1 / 7

Changes in work

Ohio construction reform. Changes in work. Uses of Owner's Contingency Reserve Unforeseen conditions (site, renovation, severe weather) Allowance overages (difficult to quantify items) Unit price adjustments (>25% change in quantity) Design clarifications (E&O on CMR projects).

dionne
Download Presentation

Changes in work

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Ohio construction reform Changes in work • Uses of Owner's Contingency Reserve • Unforeseen conditions (site, renovation, severe weather) • Allowance overages (difficult to quantify items) • Unit price adjustments (>25% change in quantity) • Design clarifications (E&O on CMR projects)

  2. Ohio construction reform Changes in work • Uses of Contingency Allowance within GMP • Bid risk coverage (bids higher than estimate, award to non-low bidder) • Subcontractor's breach of its subcontract • Remediation of defective work • Additional costs to complete work within contract time (acceleration, winter protection)

  3. Ohio construction reform • Changes to Contingency During Buyout of Subcontracts • Buyout savings increase contingency balance • Buyout overages decrease contingency balance • Excess contingency balance from buyout is released to owner • 25%, 50%, 75% of project duration • Contingency balance may be reduced and released to owner • Discretion of CMR & DB • Credit may be given if there is a shared savings agreement Changes in work

  4. Ohio construction reform Changes in work • Approvals in Use of Contingency • All changes in work are discussed in project meetings • CMR & DB releases contingency allowance for allowable expenses • Owners "approve" the CMR & DB use of contingency in pay application • Owners approve formal change orders when using owner's reserve contingency

  5. Ohio construction reform Changes in work • Uses of Remaining Contingency • Entire amount returned to owner • Entire amount stays with CMR or DB as part of their GMP • Percentage split to owner and CMR or DB, agreed to in the GMP.

  6. Ohio construction reform Changes in work • Contract Documents - General Conditions Article 7 • Changes can be initiated by: • Proposal request from AE • Change directive from owner • Request for a change order from the CMR or DB • Minor Changes in Work - no adjustment in contract sum or contract time • Time Extension

  7. QUESTIONS?

More Related