advancement here is driven by performance, not tenure—something that has empowered him to both lead and mentor within his first year.

Outside of work, Alex is a proud husband and father who values the flexibility ICE Teams offers. He often juggles travel with family life, making it home for the moments that matter most. In his free time, you’ll find him playing hockey, hitting the golf course, or refining his barbecue skills.

Looking ahead, Alex is focused on deepening his understanding of project delivery, building stronger client relationships, and supporting new team members as they find their footing. His commitment to growth and collaboration makes him a key part of our continued success.

Congratulations, Alex, on an outstanding first year—we’re lucky to have you on the team!

Alternative Delivery Consulting Services (PDB, CMGC, CMAR, DB, P3)
Alternative Delivery Processes Training
Independent Cost Estimating (Production-Based Cost Estimating)
Critical Path Scheduling Using Primavera P6
Constructability Reviews
Risk Management/Mitigation
Innovation in Construction Techniques
Negotiation
Change Order Reviews

We love what we do! We have a passion for finding creative approaches to construction. We are constantly looking for innovative construction techniques to add value to the projects we are working on. Our team has found ways to reduce schedule and/or construction costs on every project we have worked on to date!

Innovative Contracting & Engineering (ICE) is a team comprised of former contractors and professional engineers who have a thorough understanding of market fluctuations, pricing trends, construction strategies, and innovations. Our experience working on alternative delivery projects across the United States has provided our team with a tool bag full of industry best practices. Construction cost estimating and scheduling is our primary focus. This focus is how we stay current on construction trends and price changes, and that helps us produce more accurate estimates than our competition. We have a passion for finding creative approaches to construction. We are constantly looking for innovative construction techniques to add value to the projects we are working on. Our team has found a way to reduce schedule and/or construction costs on every project we have worked on to date! ICE works closely with our clients to improve the quality of their most challenging projects.

Past Newsletters:

Alternative Delivery Offramp

How AI Can Help Make Construction Projects Run Smoother

Innovations are NOT “Negative Risks.”

CMGC or PD-B: Choosing the Right Delivery Method

Are Blue Book Equipment Rates Appropriate for use on Alternative Delivery Projects?

Free Tools! - Innovations Tracking

Pareto’s Principle and Concept Cost Estimates

Meeting Project Risks & Challenges

Leaders Turn Vision into Infrastructure

Free Tools!

Market Volatility Update