Procedures - TB-43-0002-860004

TB 43-0002-86

e. Shipping and transportation costs include all costs involved in preparation and movement to re-

pair location, and expected cost to prepare and ship back. Costs will be obtained from the bill of lading or

transportation office, or will be estimated.

f. Other Charges. All costs expected to be incurred to complete repair which cannot be included in

cost elements above. Estimate repair from past records or expected cost.

4-2. Procedures. Procedures to determine the total estimated cost of repair are as follows:

a. Direct Labor Costs. Apply the total estimated man-hours of direct labor to the direct labor hourly

rate. The direct labor hours estimated will be based on the Maintenance Allocation Chart (MAC) or actual

past experience. The direct labor hourly rate and total cost of direct labor is found by:

(1) Military - Obtain the average hourly military wage rate of the mechanic performing the repairs,

and multiply by the direct man-hours of labor required. Use the current military pay scale to obtain average

hourly rate.

(2) Civilian - Obtain the average hourly rate of the individuals expected to perform the repairs, and

multiply by a factor of 1.29 to obtain the direct labor hourly rate (the factor compensates for holidays, allowable

sick/annual leave, and government contributed benefits). Multiply the direct labor hourly rate by the direct

man-hours of labor to obtain total labor cost.

b. Determine total cost of the five remaining elements in paragraph 4-1 through 4-1f above (if ap-

plicable) and add to total labor expense.

c. Obtain the MEL percentage factor from the appropriate appendix in this TB and determine if re-

pair is authorized.

d. If repair cost is equal to or less than MEL, the item may be repaired. If greater, the item will be '-

returned to customer for turn-in action or processing of a waiver to exceed the MEL.

4-3. Computation Table. A table which may be helpful in computing total repair cost estimates and MEL fol-

lows. Use of actual repair expense column may be completed to assist in future cost estimates. use only those

elements applicable and available.